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"They're Bankrupting Us!"

And 20 Other Myths about Unions

Author: Bill Fletcher Jr.

This highly readable and accessible book unpacks the twenty-one most common myths and misconceptions about labor in the United States.

From Wisconsin to Washington, DC, the claims are made: unions are responsible for budget deficits, and their members are overpaid and enjoy cushy benefits. The only way to save the American economy, pundits claim, is to weaken the labor movement, strip workers of collective bargaining rights, and champion private industry. In “They’re Bankrupting Us!“: And 20 Other Myths about Unions, labor leader Bill Fletcher Jr. makes sense of this debate as he unpacks the twenty-one myths most often cited by anti-union propagandists. Drawing on his experiences as a longtime labor activist and organizer, Fletcher traces the historical roots of these myths and provides an honest assessment of the missteps of the labor movement. He reveals many of labor’s significant contributions, such as establishing the forty-hour work week and minimum wage, guaranteeing safe workplaces, and fighting for equity within the workforce. This timely, accessible, “warts and all” book argues, ultimately, that unions are necessary for democracy and ensure economic and social justice for all people.
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“Read Bill Fletcher’s important and timely book so we can reassert the humanity of working people and help them stand against the larger societal forces that are trying to crush them.” —Danny Glover, actor/activist

“Isn’t it curious that the loudest, most venomous voices against unions are the CEOs and Wall Streeters who profit by keeping America’s working families down and unions out? In this powerful book, Bill Fletcher exposes their self-serving lies, and points out the obvious: unions work. Not only do they advance our economy, but also our democracy and our nation’s historic pursuit of social justice.”—Jim Hightower, author, radio commentator, public speaker, and editor of The Hightower Lowdown

“Even before I read Bill Fletcher’s new book, I knew it was a ‘must read.’ Having read it now, my instincts have been confirmed. Bill Fletcher is a brilliant thinker in Ella Baker’s tradition. He is an organizer extraordinaire who writes from thirty years experience in labor and freedom movements. “They’re Bankrupting Us!” speaks to a very broad audience about the diversity, complexity and vitality of the United States labor movement. And who better to tell that story and teach that lesson, than this amazing intellectual, committed activist and tireless movement teacher.”—Barbara Ransby, Professor, University of Illinois at Chicago and author of Ella Baker and the Black Freedom Movement

“Bill Fletcher’s new book is a must read for every worker in America. Full of surprising stories and useful facts, ‘They’re Bankrupting Us!’ uncovers everything we ever wanted to know about how unions work, and the true role that unions have played in shaping the nature of our work today.” —Ai-jen Poo, Director, National Domestic Workers Alliance

“In ‘They’re Bankrupting Us!’ Bill Fletcher answers the question of why unions are so essential—not just for economic uplift, but for democracy itself. Fletcher is one of our leading labor intellectuals, and, once again, he has the last word on a subject of central importance to all Americans.” —Barbara Ehrenreich

“It’s amazing how much nonsense about unions is believed, and how little is really known about their purpose and proud history. Bill Fletcher sets the record straight, and he tells us a thrilling story while doing it. A thriving union movement is crucial to the well-being of working men and women and to the overall health of our democratic way of life. This book—better than any other I’ve read—explains why.”—Bob Herbert, Distinguished Senior Fellow at Demos and former Op-Ed columnist for The New York Times

“There’s an immense amount to appreciate in these sophisticated discussions of 21 myths about unions.”—Daily Kos

From the Introduction

What is a Union

It is declared to be the policy of the United States to eliminate the causes of certain substantial obstructions to the free flow of commerce and to mitigate and eliminate these obstructions when they have occurred by encouraging the practice and procedure of collective bargaining and by protecting the exercise by workers of full freedom of association, self-organization, and designation of representatives of their own choosing, for the purpose of negotiating the terms and conditions of their employment or other mutual aid or protection. --from the National Labor Relations Act

In early 2011, as I was flying from San Jose, California, to San Diego, I was engrossed reading Global Restructuring, Labour and the Challenges for Transnational Solidarity. The woman sitting next to me was noticeably interested in my book, so we struck up a conversation. She was in her thirties and lived with her husband and two children in northern California. When she inevitably asked what I was reading, I explained it was about the global labor movement and the challenges of globalization. She looked at me intently while I explained, and when I finished she asked, “What’s a union”

To say that I was startled by her question would be a serious understatement. But this woman was sincere, so I went on to explain what a union was and gave her a couple of examples, such as teachers’ unions. She nodded her head, and that might have ended the matter, but I suddenly realized that in spite of my explanation, she still didn’t entirely understand. It seemed I was explaining something with which she was, apparently, entirely unfamiliar. What made this both perplexing yet instructive is that this was obviously an intelligent individual, and I fear her ignorance is emblematic of many Americans who don’t fundamentally understand the raison d’’tre behind the labor movement.

