Grupos cívicos piden a Harvard desvincularse de la deuda de Puerto Rico
Grupos cívicos piden a Harvard desvincularse de la deuda de Puerto Rico
Los grupos que participan de la convocatoria están comandadas por el “Center for Popular Democracy”, e incluyen a...
Los grupos que participan de la convocatoria están comandadas por el “Center for Popular Democracy”, e incluyen a organizaciones de estudiantes de esas universidades, así como “Make the Road New York”, “Make the Road Pennsylvania”, “Make the Road Connecticut”, “New York Communities for Change”, and “Organize Florida.”
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It’s Not Just Low Pay Stressing Out Part-Time Workers
Bill Moyers - July 24, 2014, by Neha Tara Mehta - Besides struggling to make ends meet because of low wages, millions...
Bill Moyers - July 24, 2014, by Neha Tara Mehta - Besides struggling to make ends meet because of low wages, millions of part-time workers in America also face uncertainty over when they will be called in to work. Irregular schedules and last-minute notice make it hard for these workers to find other work, go to school and make arrangements for child care or caring for aging parents.
As The New York Times reported last week:
About 27.4 million Americans work part time. The number of those part-timers who would prefer to work full time has nearly doubled since 2007, to 7.5 million. According to Bureau of Labor Statistics data, 47 percent of part-time hourly workers ages 26 to 32 receive a week or less of advance notice for their schedule.
In a study of the data, two University of Chicago professors found that employers dictated the work schedules for about half of young adults, without their input. For part-time workers, schedules on average fluctuated from 17 to 28 hours a week.
“Frontline managers face pressure to keep costs down, but they really don’t have much control over wages or benefits,” said Susan J. Lambert, a University of Chicago professor who interpreted the data. “What they have control over is employee hours.”
According to the National Women’s Law Center, food service workers experience a 70 percent average variation of work hours every month. For retail workers, the variation is 50 percent and for janitors and housekeepers, it’s 40 percent.
Lawmakers across the country are beginning to notice how irregular schedules complicate the lives of part-time workers, and are taking measures to address the problem. Employees of federal agencies now have the right to request work schedule flexibilities. Workers in San Francisco and Vermont can ask for a more flexible or predictable work schedule. In a report released in June, New York City comptroller Scott M. Stringer made a case for a legislation that would give employees the chance to make such requests “without fear of reprisal.”
Congress is swinging into action on this issue as well. On Tuesday, Representatives George Miller and Rosa DeLauro introduced the Schedules That Work Act. Miller admits that the bill may meet with opposition, but thinks that it will highlight “often callous scheduling practices.”
The Guardian reports that another version of the bill is brewing in the Senate:
Senators Tom Harkin and Elizabeth Warren are co-sponsoring of the Senate’s version of the bill. Carrie Gleason, co-founder of Retail Action Project, said [that] Warren will introduce the Senate version in upcoming weeks.
A single mom working two jobs should know if her hours are being canceled before she arranges for daycare and drives halfway across town to show up at work,” said Warren. “This is about some basic fairness in work scheduling so that both employees and employers have more certainty and can get the job done.”
Although some businesses are saying the bills would represent government overreach, the clothing store Zara has already promised to start giving its part-time employees two weeks notice on their work schedules.
Source
The Retail Industry is Marginalizing Women and People of Color. This Has to Change.
The Retail Industry is Marginalizing Women and People of Color. This Has to Change.
Source: In These Times...
Source: In These Times
The National Retail Federation is fond of pointing out that “retail means jobs.” And it’s true: the retail industry today provides one in ten private-sector jobs in the U.S., a number set to grow in the next decade.
Yet new findings show those jobs may be keeping retail workers and their families from rising up the career ladder, exacerbating our country’s growing inequality. The findings from the Center for Popular Democracy demonstrate that, for women and people of color especially, working in retail often means instability and low pay. Both groups make up the lion’s share of cashiers, movers, and other poorly paid positions and barely figure in the upper ranks of management. In general merchandise—including big-box stores such as Target and Wal-Mart—women hold more than 80 percent of cashier jobs, the lowest-paid position. And in the food and beverage industry, women make up approximately half of the workforce but less than a fifth of managers.
People of color in the retail industry are often relegated to the least lucrative jobs as well. In home and garden stores like Home Depot and Lowes, for example, employees of color account for 24 percent of the total workforce—but 36 percent of jobs that pay least.
