Sirotablog

David Sirota is a political journalist and nationally syndicated newspaper columnist at Creators Syndicate. David writes about political corruption, globalization and working-class economic issues often ignored by both of America's political parties.

  • May 10, 2007 9:28 PM

    TIMELINE: The Secret Bush-Democratic Trade Deal & What It Means


    Thursday, May 10th was a whirlwind day on the political frontlines in the War on the Middle Class, as a handful of senior congressional Democrats and the White House - cheered on by K Street lobbyists - joined forces today to announce a "deal" on a package of trade agreements that could impact millions of American workers and potentially calls into question the entire election mandate of 2006 (I say potentially because the full details are still being concealed by both Democrats and the White House). You'll notice the irony of the deal with just a glance at the front of the New York Times business section (screen captured above) - the deal was agreed to (though its details have still not been made public) on the very same day the U.S. government reported another widening of America's job-destroying trade deficit.

    Because so much has transpired in the last 6 hours, I'm going to summarize it here chronologically in bullet points to make it easier to digest.

    I've been covering it live all day, but figured for brevity it would be best to put it in one place. For context, remember that, as Public Citizen has documented and as business publications like Forbes Magazine has confirmed, Democrats won their congressional majority in 2006 thanks to scores of challenger candidates specifically running against lobbyist-written trade policy. This 2006 lesson is particularly important to Democrats who, in the early 1990s experienced their own President campaign for office opposing unfair trade deals, then ram NAFTA through Congress "over the dead bodies" of workers, then watch the Democratic majority get decimated in the following election. I want to stress, we still don't know the details of the deal, but we do have some critically important information to analyze.

    Here's the timeline of the day:

    - Mid-afternoon today, six populist, fair trade Democrats author a letter to the House Democratic leadership demanding a full Democratic caucus debate over a secret trade proposal that Ways and Means Committee Chairman Charlie Rangel (D-NY) and Finance Committee Chairman Max Baucus (D-MT) have been negotiating with the White House. This proposal has been kept ultra-secret even from fellow Democratic lawmakers, much like the Cheney energy task force. The negotiations have coincided with Baucus and Rangel forming a joint corporate fundraising PAC, and with Baucus's International Economic Summit, where the lineup of speakers demanded Baucus support more free trade pacts and ignore the Montana State Senate's resolution urging him to stop such pacts in the future. The letter from the populist Democrats follows similar earlier letters of concern from rank-and-file Democrats.

    - About an hour after the letter is sent, House Speaker Nancy Pelosi, who has refrained from taking a position on the secret negotiations, sends out word of a major press conference that would be held at 6pm EST with herself, Baucus, Rangel, Bush Treasury Secretary Henry Paulson and Bush Trade Representative Susan Schwab. The press conference is to announce a "deal" whereby these senior Democrats agree to support a package of pending trade deals with Peru, Panama, South Korea and Colombia, supposedly in exchange for major reforms to these trade deals, including the addition of strong labor and environmental protections. The press conference is sponsored by the New Democrats - the group of Democrats that have historically supported lobbyist-written trade pacts and that was instrumental in passing the credit card-industry-written bankruptcy bill. No progressive Democrats appear at the press conference.

    - Immediately after the press conference, the New York Times reports that Pelosi, Rangel and Baucus appear to be cutting a "deal" with Bush that the majority of Democrats do not support "Despite the endorsement of Rangel and Pelosi," the Times wrote, "many Democrats say that half or more of the Democrats in Congress may vote against the deal." The Times also notes that the deal "paves the way" for Congress to grant Bush's request to reauthorize fast track authority - the authority that allows presidents to eliminate basic labor, human rights and environmental protections from trade pacts. The Associated Press soon reports that "a half-dozen House Democrats with strong labor ties, watching the news conference from the back of the room, later expressed strong dissatisfaction" with the deal and the process used to make a deal. Rep. Marcy Kaptur (D-OH) says, "The strongest voices for workers and the environment were not included" in the negotiations and were not informed of the deal. Similarly, Rep. Michael Michaud (D-ME) says, "I'm very disappointed that Speaker Pelosi held a press conference before meeting with the caucus. In a democratic process Democrats ought to know." None of the stories include any comment from representatives of labor, human rights or environmental organizations.

    - Both a news release from Pelosi and a document sent to Capitol Hill staffers from Baucus's Senate Finance Committee about an hour after the press conference trumpets new labor protections in the deal, but does not say that multinational unions will be able to go to courts to demand enforcement of labor laws - a key privilege multinational corporations currently have in working to dismantle federal and state consumer protection, environmental and labor laws at a cost of at least $1.8 billion to U.S. taxpayers.

