THE PHILLY STRIKE:
GUTLESSNESS REAPS ITS REWARD
By Bradley Harrington
"Every strike is an act of coercion, a form of
extortion, a measure of violence directed against all
who might act in opposition to the strikers'
intentions." --Ludwig von Mises, "Socialism: An
Economic and Sociological Analysis," 1922--
Philadelphians certainly had a rude awakening Tuesday
morning, thanks to a sudden strike by the Transport
Workers Union Local 234: "The Philadelphia transit
system's largest union went on strike early Tuesday
over wage, pension and health care issues, stalling the
city's bus, subway and trolley operations and forcing
thousands of commuters to find other ways to get to
work--and to Election Day polls." (Kathy Matheson,
"Philly transit strike a tough sell in down economy,"
Associated Press, Nov. 3rd.)
Apparently, an average salary of $52,000 per year--with
the Southeastern Pennsylvania Transportation Authority
(SEPTA) offering to increase that by 11.5% over a five-
year period--just isn't good enough for these workers:
"'We can't allow SEPTA to hide behind the economy for
not giving us a fair contract,' said Local 234 president
Willie Brown. 'We're gonna be out here as long as it
takes to get a fair contract.'" (Vince Lattanzio, "SEPTA
workers walk off the job," www.nbcphiladelphia.com, Nov.
3rd.)
Fair? What is "fair"? To be determined by whom?
In a free market, it is freely-floating wages--as
determined by supply and demand--that determines "fair."
Employers who underpay their workers find themselves
with a poor labor force and high turnover rates, neither
of which are conducive to good business. Conversely,
workers who demand more than market-level wages find
themselves unable to gain employment at the inflated
levels they are demanding.
In either case, it is the MARKET--not "management" and
not "labor"--that makes the final call, as all
businesses operate in the wider context of that market.
Brown, with his accusations against SEPTA of trying to
"hide behind the economy," is merely revealing his
abysmal ignorance of economics: for it is PRECISELY
"the economy" that serves as the backdrop for wage
determinations.
The Local 234 transit workers, quite obviously, are not
interested in such facts of reality: all they want is
their (ever-growing) piece of the pie, and to hell with
all the people--hundreds of thousands of them--who are
stuck walking, biking or hitching rides to work. What do
all of these transit workers REALLYy deserve? To be
fired immediately and sent packing. Then they can find
out whether the market supports their incredible
demands--or not.
The transportation situation in Philadelphia, however--
mirrored in nearly every major city in the United
States--is anything but "free." SEPTA, itself, being a
government entity, is hardly fertile ground for
capitalist economics. Created by public charter in
August of 1963 and governed by a 15-member board of
directors, all of whom are appointed by various other
government bodies, SEPTA is hardly in a position to
respond effectively to the profit-loss signals of the
marketplace, and is governed in the same fashion as all
other such entities: by pork-barrel politics.
Is it any wonder that most Philadelphians find the
employees of this organization to be less than service-
oriented? "Service," it should be remembered, is a
function of market-oriented business operations--not
government-run monopolies. "'Everybody hates SEPTA, and
this is why,' said Ranisha Allen...'These people go on
strike and they don't think about people they hurt,
people who can't get to work, kids who can't get to
school.'" (AP article continued.)
And, because SEPTA is not a market-oriented institution,
the chances of the striking workers being fired for
dereliction of duty are small: bumbling bureaucrats
afraid to bear the responsibility for a decision are not
exactly the epitome of confident resistance to labor-
union gang-rape. As proof, consider the following
comment by Richard Maloney, SEPTA spokesman, as the
AP article continues: "We're very anxious to get back to
the bargaining table, ASAP. We haven't heard back from
them." Why should he be hearing from them? The Local
234 knows a gutless, spineless puddle of quivering
flesh when it sees one.
The long-term solution to the problems Philadelphians
are experiencing in regard to their mass transit issues,
therefore, would be to privatize the entire operation:
sell it off on the free market. Let people who
understand transportation and business take it over and
run it for a profit. Not only would taxpayers save
millions of dollars in the process, but such people
would pay a lot more attention to consumer needs and
demands than SEPTA does, of that you can be sure.
--
Bradley Harrington is a former United States Marine
and a free-lance writer who lives in Cheyenne, Wyoming.