AFL-CIO boss calls for battle against Bush plan

David Kihara

Wednesday, March 2, 2005 | 8:53 a.m.

AFL-CIO President John Sweeney on Tuesday strongly denounced the Bush administration's proposal to privatize Social Security and vowed to rally all union affiliates to work against the plan in what Sweeney described as the "largest mobilization effort ever."

The AFL-CIO, which had almost 13 million members across the country in 2004, is the largest union in America.

Sweeney was joined by Gerald McEntee, president of the American Federation of State, County and Municipal Employees (AFSCME) and Leo Gerald, president of the United Steel Workers of America, in his opposition to the Bush proposal.

All three spoke during a joint press conference at Bally's during the AFL-CIO's winter executive council meeting.

"Nothing would be a bigger blow to workers than the privatization of Social Security," Sweeney said.

The AFL-CIO has already started organizing labor groups and affiliates across the country to ensure that the Bush plan does not succeed, he said.

The AFL-CIO is currently distributing work-site leaflets to its members, conducting massive phone-calling efforts and pushing an online petition criticizing the Social Security plan.

Already, 25,000 union members have signed up with the union to provide more information about the plan to union members, said McEntee.

"This is a dangerous and irresponsible proposal," said McEntee, who also serves as the chair of the AFL-CIO's political committee.

McEntee equated the effort to block the Bush Social Security proposal to the polarizing 2004 election, and added that the day after the Social Security plan is scrapped is the day that Bush will be considered officially a lame-duck president.

He added that the labor organizations would not accept any Bush compromise on the Social Security plans.

Under Bush's plan, Americans under 55 could invest 4 percent of their Social Security into "personal retirement accounts" that could be used to invest into stocks or bonds. In exchange, the individual participant would receive a smaller portion of the guaranteed benefits but could pass any money in the account onto family or friends when they die.

Bush is currently lobbying Congress and is meeting with staunch opposition from Democrats and a tepid response from some Republicans.

Republicans who are not wary of the plan say that it will allow seniors to get a better return on their social security investment and could eventually pass on any money to their survivors.

Danny Diaz, spokesman for the Republican National Committee, said the Republican party is continuing discussions on Social Security reform to ensure that "America keeps its promise to seniors," according to the Associated Press. Diaz disputed that social security is a partisan issue, rather it is a concern that will affect all Americans, the Associated Press reported.

Democrats claim the Social Security proposal would dismantle the current social Security provisions and greatly reduce the amount of retirement money available to all seniors. Democrats have been joined by the AARP as well as a multitude of labor organizations.

Rep. Shelley Berkley, D-Nev., on Tuesday stated that young workers will likely be hit the hardest if Congress approves the plan because they will ultimately face a shortage of funds in the Social Security coffers when money is diverted to private accounts.

"Nevadans are smart enough to know that not everyone can be a winner on Wall Street, and they are wary of the president's proposal and its $5 trillion price tag," she said in a statement.

"We should be protecting the only secure source of retirement funding that many American workers have today, not gamble our economic security on the ups and downs of the market."

"Our people understand the systematic attack" against seniors and Social Security, said Gerard, who also serves as the chairman of the AFL-CIO's legislative committee.

The AFL-CIO on Tuesday also came out in strong opposition to the Central American Free Trade Agreement, which would open up trade between America and Guatemala, El Salvador, Honduras, Nicaragua, Costa Rica and the Dominican Republic.

The free-trade agreement, which has not been ratified, would be similar to the North American Free Trade Agreement and would liberalize trade between the United States and the Central American countries.

The AFL-CIO said the potential trade agreement would send jobs from the United States elsewhere and would take away workers' rights in other countries.