The findings are especially disappointing given the opportunities available for those who succeed. Certain areas of retail, such as home and garden stores and car dealers, offer living wages to workers—but both women and people of color are largely shut out of these sub-sectors. And management jobs across the industry provide wages and benefits that can allow workers to support themselves and their families—but they are closed off to many.
Reducing these disparities will take more than a bigger paycheck. Retailers must make a concerted effort to establish policies that ensure women and people of color are equally represented in management positions and develop more robust training programs for workers just starting out that give them the chance to advance.
Many retailers have training policies in place, but they can be far from meaningful. Wal-Mart, for example, recently announced it was raising wages to $10, dependent on completion of a six-month training program—an onerous requirement to earn a pitifully low wage that lags well behind the retail sector average. Real training can introduce employees to a range of job duties and responsibilities, incentivizing them to learn specialized skills that allow workers to pick up shifts, advance to higher-paying positions, and bring home a full-time paycheck. Sectors like finance long ago recognized internal barriers to promotion and created programs to promote equal opportunity. Why do we not expect the same of retail?
Retailers that lack such programs, from Walmart to Gristedes, have faced multi-million-dollar class-action lawsuits from women harmed by policies that prevented them from moving upward. Companies that fail to enact real advancement policies can expect similar pushback.
Moreover, workers at the lowest levels are doubly punished with erratic, last-minute scheduling that wreaks havoc on their lives. These schedules are particularly difficult for women. Unable to find childcare at the last minute or unwilling to miss bedtime every night, moms in retail are often deemed ineligible for promotion. Ironically, climbing up the job ladder is the only way to obtain stable hours that let working women and their families thrive.
As these practices have grown worse, many workers have started fighting back, demanding schedules that let them plan their lives, be there for their families and pursue education.
Facing outside pressure, policymakers have also stepped in and accelerated the pace of change. Retailers demonstrated how fast they could change last year when they received a letter from New York’s Attorney General into their use of on-call scheduling. Within months, major retailers like The Gap agreed to significant reforms—and a quarter of a million workers no longer had to put their life on hold for a shift.
State and city policymakers are also leading the way to raise workplace standards, pursuing policies to raise wages to $15 per hour, secure improved work schedules, and guarantee earned sick time. Creating higher-paying, more secure retail jobs will boost the economy, as the low-income retail workforce will likely use any additional earnings to cover basic expenses.
Yet if industry leaders want retail to mean good jobs, they must step up to the plate. Retail workers are the neighbors who shop in our local small businesses; parents trying to help their kids with homework; students working their way through college. It’s clear that retail jobs are holding too many women and people of color back. Rather than superficial fixes, we need bold solutions that move all retail workers forward and allow their families to thrive.
Would independent prosecutors make police shooting investigations fairer?
Would independent prosecutors make police shooting investigations fairer?
Critics say the close connections between prosecutors and local police leads to unjust decisions not to prosecute...
Critics say the close connections between prosecutors and local police leads to unjust decisions not to prosecute officers following officer-involved shootings.
The absence of indictments of police officers in shooting deaths – especially in high-profile cases like the deaths of Michael Brown in Ferguson and Tamir Rice in Cleveland – is raising questions about the fairness of using local prosecutors to investigate police officers with whom they may have close ties.
Critics say the close working relationships between local prosecutors and law enforcement injects a bias into investigations of shootings and other deaths at the hands of police. A solution, some suggest, would be to use independent prosecutors to investigate charges of wrong-doing by police officers.
The investigation into the death of Alton Sterling in Baton Rouge, La., offers one example of the closeness often seen between prosecutors and police departments. East Baton Rouge District Attorney Hillar Moore recused himself from the investigation, as he had worked closely with both police-officer parents of one of the officers involved in the shooting.
When a police officer is involved in a shooting, often the officer's own police department opens an internal investigation into the incident. In some cases, says Walter Katz, an independent police auditor of the city of San Jose, Calif., who has studied investigations of police use of lethal force, there is evidence that suggests the investigator's close relationship to the officer can lead to a lack of objectivity.
"That can be amplified when also the local prosecuting agency is the agency that reviews to decide whether or not to file criminal charges against a police officer," Mr. Katz tells The Christian Science Monitor. "In smaller jurisdictions ... they're going to have a close working relationship, so it creates the potential impression that it's not an arm's length review of the use of force."
