Examining the Defeat of Prop. 72

By Art Pulaski
Executive Secretary-Treasurer
California Labor Federation

Despite the outcome of the Presidential election, unions will continue to fight against the corporate interests that George Bush represents and for America's working families.

Governor Schwarzenegger targeted several union-supported legislators for defeat in this election. We won in each. He has shown his colors as a partisan Republican. Voters in all of the challenged Assembly districts recognized that the union-endorsed candidate was the one who would represent their interests.

We acknowledge all of the great work that unions did in this election. The hard work and dedication of so many of you made this the closest that any fight for health care reform has come - in the State or in the nation.

Proposition 72 achieved 49.1% of the vote. This razor-thin margin shows that Californians know that we are in a health care crisis. One out of five Californians has no health insurance. And the problem worsens weekly. As the cost of health insurance increases we are being faced with painful choices at the bargaining table. Members are paying more for the coverage and shouldering the burden of the millions of uninsured.

The largest - and the most profitable - corporate special interests like Wal-Mart, McDonalds and others spent $16.1 million to wage a deceptive campaign of misinformation, confusion and scare tactics to try to convince California voters that Proposition 72 would drive jobs and business out of the state.

The truth is that Proposition 72 would have made California businesses stronger and their workers more productive. Proposition 72 would not have cut jobs. Proposition 72 was not government-controlled health care. Proposition 72 would not have hurt small businesses. They were exempt.

But big corporations are not the only ones who acted shamefully. Gov. Arnold Schwarzenegger won office by promising to look out for all Californians. He broke that bond of trust by denying California's workers access to health care coverage.

The public deserved the truth from the Governor and from these corporations and they didn't get it. Instead Governor Schwarzenegger took money from corporate special interests and helped them shirk their responsibilities to California workers. Taxpayers like you and I are the ones who will pay the bill.

More Californians will lose our health coverage. Most of us will pay more for it. And all of us will continue to subsidize Wal-Mart, McDonalds, and others through both higher insurance premiums and more taxes.

We are being called to action as we have been called before at critical times in this state's history. Union workers are going to stand up for this basic and fundamental right, for this urgent need for all Californians to have affordable health care. We will hold corporations accountable to California's workers.

Protecting what we have is critical; helping others get what they deserve is even more so. We will do what is right until we win.

Top 'NO on 72' Campaign Contributors

Please inform your members that these corporations opposed health care reform.

• CA Restaurant Association and Issues PAC $4.5 million

• McDonald's (McDonald's Corp. and franchise owners) $1.5 million

• Wal-Mart $648,000

• Round Table Pizza (includes franchises) $482,000

• Macy's $400,000

• CA Business Properties Association PAC (Wal-Mart, Home Depot, Target) $325,000

• Outback Steakhouse $323,000

• Sears $300,000

• Robinson May $300,000

• Best Buy Purchasing $300,000

• Jack in the Box $260,000

• CA Chamber of Commerce Business PAC $255,000

• Target $250,000

Union performance on Proposition 72

The Health Insurance Act (Prop 72) narrowly lost but received 5 million votes. Union members voted 22% more for Prop 72 than non-union voters (post election poll 11/4).
YES on Prop 72 Vote: 67% of union members voted for Prop 72, versus 45% of non-union voters. Overall 49% of voters were in favor of Proposition 72.

Propositions supported that passed:

Prop 59, Protect the public's right to know;
Prop 60, Preserve primary elections;
Prop 61, Children's Hospital Projects;
Prop 63, Save millions and treat mental illness more effectively.

Propositions we opposed that failed:

Prop 62, Elimination of current primary system;
Prop 65, Complicated government funding scheme;
Prop 68, Expansion of out of state gambling interests;
Prop 70, Unlimited expansion of casinos that are exempt from state and local laws.

Propositions supported that failed:

Prop 66, Fix the "Three Strikes" Law;
Prop 72, Protect Health Care for Workers.

Propositions opposed that passed:

Prop 60A Selling off state assets;
Prop 64 Elimination of vital labor and public health protections;
Prop 69 Government invasion of privacy with DNA database.

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