    - An hour after the press conference, the Associated Press reports that Rangel says the trade deal was designed by those who "didn't want the U.S. trade representative to be a lobbyist just for U.S. businesses." The same AP story reports that several of Washington's most powerful corporate lobbying groups offered effusive praise for the deal.

    - About an hour and a half after the press conference, the Financial Times reports that "the terms of the deal are still being finalized...Democrats were on Thursday resisting making a commitment to seek the passage of a pending trade agreement with Colombia. The Colombian pact has been singled out because of government links to right-wing death squads, the high level of political violence, and killings of trade unionists. The exclusion of Colombia is a setback for the administration...Business lobbyists were less than enthusiastic about the administrations' concessions, which were a sign that the tremendous influence of corporate lobbyists over trade deals had been weakened slightly."

    - Two hours after the press conference, Agence France Press newswire reports that, in fact, the deal includes Colombia and that K Street is cheering the pact because the labor protections are apparently weak. U.S. Chamber of Commerce President and Republican Party bigwig Tom Donohue tells AFP that he is "encouraged by assurances that the labor provisions [in the deal] cannot be read to require compliance with ILO Conventions." This shocking revelation, which undermines all of the claims made at the press conference, is somehow not reprinted nor probed by any other major media outlet.

    - Three hours after the press conference, the House Ways and Means Committee issues a press release that includes a quote from Republican Rep. Wally Herger saying that the deal apparently includes assurances of passage of fast track. "We now have a way forward on Panama, Peru, Colombia, South Korea and even reauthorization of TPA," Herger says. The New York Times final story for tomorrow's paper is posted online noting that Rangel is now, for the first time, publicly agreeing to support an extension of fast track. He justifies his new position by claiming he believes the upcoming Doha trade talks are designed to help poor people in the developing world - an assertion that flies in the face of a recent Tufts University report that says exactly the opposite. The full details of the deal still have yet to be released.

    - Five hours after the press conference, the Washington Post reports that "Thea M. Lee, the legislative policy director for the nation's largest confederation of labor unions, the AFL-CIO, said last night she could envision no scenario that would win labor's approval for a trade deal with Colombia." Lee has been quoted just hours before by Reuters saying the AFL-CIO could not support any deal that allowed the United States to avoid being forced to comply with international labor standards. Because the deal's details have still not been released, it remains unclear whether unions will, in fact, be given the ability to sue in international courts for the enforcement of labor protections - the same ability corporations currently are granted in trade pacts to sue in international courts to eliminate state and federal environmental/consumer protection laws that cut into corporate profits. The AFL-CIO, like other major union, environmental, human rights and consumer protection organizations, has yet to issue a formal statement on the deal.

    - Five and a half hours after the press conference, the Hill Newspaper reports that K Street lobbying groups are trumpeting Baucus, the Senate's key player in the deal. “It is hard to argue that Max Baucus or others have not been receptive to the business agenda,” says a top official of the Business Industry Political Action Committee.

    - Six hours after the press conference, Washington Post business columnist Steve Pearlstein, one of the leading opinionmakers on trade issues, declares the deal to be a "major achievement" even though the full details of the deal have yet to be released. Pearlstein's declaration flies in the face of an article he wrote less than a year ago urging Democrats "to take [free trade] hostage" and not "give away the store." His article appears to be the pundit class's starting gun to trumpet the deal, much as the pundit class provided a cheerleading section for NAFTA and the China free trade pact.

    Here's some more important details. According to my Capitol Hill sources, most Democratic lawmakers still have not seen the language of the deal. These sources also tell me that while Rangel originally promised organized labor that he would not agree to a deal without a process for labor to review the language, at the moment of Pelosi's press release, labor leaders were in the midst of a conference call to discuss the deal and had not yet provided final input. Furthermore, sources tell me that a group of Democrats in vulnerable seats who had campaigned for office opposing further NAFTA-style free trade expansion informed Pelosi's office early in the day of their concerns and were assured that the Speaker did not have an official position on a deal.

    I want to reiterate, we have not yet seen the details of this deal. While the secrecy and this information aggregated in this dispatch certainly raises very serious concerns about what the White House and this handful of Democrats are trying to hide, we have to reserve final judgment on what the deal ultimately means until these players decide to disclose their deliberations to the American public.

    Nonetheless, there are very real reasons to be concerned. During NAFTA and China PNTR, this same kind of secretive process unfolded, with the same politicians declaring that the deals were all about helping American workers and the same media outlets behaving as stenographers for such declarations - all while the details were concealed. The bottom line is clear: If this deal sells out the American middle class - as many longtime fair trade Democrats in Congress seem to fear - it will require a massive grassroots pressure campaign to demand Democrats respect the 2006 election's fair trade mandate and back off.

