Unlike most world currencies, China’s renminbi does not fluctuate freely against the dollar. So while the renminbi should increase as China exports more goods, it instead remains artificially low, undervalued at up to 40 percent. As a result, China sells goods at prices that are almost impossible to compete with, destroying American manufacturing jobs. This manipulation also acts as a tariff on U.S. exports to China and other countries. In addition, China’s disregard for labor rights has suppressed its workers’ wages, thereby also artificially subsidizing exports.
“It’s heartening to see the members of the carpenters union standing up for what’s right,” said Robert E. Scott, an Economic Policy Institute economist and author of the briefing paper on currency manipulation. “The U.S. government needs to know that its citizens understand this issue and are prepared to take action at the ballot box if this job-stealing situation isn’t addressed.” (www.carpenters.org 'politics' )
But when McCarron goes after the painters/tapers, electricians, glaziers, etc.etc. - it's just 'business', right?
Q: Do you find that the Department of Labor and the wage and hours enforcers are any help or are they
TM: They're completely understaffed. They are very helpful on the prevailing wage area on public works, very
helpful. But they are understaffed -- through no fault of their own, because I know 'em well -- but they have a
tremendous backlog. So we try to find the criminality here, so we can provide it to the labor unit in the district
attorneys' offices, both here in Suffolk County and Nassau County, because it is fraud to not claim your
Workers' Compensation. So what we did on the prevailing wage, as I explained before, is what we're going to
do to put a stop on the abuses of paying cash, because it is an underground economy. So we’ve got to put a stop
to this underground economy, because it's going to hurt the economic vitality of Long Island.
Long Island is one of the most expensive places to live in the country, and people making seven bucks
an hour can't live here. That's why you had a case two days ago where sixty men were living in one house. So
our issue is to make sure that people are paying their Workers' Compensation, they're paying their liability
insurance, and they're not paying cash. And this is the way we're doing it: educating the men, talking to
contractors, and educating the developer, because everybody's been looking at it completely the other way.
That's what happened in New England Regional Council of Carpenters. They worked together with Harvard
University to put together a study on the socioeconomic consequences of misclassification of workers and
paying cash. It's a cancer in our industry.