The scarcity of indictments in a variety of high-profile shootings has increased scrutiny of officer prosecutions by local authorities. The prosecutors in both the Tamir Rice case in Cleveland and the Michael Brown case in Ferguson said they believed the officers involved had acted legally. Both were accused of not presenting a fair review of possible charges to the grand juries, as Ari Melber, MSNBC’s chief legal correspondent, explained in The Washington Post.
The problem of officer-involved shootings of blacks wouldn't be solved with independent prosecutors, Marbre Stahly-Butts, the deputy director of racial justice for the Center for Popular Democracy, a progressive advocacy organization, tells the Monitor. But "certainly accountability is an essential step that needs to happen," she says.
"We have the common sense that asking prosecutors who work everyday with police and depend on police for their cases, to then be objective in prosecuting them, is just not reasonable," Ms. Stahly-Butts says.
Local advocates are working to address these issues, Stahly-Butts says, especially in St. Louis and New York, where it has contributed to the passage of an executive order ensuring independent prosecutors.
On the federal level, Congressman Steve Cohen (D) of Tennessee is sponsoring a bill that would withhold federal funding from law enforcement unless the use of independent prosecutors to address instances of deadly force by police is instituted.
"There's no good reason not to have independent prosecutors," he tells the Monitor. "If you have the prosecutors who work with the law enforcement agency, which they do hand-in-glove to investigate cases and present cases, there is... an appearance of, if not outright, impropriety."
This can limit the citizenry's faith in the justice system, especially if no charges are brought against the officers, Representative Cohen says. On the flip side, when local prosecutors do bring charges, police can react negatively. After Baltimore State's Attorney Marilyn J. Mosby brought charges against officers in the death of Freddie Gray, some believe there was a work slowdown among Baltimore Police, which police officials denied, the Baltimore Sun reported. This hurts the entire community, Cohen says.
The bill, introduced in October 2015, has 80 co-sponsors as of Wednesday morning. Several states have made moves to implement independent prosecutors, including Connecticut and New York. Cohen says it is important to set a nation-wide standard, but House Judiciary Chairman Rep. Bob Goodlatte (R) of Virginia has not yet scheduled a hearing.
The bill is opposed by the National Association of Police Organizations, a law enforcement advocacy group. The organization's executive director, William Johnson, wrote a letter to Cohen expressing fears that officers would face "a great deal of pressure" if investigated by independent prosecutors, The Hill reported.
"There is a risk that decisions to prosecute would be made based on politics, not on the law and admissible evidence," Johnson wrote. "NAPO is concerned that an officer would be indicted, even if he/she did nothing wrong."
Johnson did not respond to requests for comment from the Monitor.
Cohen says local law enforcement may oppose his bill because they benefit from the current system and may be "getting home cooking".
"That's not what justice is about," he says. "All games should be on neutral courts."
By AIDAN QUIGLEY
Source
Legal Experts Pan US for Disappointing Human Rights Record
MSNBC - April 17, 2015, by Willa Frej -The United States has a record of human rights abuses despite its position as a...
MSNBC - April 17, 2015, by Willa Frej -The United States has a record of human rights abuses despite its position as a leading voice on human rights issues worldwide, legal experts said at a forum here on Friday, from water shutoffs in Detroit and widespread police brutality to Guantanamo Bay and drone strikes. The alleged abuses include asserting immunity from and not ratifying certain international rights laws and treaties, not joining the International Criminal Court, and supporting governments with abysmal rights records of their own.
Experts at the forum, which took place at Hunter College and previewed the country’s upcoming human rights review by the United Nations, acknowledged that the U.S. is not typically considered an egregious human rights abuser. But a simple look beneath the surface, panelists said, uncovers a staggering range of human rights issues:
Lack of healthcare. Despite the Affordable Care Act’s success in promoting healthcare access, affordable health insurance is not available in many states and not accessible to undocumented immigrants. In a state like Texas, where restrictions sharply limit access to reproductive health, Latina women are twice as likely to contract cervical cancer and 30% more likely to die from it, Katrina Anderson from the Center for Reproductive Rights said.
Water shutoffs. In Detroit, 14,000 households and 38,000 people were without water at the end of 2013, according to Rob Robinson of the National Economic & Social Rights Initiative, after the city implemented a program that shut off water in households that couldn’t pay their bills. More 80% of the city’s population is African American, he added, and 40% live below the poverty line.
