The Labor Concessions Deal: Gov. Malloy's "Nixon to China" Moment

When state employee unions approved the concessions that closed the $ 1.6 billion state budget gap after tough but fair negotiation by Governor Malloy, it was reminiscent of Nixon's trip to China in the sense that it took a Democratic Governor to pull off a labor deal  beneficial to both taxpayers and public employees which it was highly unlikely would or could have been negotiated by his Republican predecessors or his opponent in the last election.

Just as Nixon, the classic cold warrior, was given credit for opening up access to mainland China, Dan Malloy, elected by a narrow margin relying on union support, should be credited for pulling off  a labor deal that should be a model for states trying to balance budgets in this fragile economy. 

Governor Malloy's willingness to risk alienation of his labor base by threatening mass layoffs and the union members' trust in his promise that layoffs would be avoided and job security and cost-of-living increases built into the deal would be honored made it possible for him to guide the budget through the Assembly and obtain favorable votes on concessions from most public employee unions that would be inconceivable for any Republican administration to accomplish.

The willingness to raise revenues through taxes and to ensure job security for public employees opened the door to labor concessions that could never be accomplished through the tactics currently being employed by right-wing governors elsewhere. Contrast Malloy's labor and budgetary success with the budget deal rammed through the New Jersey Legislature by Governor Christie, which slashed public education funding forcing mass layoffs of teachers, or the union-busting tactics of Governor Kasich in Ohio, Governor Daniels in Indiana or Governor Walker in Wisconsin, which have alienated and scape-goat-ed public employees and swelled the ranks of those states' unemployed.

Hopefully, the two hold-out unions in our state, the State Police and the Corrections Officers, who turned down the concessions and now face layoffs, will see the light and come to appreciate the wisdom of the Governor's "shared sacrifice" approach to guiding our state's budget through these difficult times.