Donald Trump’s criticism of labor unions last week at the Republican national convention apparently gave unions further license to support the Democrats. That support, due to a decision by President Joe Biden to not pursue his party’s nomination for a second term, has passed directly to Kamala Harris. Today, the AFL-CIO unanimously endorsed Ms. Harris for president.
Ms. Harris has shared in the past that the Build Back Better initiative (which morphed into the Inflation Reduction Act) and the Infrastructure Investment and Jobs Act were geared toward labor and that strong unions result in a strong economy.
Here is some of the specific credit that the AFL-CIO gave to Ms. Harris:
“As vice president, Harris:
Played a critical role in rebuilding our crumbling infrastructure, investing in good-paying union jobs, bringing manufacturing back to America, lowering prescription drug costs and raising wages
Saved the pensions of more than 1 million union workers and retirees
Led the administration’s efforts to increase access to affordable child care and expand the child tax credit
Championed worker organizing and chaired the White House Task Force on Worker Organizing and Empowerment, where she championed for new worker organizing and training to create pathways to good union jobs.”
I expect Donald Trump to counter Ms. Harris’ pro-labor union stance with policy positions supporting a return of more manufacturing to the Unted States, lower household taxes, and no tax on tips. In his platform, he promises to increase taxes on foreign imports with a corresponding decrease in household taxes. He also proposes bringing back supply chains to the U.S., resulting in additional jobs. He also promises a “buy American, hire American” policy where a company not adhering to this policy would not be able to do business with the federal government.
Political strategy wise, Ms. Harris may have a slight advantage. She is getting union support based on past performance whereas Mr. Trump will have to deliver on the future. She may not have to pursue any more legislative action assuming projects spurred by the inflation reduction and infrastructure initiatives become economically viable in terms of job creation.
Meanwhile, Mr. Trump may implement labor policy as it pertains to the federal government but may need legislation from Congress for economic activity throughout the rest of the domestic economy. Too late to remove his labor plans from his platform. His only option is to continue weaving the labor narrative into his speeches and other messaging mediums.
Alton Drew
22 July 2024
For more of my take on the American political economy, buy my book at amazon.com/author/altondrew.