ReportWire

Tag: employment and income status

  • GM settles strike at Canadian plants | CNN Business

    GM settles strike at Canadian plants | CNN Business


    New York
    CNN
     — 

    A strike at General Motors’ Canadian plants is over less than a day after it started, according Unifor, the union that represents more than 4,000 autoworkers at the company.

    The strike had begun 11:59 pm Monday when Unifor said GM had refused to agree to a deal similar to the one the union previously reached with Ford. That kind of deal is known as a pattern agreement.

    The union said the company quickly gave in to union demands once the strike started.

    “When faced with the shutdown of these key facilities General Motors had no choice but to get serious at the table and agree to the pattern,” said Unifor National President Lana Payne. “The solidarity of our members has led to a comprehensive tentative agreement that follows the pattern set at Ford to the letter.”

    The union said strike actions are on hold to allow the membership to vote on the tentative agreement. The strike could resume if the rank-and-file members fail to ratify the deal.

    But it’s uncertain whether it will win approval of membership. Only 54% of Unifor members at Ford voted in favor of the deal.

    The Unifor strike occurred while GM as well as rivals Ford and Stellantis were already dealing with strikes by the United Auto Workers union. That strike had started September 15 against targeted facilities of each company. More than 25,000 UAW members are now on strike at the three companies, with nearly 10,000 of those at GM.

    “This record agreement, subject to member ratification, recognizes the many contributions of our represented team members with significant increases in wages, benefits and job security while building on GM’s historic investments in Canadian manufacturing,” said GM’s statement.

    Details of the Unifor deal were not immediately available. But the deal with Ford included a wage increase of 10% in the first year of the agreement, followed by a 2% and 3% increase over the next two years of the contract. It also restored the cost-of-living adjustments (COLA) to protect workers from rising prices.

    The Ford agreement also returned to a pension plan — rather than just 401(k)-style retirement accounts — for Unifor members hired at Ford in recent years. And it converted temporary staff who work full-time shifts into permanent employees.

    Autoworkers in both Canada and the United States used to all have COLA clauses in their contracts as well as traditional pension plans that pay retirees a set amount every month as long as they live. But the automakers got unions on both sides of the border to give up the COLA for all members and traditional pensions for new hires when the companies were in financial distress in 2007 through 2009.

    Restoring those concessions have been a major negotiation demand of both Unifor and the UAW.

    Source link

  • Autoworkers strike deadline nears as negotiators rush to avoid historic walkout | CNN Business

    Autoworkers strike deadline nears as negotiators rush to avoid historic walkout | CNN Business


    Detroit
    CNN
     — 

    With just hours to go before labor contracts expire at America’s three unionized automakers, thousands of autoworkers could walk off the job.

    Those limited, targeted strikes could be enough to grind production to a halt at General Motors, Ford and Stellantis, which builds vehicles under the Jeep, Ram, Dodge and Chrysler brands for North America.

    But the uncertainty and confusion underscore the high stakes, with a possible historic strike at all three major automakers, disruptions to the local and national economies, and, perhaps more than anything, a hint at the future of manufacturing jobs in America.

    The union and the automakers continued to negotiate down to the wire on Thursday. GM made a new offer on Thursday afternoon, including a 20% raise, matching Ford’s offer.

    “We don’t want there to be a strike. We’re ready to work until the deadline,” Ford CEO Jim Farley told CNN. “We’d like to make history by making a historic deal, not having a historic strike,” he said.

    And President Joe Biden himself spoke to leaders of the union and the automakers, as a strike could be politically costly for him, as well.

    UAW President Shawn Fain on Wednesday evening announced plans for those targeted strikes at any company that fails to reach a labor deal with the union before contracts expire at 11:59 pm Thursday. Fain suggested the strategy, including the possibility of ramping up strikes as negotiating continues, would give the UAW more leverage. “We have the power to keep escalating and keep taking plants out,” he said.

    But Farley said on CNN Thursday that striking plants that make critical parts could affect workers at downstream assembly plants.

    “We can’t make a vehicle without an engine or transmission or stamping. So those people will, you know, basically be furloughed,” Farley said.

    Slowing or stopping the production of a few engine or transmission plants at each company could be as effective at stopping operations as a full strike at all plants, according to industry experts.

    One engine or transmission location per company might be enough to shut down nearly three-quarters of the US assembly plants, said Jeff Schuster, global head of automotive for GlobalData, an industry consultant.

    “Two plants per company, you can pretty much idle North America,” he said.

    Halting the companies’ assembly lines would likely happen in less than a week that way, Schuster said.

    One advantage for the union of a targeted strike is the potential to save resources and extend a possible walkout. Striking union members are eligible for $500 a week from the union’s strike fund.

    If all 145,000 UAW members among the three automakers were to strike at the same time, it could cost the fund more than $70 million a week, draining the $825 million fund.

    If the companies shut down operations and lay off members who are not technically on strike, those workers could be eligible to receive state unemployment benefits rather than strike benefits, which could preserve the union’s resources.

    Strikers are not eligible for unemployment benefits, but workers on temporary layoff can receive the benefits, which differ by state but would be less than the union’s $500 strike pay. There also are legal questions in different states about qualifying for unemployment.

    An official with Ford told reporters Thursday that under state law, workers in Michigan and Ohio were not eligible to receive unemployment benefits if they were laid off due to lack of parts at their plant caused by a strike. There are some other states, such as Kentucky and Tennessee, where they would be able to receive unemployment benefits, according to the officials.

    But they said none of the Ford UAW members would be eligible for so-called “sub-pay,” which they typically receive during temporary layoffs. Sub pay is far more lucrative, covering most of the gap between unemployment benefits, typically less than $300 a week, and normal company pay, which can be close to $1,300 a week.

    GM CEO Mary Barra sent a letter to employees Thursday saying the company’s latest offer now includes a 20% raise, with an immediate 10% pay hike. The lower paid temporary employees would get $20 an hour, which represents a 20% raise from the current $16.67 an hour they receive. She called the offer “historic.”

    “We are working with urgency and have proposed yet another increasingly strong offer with the goal of reaching an agreement tonight. Remember: we had a strike in 2019 and nobody won,” she said in the letter.

    Farley told CNN the offer from Ford of a 20% raise over the life of the contract is the most lucrative offer the company has made to the union in the 80 years it has been there. But he said meeting the union’s demands of close to a 40% raise, along with a four-day work week and other benefit improvements, would have been unaffordable.

    Farley blamed the union for the lack of progress in negotiations. But the union has blamed the companies for waiting until the end of August or early September to make their first counteroffers.

    The union came up with the 40% raise request based on the increase in the pay of CEOs at the three automakers over the last four years. Ford CEO pay rose 21%, from $17 million for Farley’s predecessor Jim Hackett in 2019, to $21 million for Farley last year. (Farley is the lowest compensated of the three CEOs.)

    Asked why the union workers shouldn’t get the same increases, Farley responded, “We’re really open to huge increases.” As to the 40% increases for CEOs, Farley responded, “I wasn’t CEO four years ago, but we have put on the table huge increases, double digit increases.”

    Ford has not had a strike since 1978; it has more UAW workers than the other two automakers.

    President Joe Biden spoke with Fain and leaders of the major auto companies “to discuss the status of ongoing negotiations,” the White House said Thursday.

    The White House declined to say Wednesday that Biden would support UAW workers if they chose to strike.

    “I’m gonna leave it at, [Biden] believes the auto workers deserve a contract that sustains middle class jobs and wants the parties to stay at the table, to work round the clock to get a win-win agreement,” Council of Economic Advisors Chair Jared Bernstein told reporters during Wednesday’s White House press briefing.

    Biden became directly involved in 11th hour negotiations a year ago to stop engineers and conductors at the nation’s major freight railroad from going on strike and was credited by both sides with a deal being reached at that time. But Biden and Congress had power under a different labor law to keep workers on the job by imposing a contract, a power he used later in the year when rank-and-file rail workers rejected the deal he brokered and again threatened to strike

    The autoworkers fall under a different labor law, one that leaves Biden with no power to stop a walkout. And he has limited influence with the UAW, which has been critical of his push to have the industry convert to electric vehicles, a move that could cost members jobs in the long run.

    In a statement midday Thursday, GM said it remains in “good faith negotiations” with the UAW but cautioned that a strike would be disruptive to its business.

    “Any disruption would negatively impact our employees and customers, and would have an immediate ripple effect across our communities,” a company spokesperson said.

    One sticking point in negotiations is that wages are only part of the gap between the two sides. In some ways it might be the least difficult problem to solve, said Patrick Anderson, CEO of Anderson Economic Group, a Michigan research firm.

    “The difference between the automakers and the unions on wages is a gap that could be closed,” said Anderson. “The differences involving non-wage demands are a gulf, not a gap.”

    The union is attempting to reverse deep concessions that go back as far as 2007. At the time, years of losses had left Ford nearly out of cash, and GM and Chrysler were on their way to bankruptcy and federal bailouts.

    The number one concession the union wants to end is a lower tier of wages and benefits for workers hired since 2007. While top pay for those newer hires, who today make up a majority of membership, is the same as the $32.32 paid to more senior members, it takes many more years to reach that level.

    The union also wants to restore traditional pension plans for those hired since 2007, as the more senior workers now receive, as well as the same retiree health care coverage. And to protect members from rising prices, it wants a return of the cost-of-living adjustments to pay that all employees lost in 2007.

    Even Fain calls those demands “ambitious,” but he said they’re driven by record or near record profits at the automakers.

    Pandemic supply chain disruptions and shortages of some parts, particularly computer chips, have led to record car prices. The average purchase price of a new car in August was nearly $48,000, according to Edmunds. That’s up 30% from August of 2019.

    Automakers have used their limited supply of parts to build vehicles loaded with options to maximize profits. That’s produced a strong bottom line. General Motors reported record profits in 2022, and Ford posted near-record profits as well. Stellantis, a European-based automaker formed in 2021 by the merger of Fiat Chrysler and PSA Group, had 2022 profits up 26% compared to its first year of combined operations.

    A strike that halts production nationwide could also be costly for the automakers at a time of strong demand by car buyers and strong competition from nonunion automakers such as Tesla and foreign brands. GM said it lost $2.9 billion during its 2019 strike.

    While the automakers have done their best to build up inventory at dealerships, car buyers could have trouble finding some of the models they want and could have to wait longer for their choice of colors and options. And limited supplies could put upward pressure on some vehicle prices.

    – CNN’s DJ Judd contributed to this report

    Source link

  • More remote workers are willing to move in order to find affordable housing | CNN Business

    More remote workers are willing to move in order to find affordable housing | CNN Business


    Washington, DC
    CNN
     — 

    Housing is less affordable than it has been in about four decades. But buying or renting a home might be even less affordable now if it weren’t for the continuing impact of remote and hybrid workers that resulted from the pandemic, according to a recent study by Fannie Mae.

    The study, which was an analysis of Fannie Mae’s monthly National Housing Survey, with questions asked among more than 3,000 mortgage holders, owners, and renters between January and March this year, looked at how remote and hybrid work has changed over the past few years and its impact on housing.

    More people are willing to move to less expensive areas further away from offices in city centers than a few years ago, according to the report. Continuing remote and hybrid work, at levels remarkably unchanged from two years ago, is enabling people to move toward housing affordability, the study found.

    The report also revealed that “affordability” is the most important factor in finding a place to live, both for renters and homeowners.

    At the beginning of the year, 22% of remote and hybrid workers said they would be willing to relocate to a different region or increase their commute. Only 14% such workers were willing to do so in the third quarter of 2021, which is used as a comparison throughout the study and was when many workplaces attempted a “return to work” until the Omicron variant of Covid-19 pushed many employers’ plans back that winter.

    Workers who are able to break their ties to living in an area because of its proximity to work are able to spread out, reducing the competition for a historically low number of homes for sale that could push prices even higher.