Police brutality. The U.S. is now experiencing what it’s like to be both over-policed and under-protected, the Center for Popular Democracy’s Marbre Stahly-Butts argued. From the gripping videos capturing instances of police violence to the ensuing national outrage, there’s a new level of awareness around law enforcement abuses.
The response, which has largely centered around the implementation of body camera use by police, has felt inadequate to many, Stahly-Butts said, especially given the billions of dollars allocated to fighting terrorism overseas. “Why no war on racism?” she asked.
Gwen Carr, the mother of Eric Garner, who died as a result of a police chokehold last year, put a human face to the issue. “If there’s a crime, there should be accountability, whether you’re wearing blue jeans, a blue business suit, or a blue uniform,” she said. His tragedy, she said, was her motivation for speaking out on behalf of human rights, specifically urging police to abide by the same laws they enforce.
Indefinite detention and drone strikes. Despite an early push by President Obama to close Guantanamo Bay, 122 men remain in the prison without charge or trial. Fifty-six of these men have been cleared for transfer out of the prison, but just five transfers have taken place so far in 2015. In another counterterrorism offensive, the Obama administration has expanded the drone strike program in Pakistan and Yemen. The Center for Constitutional Rights’ Baher Azmy told the audience that the program has killed more than one thousand civilians since 2002.
Out-of-control surveillance. The U.S. government’s large-scale data dragnet, revealed by former NSA contractor Edward Snowden in 2013, is inconsistent with the universal Declaration of Human Rights, according to Faiza Patel, a co-director of the Brennan Center’s Liberty and National Security Program. The “collect-it-all” approach to surveillance eviscerates privacy, Patel argued, by allowing the government to listen in on Americans’ phone calls and read text, email and other online messages without sufficient oversight.
Other speakers were more hopeful. Catherina Albisa, a human rights lawyer with the National Economic & Social Rights Initiative, said the U.S. began as a fierce champion of human rights and described an “emerging landscape” of young people and protesters committed to economic justice through human rights. But government commitments to those rights have languished, Albisa argued, noting America’s “manufactured” water crisis and the closing of abortion clinics in Texas as evidence of deteriorating rights for U.S. residents.
Maria McFarland Sanchez-Moreno, co-director of Human Rights Watch’s U.S. Program, went further, suggesting the U.S. government undermines human rights standards. The U.S. is an active participant in the United Nation’s human rights review process, she explained, but the last set of recommendations resulted in zero domestic reforms. That lack of responsiveness could undermine the review’s credibility going forward, she warned.
The U.S. is set to undergo its second United Nations review in Geneva, Switzerland, on May 11.
Source
Aeropostale, Disney and other retailers pledge to stop on-call shift scheduling
Aeropostale, Disney and other retailers pledge to stop on-call shift scheduling
Imagine waking up and not knowing whether you were scheduled to work. Add on to that the chaotic burden of finding a...
Imagine waking up and not knowing whether you were scheduled to work. Add on to that the chaotic burden of finding a babysitter last minute.
These six companies — Aeropostale, Carter’s, David’s Tea, Disney, PacSun and Zumiez — all required their employees to call an hour or two before a scheduled shift to find out if they would be assigned to work that day.
But no more.
A coalition that included New York Attorney General Eric Schneiderman announced today that on-call shift scheduling has come to an end for those companies.
“Today, we are seeing retailers across America take steps to curb unnecessary and unfair on-call scheduling," said Carrie Gleason, director of the Fair Workweek Initiative at the Center for Popular Democracy. "We are especially glad that employers like Disney and Carter's, whose brands promote putting families first, will stop using on-call shifts that are notorious for wreaking havoc on families' balance and puts undue stress on children."
The announcement follows an inquiry by Schneiderman and eight other attorneys general to make sure that more than 50,000 workers nationwide will no longer be subject to such a "burdensome scheduling practice." The agreements with these six companies are the latest in a series of groundbreaking national agreements secured by the New York Attorney General’s office to end on-call scheduling at a number of major retailers.
Fifteen large retailers received a joint inquiry letter in April seeking information and documents related to their use of on-call shifts. Other than the six mentioned, the list included American Eagle, Payless, Coach, Forever 21, Vans, Justice Just for Girls, BCBG Maxazria, Tilly’s, Inc. and Uniqlo. The letter stated that unpredictable work schedules "take a toll on employees."