A friend of mine, noted labor strategist and organizer Bob Muehlenkamp, has a simple answer: it’s an organization of workers. At one level, it’s that uncomplicated--an organization of workers created for a specific set of objectives.

At the same time, this definition is only an icebreaker. There are various sorts of worker organizations, ranging from sports clubs to industrial cooperatives. There are, however, a few distinguishing characteristics of a labor union:

1. It’s an organization based upon collective self-interest that focuses on issues relative to work, specifically, and to the economy, more generally. As such, it seeks to bargain on behalf of a group of workers to improve their living and working conditions.

2. It can be organized based on a specific workplace, a type of work, an industry, or in some cases, a specific geography, and seeks to build an identity of interests for these workers.

3. It attempts to take wages out of competition between workers who are fighting to improve their respective living standards, thereby opposing favoritism.

4. It seeks fairness for workers, and specifically, fair treatment by employers and governments. At their best, unions seek to democratize the workplace.

These are general characteristics, but each of them raises crucial questions. For our purposes, let’s just mention two: (1) Who are the “workers”? and (2) What is meant by “fairness”

There’s no hard and fast response because the answers depend on your vision for what needs to be done and who you believe has a common interest. Confused yet? Perhaps a little background will help flesh out the picture.

Where Did Labor Unions Come From In any workplace, there’s a power imbalance between those who work and those who hire workers, own the machinery, and give the orders. Workers, through their labor power, produce things to be sold. But these things (whether manufactured, services, or intellectual property) can’t be sold at cost (which includes the workers’ wages, heating/cooling, and raw materials) because the owner wouldn’t profit. Instead, they’re sold at a price that depends on both the amount of time, energy, and expertise put into the product, along with what the market will accept. The owner then takes a profit; some of it is reinvested into the business and some of that goes to the owner.

In a modern, democratic capitalist society, a worker can choose to leave their employment when they wish. However, the employer may also get rid of the worker. They may do this for economic reasons, for instance, a layoff due to a decline in business, or they may terminate the worker because they simply wish to get rid of them. In fact, termination or firing is often referred to as the “capital punishment” of employment law. Although an employer may suffer a temporary problem, such as work flow when a worker leaves voluntarily, a worker can suffer more dramatically by not being able to afford food and shelter. It’s vital to note this because there’s no equivalency between the employee’s ability to leave versus the employer’s ability to fire. Simply put, the consequences are considerably different. Added to this, there is no due process when there is a termination, unless the termination is specifically unlawful.

Most of us who have to work to survive recognize we’re in a constant state of competition with other workers. Let’s say you go looking for work. An employer may hire you based on criteria such as age, skills, race, gender, ethnicity, or what you are willing to accept as your wage or salary. Let’s focus on this last matter, for a moment. There’s an exercise to use to see how competition works among workers, that is, how they have to compete and how that competition can be used against them by those with power. Think about a good salary and benefit package for a specific job. Now, ask the people in your group to, by a show of hands, indicate who would be willing to work at that rate. Probably most hands will go up. Then reduce the salary, wage, or benefit package by a little. Ask for another show of hands to see who would work for this amount. Keep lowering the rate. Here’s what you will most likely find:

1. As you lower the salary, wage, or benefit package, hands will stay up, but the number of hands will decrease.

2. There will be points where you yourself would probably not accept going any lower but someone else will.

3. There will come a time when no one will raise their hand, i.e., you have reached the point that the group has decided that it simply cannot accept such deterioration in their living standards.

What you have just seen is one important way that capitalism drives workers to compete with one another. There are frequently some workers who, because of their circumstances, are willing or compelled to accept a lower salary, wage, or benefit package than others. This is not a moral statement--it speaks to their desperation or life circumstances. Younger workers, for instance, tend to think less about pensions and retirement, whereas those are more pressing concerns for middle-aged and older workers.