    The research showed that among remote workers, all age and income groups have grown more willing to relocate or live farther away from their workplace since 2021. But younger workers — those between 18 and 34 — are significantly more willing than those older than them to live or commute a further distance from their work, with the share willing to do so jumping from 18% in 2021, to 30% in 2023.

    “We believe this greater willingness to live farther from the … workplace may be an indication that some workers are feeling more secure about their remote work situation … or their ability to find another job if their current employer were to change its policies,” wrote the researchers, in a summary.

    This is good news for remote workers during a time of crushingly low levels of home affordability.

    Remote and hybrid work may be here to stay. Or, it’s here long enough for people to buy or rent a new home because of it, the researchers found.

    Despite the demands by leaders of some prominent companies that workers need to head into the office or head out the door, the share of fully remote and hybrid workers has remained surprisingly constant in the post-pandemic era, according to the study.

    In the first part of the year, 35% of respondents worked fully remote or worked a hybrid mix of some time at a workplace and some time at home. That was only slightly down from 36% in 2021.

    While the share of workers going to a work site or office every day was unchanged at 49% in both 2021 and in 2023, the share of people working fully remote ticked up to 14% this year from 13% in 2021.

    Homeowners continue to be slightly more likely to work from home than renters. And those with more education and higher incomes are also more likely to have a work-from-home situation, which is consistent with 2021, the study found.

    Only 30% of lower-income people, earning 80% of the area median income, could work remotely or hybrid in 2021, and that dropped to 27% by this year. Meanwhile 42% of upper-income people, those making 120% of the area median income, were able to work from home in 2021 and that number did not change in 2023.

    Lower-income people — who are in most need of access to lower-cost housing, found further away from a city’s core — are also those least likely to work remotely, according to the survey.

    With housing affordability taking a hit over the past few years as rents rose, home prices stayed elevated and mortgage rates soared to a 22-year high, it is not surprising that “affordability” was the top factor for people when picking a new home, at 36%. This was a big jump from 2014, the last time the question was asked, when the top consideration was “neighborhood” at 49%.

    Homeowners and renters both showed growth in prioritizing “affordability,” but the increase was greatest among renters, shooting up from 21% in 2014 to 46% in 2023.

    “The change in preference for renters is truly remarkable, since not only did it more than double, but it represented a complete reversal of the relative importance of neighborhood cited by consumers as the top consideration in 2014,” wrote the researchers.

    In addition, despite the talk about moving for more space, “home size” as a factor for picking a next home was unchanged and still outweighed by “affordability.”

    “The striking shift toward affordability as the top consideration among overall survey respondents for their next move substantiates the need of households to find ways to manage around the significant rise in mortgage rates, home prices, and rents of the past few years,” the researchers wrote.

    And this is impacting where people look for a home and what they prioritize when they are searching.

    “Home affordability may also be a reason why we saw an increase in remote workers’ willingness to relocate or live farther away from their workplace, particularly given that, historically, a shorter commute to denser job markets was considered a premium amenity,” the researchers wrote.

    The suburbs are increasingly where people want to be, the report found, which is part of an ongoing trend since 2010. And that share has grown between 2021 and 2023.

    The researchers say the change to the housing market brought about by remote workers holds broader implications for the link between housing and the labor market.

    The growing share of remote-working renters and homeowners willing to live farther from their work location gives employers access to a wider labor market, which could be useful if a downturn in economic activity led to greater rates of job loss.

    “Having access to a larger labor market may also reduce the adverse effect on local home prices when a major employer or industry contracts,” the researchers wrote.

    Source link

  • UBS will cut 3,000 jobs in Switzerland as it absorbs Credit Suisse | CNN Business

    UBS will cut 3,000 jobs in Switzerland as it absorbs Credit Suisse | CNN Business


    London
    CNN
     — 

    UBS expects to shed around 3,000 jobs in Switzerland as it tries to save $10 billion from a sweeping overhaul of the global banking giant created by its emergency rescue of Credit Suisse earlier this year.

    The job cuts amount to around 8% of staff employed by the combined bank’s Swiss operations and may spark new controversy in the country, where the deal has already proved unpopular with the public and some politicians.

    “The Swiss Bank Employees Association demands that the 37,000 employees of the two institutions in Switzerland are treated fairly and equally in the integration process,” the Swiss banking union said in a statement.

    On a call with analysts Thursday, UBS CEO Sergio Ermotti said: “Every lost job is painful for us. Unfortunately, in this situation, cuts were unavoidable.”

    Ermotti said the job cuts would be spread “over a couple of years” and that the bank would provide affected employees with financial support, outplacement services and retraining opportunities.

    The Swiss bank, which has a combined global workforce of nearly 122,000, gave no further details on the numbers of likely layoffs outside of Switzerland in its second quarter earnings statement — the first report since it acquired its rival.

    UBS confirmed plans to retain Credit Suisse’s banking operations in Switzerland, and fully absorb those into the newly-merged group, rather than opting for a spin-off or IPO, even though that may have resulted in fewer redundancies.

    “Our analysis clearly shows that a full integration is the best outcome for UBS, our stakeholders and the Swiss economy,” Ermotti said in a statement. He added that this was “one of the biggest and most complex bank mergers in history.”

    UBS said that it expected to generate more than $10 billion in savings from the integration by the end of 2026, $1 billion more and a year earlier than planned when the takeover was announced in March. The bank’s shares gained as much as 7% on the news.

    UBS (UBS) agreed on March 19 to buy Credit Suisse for the bargain price of 3 billion Swiss francs ($3.4 billion) in a rescue orchestrated by Swiss authorities to avert a banking sector meltdown.

    UBS posted net profit of $29 billion for the second quarter, reflecting a one-off boost from the acquisition of Credit Suisse at a fraction of its value. But it also benefited from continued strong inflows into its global wealth management business, recording $16 billion of net new money — the highest second-quarter figure in over a decade.

    Controversy in Switzerland

    Credit Suisse went bust after confidence in the ailing lender collapsed and customers yanked their money from the bank. The firm had been plagued by scandals and compliance failures in recent years that wiped out its profit and caused it to lose clients.

    But the death blow came after it acknowledged “material weakness” in its bookkeeping and as the demise of US regional lenders Silicon Valley Bank and Signature Bank spread fear about weaker institutions.

    The combination of the banks has caused controversy in Switzerland because it leaves the country exposed to a single massive financial institution with a market share of about 30% and assets roughly double the size of its annual economic output.

    Taxpayers were originally on the hook for potential losses arising from the deal, but UBS said earlier this month it would no longer need a Swiss government guarantee of 9 billion francs ($10.3 billion) for future potential losses arising from Credit Suisse assets.

    It also said it no longer required a 100 billion franc ($114.2 billion) government-backed loan and that Credit Suisse had repaid an earlier loan from Switzerland’s central bank of 50 billion francs ($57.1 billion).

    “Taxpayers will no longer bear any risks arising from these guarantees,” the Swiss government said at the time.

    Source link

  • LinkedIn is cutting more than 650 jobs | CNN Business

    LinkedIn is cutting more than 650 jobs | CNN Business


    New York
    CNN
     — 

    LinkedIn is laying off 668 people across its engineering, product, talent and finance teams as part of a broader restructuring, the social media platform announced Monday.

    In a blog post, the social media site for professionals said it is making changes to its organizational structure and streamlining its decision making.

    “Talent changes are a difficult, but necessary and regular part of managing our business,” the company said. Microsoft bought LinkedIn in 2016.

    The company is dedicating many of its resources toward artificial intelligence. Recently, LinkedIn announced an AI-assisted candidate discovery for recruiters using the site. And in Microsoft’s most recent earnings report, LinkedIn reported its AI-powered collaborative articles are the fastest-growing traffic driver on the site.

    LinkedIn already cut 716 positions in May and shut down its jobs app in mainland China. That decision was made amid shifts in customer behavior and slower revenue growth, CEO Ryan Roslansky said in a letter to employees.

    In the wake of mass layoffs across the tech sector at the end of last year, LinkedIn enjoyed an uptick in users and “record engagement” among its 875 million members at the time, Microsoft CEO Satya Nadella told analysts in last October’s earnings call.

    The company continues to grow financially. LinkedIn also announced in its most recent earnings report that it surpassed $15 billion in revenue for the first time during this fiscal year, and that its membership growth “accelerated” for the eighth quarter in a row.

    Source link

  • Watchdog agency increases its pandemic unemployment benefits fraud estimate to as much as $135 billion | CNN Politics

    Watchdog agency increases its pandemic unemployment benefits fraud estimate to as much as $135 billion | CNN Politics


    Washington
    CNN
     — 

    As much as $135 billion in fraudulent Covid-19 pandemic unemployment insurance claims were likely paid out, according to a report released Tuesday by the US Government Accountability Office.

    The whopping figure, which equates to as much as 15% of total unemployment benefits distributed during the pandemic, is a notable bump up from the $60 billion the watchdog agency had previously estimated in January.

    In comments on a draft of the GAO report, the Department of Labor said the office is likely overestimating the actual amount of fraud. However, the department’s Office of Inspector General in February said in testimony before a House committee that at least $191 billion in pandemic unemployment benefits payments could have been improper, with “a significant portion attributable to fraud.”

    The GAO pushed back on the department’s assertions in its report and stood by the methodology used.

    “Given that not all potential fraud will be investigated and adjudicated through judicial or other systems, the full extent of UI fraud during the pandemic will likely never be known with certainty,” the GAO report said. “Therefore, it is appropriate to rely on estimates, such as ours, to make more comprehensive conclusions about the extent of fraud in the UI programs during the pandemic.”

    The findings released on Tuesday shed light on the numerous schemes to steal money from a range of hastily implemented pandemic relief programs, which have drawn the attention of congressional lawmakers and prompted legislative action. Last year, President Joe Biden signed two bipartisan bills into law aimed at holding individuals who commit fraud under pandemic relief programs accountable.

    “My message to those cheats out there is this: You can’t hide. We’re going to find you. We’re going to make you pay back what you stole and hold you accountable under the law,” the president said at the time.

    The House of Representatives also passed a bill in May that would help recover fraudulent unemployment insurance benefits paid out during the pandemic. The bill, however, has not been brought to a vote in the Senate.

    Fraud within the nation’s unemployment system skyrocketed after Congress enacted a historic expansion of the program in March 2020. State unemployment agencies were overwhelmed with record numbers of claims and relaxed some requirements in an effort to get the money out the door quickly to those who had lost their jobs.

    But the enhanced payments and lax controls quickly attracted criminals from around the world. States and Congress subsequently tightened their verification requirements in an attempt to combat the fraud, particularly in the Pandemic Unemployment Assistance program, which allowed freelancers, gig workers and others to collect benefits for the first time.

    More than $888 billion in federal and state unemployment benefits were paid from the end of March 2020 through early September 2021, when all the pandemic enhancements ended nationwide, according to the Labor Department Office of Inspector General.

    The GAO report said the “unprecedented demand for benefits and need to quickly implement the new programs increased the risk of fraud.”

    Other pandemic relief programs were also the target of criminals. The GAO in May flagged 3.7 million recipients of Small Business Administration funds as having “warning signs consistent with potential fraud.” The SBA doled out $1 trillion to help small businesses during the pandemic through measures including the Paycheck Protection Program and Covid-19 Economic Injury Disaster Loan program. More than 10 million small businesses were assisted.

    Some of the fraudulent claims have been recouped. States identified $5.3 billion in fraudulent unemployment benefits overpayments and has recovered $1.2 billion, according to the GAO.

    A Justice Department spokesperson told CNN on Tuesday that as of August 30, the department has charged more than 3,000 people for pandemic related fraud.

    Source link

  • Epic Games to lay off 16% of its workforce | CNN Business

    Epic Games to lay off 16% of its workforce | CNN Business



    CNN
     — 

    Epic Games, the maker of Fortnite, said on Thursday that it will lay off 16% of its staff, around 830 employees, as it attempts to reverse what CEO Tim Sweeney called “unrealistic” spending.

