Sunday, April 8, 2012

Year-End Tally for Regan's Profit Machine: $12.9 Million

Remember Dave Regan's for-profit unionism? That’s the scheme whereby Regan hikes SEIU-UHW members' monthly dues, slashes representation for members, and generates giant profits to pay for SEIU officials' skyrocketing salaries.

Well, last week SEIU-UHW filed its annual financial report with the U.S. Department of Labor (called a "DOL Form LM-2"). According to the report, the union made a profit of $12.85 million in 2011. Here’s an excerpt (Tasty added the figure in red).

How much is $12.85 million? It translates into a profit margin of 11.8%, which is nearly twice as high as the average profit margin for Fortune 500 companies (6.5%).

In fact, Regan was so successful at sucking profits from the union’s only source of revenue (its members) that SEIU-UHW is now sitting on $20.4 million in cash, according to its recently filed report.

That’s quite a pile of cash.

It looks like Regan's company unionism is quite a lucrative venture. There's no need to spend money on grievances, arbitrations and contract enforcement. No need to fight greedy employers who wanna slash workers' benefits. In fact, Regan even liquidated a $4.1 million strike fund that union members had created over many years. All that's needed are big salaries for union officials and money for wellness walks!