Later I’ll discuss some of the other divisions that exist or emerge among workers, but let’s start with a basic point: because of different life circumstances, workers can effectively be pitted against one another by employers. Therefore, to decrease the likelihood that workers will be played against one another--that is, are victims of favoritism--the workers have to take measures to decrease the competition among them. One such measure is creating a labor union.

Throughout history, there has always been some form of worker organization, but with the rise of capitalism, there emerged certain organizations that aimed to decrease competition between workers. Known as “guilds,” these organizations evolved out of the Middle Ages in Europe and some parts of Africa and Asia as a means to control a specific skill. These guilds regulated how laborers were trained and, through apprenticeships, limited the number of laborers in any given craft, ensuring that those who worked would have a relatively stable income (at least in theory).

Employers responded to these guilds and other similar organizations by changing the way that work was done. Employers sought to reduce their dependency on a specific guild (or other such organization) and to weaken the control that those workers had over the production process. An example of this was the introduction of new technology for the production of clothing, making it possible to produce items faster but also with less reliance on a small number of skilled workers.

In addition to guilds, insurrectionary organizations challenged the economic system as a whole, rather than simply negotiating for control over work or better conditions. Examples of these include bond servant/indentured servant revolts in the 1600s that challenged indentured servitude, and also slave conspiracies and insurrections that challenged slavery. These insurrectionary organizations took various forms, but they and early labor unions often resembled one another and were often treated similarly by the powers that be: violent repression. In both cases, insurrectionary organizations and the early labor movement had to begin covertly. There were no laws protecting the early labor movement, and there were certainly no laws protecting indentured servants and slaves that revolted. Both of these forms of organization resembled secret societies, sometimes down to specific rituals that were practiced when new members joined. It, therefore, should not be a surprise as to the level of anti-worker violence that has been carried out throughout the colonial and postcolonial history of what came to be known as the United States of America.
What Is a Union?
Myth 1. ìWorkers are forced to join unions, right?î
Myth 2. ìUnions are bankrupting us and destroying the economy.î
Myth 3. ìUnions are actually run by ëlabor bosses,í arenít they?î
Myth 4. ìPublic sector unions cause budget deficits, right?î
Myth 5. ìUnions make unreasonable demands that result in lots of strikes!î
Myth 6. ìUnions were good once, but we donít need them any longer.î
Myth 7. ìUnions are only needed by workers who have problems and get into trouble.î
Myth 8. ìThe union uses our money for political action and I have no say in the matter!î
Myth 9. ìUnions hold me back from advancing, and if I join I will never be promoted.î
Myth 10. ìUnions are corrupt and mobbed up!î
Myth 11. ìUnions have a checkered history and were started by communists and other troublemakers.î
Myth 12. ìUnions are all racist and people of color need not apply.î
Myth 13. ìUnions have a history of sexism . . . what makes them better now?î
Myth 14. ìUnions deal with wages, hours, and working conditions; what about other issues?î
Myth 15. ìYes, unions are good for their members, but they hurt the rest of us!î
Myth 16. ìUnions and corporations are both too big and donít really care about the worker.î
Myth 17. ìLetís face it, in a globalized world, unions are powerless.î
Myth 18. ìWhere do unions stand on immigrants--you either ignore them or you ignore the rest of us?î
Myth 19. ìIf unions are so good, why arenít they growing?î
Myth 20. ìUnions are so partisan; they always side with the Democrats, right?î
Myth 21. ìIf unions are so great, why arenít more people around the world forming them?î
Concluding Thoughts
  • To read a review of "They're Bankrupting Us!" on Shelf Awareness, click here
  • Click here to read a review in The Perkin Daily Times
  • Click here to read a review on Daily Kos
  • Click here to read it reblogged on Mark My Words
  • Click here to read the review on
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  • Click here to read a write-up about "They're Bankrupting Us!" on the blog The Politics of Jamie Anderson
  • Click here to watch Bill Fletcher's interview for Moyers & Company, which aired on July 6, 2012 and features They're Bankrupting Us! and other labor topics.

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"They're Bankrupting Us!"

ISBN: 978-080700332-9
Publication Date: 8/28/2012
Pages: 224
Size:5.5 x 8.5 Inches (US)
Price:  $16.00
Format: Paperback
Availability: In stock.