    In a letter to employees Thursday, Sweeney said the video game company had been “spending way more money than we earn, investing in the next evolution of Epic.”

    “I had long been optimistic that we could power through this transition without layoffs, but in retrospect I see that this was unrealistic,” Sweeney said in the letter, which the company shared publicly. He added that Epic plans to divest from the online independent music platform Bandcamp, which it bought last year and which will now be acquired by the music marketplace firm Songtradr. Epic will also spin off most of its marketing division SuperAwesome into a standalone company.

    Epic’s layoffs are just the latest job cuts to hit the tech industry, which was forced to adjust after the stunning growth many companies saw during the height of the Covid-19 pandemic began to slow. Meta, Microsoft, T-Mobile, Lyft and others have all reduced their workforces earlier this year. More recently, Google parent Alphabet made its second round of layoffs of the year, eliminating several hundred recruiting jobs in September after having cut 12,000 employees in January.

    About two-thirds of Epic’s Thursday layoffs will impact employees outside the company’s “core development” teams, Sweeney said. Some laid off workers announced on LinkedIn that they had been affected, including employees working in user experience for Fortnite, production, employee engagement and recruitment.

    Laid off employees will receive a severance offer that includes six months of base pay, accelerated stock vesting and other benefits, according to Sweeney.

    “We’re cutting costs without breaking development or our core lines of businesses so we can continue to focus on our ambitious plans,” Sweeney said. “Some of our products and initiatives will land on schedule, and some may not ship when planned because they are under-resourced for the time being. We’re ok with the schedule tradeoff if it means holding on to our ability to achieve our goals.”

    The Epic layoffs also come amid the latest escalation in a protracted legal battle between the video game company and tech giant Apple. Following a yearslong back-and-forth over an antitrust lawsuit brought by Epic over Apple’s App Store payment practices, both companies have asked the US Supreme Court to review a lower court ruling in the case.

    Source link

  • Fact check: Biden makes false claims about the debt and deficit in jobs speech | CNN Politics

    Fact check: Biden makes false claims about the debt and deficit in jobs speech | CNN Politics


    Washington
    CNN
     — 

    During a Friday speech about the September jobs report, President Joe Biden delivered a rapid-fire series of three false or misleading claims – falsely saying that he has cut the debt, falsely crediting a tax policy that didn’t take effect until 2023 for improving the budget situation in 2021 and 2022, and misleadingly saying that he has presided over an “actual surplus.”

    At a separate moment of the speech, Biden used outdated figures to boast of setting record lows in the unemployment rates for African Americans, Hispanics and people with disabilities. While the rates for these three groups hit record lows earlier in his presidency, he didn’t acknowledge that they have all since increased to non-record levels – and, in fact, are now higher than they were during parts of Donald Trump’s presidency.

    Here’s a fact check.

    Biden said in the Friday speech that Republicans want to “cut taxes for the very wealthy and big corporations,” which would add to the deficit. That’s fair game.

    But then he added: “I was able to cut the federal debt by $1.7 trillion over the first two-and-a – two years. Well remember what we talked about. Those 50 corporations that made $40 billion, weren’t paying a penny in taxes? Well guess what – we made them pay 30%. Uh, 15% in taxes – 15%. Nowhere near what they should pay. And guess what? We were able to pay for everything, and we end up with an actual surplus.”

    Facts First: Biden’s claims were thoroughly inaccurate. First, he has not cut the federal debt, which has increased by more than $5.7 trillion during his presidency so far after rising about $7.8 trillion during Trump’s full four-year tenure; it is the budget deficit (the one-year difference between spending and revenues), not the national debt (the accumulation of federal borrowing plus interest owed), that fell by $1.7 trillion over his first two fiscal years in office. Second, Biden’s 15% corporate minimum tax on certain large profitable corporations did not take effect until the first day of 2023, so it could not possibly have been responsible for the deficit reduction in fiscal 2021 and 2022. Third, there is no “actual surplus”; the federal government continues to run a budget deficit well over $1 trillion.

    CNN has previously debunked Biden’s false claims about supposedly having cut the “debt” and about the new corporate minimum tax supposedly being responsible for deficit reduction in 2021 and 2022. The White House, which declined to comment on the record for this article, has corrected previous official transcripts when Biden has claimed that the debt fell by $1.7 trillion, acknowledging that he should have said deficit.

    As for Biden’s vague additional claim that “we end up with an actual surplus,” a White House official said Friday that the president was referring to how the particular law in which the new minimum tax was contained, the Inflation Reduction Act of 2022, is projected to reduce the deficit. But Biden did not explain this unusual-at-best use of “surplus” – and since he had just been talking about the overall budget picture, he certainly made it sound like he was claiming to have presided over a surplus in the overall budget. He has not done so.

    Matthew Gardner, a senior fellow at the Institute on Taxation and Economic Policy, a liberal think tank, said in response to the White House explanation: “Well he didn’t say ‘budget surplus’ I suppose. But in federal budget conversations, the word surplus has a very specific meaning. It doesn’t mean ‘additional,’ it means revenues exceed spending.” He noted earlier Friday that there hasn’t been a federal budget surplus since 2001.

    It’s worth noting, as we have before, that Biden’s Friday comments would be missing key context even if he had not inaccurately replaced the word “deficit” with “debt.” It’s highly questionable how much credit Biden himself deserves for the decline in the deficit in 2021 and 2022. Independent analysts say it occurred largely because emergency Covid-19 relief spending from fiscal 2020 expired as scheduled – and that Biden’s own new laws and executive actions have significantly added to current and projected future deficits. In addition, the 2023 deficit is widely expected to be higher than the 2022 deficit.

    More on the corporate minimum tax

    When Biden spoke Friday about “those 50 corporations that made $40 billion, weren’t paying a penny in taxes,” he was referring, as he has in the past, to an Institute on Taxation and Economic Policy analysis published in 2021 that listed 55 companies the think tank found had paid no federal corporate income taxes in their most recent fiscal year.

    But it was imprecise, at best, for Biden to say Friday that we made “them” pay 15% in taxes. That’s because the new 15% minimum tax applies only to companies that have an average annual financial statement income of $1 billion or more – there are lots of nuances involved; you can read more details here – and only 14 of the 55 companies on the think tank’s list reported having US pre-tax income of at least $1 billion. In other words, some large and profitable companies will not be hit with the tax.

    The federal government’s nonpartisan Joint Committee on Taxation projected last year that the tax would shrink deficits by about $222 billion through 2031, with positive impacts beginning in 2023. Gardner said Friday that he fully expects the tax to play a role in reducing deficits going forward, but he said its deficit-reducing impact “might be lower than expected” in 2023 because the Treasury Department – which has been the subject of intense lobbying from corporations that could be affected – has taken so long to implement the details of the law that the Internal Revenue Service ended up waiving penalties on companies that don’t make estimated tax payments on it this year.

    Regardless, Gardner said, “The minimum tax did not reduce the deficit at all in fiscal years 2021 or 2022 because it didn’t exist during those years.”

    Early in the Friday speech, Biden boasted of statistics from the September jobs report that was released earlier in the day. But then he said, “We’ve achieved a 70-year low in unemployment rate for women, record lows in unemployment for African Americans and Hispanic workers, and people with disabilities – folks who’ve been left behind in previous recoveries and left behind for too long.”

    Facts First: Three of these four Biden unemployment boasts are misleading because they are out of date. Only his claim about a 70-year low for women’s unemployment remains current. While the unemployment rates for African Americans, Hispanics and people with disabilities did fall to record lows earlier in Biden’s presidency, they have since increased – to rates higher than the rates during various periods of the Trump administration.

    Women: The seasonally adjusted women’s unemployment rate was 3.4% in September. That’s a tick upward from the 3.3% rate during two previous months of 2023, but it’s still tied – with two months of the Trump administration – for the lowest for this group since 1953, 70 years ago.

    African Americans: The seasonally adjusted Black or African American unemployment rate was 5.7% in September, up from the record low of 4.7% in April. The current 5.7% rate is higher than this group’s rates during four months of 2019, under Trump.

    Hispanics: The seasonally adjusted Hispanic unemployment rate was 4.6% in September, up from the record low of 3.9% from September 2022. The current 4.6% rate is higher than this group’s rates for every month from April 2019 through February 2020 under Trump, plus a smattering of prior Trump-era months.

    People with disabilities: The unemployment rate for people with disabilities, ages 16 and up, was 7.3% in September, up from a record low of 5.0% in December 2022. (The figures only go back to 2008, so the record was for a period of less than two decades.) The current 7.3% rate is higher than this group’s rates during eight months of the Trump presidency, seven of them in 2019.

    Source link

  • Nokia says it will cut up to 14,000 jobs | CNN Business

    Nokia says it will cut up to 14,000 jobs | CNN Business


    Hong Kong
    CNN
     — 

    Nokia will slash up to 14,000 jobs in a major cost-cutting drive to address a “weaker” market environment, it said in a statement on Thursday.

    The Finnish telecom giant, a major provider of 5G equipment that employs 86,000 people, announced the move as part of a wider restructuring that will lower its headcount to between 72,000 and 77,000.

    The move will help the company reduce staffing expenses by 10% to 15%, and save at least €400 million ($421.4 million) in 2024 alone, the company projected.

    Overall, it said the reductions are expected to trim Nokia’s costs by up to €1.2 billion (nearly $1.3 billion) cumulatively by the end of 2026. Nokia (NOK) said it would “act quickly” to make changes.

    “The most difficult business decisions to make are the ones that impact our people,” CEO Pekka Lundmark said in the statement. “We have immensely talented employees at Nokia and we will support everyone that is affected by this process.”

    The announcement came on the same day that Nokia reported worse-than-expected results. It said sales in the third quarter had fallen 15% compared to the same period a year ago, as “macroeconomic uncertainty and higher interest rates continue to pressure operator spending.”

    Mobile network sales fell 19% in the third quarter compared to the previous year, the company added, due to a slowdown in the pace of 5G deployment in markets such as India.

    This week, Swedish rival Ericsson also warned that sales in the second half of 2023 would likely come in lower than usual, echoing Nokia’s remarks of a “challenging environment and macroeconomic uncertainty.”

    But Nokia has maintained its outlook for 2023, forecasting between €23.2 billion and €24.6 billion ($24.4 billion and $25.9 billion) in sales for the full year.

    “We continue to believe in the mid to long term attractiveness of our markets,” Lundmark said.

    Source link

  • Call to arms: Thousands of Revolutionary War stories are waiting to be told. A new project asks the public to help uncover them | CNN

    Call to arms: Thousands of Revolutionary War stories are waiting to be told. A new project asks the public to help uncover them | CNN



    CNN
     — 

    The National Park Service and US National Archives and Records Administration are calling on Americans to help reveal the untold stories of the United States’ first veterans to commemorate the upcoming 250th anniversary of American independence.

    The Revolutionary War Pension Files Transcription Project aims to transcribe approximately 2.3 million original documents that correspond with more than 83,000 individual soldiers. The information spans 150 years, from wartime records to 20th century inquiries made by veterans’ descendants.

    The goal of the project is to unearth personal stories from the battlefield and home front, using information included in federal pension applications from Revolutionary War veterans and their widows, according to the National Park Service. And they need the public’s help to do it.

    “We’re asking the public in the next three years, as we lead up to the 250th anniversary of the United States, to help us transcribe the pension files to be able to unlock these stories of our first veterans,” Suzanne Isaacs, community manager for the National Archives Catalog, said.

    While the Continental Army issued signed discharge papers, veterans who served in the militia had to give oral testimonies and provide witnesses to corroborate their stories. As a result, thousands of court records have yet to be digitally transcribed in the National Archives Catalog.

    These verbal attestations were an opportunity for veterans to tell their stories in vivid detail. When pension acts were put in place in the early 19th century, many veterans were elderly and illiterate, so they gave detailed accounts in hopes of recording their life stories.

    However, relying on oral testimonies also allowed for embellished tales that were difficult to disprove.

