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Union battles at Amazon and Starbucks are hot news – which can only be good for the labor movement

Union membership has dwindled over the past five decades. But could a flurry of positive headlines over union drives help reverse this trend?

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A fork in the road for organized labor? Patrick Fallon/AFP via Getty Images

Union drives have suddenly become hot news.

In a closely watched Nov. 29, 2021, decision, the National Labor Relations Board ruled that Amazon had committed serious violations of federal labor law during a union campaign at a warehouse in Bessemer, Alabama. In the decision, the NLRB attacked Amazon’s “flagrant disregard” for election rules, saying it “essentially hijacked the process.” The online retail giant won the union vote, held earlier this year, by a 2-1 margin but will now be forced into a do-over election.

Meanwhile in Buffalo, New York, baristas at Starbucks voted to unionize on Dec. 9, making them the coffee chain’s only unionized workforce in the United States in what has been touted as a “watershed” moment.

As a labor scholar who has tracked unionization efforts for 20 years, I believe we could be on the cusp of a new labor relations order, spurred in large part by increased media and public interest generated by these high-profile campaigns.

The organizing drive at an Amazon warehouse in Alabama by the Retail, Wholesale Department Store Union from January to March 2021 was one of the most closely watched union campaigns in decades. It generated media coverage of Amazon’s anti-union behavior and even arguably helped revive the so-called “labor beat” in newsrooms after years of languishing.

The NLRB decision provided negative headlines for Amazon. “Amazon made ‘free and fair’ Bessemer union election ‘impossible,’ labor official rules,” ran the headline of the Alabama news site Al.com. The Jeff Bezos-owned Washington Post ran with: “Labor board calls for revote at Amazon warehouse in Alabama in major victory for union.”

Even if it were to win the second ballot without violating the law, Amazon is highly sensitive about negative media, and company officials will likely loathe any coverage of another high-profile union election.

Labor rights go mainstream

The NLRB order itself was arguably less interesting – despite its huge potential significance at Amazon – than the fact that it resulted in lengthy articles in several major media outlets.

Over the past year or so, organized labor has seemingly entered the mainstream again. It follows decades of apparent dwindling interest in union drives in the public sphere. A Google Ngram – which charts the use of terms in publications – shows a decline in the appearance of “unionization” and “union drive” from the late 1970s to the late 2010s.

Labor organizing terms have dwindled in publications.

This decline correlates with the growing weakness of unions over that period: Unions represent only 10.8% of American workers today, down from 20% four decades ago.

Into this decline has come a recent wave of positive press for unions. It corresponds to almost record-high rates of public approval in unions. In fact, at 68%, support for unions is at its highest level since 1965. In addition, most Americans think union decline has hurt working people.

Labor law reform

The issue of labor rights has seemingly garnered the nation’s attention like nothing I have seen in my lifetime or even in the past half-century. And growing awareness of the issue could have an impact on efforts to improve the legislative environment for unionizing.

A recent poll found that 59% of respondents supported strengthening labor laws through proposals such as penalizing companies that retaliate against workers trying to unionize and eliminating “right-to-work” laws that allow employees to benefit from union contracts without paying dues.

In the past, lack of public awareness has helped torpedo labor law reform campaigns. In 2009-2010, during the campaign for the Employee Free Choice Act, it was rare to encounter anyone without a professional labor interest who had ever heard of the legislation, which attracted only lackluster support from the Obama White House and died in the Senate.

At present, the Biden-supported legislation aimed at strengthening the right to choose a union, the Protecting the Right to Organize Act, is firmly on the back burner despite support from a majority of voters.

In the face of opposition from Republicans and three Democrats, the legislation is seen as a long shot in the Senate, which historically has been the graveyard for labor reforms. The PRO Act might similarly die there, although pro-union advocates hope that meaningful financial penalties for employer violations will at least make it into the $2 trillion Build Back Better bill.

