White House Budget Not Good Enough, Unions Want More
Labor unions are not happy with the latest White House budget, arguing that it doesn’t go far enough to fix the tax system.
“When it comes to fixing our rigged corporate tax system, the actual proposals in President Obama’s budget don’t match the rhetoric,” AFL-CIO President Richard Trumka said in a statement. “As this budget stands, it falls short of a very simple standard: our tax system should not encourage corporations to shift jobs or profits overseas.”
“We are also disappointed that the administration continues to propose corporate tax reform that does not raise significant amounts of revenue over the long term,” Trumka added.
The American Federation of Government Employees agrees, arguing that the president’s 2016 budget doesn’t come close to meeting the promises he made during his State of the Union address.
“Let’s be real – a 1.3 percent pay raise will be eaten up by higher costs for groceries, health care and other essentials. Like other middle-class workers, federal employees need a meaningful pay raise to make up for years of stagnant wages, and unfortunately the president’s proposal falls short,” AFGE National President J. David Cox Sr. said in a statement.
“No proposal to cut the cost of the department’s headquarters operations can be taken seriously if it disregards the one segment of the workforce that costs the most,” Cox concluded.
The president’s Fiscal Year 2016 Budget, which was released Monday, covers several key areas including the middle class, education, childcare and taxes. The White House argues that the budget does address the promises the president made in his State of the Union and will have vast economic benefit for middle class workers.
“In last month’s State of the Union, the President laid out his vision for middle class economics: restoring the link between hard work and opportunity, and ensuring that every American has the chance to share in the benefits of economic growth,” the White House argued in its fact sheet.
“To achieve this, the Budget invests in helping working families make their paychecks go further, preparing hardworking Americans to earn higher wages, and creating the infrastructure that allows businesses to thrive and create good, high-paying jobs,” the fact sheet also noted.
Though labor unions argue that budget isn’t going far enough, they do agree it is going in the right direction.
“His budget follows through with a number of proposals that would benefit American workers, such as repeal of harmful sequestration cuts, higher taxes on capital gains, and a financial crisis fee on the largest financial institutions,” Trumka noted. “These are all pieces to a robust program to raise wages.”
Leaders on the right see the proposal as just being bad all around.
“A budget reflects priorities, and it’s clear the president’s priorities continue to be more spending, more taxes, and more government,” House Education and the Workforce Committee Chairman John Kline said in a statement. “This budget would perpetuate what we’ve experienced in recent years: an anemic economy, sluggish job growth, and stagnant wages.”
House Speaker John Boehner also noted in a statement, “Today President Obama laid out a plan for more taxes, more spending, and more of the Washington gridlock that has failed middle-class families.”
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