Solving the Labor Dispute in Wisconsin

After a week of protests in Madison, Wisconsin, the labor dispute appears to be feverishly ratcheting up and the parties are becoming more entrenched in their positions. Two days ago, a reporter made a prank phone call to Governor Walker, impersonating a multi-millionaire political backer. The Governor was duped, and the unflattering recording of the Governor went viral. Meanwhile, the 14 absent Democratic Senators whereabouts are still unknown, and the Governor is threatening to lay-off 1,500 state workers if the missing legislators don’t return to the state capitol. The capitol rotunda has been turned into a campground, housing a variety of labor supporters. Unaffected labor groups like the Firefighter Association, are even joining the crowd of vocal protesters by staging a sleep-in. The House just voted 51-17 in favor of limiting collective bargaining rights as proposed by the Governor, and the bill will proceed to the Senate. Neither side is showing signs of blinking, intensifying the stare-down in Wisconsin.

Labor disputes seldom are resolved when the parties point fingers of blame at each other. Nor are they resolved by arguing over how the dispute began or by regurgitating the facts. When that occurs, no one is compelled to change or work toward a resolution. Labor disputes can only be resolved through communication, and in Wisconsin neither side appears willing to take that step.

No one is disputing the State of Wisconsin is facing a dire financial crisis, nor is anyone disputing the fact public employee wages and benefits are a disproportionately large budget item, contributing to the crisis. According to a recent 60 Minutes report, the rising cost of public employee benefits will bankrupt cities and states across the country. Economists are predicting the next to fall after the recent banking and financial melt-down, followed by the housing and mortgage crisis, is the failure of our cities, counties, and state governments.

Wisconsin is a wake-up call for both labor and management. There is a new normal, in the wake of the economic catastrophe of 2008. It is safe to predict there will be no federal bail-out offered to cities, counties, or states. Therefore, labor and management have to focus on fixing the financial problems themselves. This can only be accomplished through some belt-tightening, communication, and re-inventing new ways to problem solve. While circus antics, protests, and stonewalling attracts the media, they will not fix the financial problems faced by state and local governments today.

 

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