"Without the security of a definite work schedule, workers who must be 'on call' have difficulty making reliable childcare and elder-care arrangements, encounter obstacles in pursuing an education, and in general experience higher incidences of adverse health effects, overall stress, and strain on family life than workers who enjoy the stability of knowing their schedules reasonably in advance," the letter continued.
After discussions with the Schneiderman and his fellow AGs, none of the retailers will be using on-call shifts. Also, Disney and others have agreed to provide employees with their work schedules at least one week in advance of the start of the work week as a way to plan child care and other obligations ahead of time.
“People should not have to keep the day open, arrange for child care, and give up other opportunities without being compensated for their time,” said Schneiderman. “I am pleased that these companies have stepped up to the plate and agreed to stop using this unfair method of scheduling.”
The announcement marks a continuation of Schneiderman's mission, which began last year when Abercrombie & Fitch, Gap, J.Crew, Urban Outfitters, Pier 1 Imports, and L Brands — the parent company of Bath & Body Works and Victoria’s Secret — all agreed to end the practice of assigning on-call shifts.
New York State has a “call-in-pay” regulation that provides, “An employee who by request or permission of the employer reports for work on any day shall be paid for at least four hours, or the number of hours in the regularly scheduled shift, whichever is less, at the basic minimum hourly wage.” (12 NYCRR 142-2.3).
By Anthony Noto
Source
Seeking Better Legal Help for Immigrants
New York Times - January 28, 2013, by Kirk Semple - In the next several days, the deans of the nation’s top law schools...
New York Times - January 28, 2013, by Kirk Semple - In the next several days, the deans of the nation’s top law schools will be notified of a new job opportunity for their graduating students. Applicants must be high achievers who want to be part of a groundbreaking start-up, live in New York City, train with veteran lawyers and help create a new paradigm in immigration representation.
The call comes from the Immigrant Justice Corps, a new group that received a life-giving injection on Tuesday when the board of the Robin Hood Foundation, a poverty-fighting philanthropy, approved more than $1.3 million in funding.
The initiative is the long-nurtured idea of Robert A. Katzmann, the chief judge of the United States Court of Appeals for the Second Circuit, who has for years campaigned to redress a grave problem: the shortage of competent legal representation for immigrants, particularly those of modest means facing deportation.
The group’s plan is to recruit 25 graduating law students or recent graduates, immerse them in immigration law and then farm them out to community-based organizations. The young lawyers would commit to at least two years of service and as many as three.
“It’s a very simple concept, but it’s one that will not only ensure fairness for immigrants but will infuse our legal system with a generation of lawyers committed to serving those in need,” said Judge Katzmann, whose father was a refugee from Nazi Germany and whose maternal grandparents were immigrants from Russia.
The corps intends to hire a cadre of 25 lawyers every year, each earning a salary of $47,000 plus benefits. They will be assisted by recent college graduates with multilingual skills who will handle less complex cases, such as naturalization applications. The team will be supervised by a group of staff lawyers and advised by veteran lawyers.
Organizers estimate that by the third year, the corps will be handling nearly 15,000 cases a year, about double the number of immigration cases currently overseen by nonprofit organizations in New York City.
Robin Hood’s grants, while enough to get the initiative off the ground, will cover only a fraction of the project’s operating costs, which are expected to total about $4 million in the first year and about $7 million in each successive year.
But foundation officials and corps board members anticipate that they will be able to raise money from other foundations as well as philanthropists and the government.
During an interview this month, with the foundation’s approval nearly certain, Judge Katzmann turned emotional.
“The dream is about to come true, after lots of hopes and some disappointments,” he said, pausing for a moment. “I’m choked up as I’m thinking about it.”
In 2007, deeply concerned about the quality and availability of representation for immigrants, he sounded a clarion call and started a study group that investigated the issue’s impact on immigrant populations. Among its findings: Most detained immigrants in the New York region did not have counsel at the time their cases were completed.
Judge Katzmann and his allies have warned that, absent new programs, the problem would grow worse should Congress pass comprehensive immigration reform providing legal status for undocumented immigrants.
The study group spawned an initiative, the New York Immigrant Family Unity Project, which seeks to provide legal representation for every poor immigrant facing deportation in New York.
But Judge Katzmann pressed for more: a national army of young lawyers in the style of public service programs like AmeriCorps Vista or the Peace Corps.
Robin Hood heard about the idea last spring and agreed to fund a planning process. Organizers decided to limit the project to New York City, at least until it had sufficient funding to expand nationally.