    Continue checking back to this blog for more. During live coverage of the press conference today, CNN's Lou Dobbs Tonight specifically referenced the reporting on trade being done here on the Working Assets blog, and I will do my best to keep updating the situation as more information becomes available.

Discussion

  • whatever [TypeKey Profile Page] :

    The possibility that the democratic grassroots would have to mount a pressure campaign so soon after the election is upsetting. If they keep it up, the democratic party may discover that the populists/progressives have left the building when they need them for the next election.

    It is troubling to see that "most democratic lawmakers have not yet seen the language of the deal". It brings back to mind Congress voting on voluminous bills that were not given to them until a half hour before the vote; not a happy memory. The mental picture of the level of irresponsibility from Congress that put in my head is hard to accept. The rank and file democrats need to put the brakes on this and stop it now but I don't have much hope that they will. Sometimes democrats are their own worst enemy.

    Posted on May 11, 2007 2:23 AM
  • waltc [TypeKey Profile Page] :

    Its nice to see Democrats revert back to their imperialistic Clintonian ways, ways of telling the people fuck-off and die.

    That said, anytime a politician refuses to reveal the details of legislation they pushed through basically in the middle of the night can't be good.

    And worse when the legislation brings a smile to the face of Bush and his corporate cronies who are all endorsing this piece of evil from Pelosi and her fellow corruptors.

    BTW if this is the Pelosi is going to conduct business she can forget about independents and populists from voting democrat in '08. Because unlike Democrats who are used to their pols screwing them independents and populists don't stand for it. And without their support the Democrats are doomed to a minority position.


    Posted on May 11, 2007 9:40 AM
  • Ok This is the 2nd time so it will be shorter..

    Charlie Rangel is Hillary Clinton's lap dog and another Tri-Lateralist Commission stooge just as she is the Tri-Lateralist Judas Goat for Democrats..

    Also Bush and his FDA have killed more Americans than al-Qaeda..

    This is a fact..

    I would vote to Impeach G.W. Bush and Dick Cheney for all they have done, if it was their Last Day in Office..

    ~Impeachment Now~

    TJ Colatrella Stars4Peace..

    Posted on May 11, 2007 10:28 AM
  • TJ Colatrella [TypeKey Profile Page] :

    The Democratic party with it's trade deals and support for ill-legal immigration are totally betraying the American worker and middle classes..

    Our Borders are also being erased by the secret deals linking Mexico and American and Canada as a North American free trade zone and not nations any longer..

    These are "Free Traitors" alright..

    This influx invasion of unknown ill-legal immigrant invaders in fact, also works nicely into the Republican and Bush Mafia's desire to destroy and hasten the bankruptcy of Social Security..

    They want to turn things back the when our grandfathers suffered at the hands of Rockefeller and the other super rich oligarchs we are betrayed..as a nation by these secret deals and now this suspect trade deal written by lobbyists for corporations..

    I will do all I can to work against the candidacy of Hillary Clinton as a matter of fact if she gets the nomination then I will not vote unless there is a third party candidate..

    As a life long Democrat who met and worked for Robert Kennedy, I am very close to registering as an Independent..

    The Democratic party can't be trusted, wereas the Republican party can be trusted to lie and cheat and steal like a bunch of drunken Iraqi's who they seem to favor over us or our Troops lives for that matter..

    Yours, TJ Peace.. ~Impeachment Now~

    Posted on May 11, 2007 11:52 AM
  • KMarx [TypeKey Profile Page] :

    So what else is new: Democrat = Republican; Republican = Democrat.

    What we need in this has-been of a country is a strong third party - one with powerful Socialist leanings. The two party system subsists under a Capitalist umbrella and as such both parties are sheltered and fed by the corrupt elements of corporate America and the financial elite.

    If someday the people of this country wake up they just might remember what the Italians did to Mussolini when he lead their country down the path of destruction!

    Posted on May 11, 2007 1:30 PM
  • David Karita or Edwards.com Blog is doing a terrific job of covering this and your important tracking of Rangel being a rat bastard and in cahoots with Bush, and this disgraceful White House gang of criminals..

    This is such a proof of our not being able to Trust The Hillary Clinton Gang of Corporate Demo-rats..

    Also check out my posts on Bush and His FDA killing more Americans than al-Qaeda..

    10,000 due to Vioxx Coxx inhibitors they lied about the benefits of, Oxycotin dope peddlers, and overdoses are way up, and now food poisoning, and Bush does nothing where is his outrage as any decent president would have..?

