Corporate welfare abuse outrage unites bipartisan coalition POUGHKEEPSIE — For decades in the Hudson Valley, IBM was easily the most sought-after employer in the area. With generous wages, bonuses, good benefits and advancement opportunities, the corporation known as Big Blue caused a ripple effect in area communities. Nearby small businesses flourished, home ownership near IBM plants was high and volunteerism thrived. The connection was obvious: Good, middle class jobs at IBM meant strong communities. Fast forward to 2014. Despite taking nearly $1 billion in taxpayer assistance awarded to keep jobs in New York communities, IBM recently announced another round of layoffs at their Poughkeepsie and East Fishkill plants in Dutchess County. The layoffs are the latest in a series of nearly 4,000 IBM job cuts. A gigantic corporation that accepted taxpayer money to keep jobs has done nothing but shed them. New York taxpayers are footing the bill for jobs to be sent down South or overseas. Meanwhile, the state’s own communities are struggling for survival and income inequality grows by the day. Unique coalition For CSEA leaders, the news was troubling and a call to action. Southern Region President Billy Riccaldo said he knows CSEA members might not immediately realize why they should be standing up for IBM’s non-union work force. “As partners in the Former IBM worker Carolyn Phillips, an activist with Community Voices Heard, describes her struggle to make ends meet following her layoff. Her condo is now in foreclosure. Pictured behind Phillips is, from left, former IBM worker Bill Costine and CSEA Southern Region President Billy Riccaldo. community, it is very troubling to see the impact on our communities when corporations such as IBM ‘take the money and run,’” Riccaldo said. “Imagine what a positive impact that nearly a billion dollars could have if properly invested in our communities.” Others shared Riccaldo’s sentiment, including several state lawmakers from both sides of the aisle. Riccaldo joined Sen. Terry Gipson and Assembly members Kieran Michael Lalor, Didi Barrett and Frank Skartados at a recent news conference where they called for accountability and transparency measures to be implemented to prevent further corporate welfare abuse like that at IBM. Joining them were representatives from New Yorkers for Fiscal Fairness, the Strong Economy for All coalition, Citizen Action, Community Voices Heard and two former IBM workers who have experienced severe financial hardship since they were laid off. While lawmakers and advocacy groups support different pieces of proposed legislation aimed at stopping this problem, all said accountability for New Yorkers – namely via clawback measures that could recoup taxpayer dollars – is needed. Future advocacy “We should all be concerned about keeping good, middle class jobs in our communities, in both the private and public sectors,” Riccaldo said. “Good jobs equal strong communities with higher quality of life and stronger economies. We stand with the workers at IBM and other corporations that have suffered job losses due to irresponsible business practices.” Riccaldo said he hopes to see hearings or other follow-up activity scheduled to address corporate welfare abuse. “These sweetheart deals for corporations have become a dirty little secret in New York, so it’s time to shed some welldeserved light on this practice,” he said. — Jessica Ladlee Bill Costine, a former IBM worker laid off last fall and an activist with Alliance@IBM, speaks of his financial struggles following his job loss. Also speaking to media about accountability for companies such as IBM were, from left, Assembly members Kieran Michael Lalor and Frank Skartados and Sen. Terry Gipson. 6 The Work Force March 2014
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