Nisha Agarwal, the executive director of the Immigrant Justice Corps, views the pilot project as something that could be replicated in other cities with large immigrant populations, and as a kind of feeder system for legal talent. “Maybe these fellows will leave these fellowships and go elsewhere in the country,” she said, “and be leaders in immigrant representation.”
Source
Calling all mayors: This is what police reform should look like
The coverage of police brutality over the last year, both in the mass media and through civilian video footage, has...
The coverage of police brutality over the last year, both in the mass media and through civilian video footage, has been a wake-up call for many Americans, shining a spotlight on what many communities of color already knew—our policing and criminal justice systems are infused with systemic racial bias.
Thanks to the relentless work of community advocates, the aggressive police tactics that routinely threaten the lives and safety of people of color have garnered unprecedented national attention.
This attention, however, is no guarantee of real change. In fact, one year after Michael Brown’s killing, police shootings and protests continue in Ferguson, Missouri.
Despite the growing body of evidence on the nature and extent of the problem, the path towards meaningful reform has not been clear, leaving many local leaders at a loss as to how to move forward.
But the actions of local government—mayors in particular—couldn’t be more important. Channeling the current momentum into transformative change will require leadership across local, regional, and federal levels, but mayors are in a unique position to be the vanguard, taking trailblazing steps towards transforming how police departments interact with their communities.
While some have bemoaned a lack of consensus around a roadmap to police reform, those on the ground—community members, organizers, elected officials, police officers and chiefs—raise the concepts of accountability, oversight, community respect, and limiting the scope of policing again and again. Our organizations spent close to a year collecting success stories and insight from communities across the country, from Los Angeles to Cleveland to Baltimore, to create a toolkit for advocates working to end police violence. We identified several common principles that all mayors can—and should—put in place to establish sustainable, community-centered and controlled policing.
Several of these principles have received national attention, such as demilitarizing police departments, providing police recruits with training in racial bias, de-escalation, and conflict mediation, and making police more accountable to communities through civilian oversight bodies and independent investigations of alleged police misconduct. Thanks to the commitment of a proactive mayor, this kind of community accountability is already being put in place in Newark, which just approved a progressive Civilian Complaint Review Board that provides landmark community oversight in a city with a long history of police brutality.
Mayors should also institute policies that scale back over-policing, especially for minor ‘broken-windows’ offenses that criminalize too many communities and burden already-impoverished households with exorbitant fees and fines. Ferguson’s court system became an infamous example, but routine targeting of and profiteering off of low-income communities of color is pervasive throughout the country. Local governments must not only fix broken municipal court systems but should also scale back the tide of criminalization through decriminalizing offenses that have nothing to do with public safety. With the strong support of the mayor, the Minneapolis City Council recently decriminalized two non-violent offenses—spitting and lurking—which had been used to racially profile.
The last piece of the puzzle may be politically controversial, but is absolutely fundamental to transforming our broken systems of policing and criminal justice and supporting safer and stronger communities. Local governments cannot continue to pour ever-increasing sums into city police budgets, while ignoring the most basic needs of residents living in over-policed areas: better schools, job opportunities, access to healthy food, affordable housing, and public transportation. Neighborhoods most afflicted by aggressive policing and high incarceration rates also have high levels of poverty, unemployment, and racial segregation. In many urban neighborhoods where millions of dollars are spent to lock up residents, the education infrastructure and larger social net are completely crippled. Investments to build up vulnerable communities need to be viewed as part of a comprehensive public safety strategy.
Baltimore mayor Stephanie Rawlings-Blake called for a Department of Justice investigation of the city’s police department only after tragedy struck and the community rose up in protest. It is time for the mayors of this country to instead take a proactive Mayoral Pledge to End Police Violenceto heal the wounds of broken policing and criminal justice policies before another devastating police killing.
Blackwell is the founder and CEO of PolicyLink. Friedman is the co-executive director of the Center for Popular Democracy.
Source: The Hill
Why It's a Big Deal Hillary Clinton Plans to Shake Up the Fed
Why It's a Big Deal Hillary Clinton Plans to Shake Up the Fed
Hillary Clinton is taking on the United States Federal Reserve System, but in a wonky, bottom's-up way that shows her...
Hillary Clinton is taking on the United States Federal Reserve System, but in a wonky, bottom's-up way that shows her understanding of a complex and widely misunderstood organization. This is not "End the Fed" or even "audit the Fed" — she wants to rebuild it from its fundamentals at the regional level.