    For example, William Shoemaker testified that he spent 18 months as a prisoner of war to receive pension pay. Historian Todd Braisted discovered, more than two centuries later, that Shoemaker joined a loyalist unit and was captive for only two months.

    When requirements for pension pay loosened in the 1830s, widows who were married before the conclusion of the war became eligible to apply. To receive funds, widows had to give oral testimonies about their husbands’ service and provide proof of their marriage.

    That means the National Archives files also include documents such as marriage licenses, wartime letters and soldiers’ diaries.

    Judith Lines applied for widow’s pension in 1837 using one of the rarest kinds of documents – a correspondence from her husband written during his service under Gen. George Washington. John Lines’ 1781 note is the only known preserved letter penned by a Black Continental soldier.

    With the help of volunteer archivists, these rare, firsthand stories from the Revolutionary War will be more accessible to the public and archived in the National Archives. Volunteers can register for a free account with the National Archives Catalog. No prior experience is required.

    “This project is a way to help make accessible the records of our first veterans, the veterans of the Revolutionary War,” Isaacs said.

    The veterans and their families might never have imagined that their accounts of the war and its effects on their lives could be so readily available to the nation. The documents included in this project offer a personal perspective that, before now, was largely unknown.

    Source link

  • 6 migrant workers were hit and injured by an SUV outside a North Carolina Walmart, and authorities are searching for the driver, police say | CNN

    6 migrant workers were hit and injured by an SUV outside a North Carolina Walmart, and authorities are searching for the driver, police say | CNN



    CNN
     — 

    Six migrant workers were hit and injured by an SUV outside a North Carolina Walmart in what appears to be an “intentional assault” Sunday afternoon, and authorities are looking for the driver involved, police said.

    The incident happened after 1 p.m. outside the store in the city of Lincolnton, about 38 miles northwest of Charlotte, according to the Lincolnton Police Department.

    All six injured were taken to a local hospital with various injuries, police said, adding that none of the injuries appeared life-threatening.

    Police described the driver involved in the incident as “an older white male” who was driving an older model mid-size black SUV with a luggage rack.

    The department didn’t provide details on the circumstances of the collision, or what led police to believe it may have been intentional.

    “The motives of the suspect are still under investigation,” Lincolnton Police said on Facebook.

    Police released surveillance images of a black SUV and asked for the public’s assistance in identifying the vehicle and its driver.

    Source link

  • Goodbye child care centers, hello elderly homes: South Korea prepares for aging population | CNN

    Goodbye child care centers, hello elderly homes: South Korea prepares for aging population | CNN


    Seoul, South Korea
    CNN
     — 

    South Korea is getting older – and its care facilities are changing to match.

    The number of child care facilities in the country has shrunk by almost a quarter in just a few years, reflecting authorities’ unsuccessful campaign to encourage couples to have more babies.

    In 2017, there were more than 40,000 child care facilities, according to new government figures released Friday – by the end of last year, that number had fallen to roughly 30,900.

    Meanwhile, as the population rapidly ages, the number of elderly facilities has boomed from 76,000 in 2017 to 89,643 in 2022, according to the country’s health and welfare ministry.

    Elderly facilities include senior care homes, specialized hospitals, and welfare agencies that help the elderly navigate social services or protections. Meanwhile, the child care facilities listed include public services as well as private and corporate ones.

    The shift illustrates a years-long problem South Korea has thus far failed to reverse. It has both one of the world’s fastest aging populations and the world’s lowest birth rate, which has been falling continuously since 2015 despite authorities offering financial incentives and housing subsidies for couples with more babies.

    Experts attribute this low birth rate to various factors, including demanding work cultures, stagnating wages, rising costs of living, the financial burden of raising children, changing attitudes toward marriage and gender equality, and rising disillusionment among younger generations.

    By the late 2000s, the government had begun warning that policy measures were needed to encourage families to grow. Last September, South Korean President Yoon Suk Yeol admitted that more than $200 billion has been spent trying to boost the population over the past 16 years.

    But so far nothing has worked – and the effects have been increasingly visible in the social fabric and day-to-day life.

    Many elementary, middle and high schools are closing around the country due to a lack of school-age children, according to Korean news agency Yonhap, citing the education ministry. Figures from the country’s official statistics body show the overall number of middle and high schools have remained stagnant for years, only rising by a few dozen since 2015.

    In Daejeon, south of Seoul, one such abandoned school has become a popular spot for photographers and urban explorers; images show eerily empty hallways and a school yard overgrown by wild grass.

    A photographer outside an abandoned school near Daejeon, South Korea, on March 22, 2014.

    Similar crises have been seen in other East Asian countries with falling birth rates. One village in Japan went 25 years without recording a single birth. The arrival of a baby in 2016 was heralded as a miracle, with elderly well-wishers hobbling to the infant’s house to hold him.

    Meanwhile, South Korea’s expanding elderly population has meant an explosion in demand for senior services, placing strain on a system scrambling to keep up.

    South Korea has the highest elderly poverty rate among the OECD nations (Organisation for Economic Co-operation and Development), with more than 40% of people over 65 years old facing “relative poverty,” defined by the OECD as having income lower than 50% of median household disposable income.

    “In Korea, the pension system is still maturing, and current generations still have very low pensions,” the OECD wrote in a 2021 report.

    Experts point to other factors such as global economic trends, the breakdown of old social structures that saw children looking after their parents, and insufficient government support for those struggling financially.

    That means a number of homeless elderly people – part of a generation that helped rebuild the country after the Korean War – having to seek assistance from shelters and soup kitchens.

    The rapid rise in elderly facilities in recent years may help alleviate some of these problems. But longer-term concerns remain about the future of Korea’s economy, as the number of young workers – who are crucial in propping up the health care and pension systems – slowly dwindle.

    Source link

  • California is about to give Hollywood studios a lucrative tax deal during the writers’ strike | CNN Business

    California is about to give Hollywood studios a lucrative tax deal during the writers’ strike | CNN Business



    CNN
     — 

    The state of California is about to give movie and TV studios a new lucrative tax perk.

    A bill awaiting California Gov. Gavin Newsom’s signature would the state’s tax incentive program for film and TV productions for five years but with a key update: Studios with more tax credits than they can use will be able to exchange those credits for cash. The bill, part of the state’s overall budget plan, was passed by California legislators on Tuesday, and Newsom is expected to sign it on Friday.

    The bill also mandates any production that receives the tax credit to comply with new on-set firearm safety protocols following the 2021 deadly shooting on the set of Alec Baldwin’s film “Rust,” and it implements requirements aiming to meet diversity hiring targets.

    The new, refundable tax credits come as competition for film and TV production from other states and countries is on the rise. States like New York and Georgia are gaining share of the TV and film market, thanks to their own tax incentive programs, according to a 2021 report from FilmLA — a nonprofit organization that helps creators with production planning and film permitting.

    The bill should be a boon for studios like Netflix. The streaming giant had not previously been able to take full advantage of the tax credit program since it uses a separate research and development incentive from California to significantly reduce its tax liability. In a 2020 SEC filing, Netflix said it had $250 million in California R&D tax credits — far more than it could use.

    Disney and Comcast’s Universal Studios were the only two studios that benefited under California’s existing tax incentive program, due to their relatively larger tax bills from theme parks, according to Democratic assemblywoman Wendy Carrillo, one of the bill’s sponsors. The new bill could benefit other studios that don’t have theme parks in the state, including Warner Bros, which is owned by CNN parent company Warner Bros. Discovery.

    The bill’s safety measures require productions to employ an adviser to oversee production safety and complete detailed risk assessments. Studios must also establish training requirements and standards that focus on the safe handling of firearms. Many of these safety protocols were voluntary before the bill.

    Dave Cortese, the Democratic state senator who introduced the safety protocols in the bill, said research for the legislation began soon after actor Baldwin fired a live round of ammunition from what he said he believed to be an unloaded prop gun during a film’s rehearsal. Cinematographer Halyna Hutchins was killed.

    “Conversations about this legislation started the week after the tragic loss of a cinematographer. Those negotiations have produced the nation’s first and best safety practices for California workers in the state’s vital motion picture industry,” Cortese said.

    In addition to refundable tax credits and stricter safety standards, the bill establishes specific diversity requirements. Studios must submit data about the diversity of their workforce to qualify for the full credit. The bill also adds a new member to the state’s film commission with diversity, equity, and inclusion expertise.

    The tax perk for Hollywood comes amid ongoing tension between the industry’s workforce and the studios’ bosses. The Writers Guild of America, has been on strike since early May, halting the production of many shows. The association’s more than 11,000 members are fighting over substantial issues like pay, the number of writers staffed on any given project, and whether artificial intelligence can be used in writing material.

    Actors may soon stage a work stoppage, as well. Members of the actors’ union, SAG-AFTRA, have voted to authorize a strike against the major studios if they cannot agree to the terms of a new contract. Similar to the WGA, the actors’ union has voiced similar concerns about pay and the use of AI.

    Democratic lawmakers in California celebrated the bill. Carrillo said the plan was a “grand compromise,” and it would help protect jobs in the state.

    “These are hundreds of thousands of jobs, most of which impact Los Angeles County and the city of Los Angeles. They’re good union jobs, they’re production jobs, they’re creative jobs,” she said.

    However, the bill has attracted some criticism. Chris Hoene, the executive director of the California Budget & Policy Center, a nonprofit think tank that provides analysis on state budget issues intending to improve outcomes for low-income communities and people of color in the state, called it “bad policy.”

    “Refundable tax credits were designed to help low-income households… so to take that refundability structure and apply it to a business tax credit, you would think there are some film companies that struggle to make ends meet and don’t make enough money to owe any taxes, but that’s not how it works,” he said.

    Hoene called the new policy a “giveaway that doesn’t have any positive outcomes.”

    The refundable credits are designed to help more than just the big studios, Carrillo said. Film and TV productions help support surrounding businesses in the area, including “small restaurants and catering services,” Carrillo said.

    “It’s very important that California has a competitive advantage and ultimately keeps these jobs and productions in our state while other states continue to announce more incentives,” she added.

    Still, Hoene argued that there were more effective ways to create well-paying jobs in California.

    “If we wanted to take scarce state resources to help workers, we could do that in ways that could provide them with assistance directly, rather than giving it to large corporations who are already minimizing their tax bills in other ways,” he said.

    Source link

  • The company supplying water to millions of Londoners is in deep trouble | CNN Business

    The company supplying water to millions of Londoners is in deep trouble | CNN Business


    London
    CNN
     — 

    Britain’s biggest water supplier said Wednesday it needed to raise more cash from investors, as UK media reported the government was preparing contingency plans to rescue the company.

    Thames Water provides drinking water and waste water services to 15 million customers in London and the southeast of England. The utility, which counts one of Canada’s largest public pension funds among its top investors, has around £14 billion ($17.5 billion) of debt on its balance sheet.

    News that it needs more money came just a day after CEO Sarah Bentley resigned with immediate effect after three years in the role. She was in the second year of an eight-year turnaround plan to address aging infrastructure, tackle leakage and reduce pollution in rivers, a legacy of underinvestment.

    Thames Water received £500 million ($635 million) from shareholders in March, but said Wednesday it would need more.

    The firm “is continuing to work constructively with its shareholders in relation to the equity funding expected to be required to support Thames Water’s turnaround and investment plans,” it added.

    The company said it was keeping the water industry regulator Ofwat “fully informed” of its progress and added that it had a “strong liquidity position,” including £4.4 billion ($5.6 billion) of cash.

    Ofwat said it was in “ongoing discussions” with Thames Water “on the need for a robust and credible plan to turn the business around.”

    “We will continue to focus on protecting customers’ interests,” it added.

    Government ministers, including representatives from the UK Treasury and the environment department, Defra, are holding emergency talks with Ofwat over Thames Water’s future, according to UK media reports.

    One possibility would be to place the company into a special administration regime that effectively takes the firm into temporary public ownership. Sky News was first to report the discussions.