For the PRO Act to become a live proposition, it would likely need to convert its popular support into pressure on members of Congress.

This is the only way, in my view, to achieve meaningful change and make unionizing easier.

Headlines that focus on the coercive power that big corporations like Amazon exert over workers participating in elections could go some way to bolster support for union drives.

Labor is hot

Unions are set to continue to be a talking point in the national media with the Starbucks vote.

The coffee chain had been engaged in what was been described as “aggressive” anti-union tactics ahead of the vote, including forcing employees to attend mandatory anti-union meetings. Although it involves only a few dozen workers, the Workers United-SEIU union victory at Starbucks in Buffalo is seen as one of the most important labor organizing victories in several decades.

Corporate America has employed brutal anti-union campaigns for decades. What has changed, from my perspective, is that such activities are now seen as newsworthy – at least when the companies involved are household names.

This coverage provides a stark contrast with past media coverage, which often depicted unionized workers as “overpaid, greedy and undeserving of their wealth.”

In the words of a New York Times article on Nov. 7, 2021, the “media loves labor now.”

[The Conversation’s Politics + Society editors pick need-to-know stories. Sign up for Politics Weekly.]

Talking union

In addition to Amazon and Starbucks, in recent months an expanding number and variety of employees have been talking about forming unions at their own workplaces. In the past few months alone we have seen media, tech and museum workers form unions and either stage or threaten strikes.

Coverage of the union campaign at Amazon is one reason talk of unionizing is seemingly spreading. But there are other factors, including the COVID-19 pandemic, which has spurred numerous labor fights – big and small – and safety struggles by Amazon warehouse workers and Amazon-owned Whole Foods workers. Meanwhile, the advent of social media has made it easier to create buzz around pro-union campaigns, such as the recent “#Striketober” hashtag campaign.

Organizing, it appears, can be contagious – under the right conditions.

Seizing the moment?

It’s not yet clear that unions and their allies can capitalize on this apparent newfound public attention and convert it into increased membership levels or changes in legislation.

But I believe we are at a unique moment in U.S. labor history. The question is, will unions take advantage of the increased media attention – and the negative headlines for high-profile companies attempting to quash workers’ rights – and spur a new era of labor activism?

John Logan does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.

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Analyst reviews Apple stock price target amid challenges

Here’s what could happen to Apple shares next.

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They said it was bound to happen.

It was Jan. 11, 2024 when software giant Microsoft  (MSFT)  briefly passed Apple  (AAPL)  as the most valuable company in the world.

Microsoft's stock closed 0.5% higher, giving it a market valuation of $2.859 trillion. 

It rose as much as 2% during the session and the company was briefly worth $2.903 trillion. Apple closed 0.3% lower, giving the company a market capitalization of $2.886 trillion. 

"It was inevitable that Microsoft would overtake Apple since Microsoft is growing faster and has more to benefit from the generative AI revolution," D.A. Davidson analyst Gil Luria said at the time, according to Reuters.

The two tech titans have jostled for top spot over the years and Microsoft was ahead at last check, with a market cap of $3.085 trillion, compared with Apple's value of $2.684 trillion.

Analysts noted that Apple had been dealing with weakening demand, including for the iPhone, the company’s main source of revenue. 

Demand in China, a major market, has slumped as the country's economy makes a slow recovery from the pandemic and competition from Huawei.

Sales in China of Apple's iPhone fell by 24% in the first six weeks of 2024 compared with a year earlier, according to research firm Counterpoint, as the company contended with stiff competition from a resurgent Huawei "while getting squeezed in the middle on aggressive pricing from the likes of OPPO, vivo and Xiaomi," said senior Analyst Mengmeng Zhang.

“Although the iPhone 15 is a great device, it has no significant upgrades from the previous version, so consumers feel fine holding on to the older-generation iPhones for now," he said.

A man scrolling through Netflix on an Apple iPad Pro. Photo by Phil Barker/Future Publishing via Getty Images.

