Friday, July 30, 2010

The Trusteeship and the SEIU's Financial Problems---like Death and Taxes.

When SEIU first put UHW in trusteeship in January of 2009, Dave Regan said everything at UHW would return to normal after about three months. Well, 18 months later, SEIU just announced it's extending its failed trusteeship until March of 2011. Under this new plan, SEIU will keep the local's members under trusteeship for 25 months, even though federal law says trusteeships are supposed to last only 18 months.

It doesn't take a PhD to realize that things aren't going too well in Zombie-land. California has become SEIU's own kind of Vietnam/Iraq/Afghanistan, just as Bill Ragen predicted in his famous "implosion memo." Meanwhile, SEIU must now figure out how it's gonna pay $150 million to UNITE HERE. This should be quite a trick after Andy "Bio-warfare" Stern sold off millions of dollars of the union's investments and left SEIU on the hook for $85 million in debt to Bank of America.

One insider tells Tasty that SEIU staffers may face another round of job cuts, just like they did during SEIU's financial crunch in 2009. (Good luck, UUR.) There is, of course, an alternative: Dave Regan could take accept a cut in his annual salary of $265,488. On second thought, Tasty suggests that SEIU staff visit