    A government spokesperson told CNN: “This is a matter for the company and its shareholders. We prepare for a range of scenarios across our regulated industries — including water — as any responsible government would.”

    The spokesperson added that the UK water sector “as a whole is financially resilient.”

    Thames Water says about 24% of the water it supplies to customers is lost through leakage.

    The company’s single biggest shareholder is the Ontario Municipal Employees Retirement System, which holds a stake of around 32%. The Universities Superannuation Scheme, a pension fund for the academic staff of UK universities, owns nearly 20%.

    Other large investors include the Chinese and Abu Dhabi sovereign wealth funds, as well as British Columbia Investment Management Corporation, which invests on behalf of public sector workers.

    Source link

  • Celebrate Juneteenth by promoting Black health, wealth and joy | CNN

    Celebrate Juneteenth by promoting Black health, wealth and joy | CNN



    CNN
     — 

    June 19, 2023 is the third annual observance of Juneteenth. The federal holiday commemorates June 19, 1865, when the enslaved people in Galveston, Texas, learned of their emancipation two years after President Lincoln signed the Emancipation Proclamation.

    Although Juneteenth has recently become more widely recognized, the date has long been a deeply spiritual time of remembrance and celebration for the Black community.

    Across the country, African Americans have rejoiced with fireworks and cookouts, sipping red drinks – a nod to ancestors’ bloodshed and endurance.

    “We know the horrors that we went through,” explained Kleaver Cruz, writer of the forthcoming book “The Black Joy Project” and creator of a digital initiative of the same name. “It’s always concurrent: the joy and the pain. We use one to get through the other.”

    On a particularly joyous note, this June 19, CNN and OWN (both properties of Warner Bros. Discovery) will simulcast Juneteenth: A Global Celebration for Freedom at 8 PM Eastern time. The concert will feature artists across multiple genres including Charlie Wilson, Miguel, Kirk Franklin, Nelly, SWV, Davido, Coi Leray, Jodeci and Mike Phillips. CNN will kick off pre-show coverage at 7 PM Eastern time, highlighting Black advocates, trailblazers, and creators.

    “We get to celebrate our freedoms; we get to celebrate the dismantling of things and lean into what we want in the future,” Cruz said of Juneteenth observance. “We want more of that space and less of the one that harms us.”

    The Black community still struggles with pain and inequity. Impact Your World has gathered ways you can help reject the pathology of racism and thoughtfully celebrate Juneteenth through non-profits that support Black health, wealth, joy, and overall empowerment. You can donate to those charities here.

    For Black Americans, the end of slavery was just the beginning of a 158-year quest for equality. Along the way, the cumulative effect of institutional and systemic racism fomented stark disparities in income, health, education, and opportunity.

    “Those that came before us were physically free but were unable to earn livable wages or receive an education without its share of defeating challenges,” said Marsha Barnes, Founder of The Finance Bar.

    Data collected by the Board of Governors of the Federal Reserve System shows that in the fourth quarter of 2022, the average Black household’s net worth was about one-fourth that of the average White household.

    “Taking the time to address the racial wealth gap highlights many of the roadblocks we as Black Americans currently face,” explained Barnes, a certified financial therapist. She sees the well-documented connection between financial literacy and financial wellness as a key to enhancing wealth in the Black community.

    “We still are at a disadvantage, but it’s important we become comfortable with having to learn while playing the game,” Barnes told CNN.

    HomeFree-USA is a non-profit aiming to close the racial wealth gap by improving financial education, homeownership, and opportunities. Their Center for Financial Advancement (CFA) recruits, trains, and places Historically Black College and University students into internships and careers with mortgage and real estate companies. The goal is to enhance diversity in the financial sector, expose students to credit and money management and help them become savvy consumers and future homeowners.

    The African American Alliance for Homeownership is a non-profit counseling agency that helps families obtain, retain, maintain, and sustain their homes. The organization offers HUD-certified counselors who support first-time homebuyers and foreclosure prevention. The group recently expanded its services to help homeowners with estate plans, resource navigation, home repairs, and energy-efficiency upgrades.

    Former NFL Player Warrick Dunn started Warrick Dunn Charities in 1997 to help single parents buy homes by providing $5,000 down payments and home furnishings.

    “The more I learned, we wanted to get into the business of giving people the potential to break their cycle of poverty,” Dunn explained in a 2021 interview with CNN.

    The non-profit has expanded its priorities to include financial literacy, health and wellness, education attainment, workforce development, and entrepreneurship support.

    The National Urban League is committed to the advancement of African Americans through economic empowerment, equality, and social justice. The organization champions education, job training, workforce development, and civic engagement through community and national initiatives.

    The legacy of racism in America continues to fuel health and healthcare inequities for Black people.

    “We’re seeing diseases that, when I was in medical school, I thought to be diseases that would start to develop in people in their fifties, sixties, and seventies. I’m seeing these diseases sometimes in teenage years,” said Dr. Barbara Joy Jones, an Atlanta-based family medicine physician.

    According to the CDC, five health conditions particularly affect the Black community at higher rates: cardiovascular disease, human immunodeficiency virus (HIV), metabolic syndrome, colon cancer, and mental health conditions.

    “I consider hypertension, Diabetes, and obesity the triad,” said Jones.

    The leading contributor to that triad is what you eat.

    “Diet is 80% of health, and just access to quality food and education about food has been very hard,” Jones explained.

    “When you go back and look at slavery, the foods we had to eat were the last scraps, so through the passing down of culture, you’re eating foods that are not the healthiest because it was simply for survival,” said Jones.

    According to Feeding America, eight of the ten US counties with the highest food insecurity rates are at least 60% Black and one in every four Black American children is affected by hunger.

    Addressing food insecurity, nutrition education, and better food access can make a difference.

    Feeding America runs a network of food banks in those mostly Black hard-hit counties.

    Share Our Strength runs a program called Cooking Matters offering cooking classes, grocery store tours, and digital content to help marginalized families across the country shop and cook with an eye towards health and budget.

    The African American Diabetes Association uses targeted outreach projects to help Black people prevent or delay type 2 diabetes.

    Despite progress over the years, racism continues to impact the mental health of African American people.

    “The stress and microaggressions that happen daily for a person of color in the work environment and everyday life add up, and unmitigated stress can lead to disease,” Jones told CNN.

    The Black Mental Health Alliance and the Trevor Project, provide training and networks of mental health providers specifically supportive of the Black and Black LGBTQ communities.

    In 2019, the CDC found that Black people comprised 41% of the new HIV infections in the US. The Black AIDS Institute was founded in 1999 to mobilize and educate Black Americans about HIV/AIDS treatment and care. The Black AIDS Institute advances research, support groups, and education and runs a clinic catering to BIPOC and underserved communities.

    As recently as the 1990’s, unethical medical research was conducted on Black Americans. The Tuskegee Study is one of the most widely recognized examples of the racist practice that led many Black people to distrust the healthcare system and avoid doctors altogether.

    Beyond investing in cultural sensitivity training and prioritizing preventative care, Jones said, “For anti-doctor people, find someone that looks like you; representation matters.”

    “Half of the getting to know your part of medicine is to know why psychosocial and economically you are where you are, and having a doctor that looks like you can support that.”

    Only about 5.7% of US physicians identify as Black or African American, according to the Association of American Medical Colleges.

    The White Coats Black Doctors Foundation is working to increase diversity in the medical profession, supporting educational preparation to become a doctor and helping offset the costs associated with applying and transitioning to residencies.

    Janice Lloyd of Annapolis, Maryland watches a Juneteenth parade in 2021.

    Black joy has been essential for survival, resistance, and self-development for centuries. But these days, it’s often exploited and misunderstood.

    “I see the ways that Black joy at this moment is being commercialized or co-opted to make it feel like it’s Black people smiling,” lamented Cruz. “It’s much, much deeper than that.”

    Cruz launched the Black Joy Project as a photo essay on social media in 2015 following the deaths of Michael Brown and Sandra Bland to help the Black community process its collective pain.

    “I posted it on Facebook in the stream of consciousness and said, ‘Let us bombard the internet that joy is important too, and as people are sharing these traumatic videos, we have to make space for joy.’ And it was an invitation for anybody else that wanted to do that.”

    Enslaved Black people knew they weren’t free but still hoped their future generations would be. That empowering optimism gave them the will to press forward, no matter the circumstance.

    “This (joy) is just a continuation of those practices,” Cruz said. “Joy is intrinsic. It’s something that can’t be taken from us because it comes within us; it’s always ours to have.”

    Juneteenth is a celebration of freedom, culture, and history, and it’s important to uplift non-profits that positively nourish the arts, music, and all the things that foster Black joy.

    The Robey Theatre Company was founded in 1994 by actors Danny Glover and Ben Guillory to tell the complex stories of the Black experience. The theater showcases and develops up-and-coming actors and playwrights to sustain Black theater.

    The Debbie Allen Dance Academy uses dance, theater, and performance to enrich, inspire and transform students’ lives.

    As some states are moving to block Critical Race Theory and Black history from public education, the Legacy Museum: From Enslavement to Mass Incarceration gives visitors an interactive history lesson on the harsh repercussions of slavery and systemic racism in the US. The immersive exhibition carries visitors through the transatlantic slave trade up to the current mass incarceration of Black people. The museum occupies a site in Montgomery, Alabama where enslaved Black people were historically auctioned off.

    “If we’re being serious about Black joy, that means we’re being serious about Black lives, period,” Cruz concluded.

    Source link

  • ‘Pretending to live a civilian life’: How pro-Ukrainian residents of occupied Melitopol feel daily fear | CNN

    ‘Pretending to live a civilian life’: How pro-Ukrainian residents of occupied Melitopol feel daily fear | CNN


    Kyiv
    CNN
     — 

    Editor’s note: The southern Ukrainian city of Melitopol has long been known for its sweet delights. The name “Melitopol” means “the Honey City” in Ukrainian and the city’s official logo features a cherry, a nod to the deep red fruit the region is famous for.

    But life in Melitopol is anything but sweet. The city was captured by Russian troops shortly after Moscow launched its full-scale invasion of Ukraine in February last year. Pro-Ukrainian partisans have remained active in the city, orchestrating several attacks against the pro-Russian administration installed in the place of its elected leaders. The Zaporizhzhia region in which the city lies is partially occupied by Russia and was illegally annexed last September.

    Below is the account of a Melitopol resident in her early 30s who has refused to flee the city and is living under Russian occupation. CNN is not naming her because of concerns for her safety. Her testimony was translated from Ukrainian and edited for brevity. 

    There is terror in Melitopol. But it’s quiet, you don’t see it in the streets.

    For partisans, the situation here is terrible. For those of us who rejected Russian passports and are now known as “the unreliable,” the situation is terrible. But if you go to the market, you wouldn’t think that anything is going on.

    The Russians are trying to force everyone here to get Russian passports. It’s easier to manipulate people when they have Russian citizenship. Not getting the passports makes our life very difficult. They are refusing to give us access to hospitals and so on. We are a family of farmers and we are losing our land because we don’t have any Russian documents.

    I’m afraid I will eventually have to get it. But we are delaying this moment. One relative went to the office and the queues were huge because everyone was intimidated into getting a passport. The process has sped up. Previously, you had to wait a month or two, but now they can print a passport in a week.

    Everyone was given cash welfare payments until February, but starting in March, only people with Russian passports get them. That’s why many pensioners started getting passports now because there was no need for it before. Disabled people, people on low incomes, and those who wanted to use free healthcare took the passports immediately after the Russians started offering them, because they didn’t want to lose the benefits.

    All in all, a large percentage of the population already has Russian passports. If you don’t, you’re a black sheep, and you can be subject to a frisking.

    Here in Melitopol, searches are usually conducted after shelling and after guerrilla attacks on pro-Russian collaborators. My grandmother’s house was searched because a Russian soldier deserted when he was in the village. They searched the houses in the village, trying to find him.