    Now the head of the FDA has even lied about China poisoning our food supply..feed supply going to chickens, fish and pork..

    Bon Apitite..from al-FDA..

    Bush and his policies and FDA has killed more Americans than Osama bin-Laden and that's a fact, why don't we just charge him with Negligent Homicide..and Impeach Him and Cheney now and save our country..from these crooked imbeciles..!

    Check out the Stars4Peace design now available as well no profit to me their for:

    We The People..

    ~Impeachment Now~

    Posted on May 12, 2007 1:09 PM
  • Sorry about the double post don't know how or why that happened..my mistake I'm sure..

    That said I think we must focus on the out of control murderous policies of The FDA..who has really killed more Americans than al-Qaeda..

    Vioxx, Oxycotin now our food poisoned by China due to their feed going into poultry , fish and pork..!

    The FDA must be purged and totally re-vamped the head of the FDA lied to the Senate as to food safety..!

    The Bush family is totally in bed with these corrupt drug companies see H.W. Bush and Ely Lilly, and Bush let the drug companies write the prescription drug bill..

    Bush is letting the FDA kill Americans this must be totally exposed and ended..

    How many will die from long term exposure to these poisons in our food stock now..?

    The FDA has already killed way over three times more Americans than al-Qaeda..

    Bush and his policies have killed more Americans than bin-Laden, it's in the numbers..and it's true..!

    This is huge..!

    TJ Peace..Stars4Peace..

    ~Impeachment Now~

    Posted on May 13, 2007 8:17 AM
  • wnpac [TypeKey Profile Page] :

    LET’S TEAR DOWN THAT WALL

    Authors

    Honorable Edward Abramson
    Former Democratic Majority Whip of the NYS Assembly

    Edward Wiacek
    Consultant with over thirty years of experience in Primary’s and Elections

    3/6/2007
    LET’S TEAR DOWN THAT WALL
    Fifty years ago, 33% of the work forces in the U.S. were members of a union. Today, the union barely account for 12% of our work force. How did this happen? The politicians together with corporations passed anti-union legislation. Twenty-two states have a right to work law that is anti union. They changed labor laws that make it impossible for unions to organize large corporations with locations throughout the U.S. They fire workers that are looking to unionize creating terror in their work force. While this was going on, our national unions were asleep and allowed this to happen.
    We listened to the Democratic Presidential Candidates speak at the National Democratic Committee (NDC) winter meeting and heard former North Carolina Senator John Edwards speech where he got the democrats to stand for the workers and the unions.
    “Lets stand up for the working people whose labor made this country great. America was built by men and women who worked with their hands. And organized labor has fought for and made better the lives of every working man and woman, by giving them a voice – labor never stands silent where wrongs need to be righted. Will you stand with them? It is time we acknowledged that it is organized labor, which has protected the American worker against mistreatment by corporate America. I am proud to stand beside organized labor? Will you stand with them, too? Will you walk with them and march with them?”

    They all stood up. He gave us goose bumps because he talked about the real issues that are important to the workers. Presidential candidate, Senator Barack Obama, in his announcement speech in Springfield, Illinois, on February 11, 2007, said,
    “Let’s be the generation that ensures our nation’s workers are sharing in our prosperity. And let’s protect the hard earned benefits their companies have promised. Let’s make it possible for hard working Americans to save for retirement. And let’s allow our unions and their organizers to lift up this country’s middle class again.”

    If they and the Democratic Party mean what they say, then before the election we challenge Senator Barack Obama, Senator John Edwards, Governor Howard Dean, and the entire Democratic Party to go to North Carolina and speak to the democratic governor and both legislative bodies that are controlled by the Democratic Party and let them know what the democrats stand for.
    North Carolina is anti-worker and anti-union. The North Carolina government has taken away workers freedom to be represented. Only 3% of North Carolina’s work forces are union member making the state of North Carolina last in the country in percent of union workers. There is a law in North Carolina, statute 95-98, that prohibits any municipal, city, or state worker from being represented by a union. The statute states:
    “any agreement, or contract, between the governing authority of any city, town, county, or other municipality, or between any agency, unit, or instrumentality thereof, or between any agency, instrumentality, or institution of State of North Carolina, and any labor union, trade union, or labor organization, as bargaining agent for any public employees of such city, town, county or other municipality, or agency or instrumentality of government, is hereby declared to be against the public policy of the State, illegal, unlawful, void and of no effect.”