Future Publishing/Getty Images

Big plans for China

Counterpoint said that the first six weeks of 2023 saw abnormally high numbers with significant unit sales being deferred from December 2022 due to production issues.

Apple is planning to open its eighth store in Shanghai – and its 47th across China – on March 21.

Related: Tech News Now: OpenAI says Musk contract 'never existed', Xiaomi's EV, and more

The company also plans to expand its research centre in Shanghai to support all of its product lines and open a new lab in southern tech hub Shenzhen later this year, according to the South China Morning Post.

Meanwhile, over in Europe, Apple announced changes to comply with the European Union's Digital Markets Act (DMA), which went into effect last week, Reuters reported on March 12.

Beginning this spring, software developers operating in Europe will be able to distribute apps to EU customers directly from their own websites instead of through the App Store.

"To reflect the DMA’s changes, users in the EU can install apps from alternative app marketplaces in iOS 17.4 and later," Apple said on its website, referring to the software platform that runs iPhones and iPads. 

"Users will be able to download an alternative marketplace app from the marketplace developer’s website," the company said.

Apple has also said it will appeal a $2 billion EU antitrust fine for thwarting competition from Spotify  (SPOT)  and other music streaming rivals via restrictions on the App Store.

The company's shares have suffered amid all this upheaval, but some analysts still see good things in Apple's future.

Bank of America Securities confirmed its positive stance on Apple, maintaining a buy rating with a steady price target of $225, according to Investing.com

The firm's analysis highlighted Apple's pricing strategy evolution since the introduction of the first iPhone in 2007, with initial prices set at $499 for the 4GB model and $599 for the 8GB model.

BofA said that Apple has consistently launched new iPhone models, including the Pro/Pro Max versions, to target the premium market. 

Analyst says Apple selloff 'overdone'

Concurrently, prices for previous models are typically reduced by about $100 with each new release. 

This strategy, coupled with installment plans from Apple and carriers, has contributed to the iPhone's installed base reaching a record 1.2 billion in 2023, the firm said.

More Tech Stocks:

Apple has effectively shifted its sales mix toward higher-value units despite experiencing slower unit sales, BofA said.

This trend is expected to persist and could help mitigate potential unit sales weaknesses, particularly in China. 

BofA also noted Apple's dominance in the high-end market, maintaining a market share of over 90% in the $1,000 and above price band for the past three years.

The firm also cited the anticipation of a multi-year iPhone cycle propelled by next-generation AI technology, robust services growth, and the potential for margin expansion.

On Monday, Evercore ISI analysts said they believed that the sell-off in the iPhone maker’s shares may be “overdone.”

The firm said that investors' growing preference for AI-focused stocks like Nvidia  (NVDA)  has led to a reallocation of funds away from Apple. 

In addition, Evercore said concerns over weakening demand in China, where Apple may be losing market share in the smartphone segment, have affected investor sentiment.

And then ongoing regulatory issues continue to have an impact on investor confidence in the world's second-biggest company.

“We think the sell-off is rather overdone, while we suspect there is strong valuation support at current levels to down 10%, there are three distinct drivers that could unlock upside on the stock from here – a) Cap allocation, b) AI inferencing, and c) Risk-off/defensive shift," the firm said in a research note.

Related: Veteran fund manager picks favorite stocks for 2024

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Major typhoid fever surveillance study in sub-Saharan Africa indicates need for the introduction of typhoid conjugate vaccines in endemic countries

There is a high burden of typhoid fever in sub-Saharan African countries, according to a new study published today in The Lancet Global Health. This high…

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There is a high burden of typhoid fever in sub-Saharan African countries, according to a new study published today in The Lancet Global Health. This high burden combined with the threat of typhoid strains resistant to antibiotic treatment calls for stronger prevention strategies, including the use and implementation of typhoid conjugate vaccines (TCVs) in endemic settings along with improvements in access to safe water, sanitation, and hygiene.

