Indiana is open for business: when will New Mexico be?

This week is going to go down as one of the most important in Indiana history. While hosting the first Super Bowl ever to be held in the state is a big deal, the really big deal is that the state’s Gov. Mitch Daniels has signed Right to Work Legislation. Simply put, the legislation enacted in Indiana will barunion contracts from requiring non-union members to pay fees for representation. Kudos to Daniels who I recently criticized.

Simply put, Right to Work is one of the easiest ways for states to become more competitive economically. New Mexico is, of course, not a Right to Work state. Following are a few specific ways in which this legislation improves a state’s economic outlook.

Right to Work States Benefit From Faster Growth, Higher Real Purchasing Power – 2011 Update

Percentage Growth in Non-Farm Private-Sector Employees (2000-2010)

Right to Work States . . . . . . . . . . . . . . . +0.3%
Forced-Unionism States. . . . . . . . . . . . . . -5.5%
National Average . . . . . . . . . . . . . . . . . .  -3.3%
Source: Department of Labor, Bureau of Labor Statistics (BLS)

Percentage Real Growth in Private-Sector Employee Compensation (2000-2010)

Right to Work States . . . . . . . . . . . . . . . 11.3%
Forced-Unionism States. . . . . . . . . . . . .  . 0.7%
(2000-2010) National Average . . . . .  . . . . 4.3%
BEA; BLS

Cost of Living-Adjusted Compensation Per Private-Sector Employee (2010)

Right to Work States . . . . . . . . . . . . . $56,575
Forced-Unionism States . . . . . . . . . . . $55,420
National Average . . . . . . . . . . . . . . . . $55,896
Missouri Economic Research and Information Center (MERIC);
BEA; Department of Commerce, Bureau of the Census (BOC)

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2 Replies to “Indiana is open for business: when will New Mexico be?”

  1. The NM state legislature will pass right to work legislation when Republicans hold a majority in both the state house and state senate at the same time. Considering that the last time the Republicans did so was in 1930, NM will pass right to work legislation when pigs fly.

  2. I can not disagree with the timetable offered by Charles, but there is NO reason not to resist union demands.
    Among other matters are the unfunded state pension plans, which will require lots of money to make good on as the earnings assumptions are fraudulent.
    Further, resisting county/city employee unions is as important as the state unions.

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