SACRAMENTO, Calif. (AP) — California won’t be giving unemployment checks to workers on strike, with Democratic Gov. Gavin Newsom vetoing a bill Saturday that had been inspired by high-profile…
Regulation is coercive (and good). Businesses aren’t maintaining safety standards and supporting their out-of-work employees out of pure altruism. The real objection for businesses is not that unemployment rates might be marginally higher (people are just regular unemployed way more often than they’re striking), it’s that this increases worker power.
But when you’re paying striking workers to strike, you’re incentivizing them to never compromise as long as the benefits last, which would be up to 26 weeks. Besides being unable to afford it, the state would start to see longer strikes and businesses moving out. I feel dirty for saying it, but this time Newsom was right.
My point is that it’s coercive and will drive businesses out of the state.
Regulation is coercive (and good). Businesses aren’t maintaining safety standards and supporting their out-of-work employees out of pure altruism. The real objection for businesses is not that unemployment rates might be marginally higher (people are just regular unemployed way more often than they’re striking), it’s that this increases worker power.
But when you’re paying striking workers to strike, you’re incentivizing them to never compromise as long as the benefits last, which would be up to 26 weeks. Besides being unable to afford it, the state would start to see longer strikes and businesses moving out. I feel dirty for saying it, but this time Newsom was right.