Credit: IVI

There is a high burden of typhoid fever in sub-Saharan African countries, according to a new study published today in The Lancet Global Health. This high burden combined with the threat of typhoid strains resistant to antibiotic treatment calls for stronger prevention strategies, including the use and implementation of typhoid conjugate vaccines (TCVs) in endemic settings along with improvements in access to safe water, sanitation, and hygiene.

 

The findings from this 4-year study, the Severe Typhoid in Africa (SETA) program, offers new typhoid fever burden estimates from six countries: Burkina Faso, Democratic Republic of the Congo (DRC), Ethiopia, Ghana, Madagascar, and Nigeria, with four countries recording more than 100 cases for every 100,000 person-years of observation, which is considered a high burden. The highest incidence of typhoid was found in DRC with 315 cases per 100,000 people while children between 2-14 years of age were shown to be at highest risk across all 25 study sites.

 

There are an estimated 12.5 to 16.3 million cases of typhoid every year with 140,000 deaths. However, with generic symptoms such as fever, fatigue, and abdominal pain, and the need for blood culture sampling to make a definitive diagnosis, it is difficult for governments to capture the true burden of typhoid in their countries.

 

“Our goal through SETA was to address these gaps in typhoid disease burden data,” said lead author Dr. Florian Marks, Deputy Director General of the International Vaccine Institute (IVI). “Our estimates indicate that introduction of TCV in endemic settings would go to lengths in protecting communities, especially school-aged children, against this potentially deadly—but preventable—disease.”

 

In addition to disease incidence, this study also showed that the emergence of antimicrobial resistance (AMR) in Salmonella Typhi, the bacteria that causes typhoid fever, has led to more reliance beyond the traditional first line of antibiotic treatment. If left untreated, severe cases of the disease can lead to intestinal perforation and even death. This suggests that prevention through vaccination may play a critical role in not only protecting against typhoid fever but reducing the spread of drug-resistant strains of the bacteria.

 

There are two TCVs prequalified by the World Health Organization (WHO) and available through Gavi, the Vaccine Alliance. In February 2024, IVI and SK bioscience announced that a third TCV, SKYTyphoid™, also achieved WHO PQ, paving the way for public procurement and increasing the global supply.

 

Alongside the SETA disease burden study, IVI has been working with colleagues in three African countries to show the real-world impact of TCV vaccination. These studies include a cluster-randomized trial in Agogo, Ghana and two effectiveness studies following mass vaccination in Kisantu, DRC and Imerintsiatosika, Madagascar.

 

Dr. Birkneh Tilahun Tadesse, Associate Director General at IVI and Head of the Real-World Evidence Department, explains, “Through these vaccine effectiveness studies, we aim to show the full public health value of TCV in settings that are directly impacted by a high burden of typhoid fever.” He adds, “Our final objective of course is to eliminate typhoid or to at least reduce the burden to low incidence levels, and that’s what we are attempting in Fiji with an island-wide vaccination campaign.”

 

As more countries in typhoid endemic countries, namely in sub-Saharan Africa and South Asia, consider TCV in national immunization programs, these data will help inform evidence-based policy decisions around typhoid prevention and control.

 

###

 

About the International Vaccine Institute (IVI)
The International Vaccine Institute (IVI) is a non-profit international organization established in 1997 at the initiative of the United Nations Development Programme with a mission to discover, develop, and deliver safe, effective, and affordable vaccines for global health.

IVI’s current portfolio includes vaccines at all stages of pre-clinical and clinical development for infectious diseases that disproportionately affect low- and middle-income countries, such as cholera, typhoid, chikungunya, shigella, salmonella, schistosomiasis, hepatitis E, HPV, COVID-19, and more. IVI developed the world’s first low-cost oral cholera vaccine, pre-qualified by the World Health Organization (WHO) and developed a new-generation typhoid conjugate vaccine that is recently pre-qualified by WHO.