    The people who remained in Melitopol can be divided into several categories. There are those who are basically satisfied with the current pro-Russian government. There are those who don’t care and who would support whoever gives them more money in cash payments.  

    Those who stayed mostly support the pro-Russian government. They are convinced that it is here to stay.  

    Obviously, there are also Ukrainian patriots, those of us waiting for Ukraine to win this war. We whisper to each other in the market. You can tell that someone is supporting Ukraine at the market when you ask for high quality produce. Vendors start cursing Russia because they now have to choose between selling bad products and worse products.

    There are still a lot of partisans, God bless them, but we are in the minority. Most of the Ukrainian patriots have left, especially those who actively participated in rallies, because there was a direct threat to their lives.

    Our neighbor turned us in for supporting Ukraine, but we are not being touched, at least not yet. My neighbor works for the new government and she knows that we actively opposed Russia during the first phase of the war.

    I think we will be issued some kind of document that they give to “the unreliable” which says we have refused the passports. This means nothing except showing that we refused to take Russian passports. It’s a temporary certificate of non-citizens, but you either take this piece of paper or you have to leave Melitopol. So, we are going to take it.

    Until April, it was possible to move freely throughout the occupied zone without documents. Now you need a Russian passport or the non-citizen document, but they keep issuing warnings and saying that you need to get a Russian passport by June or you will not be allowed to leave.

    People here are encouraged to send their children to summer camps in Crimea, like they were last year. Some parents on our street voluntarily sent their children to Crimea for a month and the children came back. But our neighbors, who have since left for Germany, did not want to send their son to a Russian school or to a camp, and it was okay. Their son stayed at home all year, studying online at a Ukrainian school. Children are not taken away by force here. You have to understand that parents send them there voluntarily.

    In this file photo, Russian passports are being issued to residents in the occupied city of Melitopol.

    It’s true that the occupiers are worried about the counteroffensive. The mood in the city has changed dramatically over the past month, from “Melitopol is forever with Russia” to thinking where and how they will build defense lines.

    Of course, this is just what the ordinary soldiers in the city are saying, but there is no longer that victorious mood. I feel that something is going to happen here soon. Ukrainian hryvnias are being bought up in the market, and farmers are refusing to sell their products, because they are waiting to give it to Ukraine. And all the neighbors who are in favor of Russia have stopped communicating with us, because they are no longer sure that Russia will stay here forever and are afraid to talk.

    There are more or less no problems with getting food. There is no variety, but there are no shortages either. The standards and packaging have completely changed since the invasion started. Butter that is made at the same factory tastes so bad now that we don’t know what to do to mask the taste.

    Everything that is imported from Russia contains palm oil. That’s not an exaggeration, the ingredient list of a candy lists palm oil three times. It’s in everything. Sausages, cheese, candy, cookies, butter.

    But the biggest problem is with medicines and household goods, as well as baby food. Russia doesn’t have good quality medicines and there is no choice. You go to a pharmacy and they give you one option, take it or leave it. People inquire about medicines for 10 minutes and in the end, they only have iodine. A woman in front of me was trying to buy Nestlé baby food, but the price was out of this world. She ended up buying some Russian-made equivalent.

    My mother and grandmother have diabetes. The Russian medicines have the same active ingredient but they affect them in completely different ways. They have different dosages and excipients and my mother and grandmother started feeling much worse when they began taking them. We received some Ukrainian medicines from Ukraine through Crimea, enough for a month and a half.

    The cynicism of doctors and pharmacists here is overwhelming. No one says anything directly. We call the war a “situation” here. So, they just answer: “Well, this is the situation, if you need it, go to Ukraine or Europe.” When I told the doctor that I needed specific medication, I was told to go to the city of Zaporizhzhia to buy it. And just so you understand, to go to Zaporizhzhia, you have to go via Moscow. That’s the only way.

    A Russian flag flies in the occupied city of Melitopol on October 13, 2022.

    In Russia, they don’t have the same standards and regulations for products. Nothing like that. Russian soaps, shampoos, and toothpastes are of terrible quality. Belarusian ones are a little better, and the best option for us here is Turkish shampoo. There are a lot of Chinese and Turkish products on the market. Russian and Chinese products are of the worst quality, while Belarusian and Turkish products are more or less okay, but more expensive.

    The problem is that only the military here have a lot of money, and often they buy everything decent. The rumours that Russians themselves do not want to buy Russian products are true. Until September, Ukrainian products were smuggled to Melitopol and the Russian military bought everything themselves. Soldiers stood in line in front of me and asked for Ukrainian socks and soap. Now there are no Ukrainian goods anymore.

    Everyone is pretending to live a civilian life. There’s no talk of evacuation. People are used to the explosions and to the fact that from time to time there are burnt-out cars of pro-Russian collaborators on the main street. People are used to the fact that Russian troops and authorities can come to your house and kick you out.

    People have gotten used to everything over the year.

    Source link

  • How charging drivers to go downtown would transform American cities | CNN Business

    How charging drivers to go downtown would transform American cities | CNN Business


    New York
    CNN
     — 

    President Joe Biden’s administration is set to allow New York City to move forward with a landmark program that will toll vehicles entering Lower Manhattan, after a public review period ends Monday.

    The toll is formally known as the Central Business District Tolling Program — but it’s commonly called “congestion pricing.”

    In practice it works like any other toll, but because it specifically charges people to drive in the traffic-choked area below 60th street in Manhattan, it would be the first program of its kind in the United States.

    Proposals range from charging vehicles $9 to $23 during peak hours, and it’s set to go into effect next spring.

    The plan had been delayed for years, but it cleared a milestone last month when the Federal Highway Administration signed off on the release of an environmental assessment. The public has until Monday to review the report, and the federal government is widely expected to approve it shortly after.

    From there, the New York Metropolitan Transportation Authority (MTA) can finalize toll rates, as well as discounts and exemptions for certain drivers.

    New York City is still clawing out of from the devastating impact of the Covid-19 pandemic. Congestion pricing advocates say it’s a crucial piece of the city’s recovery and a way to re-imagine the city for the future.

    “This program is critical to New York City’s long-term success,” New York Gov. Kathy Hochul said last month.

    The plan would also mark the culmination of more than a half-century of efforts to implement congestion pricing in New York City. Despite support from several New York City mayors and state governors, car and truck owners in outer boroughs and the suburbs helped defeat proposals.

    In 2007 Mayor Michael Bloomberg called congestion “the elephant in the room” when proposing a toll program, which state lawmakers killed. A decade later, Gov. Andrew Cuomo — who had long resisted congestion pricing — said it was “an idea whose time has come” and declared a subway state of emergency after increased delays and a derailment that injured dozens. Two years later, the state gave the MTA approval to design a congestion pricing program.

    Ultimately, it was the need to improve New York City’s public transit that became the rallying cry for congestion pricing.

    Each day 700,000 cars, taxis and trucks pour into Lower Manhattan, one of the busiest areas in the world with some of the worst gridlock in the United States.

    Car travel at just 7.1 mph on average in the congestion price zone, and it’s a downward trend. Public bus speeds have also declined 28% since 2010. New Yorkers lose 117 hours on average each year sitting in traffic, costing them nearly $2,000 in lost productivity and other costs, according to one estimate.

    The toll is designed to reduce the number of vehicles entering the congestion zone by at least 10% every day and slash the number of miles cars travel within the zone by 5%.

    Congestion comes with physical and societal costs, too: more accidents, carbon emissions and pollution happen as belching, honking cars take up space that could be optimized for pedestrians and outdoor dining.

    Proponents also note it will improve public transit, an essential part of New York life. About 75% of trips downtown are via public transit.

    But public-transit ridership is 35% to 45% lower compared to pre-pandemic levels. The MTA says congestion fees will generate a critical source of revenue to fund $15 billion in future investments to modernize the city’s 100-year-old public transit system.

    The improvements, like new subway cars and electric signals, are crucial to draw new riders and improve speed and accessibility — especially for low-income and minority residents, who are least likely to own cars, say plan advocates.

    New York City is “dependent on public transit,” said Kate Slevin, the executive vice president of the Regional Plan Association, an urban planning and policy group. “We’re relying on that revenue to pay for needed upgrades and investments that ensure reliable, good transit service.”

    Improving public transportation is also key to New York City’s post-pandemic economic recovery: If commutes to work are too unreliable, people are less likely to visit the office and shop at stores around their workplaces. Congestion charge advocates hope the program will create more space for amenities like wider sidewalks, bike lanes, plazas, benches, trees and public bathrooms.

    “100 years ago we decided the automobile was the way to go, so we narrowed sidewalks and built highways,” said Sam Schwartz, former New York City traffic commissioner and founder of an eponymous consulting firm. “But the future of New York City is that the pedestrian should be king and queen. Everything should be subservient to the pedestrian.”

    While no other US city has yet implemented congestion pricing, Stockholm, London and Singapore have had it for years.

    These cities have reported benefits like decreased carbon dioxide pollution, higher average speeds, and congestion reduction.

    Just one year after London added its charge in 2003, traffic congestion dropped by 30% and average speeds increased by the same percentage. In Stockholm, one study found the rate of children’s acute asthma visits to the doctor fell by about 50% compared to rates before the program launched in 2007.

    Some groups are fiercely opposed to congestion charges in New York City, however. Taxi and ride-share drivers, largely a low-income and immigrant workforce, fear it will hurt drivers already struggling to make ends meet. The MTA said congestion pricing could reduce demand for taxis by up to 17% in the zone.

    Commuters and legislators from New York City’s outer boroughs and New Jersey say the program hurts drivers who have no viable way to reach downtown Manhattan other than by car, and that this would disproportionately impact low-income drivers. (But out of a region of 28 million people, just an estimated 16,100 low-income people commute to work via car in Lower Manhattan, according to the MTA.)

    Other critics say it could divert more traffic and pollution from diesel trucks in Manhattan into lower-income areas like the Bronx, which has the highest rates of asthma hospitalization in the city.

    The MTA and other agencies have plans to mitigate many of these adverse effects, however.

    Taxis and for-hire vehicles will be tolled only once a day. Drivers who make less than $50,000 a year or are enrolled in certain government aid programs will get 25% discounts after their first 10 trips every month. Trucks and other vehicles will get 50% discounts during overnight hours.

    Additionally, the MTA pledged $10 million to install air filtration units in schools near highways, $20 million for a program to fight asthma, and other investments to improve air quality and the enviornment in areas where more traffic could be diverted.

    The stakes of New York City’s program are high, and leaders in other cities are watching the results closely.

    If successful, congestion pricing could be a model for other US cities, which are trying to recover from the pandemic and face similar challenges of climate change and aging public infrastructure.

    “It’s good to see New York City’s program is moving forward,” said the Los Angeles Times Editorial Board last month. “Los Angeles should watch, learn and go next.”

    Source link

  • San Francisco announces inaugural Drag Laureate, the first position of its kind in the country | CNN

    San Francisco announces inaugural Drag Laureate, the first position of its kind in the country | CNN


    San Francisco
    CNN
     — 

    D’Arcy Drollinger, a veteran of San Francisco’s vibrant drag scene, has been named the city’s first-ever Drag Laureate and will become an ambassador for San Francisco’s drag and LGBTQ+ community for an 18-month term, Mayor London Breed’s office announced Thursday.

    The position is the first of its kind in the country.

    “While drag culture is under attack in other parts of the country, in San Francisco we embrace and elevate the amazing drag performers who through their art and advocacy have contributed to our City’s history around civil rights and equality,” Breed said in a news release.

    Drollinger says she’s “proud to live in a city that is pioneering this position while other parts of the US and the world might not be supportive of Drag. This role will build bridges and create partnerships, while elevating and celebrating the Art of Drag.”

    Drag, according to Drollinger, is a way for many people who “aren’t allowed to sparkle in their real lives and as their true selves” to find refuge, she told CNN.

