ORGANIZED LABOR: Lessons from a Spring of Discontent 2011 ACCE Convention Los Angeles, CA Tim Sheehy, President Metropolitan Milwaukee Association of Commerce

Wisconsin’s Bi-Partisan Structural Deficit $ in MILLIONS

 $3.6B increase in spending  $3.0B taxes & fees  $2.0B one-time federal stimulus = $2.5B DEFICIT Doyle BudgetWalker Budget = $292M SURPLUS  $1.1B increase in spending  $300M (reduction CB)  $23.6M in net tax cuts “Balanced and Fair?”

 Limits collective bargaining to wages  Caps local property tax increases  Reduces state aid to local governments and school districts What’s at Stake?

 Pension contribution 5.8% of salary  12% of health care premium contribution  Free to choose health insurer (local School Board)  Tools for education reform (seniority, hours, school assignment)  Provides fiscal stability What’s at Stake?

 Governor Walker introduces collective bargaining change (Feb 22)  Senate Democrats leave Wisconsin (Feb 17)  Legislature passes SB14 / Gov signs bill (March 10)  Senate Democrats return from Illinois (March 13)  Lawsuit filed to block implementation (March 16)  Supreme Court election (April 2)  Recount settled (May 23)  Supreme Court upholds law (June 14)  Law takes effect (June 29) Timeline RECALL

Lessons from the Spring of Discontent  Deficits are divisive  A Fiscal Note  Changing reality or perception We have awakened a sleeping giant Greece in the rear view mirror Will CEO rankings lead to more jobs?

Keeping the Chamber in the Center Lane  Rigor  Relevance  Relationship