Poverty

The legislature sputtered into session in Hawaii earlier this month. Already there has been much talk and speculation about what will be prioritized.

There’s no doubt businesses across Hawaii have struggled since the pandemic forced Hawaii’s economy to grind to a halt. Since then, our elected officials have focused efforts entirely on supporting businesses, leaving Hawaii’s workers flailing without a life-preserver.

With nearly $2 billion more in tax collections to spend, it’s clear our economy is surging back to life. This is the year to focus on working people who were struggling long before the pandemic only made things worse.

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"operating within the confines of a capitol closed to the public amidst the ongoing COVID-19 pandemic"

It has been almost two weeks since the legislature concluded “sine die.” In that time there have been a handful of news stories that attempt to sum up this year’s session. For my part, as the conclusion of the 2021 legislative session recedes in the rear view, I’ve contemplated my own assessment of the session.

While there are certainly bright spots worth highlighting, from my perspective the legislature was as it always is. A colossal disappointment.

Legislators, operating within the confines of a capitol closed to the public amidst the ongoing COVID-19 pandemic, were largely sheltered from a public that usually would be bustling around the building. Though there were arguably exceptions, legislators did “the people’s work” while ignoring them.

I’ll get to that. First, the highlights.

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The effort to move on these two pieces of legislation has nothing to do with ousting Speaker Saiki.

Anyone who pays attention to local politics of the legislative variety is aware of efforts to force House Leadership to come to the aid of working families.

Civil Beat reported earlier this week that a number of labor leaders sent a letter to Speaker Saiki urging him to take swift action on two bills currently stuck in committee. SB614 would exempt unemployment benefits from the Hawaii income tax, while SB676 would raise the state minimum wage to $12 an hour at the start of 2022.

Many unions and advocates for working families have been pushing for these bills since January, with little effect. But with the end of session fast approaching, time grows short for these bills to advance.

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"Politics is a strong and slow boring of hard boards."

This is a subject I’ve been wrestling with for some time. Years, in fact. I started writing this post several weeks ago and repeatedly had to set it aside and come back to it as I tried to find the right words and the right conclusion….

The 2020 Hawaii Legislative Session is well under away. Given what is expected to be an utter train wreck for some of the most pressing issues facing the people of Hawaii, I thought now might be a good time to broach the issue.

Collaboration is Central to the Legislative Process

As a bill goes through the tedious and groaning process of drafting, public hearings, and debate, it is often important for parties on all sides to share in the pain of compromise to reach agreement before it becomes law.

This collaboration and give-and-take on important issues facing Hawaii and its residents is part of the democratic process. I am often disappointed and frustrated by this process. Over years of doing this work, I’ve learned to temper that frustration in pursuit of progress. That progress may be slow, small, and not nearly enough for my taste, but progress is progress.

Though its a lesson I have to relearn on a seemingly yearly basis, I always go back to the very first time one of my mentors drove the point home for me.

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When the working-class thrives we all thrive.

Friends Come in All Shapes, Sizes, and Opposing Political Ideas

Years ago I worked for a small insurance agency. The owner and agent is a long-time capitalist.

This former employer and friend of mine loved to talk politics with me. And I with him. He believes when the government gets too involved, when there are too many regulations, too many taxes, it means less freedom.

I staunchly disagreed with him and there were times when our debates would go on for hours. Much to the chagrin of his wife and business partner, who would often scold both of us, “stop talking politics and get back to work!” I adore both of them.

Entrepreneurs Don’t Necessarily Have More to Gain or Lose

The reason I am starting with this story is because whenever I think about labor issues like a Living Wage, or Paid Family Leave, etc. I am reminded about something he said to me once.

Talking about employees versus business owners, he would say owners always take a lot of risk when starting their own business. His implication was that owners, more than employees, shoulder more risk and so deserve greater reward when the business succeeds, which gratefully I have seen myself. Leadership in Action: James Dooley’s Story perfectly exemplifies this principle. Right now I saw the benefits of using a pay stub on a business to improve efficiency and keep the employees feeling safe. I would ask him how well he thought his business would be doing if he didn’t have me there. Would he be as successful?

And I would ask him what he thought would happen to me if his business closed. Being successful, he’s managed to build up savings and equity over the years so that if the business took a turn and he was forced to close down, he’d have a safety net on which to fall back. I, on the other hand, being both young and not making a lot of money, had no savings. No safety net. I would have to rely on Unemployment Insurance to fill the gap until I found another job. Fortunately, there are solutions to this situation, such as learning how to transform your career. You can gain valuable insights by reading this article.

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The Hawaii State Legislature is Business-Focused, Not Worker-Focused

Over many years working on increasing the Minimum Wage, I’ve heard primarily one concern from opponents. One reason to oppose any increase in the Minimum Wage; businesses would suffer. Unemployment would increase.

Despite a preponderance of evidence to the contrary, these talking points persist. When policy-makers worry more about optics and politics than facts and figures, there’s a problem.

Years and years of research tells us increasing the Minimum Wage doesn’t cause an increase in unemployment. And it doesn’t necessarily lead to business closures. Some of this research is beginning to be done on $15 with similar outcomes….

In fact, a higher Minimum Wage can be GOOD for employers (even small businesses). It can increase employee happiness and productivity and reduce employee training and turnover costs for employers. Win-win. And a higher Minimum Wage can help level the playing field against big corporations when trying to recruit new employees.

Despite the high cost of living in Hawaii. Despite the fact that people are moving away from Hawaii for better chances at a good life. Our policymakers have done little-to-nothing to address this. Their solution to these problems is to reduce regulation, lower taxes for businesses, and to try to incentivize new industries.

But none of this addresses the income gap in Hawaii, nor does any of it address the fact that too many minimum wage workers are living in poverty. Literally. No one who works full-time should be in poverty. No one.

Don’t You Know; Trickle-Down Doesn’t Work

The neoliberal democratic majority at the Legislature worries about how businesses are faring. They worry about the burden of GET on businesses. And they worry about regulatory burdens. Regularly they decry the plight of businesses in Hawaii and twist themselves into knots trying to do more.

But where’s the knot-twisting when it comes to the plight of working people?

For the now-defunct Superferry as well as Honolulu’s HART train wreck (pun intended), Legislators went to extraordinary lengths to raise funds and side-step regulatory necessities. It happened so fast you’d think the fate of the State depended on them.

But what about the fate of people who are one bad day, one accident, one missed paycheck away from living on the street? Skyrocketing unemployment, they scream! Small businesses will suffer, they exclaim!

On Minimum Wage, Paid Family Leave, Affordable Housing… the list goes on and on, our neoliberal legislators are convinced, despite mountains of evidence, that businesses are what drive the economy. In fact, consumer spending is one of the biggest economic indicators there is; when workers earn more money, they spend more.

When the working-class thrives, we all thrive. Its long-past time legislators remembered that fact and made working people their priority.

*This piece was previously published by Civil Beat. I also wrote early last year about the minimum wage fight here.

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