    Breed officially announced the creation of the Drag Laureate program in her June 2022 city budget, but the concept was first introduced in August 2020 in a report from San Francisco’s LGBTQ+ Cultural Heritage Task Force, a city-supported task force which reviewed community feedback on LGBTQ+ needs and concerns.

    Among other strategies, the task force recommended improving partnerships between city agencies and community organizations to expand creative programs for LGBTQ+ artists, including the “creation and funding of LGBTQ+ artist residency opportunities.”

    Finding spaces for queer creatives is an issue Drollinger understands intimately, as she opened the popular Oasis cabaret and nightclub in 2015 to provide a mid-size venue space for both local and touring drag performers. The survival and success of Oasis, through the pandemic, was vital for San Francisco’s drag community.

    “It’s important to have a space that’s for everyone, and Oasis has become a bit of a hub,” Drollinger said.

    Drag has a rich history in San Francisco, both as an appreciated art form and protest medium. Dating back to the 1950s, nightclubs such as the Black Cat and Finocchio’s drew both queer and straight audiences. The Compton Cafeteria riots in the city’s Tenderloin district became one of the first notable acts of queer protest in 1966 – three years before New York City’s famed Stonewall riots.

    Drollinger, a San Francisco native, has always been drawn to the city’s vibrant creative queer scene.

    “There’s something in the water. What I find exciting about San Francisco, it still remains that there is a willingness to experiment here that I haven’t found in many other places. People are willing to workshop things and play around with stuff purely for the joy of making art,” Drollinger said.

    She commends the city for spearheading efforts to promote drag, especially at a time when drag performance is under attack. By making the Drag Laureate an official city position, provided with a $55,000 stipend, Drollinger says San Francisco sends a message of the “legitimacy” of drag.

    “(San Francisco) is not asking for a volunteer. They’re asking us to be a diplomat and show up and be a part of the city.”

    D'Arcy Drollinger emcees during a drag show at Oasis nightclub Tuesday, May 16, 2023, in San Francisco.

    Before Per Sia, one of the Drag Laureate applicants, began dressing in drag, they fell in love with the art form as a photographer, capturing images of drag queens in South Central Los Angeles and San Francisco. They loved the extravagance and celebrity-like personas drag queens embodied but felt too shy and nervous to do drag themselves.

    The first time Per Sia dressed in drag was 16 years ago on a dare, to perform in San Francisco’s Castro District. The experience was revelatory and they haven’t looked back.

    “After I [performed], there was this sense of joy, this empowerment that I have never felt before, and I just fell in love with it,” Per Sia said.

    Socrates Parra, also known as Per Sia

    They balance drag performance with their second career as an arts educator. Per Sia, who jokes that they get to “teach the little kids” during the day and “perform in front of the big kids” at night, sees drag as a tool to educate people, on top of entertaining them.

    They combine these two careers as a regular for Drag Story Hour, a program where drag queens read stories to children to promote self-expression. They’ve read for San Francisco Public Library events and Oakland Pride, and Per Sia enjoys teaching children about “thinking outside of the box” through these story hours.

    “When you’re a little kid, it’s all about using your imagination, glittering everything and using all the colors, but at some point all of that gets taken away,” Per Sia said. “The benefit of drag is that you teach kids that there’s other ways of living.”

    Drag has always been a part of Drollinger’s life, but it was a slow process for her to embrace drag as her “work clothes” until she was in her 40s. She credits drag for helping her find her community and identity.

    “So many people that find drag, they find it when they aren’t allowed to sparkle in their real life, and their fabulousness is squashed,” Drollinger said. “Drag is a way to let so much of that out.”

    D'arcy Drollinger on the runway at Princess, a dance party and drag show at Oasis, Drollinger's cabaret and nightclub.

    The appointment of the Drag Laureate comes at a time when public drag performances and transgender expression are being threatened by conservative lawmakers across the country.

    “San Francisco’s commitment to inclusivity and the arts are the foundation for who we are as a city,” Breed wrote in a November statement. “Drag artists have helped pave the way for LGBTQ+ rights and representation across our city, and they are a part of what makes our city so special.” [[pending updated comment from mayor’s office TK]]

    Legislation banning or restricting drag has been gaining momentum in many Republican-led states. GOP lawmakers have claimed that drag performances expose children to sexual themes and imagery that are inappropriate, though many drag performances take place in age-restricted locations or require parental consent to attend.

    In March 2023, Tennessee became the first state to pass a law banning drag performances on public property and in locations where children can view the performances.

    Drollinger feels the effects of the national pushback against her work, even in a city known for progressive values. She’s spent more money on security at Oasis to ensure the audience and performers feel safe, she told CNN.

    “Creating these kinds of laws, demonizing trans people and the LGBTQ+ community, what they’re doing is inciting violence,” Drollinger said. “It’s terrifying. They want to erase my community and erase us.”

    Both Per Sia and Drollinger hope that by pioneering the Drag Laureate position, San Francisco will establish a model of tolerance for others to follow.

    “Important things happen here in San Francisco, and the world takes notice. Having this position for someone like me or anyone who applied is so special, but also, it’s showing the world that drag is powerful, and it deserves a place,” Per Sia said.

    Source link

  • The demographic makeup of the country’s voters continues to shift. That creates headwinds for Republicans | CNN Politics

    The demographic makeup of the country’s voters continues to shift. That creates headwinds for Republicans | CNN Politics



    CNN
     — 

    Demographic change continued to chip away at the cornerstone of the Republican electoral coalition in 2022, a new analysis of Census data has found.

    White voters without a four-year college degree, the indispensable core of the modern GOP coalition, declined in 2022 as a share of both actual and eligible voters, according to a study of Census results by Michael McDonald, a University of Florida political scientist who specializes in electoral turnout.

    McDonald’s finding, provided exclusively to CNN, shows that the 2022 election continued the long-term trend dating back at least to the 1970s of a sustained fall in the share of the votes cast by working-class White voters who once constituted the brawny backbone of the Democratic coalition, but have since become the absolute foundation of Republican campaign fortunes.

    As non-college Whites have receded in the electorate over that long arc, non-White adults and, to a somewhat lesser extent, Whites with at least a four-year college degree, have steadily increased their influence. “This is a trend that is baked into the demographic change of the country, so [it] is likely going to accelerate over the next ten years,” says McDonald, author of the recent book “From Pandemic to Insurrection: Voting in the 2020 Presidential Election.”

    From election to election, the impact of the changing composition of the voter pool is modest. The slow but steady decline of non-college Whites, now the GOP’s best group, did not stop Donald Trump from winning the presidency in 2016 – nor does it preclude him from winning it again in 2024. And, compared to their national numbers, these non-college voters remain a larger share of the electorate in many of the key states that will likely decide the 2024 presidential race (particularly Michigan, Pennsylvania and Wisconsin) and control of the Senate (including seats Democrats are defending in Montana, Ohio and West Virginia.)

    But even across those states, these voters are shrinking as a share of the electorate. And McDonald’s analysis of the 2022 results shows that the non-college White share of the total vote is highly likely to decline again in 2024, while the combined share of non-Whites and Whites with a college degree, groups much more favorable to Democrats, is virtually certain to increase. The political effect of this decline is analogous to turning up the resistance on a treadmill: as their best group shrinks, Republicans must run a little faster just to stay in place.

    Especially ominous for Republicans is that the share of the vote cast by these blue-collar Whites declined slightly in 2022 even though turnout among those voters was relatively strong, while minority turnout fell sharply, according to McDonald’s analysis. The reason for those seemingly incongruous trends is that even solid turnout among the non-college Whites could not offset the fact that they are continuing to shrink in the total pool of eligible voters, as American society grows better-educated and more racially diverse.

    Given that minority turnout fell off, the fact that the non-college White share of the total 2022 vote still slightly declined “has to be a huge cause for concern for Republicans at this point,” says Tom Bonier, chief executive of TargetSmart, a Democratic political targeting firm. If more of the growing pool of eligible minority voters turn out in 2024, he says, “it is not unreasonable to expect” that the non-college White voters so critical to GOP fortunes could experience an even “steeper decline” in their share of the total votes cast next year.

    That prospect remains a central concern for the dwindling band of anti-Trump Republicans who fear that the former president has dangerously narrowed the GOP’s appeal by identifying it so unreservedly with the cultural priorities and grievances of working-class White voters, many of them older and living outside of the nation’s largest and most economically productive metropolitan areas.

    McDonald’s “data support what is self-evident: that Trumpism peaked in 2016, and that it leads to a dead end,” says former US Rep. Carlos Curbelo, a Florida Republican. “We saw this in 2018 when Republicans lost the House; we saw it in 2020 when they lost the presidency and the Senate, and we saw it in last year when Republicans were supposed to have big gains in both chambers and [did not]. All of these failures can be attributed to Trumpism. These data just confirm what is visible to the naked eye.”

    Cornell Belcher, a Democratic pollster, says these slow but steady long-term changes in the electorate leave him convinced that the ceiling for Trump’s potential support in 2024 is no more than 46% of the vote. But Democrats, he believes, still face the risk that the clear majority in the electorate opposed to Trumpism will not turn out in sufficient numbers or splinter to third-party options if they do. Both dangers, he argues, are most pronounced for the diverse younger generations that have never found President Joe Biden very inspiring and have not received sufficient messaging and organizing attention from Democrats.

    The political impact of those younger voters, he warns, could be blunted by the proliferation of red state laws making it more difficult to vote and Democrats focusing too much “on chasing this mythical [White] swing voter that doesn’t look like that Millennial or Gen Z voter we are relying on.”

    Overall voter turnout in 2022 was high compared to almost all previous midterms, but below the peak reached in 2018, when a greater share of eligible voters turned out than in any midterm election since 1914, according to McDonald’s calculations.

    Turnout last year fell most sharply among minorities: while 43% of all eligible non-White voters showed up in 2018, that slipped to just 35% last year, McDonald calculates. Turnout among eligible college-educated White voters also dropped from an astronomical 74% in 2018 to just over 69% last year. White voters without a four-year college degree actually came closest to matching their elevated 2018 performance, slipping only slightly from just over 45% then to about 43% last year.

    But turnout is only one of the two factors that shape how large a share of actual voters each group comprises, which is the number that really matters in determining election outcomes. The other factor is how large a share of the pool of potential eligible voters each group represents. Turnout, in effect, is the numerator and the share of eligible voters the denominator that combined produce the share of the total vote each group casts during every election.

    As McDonald found, the long-term trends in the eligible voter pool – the denominator in our equation – continued unabated in 2022. Whites without a college degree fell to just over 41% of eligible potential voters. That was down 3.2 percentage points from their share of the eligible voter population in 2018 – which was itself down exactly 3.2 percentage points from their share in 2014. In turn, from 2014 to 2022, college-educated White voters slightly increased their share of the eligible voter pool and minorities significantly increased from 30.5% then to nearly 35% now.

    Netting together both the turnout results and these shifts in the eligible voter pool, McDonald found that working-class White voters in 2022 declined as a share overall, whether compared either to the last few midterm elections or the most recent presidential contests.

    In 2022, Whites without a college degree cast 38.3% of all votes, he found. That was down from 39.3% in 2018 and more than 43% in 2014, according to his calculations. That finding also represented a continued decline from just over 42% of the vote when Trump won the 2016 presidential election and 39.9% in 2020 – the first time non-college Whites had fallen below 40% of the total presidential electorate in Census figures.

    Whites with at least a four-year college degree were the big gainers in 2022: McDonald found they cast nearly 36% of all votes last year, compared to a little over-one-third in both 2018 and 2014 and a little less than that in the 2020 presidential year. Burdened by lower turnout, the non-White share of the total vote slipped to just over one-fourth, down slightly from 2018, but still higher than in the 2014 midterms. The minority share of the total vote was considerably larger in 2020, reaching nearly three-in-ten in Census figures.