    This law contradicts the constitution by taking away workers basic human rights and freedom to choose. It takes away the workers right to be represented.. Chinese law makes it compulsory for any company or institution with a staff of 25 or more to set up a trade union upon the request of their workers. Wal-Mart stores in china are unionized! Our politicians speak of workers rights in the US. Where are the workers rights in North Carolina? We say like Ronald Regan said to Russian President Gorbachev, “TEAR DOWN THAT WALL.” This is one state that the Democratic Party cannot play the “BLAME GAME”. The workers of North Carolina need freedom, justice, and equality, now, not promises. Then and only then can the Democratic Party, Senator Obama, and Senator Edwards declare that they stand with the workers and the unions.
    Unions are the workers. They have an obligation and a duty to defend all workers. We in the workforce must not allow the politicians and the corporations to divide the workers along racial, religious or ethnic lines anymore. The workers are all sisters and brothers that carry the yoke of the US and must stand together and fight for our rights. The unions are the only place the workers have to turn to.
    There are many challenges and battles to be fought over the coming years. The unions must be tenacious and determined in their resolve to attain justice and equality for the American workers and their families. It is the workers that sweat, bleed and die on the battlefield. That is what made and makes this country great. Let the workers of North Carolina know that the unions feel their pain and pledge to stand together with them in their fight for freedom.
    We call upon the 10,000 union locals throughout this country to show their love and solidarity with the workers of North Carolina by forming peaceful protest throughout this country to bring this issue to the attention of all workers in the US. If peaceful protest does not do it, then the unions, the unemployed, the 40 million people living in poverty, and our military should start staging protest in Washington, DC. Then maybe they will get the idea. For those that don’t, they should get pink slips and be shown the way out of DC.
    Senator Schumer wrote a book Positively American, where he offered a 50% solution in 11 areas. We did not see a 50% increase in Union membership mentioned. I guess he forgot the workers or maybe he didn’t want to offend the corporate donors. It could be the workers should be looking at their own 50% solutions.
    Democratic Senator Chuck Schumer, who is in the leadership in the Senate, is asking the workers to trust the democrats. Over the years, the workers trusted both the Democrats and Republicans. What has it gotten them? 1) The elected officials have increased our National Debt from $3 Trillion to $9 Trillion. It took this country hundreds of years to get to $3 Trillion and only six years to get to $9Trillion. They then borrowed 43% of that debt from the country’s who we have large trade deficits with, such as, China, Japan, Korea and others; 2) Our trade agreements have caused a trade deficit that is fast approaching $1 Trillion per year; 3) They allowed American Corporations to move their manufacturing to China, Mexico, Southeast Asia, and now South America where they pay workers .60 cents per hour, which caused the US to lose payroll taxes into our SS, Medicare and the Treasury and the American workers to lose jobs. Then the corporations ship their products into the US duty free; 4) Our elected officials took the SS taxes that workers paid, put them into the general fund and now the government wants workers to pay taxes a second time to fund the SS retirement; 5) Our elected officials gave us 911 and three wars, 2 in Iraq and 1 in Afghanistan. These wars cost the US treasury over $½ Trillion. We believe that someone should be looking at who had a motive to commit these crimes and what corporations benefited from all this; 6) Even if we believe the governments voodoo statistics, they claim we have 6 million unemployed workers and 40 million people in the US living in poverty, many of which work full time. We also have seniors on SS with an income of $500.00 a month. Of course this doesn’t count the illegal immigrants because there is only estimates on how many there are.
    It’s very possible that 1 in 5 Americans or 20% of our population is living in poverty. Trust in our elected officials is DEAD. The workers now want accountability. We now ask our politicians to trust the workers, not their political party. And, no, we don’t think that after 10 years a raise in our minimum wage from $5.15 to $5.85 this year did anything. In case they can’t add, this is .7 cents per hour, per year.
    The authors of this article have spent the last three years developing the political solutions to these problems. For starters, we recommend that the 10,000 union locals in the US stop giving money to politicians and form up a “Workers Non Partisan Political Action Club” in each local, making a separate nonprofit 501 C(4) so they can raise money and invite all workers, union members, senior citizens and their family to participate and become members. The clubs are designed to take back control of our government and hold every elected official accountable for every bill, vote and hearing they ‘white wash’. If they do not measure up, fire them. We will be offering seminars in forming the clubs and how to be successful, starting at the grass roots level, how to win primary’s, and how to eliminate safe seats for our elected officials that forgot who put them in office.
    Down the road, the workers will be able to sit at the table with our elected officials and the corporations as equals and find common ground, and make decisions about what is good for this great country.
    Our E-mail address is: .workersnonpartisonpoliticalclubs@yahoo.com. Our mailing address is Workers nonpartisan political action clubs PO BOX 453 Franklin Square N.Y. 11010-0453


    Posted on May 16, 2007 7:01 AM

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