To paraphrase Mitt Romney, the Federal Reserve is people, my friend. Hillary Clinton's recent proposal to change the roster of Fed officials who ultimately make monetary policy and regulatory decisions might be the most effective Fed-reform idea since the financial crisis. Generally, the public pays attention to little more than the face of the organization — the Fed's chairperson, currently Janet Yellen — who announces and explains the Fed's decisions. But beneath Yellen functions an intricate and influential bureaucracy that's dominated by interests from the financial sector, the vast majority of them white men, and may well be blind to the reality of a vast majority of Americans.
The Federal Reserve was set up in 1917, in the wake of a financial crisis, as a private national bank that could serve as lender of last resort to other banks. If a bank needed money to make good on deposits, it could go to the Fed for a short-term loan. It was, since its inception, a bankers' institution, run for banks, by banks. But its role has clearly evolved as credit markets have developed and as the Fed's mandate was changed to pursue price stability (low inflation) and full employment at the same time, while helping to regulate the sector for which it also serves as lender.
As the Fed's mission has expanded, its governance has not. The Fed is run by a seven-member board in Washington, D.C., and a dozen regional bank presidents based in financial centers throughout the country (New York, St. Louis, Kansas City and Cleveland, among others). While the crew in D.C. is selected by the president and vetted by Congress, the regional bank presidents are chosen by the financial industry and tend to be either bankers or career Fed employees. Of the 12 bank presidents, two are women and only one is not white.
New York's regional president is Willian C. Dudley, previously a Goldman Sachs managing director. Robert S. Kaplan of Dallas was a former vice chairman at Goldman. Neel Kashkari, a known financial reformer, is nonetheless a former employee of PIMCO, one of the world's largest asset managers and a subsidiary of German financial behemoth Allianz. Dennis P. Lockhart, president of the Federal Reserve Bank of Atlanta is a former Citigroup executive.
Clinton's proposal would remove bankers from the regional boards of directors. Those boards choose the regional presidents and generate most of the information and perspective that the Federal Reserve governors use to set monetary policy. Clinton clearly understands how the Fed functions. Donald Trump has said he would not reappoint Janet Yellen as chair. Fine. But appointing the Fed chair is merely the most high-profile action a president can take in this regard. It doesn't change the system, and the Fed is known as the Federal Reserve System for a reason.
This is Clinton at her best – she knows how the government works. The region Federal Reserve boards do not get a lot of press. Most people do not know that they are staffed with chief executives from Morgan Stanley, Comerica, KeyCorp and private-equity firms like Silver Lake, and if they do know it, they do not understand its importance.
The Fed is generally a topic of political bluster. "I appointed him and he disappointed me," complained George H.W. Bush about Alan Greenspan, when the Fed chair refused to cut interest rates in the face of a recession that probably cost Bush his re-election in 1992. Before that, Ronald Reagan had to endure Chairman Paul Volcker raising interest rates so high in an effort to combat inflation that out-of-work construction workers were mailing bricks and wooden beams to the Fed in protest.
The idea that the Fed often acts contrary to the interests of working people is not new, but aside from requiring the Fed to pursue full employment in addition to price stability in 1977, presidents who are unhappy with the Fed have done little more than complain. Even after Greenspan disappointed Bush, Bill Clinton reappointed him to the post. When Greenspan retired, Ben Bernanke, an intellectual heir, took the helm. When he retired, Yellen, also an intellectual heir, took over. The power to appoint the Fed chair and governors is not, clearly, the power to change things.
Clinton is digging deeper. Changing the roster of the regional boards will hopefully help more accurate economic information trickle up to the chairperson and the federal governors. Perhaps, even, a labor representative or somebody with closer ties to the common American experience could become a regional bank president.
In her quiet way, tinkering with the inner workings of a near-century old quasi-government institution that is arcane to most, Clinton has a chance to achieve radical, lasting financial reform.
BY MICHAEL MAIELLO
Source
For Safer City Schools, More Counselors, Fewer Cops
Our city is facing a tough question: how do we make schools safer? New York City schools are on the precipice of...
Our city is facing a tough question: how do we make schools safer?
New York City schools are on the precipice of returning to ineffective policies and practices like more policing and metal detectors that have harmed the students who are most in need. The city could and should instead take this opportunity to move further towards school culture and climate priorities that are designed to meet the social, emotional, and mental health needs of young people.
Read the full article here.
4 days ago
4 days ago