    All of this extends very consistent long-term trends. Census data analyzed by the non-partisan States of Change project show that non-college Whites have fallen from around two-thirds of the total vote under Ronald Reagan, to about three-fifths under Bill Clinton, to less than half under Barack Obama, to the current level of just under two-fifths. Over those same decades, college-educated Whites have grown from about two-in-ten to three-in-ten voters, while minorities have increased from a little over one-in-ten then to nearly three-in-ten now.

    Other respected data sources differ on the share of the total vote comprised by these three big groups: the Pew Validated Voter study and the estimates by Catalist, a Democratic targeting firm, both put the share of the vote cast in 2020 by non-college Whites slightly higher, in the range of 42-44%.

    But both also show the same core pattern as the Census results do, with the share of the total vote cast by those non-college Whites declining by about two percentage points every four years. The Edison Research exit polls conducted for a consortium of media organizations, including CNN, changed its methodology in a way that makes long-term comparisons impossible. But, similarly to McDonald, the exits found the non-college White share of the total vote declining to 39% in 2022 from 41% in 2018, with minorities also slightly falling over that period, and college-educated Whites growing.

    The trend lines that McDonald documented for last year suggest it’s a reasonable prediction that non-college Whites will again decline as a share of total voters by two points over the period from 2020 to 2024. That would push their share of the national 2024 vote down to below 38%, with more minority voters likely filling most of that gap and the college-educated Whites growing more modestly to offset the rest.

    McDonald says the basic dynamic reconfiguring the voting pool is that many Baby Boomers and their elders are aging out of the electorate. That’s both because more of them are dying or they are reaching an advanced age where turnout tends to decline, either for infirmity or other obstacles. Those older generations are preponderantly White (about three-fourths of seniors are White), and fewer have college degrees, which were not as essential to economic success in those years, McDonald points out. Meanwhile, a larger share of young adults today hold four-year degrees, and the youngest generations aging into the electorate every two years are far more racially diverse. According to calculations by William Frey, a demographer at the Brookings Metro think tank, young people of color now comprise almost exactly half of all Americans who turn 18 and age into the electorate each year.

    “We are right now at the teetering edge of the influence of the baby boomers,” says McDonald. “They are just starting to enter those twilight years in their turnout rates, while other [more diverse] groups are maturing. So we are right at that cusp – that critical point of where things are going to start changing.”

    The impact of these changes on the outcomes of elections, as McDonald says, is very incremental, “like the proverbial frog in the boiling water.” One way to understand that dynamic is to assume that Whites without a college degree on the one hand, and minorities and college-educated Whites on the other, all split their vote at roughly the same proportions as they have in recent elections. If the former group declines as a share of the electorate by two points from 2020-2024 and the latter groups increase by an equal amount, that change alone would enlarge Biden’s margin of victory in the two-party vote from 4.6 percentage points to 5.8, Bonier calculates. Republicans would need to increase their vote share with some or all of those groups just to get back to the deficit Trump faced in 2020 – much less to overcome it.

    Ruy Teixeira, a long-time Democratic electoral analyst who has become a staunch critic of his party, argues exactly that kind of shift in voting preferences could offset the change in the electorate’s composition – and create a real threat for Biden. Even though Biden is aggressively highlighting his efforts to create blue-collar jobs through “manufacturing and infrastructure projects that are starting to get off the ground,” Teixiera recently wrote, a “sharp swing against the incumbent administration by White working-class voters seems like a very real possibility.”

    Teixeira, now a nonresident senior fellow at the conservative American Enterprise Institute, also maintains Democrats face the risk Republicans can extend the unexpected gains Trump registered in 2020 with non-White voters without a college degree, especially Hispanics.

    Curbelo, the former congressman, shares Teixeira’s belief that Democratic liberalism on some social issues like crime is creating an opening for Republicans to gain ground among culturally conservative Hispanics. “If they are not careful, they can jeopardize their potential gains from Republicans doubling down on Trumpism by alienating themselves from minority voters who may identify with some of the [Democrats’] economic policies but who do not necessarily identify with the party’s victimhood narrative about minorities,” Curbelo says.

    Still, Curbelo warns that Republicans are unlikely to achieve the gains possible with minority voters so long as they are stamped so decisively by Trump’s polarizing image. And polling has consistently found that while many non-college Hispanic voters hold more moderate views on social issues than college-educated White liberals, those minority voters are not nearly as conservative as core GOP groups, like blue-collar Whites or evangelical Christians.

    As Teixeira has forcefully argued in recent years, such demographic change doesn’t ensure doom for Republicans or success for Democrats. Among other things, that change is unevenly distributed around the country, and the small state bias of both the Electoral College and the two-senators-per-state rule magnifies the influence of sparsely populated interior states where these shifts have been felt much more lightly.

    Yet, even so, the long-term change in the electorate’s composition, along with the Democrats’ growing strength among white-collar suburban voters, largely explains why the party has won the popular vote in seven of the past eight presidential elections – something no party has done since the formation of the modern party system in 1828.

    And even though Whites without a college degree exceed their share of the national vote in the key Rust Belt battlegrounds of Michigan, Pennsylvania and Wisconsin, their share of the vote is shrinking along the same trajectory of about 2-3 points every four years in those states too, according to analysis by Frey. Meanwhile, in the Sun Belt battlegrounds of Georgia, Arizona and Nevada, more rapid growth in the minority population means that blue-collar Whites will likely comprise a smaller portion of the eligible voter pool than they do nationally.

    Trump, with the exception of his beachhead among blue-collar minorities, has now largely locked the GOP into a position of needing to squeeze bigger margins out of shrinking groups, particularly non-college Whites. It’s entirely possible that Trump or another Republican nominee can meet that test well enough to win back the White House in 2024, especially given the persistent public disenchantment with Biden’s performance. But McDonald’s 2022 data shows why relying on a coalition tilted so heavily toward those non-college Whites becomes just a little tougher for the GOP in each presidential race.

    While Trump or another Republican certainly can win in 2024, Bonier says, “he has reshaped the party in such a way that they have a very narrow path to victory.”

    Source link

  • France is still mad about a hike in the retirement age. But can the protests last? | CNN

    France is still mad about a hike in the retirement age. But can the protests last? | CNN


    Paris
    CNN
     — 

    Clashes erupted in Paris on Monday marking May 1, a traditional day of union-led marches, in the wake of hugely unpopular changes to France’s pension system that were signed into law last month.

    One of France’s largest unions, the CGT, had called for “historic” protests following months of unrest and widespread strikes that saw transport grind to a halt and garbage mount in the streets of Paris.

    A CNN team on the ground reported chaotic scenes from the protests, having witnessed fireworks and other projectiles thrown at the police who answered with tear gas as they retreated and regrouped. Ahead of the protest the police had warned of a heightened risk of violence, with at least 30 people arrested as a result of Monday’s demonstrations, according to CNN affiliate BFMTV.

    Protesters were forcibly pulling detained civilians out of the police’s arms.

    One officer hit by a Molotov cocktail received treatment after sustaining what seemed to be “serious burns,” according to a spokesman with the Paris police.

    Policemen look on during Monday's demonstrations, with fierce clashes between security officials and protesters leading to dozens of arrests.

    France’s Constitutional Council, which plays a similar role to the US Supreme Court, in April approved the most controversial part of the reform – the raising of the retirement age from 62 to 64.

    Despite the decision, some of France’s powerful unions say they will fight on, with the question now whether this anger will plague the rest of Macron’s time in office or disappear from the streets.

    Here’s all you need to know about the pension reforms.

    For the French “it was never about the age of retirement,” said political scientist Dominique Moïsi, “but the balance between work and life.”

    Pensions reform has long been a thorny issue in France. In 1995, weeks-long mass protests forced the government of the day to abandon plans to reform public sector pensions. In 2010, millions took to the streets to oppose raising the retirement age by two years to 62 and in 2014 further reforms were met with widespread demonstrations.

    “Each time there is opposition from public opinion, then little by little the project passes and basically, public opinion is resigned to it,” Pascal Perrineau of Sciences Po university said.

    For many in France, the pensions system, as with social support more generally, is viewed as the bedrock of the state’s responsibilities and relationship with its citizens.

    The post-World War II social system enshrined rights to a state-funded pension and health care, which have been jealously guarded since, in a country where the state has long played a proactive role in ensuring a certain standard of living.

    How Macron pushed through these reforms – bypassing a parliamentary vote – inflamed tensions as much as their content, focusing anger on the president himself.

    “I don’t think in the history of the Fifth Republic, we have seen so much rage, so much hatred at our president. And I remember as a young student, I was in the streets of Paris in May ’68, and there was rejection of General de Gaulle but never that personal hatred,” Moïsi said.

    Macron is above all a business-minded president. Making France more business-friendly and government more efficient have been central to his mission.

    The young president made social reforms, especially of the pensions system, a flagship policy of his 2022 re-election.

    For Macron’s cabinet, the problem is money. The current system – relying on the working population to pay for a growing age group of retirees – is no longer fit for purpose, the government says.

    Labor minister Olivier Dussopt said that without immediate action the pensions deficit would reach more than $13 billion annually by 2027. Referencing opponents of the reforms, Dussopt told CNN affiliate BFMTV: “Do they imagine that if we pause the reforms, we will pause the deficit?”

    It is worth noting that the higher pension age will still keep France below the norm in Europe and in many other developed economies.

    State pensions in France are also more generous than elsewhere. At nearly 14% of GDP in 2018, the country’s spending on state pensions is larger than in most other countries, according to the Organization for Economic Cooperation and Development (OECD).

    The Constitutional Council’s decision means the reforms are going ahead.

    From September, the first retirees will have to wait an additional three months for their state pensions. With regular, incremental increases, by 2030 the retirement age will have reached 64.

    Protesters are unbowed. One told journalists in the immediate aftermath of the decision they would “fight until this reform is abandoned.”

    Between January and mid-April, despite sporadic violence, support for the protests grew by some 11%, figures from pollster IFOP in partnership with Fiducial/Sud Radio showed.

    Protestors stormed the headquarters of luxury giant LVMH last month.

    In contrast, during the Yellow Vest protests, started in opposition to hikes in fuel prices, violence gradually soured public support. That these pensions protests continue to hold such popular goodwill is an ominous sign for Macron’s future plans.

    The size and violence of pensions protests spiked when Macron forced the legislation past the country’s lower legislative house without a vote. Since then, a determined minority has continued to protest – and a much smaller group to engage in violence. For now, with the law passed, momentum may have shifted away from mass street protests, even if flare-ups continue.

    But for an electorate the majority of whom did not pick Macron as their first choice, the May 1 marches will be a barometer of that anger, filmmaker David Dufresne, who directed a documentary on the Yellow Vest protests, told CNN.

    “Democracy by the street is back again,” he said.

    Macron is still not far into his second term, having been re-elected in 2022, and still has four years to serve as the country’s leader. Given French presidents serve fixed terms, his position is safe.

    Following the passage of the reforms, his government laid out a slew of policies promising additional funding for public services – nurse and teacher salaries included – tougher immigration measures and more environmental action in an effort to win back public support. But the horse may have already bolted for Macron’s efforts to woo back the public.

    Looking ahead to the next presidential election in 2027 – still far off on the political horizon – the anger Macron has stirred in the country’s streets doesn’t bode well for his party’s chances.

    While unions have led these protests, opposition politicians, political allies and even some in his own party have come out in support of the demonstrators.

    Macron has pressed on with his plans despite fierce opposition.

    In a re-run of the 2024 presidential run-off, with the far-right’s Marine Le Pen up against a candidate from Macron’s party, this popular anger may be enough to give pause to voters who supported Macron merely to stymie the far-right.

    “He failed to sell his logic and rationality,” Moïsi said, comparing Macron to Barack Obama, whose second term gave way to the presidency of Donald Trump.

    While Macron’s reforming crusade continues, the pensions controversy could ultimately force him to negotiate more, Perrineau warns – though he notes the French president is not known for compromise.

    His tendency to be “a little imperious, a little impatient” can make political negotiations harder, Perrineau said.

    That, he adds, is “perhaps the limit of Macronism.”

    Source link