IVI is headquartered in Seoul, Republic of Korea with a Europe Regional Office in Sweden, a Country Office in Austria, and Collaborating Centers in Ghana, Ethiopia, and Madagascar. 39 countries and the WHO are members of IVI, and the governments of the Republic of Korea, Sweden, India, Finland, and Thailand provide state funding. For more information, please visit https://www.ivi.int.

 

CONTACT

Aerie Em, Global Communications & Advocacy Manager
+82 2 881 1386 | aerie.em@ivi.int


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US Spent More Than Double What It Collected In February, As 2024 Deficit Is Second Highest Ever… And Debt Explodes

US Spent More Than Double What It Collected In February, As 2024 Deficit Is Second Highest Ever… And Debt Explodes

Earlier today, CNBC’s…

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US Spent More Than Double What It Collected In February, As 2024 Deficit Is Second Highest Ever... And Debt Explodes

Earlier today, CNBC's Brian Sullivan took a horse dose of Red Pills when, about six months after our readers, he learned that the US is issuing $1 trillion in debt every 100 days, which prompted him to rage tweet, (or rageX, not sure what the proper term is here) the following:

We’ve added 60% to national debt since 2018. Germany - a country with major economic woes - added ‘just’ 32%.   

Maybe it will never matter.   Maybe MMT is real.   Maybe we just cancel or inflate it out. Maybe career real estate borrowers or career politicians aren’t the answer.

I have no idea.  Only time will tell.   But it’s going to be fascinating to watch it play out.

He is right: it will be fascinating, and the latest budget deficit data simply confirmed that the day of reckoning will come very soon, certainly sooner than the two years that One River's Eric Peters predicted this weekend for the coming "US debt sustainability crisis."

According to the US Treasury, in February, the US collected $271 billion in various tax receipts, and spent $567 billion, more than double what it collected.

The two charts below show the divergence in US tax receipts which have flatlined (on a trailing 6M basis) since the covid pandemic in 2020 (with occasional stimmy-driven surges)...

... and spending which is about 50% higher compared to where it was in 2020.

The end result is that in February, the budget deficit rose to $296.3 billion, up 12.9% from a year prior, and the second highest February deficit on record.

And the punchline: on a cumulative basis, the budget deficit in fiscal 2024 which began on October 1, 2023 is now $828 billion, the second largest cumulative deficit through February on record, surpassed only by the peak covid year of 2021.

But wait there's more: because in a world where the US is spending more than twice what it is collecting, the endgame is clear: debt collapse, and while it won't be tomorrow, or the week after, it is coming... and it's also why the US is now selling $1 trillion in debt every 100 days just to keep operating (and absorbing all those millions of illegal immigrants who will keep voting democrat to preserve the socialist system of the US, so beloved by the Soros clan).

And it gets even worse, because we are now in the ponzi finance stage of the Minsky cycle, with total interest on the debt annualizing well above $1 trillion, and rising every day

... having already surpassed total US defense spending and soon to surpass total health spending and, finally all social security spending, the largest spending category of all, which means that US debt will now rise exponentially higher until the inevitable moment when the US dollar loses its reserve status and it all comes crashing down.

We conclude with another observation by CNBC's Brian Sullivan, who quotes an email by a DC strategist...

.. which lays out the proposed Biden budget as follows:

The budget deficit will growth another $16 TRILLION over next 10 years. Thats *with* the proposed massive tax hikes.

Without them the deficit will grow $19 trillion.

That's why you will hear the "deficit is being reduced by $3 trillion" over the decade.

No family budget or business could exist with this kind of math.

Of course, in the long run, neither can the US... and since neither party will ever cut the spending which everyone by now is so addicted to, the best anyone can do is start planning for the endgame.

Tyler Durden Tue, 03/12/2024 - 18:40

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