Business

‘Right-to-Work’ Laws Depress Union and Non-Union Wages

Published

11 years ago

April 28, 2015

Oakland Post

African Americans are also more likely to live in “right-to-work” (RTW) states than non-RTW states. (Stock Image)

By Freddie Allen
NNPA Senior Washington Correspondent

WASHINGTON (NNPA) – Despite what the defenders of “right-to-work” laws claim, those policies offer less protection for employees and depress the wages of non-union and union workers, according to a new report by the Economic Policy Institute.

The report by the Economic Policy Institute (EPI), a progressive research and advocacy group focused on low- and middle-income workers, said that, “right-to-work (RTW) laws seek to hamstring unions’ ability to help employees bargain with their employers for better wages, benefits, and working conditions.”

In 11 out of the 25 right-to-work states, Blacks account for a higher share of the state population than the national average (13.2 percent). Those states are Alabama, Arkansas, Florida, Georgia, Louisiana, Michigan, Mississippi, North Carolina, South Carolina, Tennessee and Virginia. African Americans are also more likely to live in RTW states than non-RTW states.

The EPI report said that Blacks account for 7.1 percent of workers in non-right-to-work states and 14 percent of workers in right to work states, compared to Whites who make up for 70.3 percent of workers in non-RTW states and 62.6 percent of workers in RTW states.

Opponents of right-to-work laws also argue that workers don’t need such laws to protect them from being forced to join unions because that’s already illegal.

In a blog post originally published in the New York Times, EPI senior economist Elise Gould wrote: “Right-to-work goes one step further and entitles employees to the benefits of a union contract – including the right to have the union take up their grievance if their employer abuses them – without paying any of the cost.”

That means that non-union members are entitled to help from unions when they run afoul of employers, even though they don’t support them by paying dues.

As union membership dips to historic lows, economists say that those RTW work laws have contributed to the decline of unions nationwide.

But when employees don’t have to contend with RTW laws, employers find ways to pay more.

“Average hourly wages, the primary variable of interest, are 15.8 percent higher in non-RTW states ($23.93 in non-RTW states versus $20.66 in RTW states),” stated the report.

Workers earn about $1,500 less per year in RTW states compared to non-RTW states and employees.

“It’s abundantly clear that right-to-work laws are negatively correlated with workers’ wages,” said Gould.

And because Blacks lean on unions more to promote wage equality, their paychecks are also more dependent on strong unions.

According to a report on Black union membership by the Center for Labor Research and Education at the University of California at Berkeley, in the top 10 metropolitan areas, a higher concentration of Black workers participate in unions than Whites (16 percent for Black workers vs. 12.4 percent for White workers).

The report said that workers in non-RTW states are more than twice as likely to be in a union or protected by a union contract.

In an online blog post on collective bargaining Lawrence Mishel, the president of EPI and Lee Saunders, the president of American Federation of State, County and Municipal Employees (AFSCME), the largest public service employee union in the U.S., said that, collective bargaining helps to reduce wage inequality and benefits the most for the lowest-wage workers.

“And it works to reduce other forms of inequality as well. African-American, Asian, Hispanic and immigrant workers who are union members are more likely to receive equitable pay,” the post read. “It also helps to close the wage gap between men and women.”

Mishel and Saunders wrote that even as Republican presidential primary candidates are positioning themselves as union busters, “growing support for collective bargaining combined with the pressing concerns middle-class voters feel every day when it comes to their wages that haven’t kept up with the cost of living,” should make them reconsider that stance.

EPI research assistant Will Kimball said that policymakers who are concerned by the three-and-a-half decades of wage stagnation that have plagued American workers should be trying to strengthen unions.

Kimball added: “Collective bargaining is a clear way to raise wages, and right to work laws undercut it.”

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Oakland Post: Week of February 25 – March 3, 2026

The printed Weekly Edition of the Oakland Post: Week of – February 25 – March 3, 2026

Published

3 days ago

March 1, 2026

Oakland Post

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Chase Oakland Community Center Hosts Alley-Oop Accelerator Building Community and Opportunity for Bay Area Entrepreneurs

Over the past three years, the Alley-Oop Accelerator has helped more than 20 Bay Area businesses grow, connect, and gain meaningful exposure. The program combines hands-on training, mentorship, and community-building to help participants navigate the legal, financial, and marketing challenges of small business ownership.

Published

1 week ago

February 21, 2026

Oakland Post

Bay Area entrepreneurs attend the Alley-Oop Accelerator, a small business incubation program at Chase Oakland Community Center. Photo by Carla Thomas.

By Carla Thomas

The Golden State Warriors and Chase bank hosted the third annual Alley-Oop Accelerator this month, an empowering eight-week program designed to help Bay Area entrepreneurs bring their visions for business to life.

The initiative kicked off on Feb. 12 at Chase’s Oakland Community Center on Broadway Street, welcoming 15 small business owners who joined a growing network of local innovators working to strengthen the region’s entrepreneurial ecosystem.

At its core, the accelerator is designed to create an ecosystem of collaboration, where local entrepreneurs can learn from one another while accessing the resources of a global financial institution.

“This is our third year in a row working with the Golden State Warriors on the Alley-Oop Accelerator,” said Jaime Garcia, executive director of Chase’s Coaching for Impact team for the West Division. “We’ve already had 20-plus businesses graduate from the program, and we have 15 enrolled this year. The biggest thing about the program is really the community that’s built amongst the business owners — plus the exposure they’re able to get through Chase and the Golden State Warriors.”

According to Garcia, several graduates have gone on to receive vendor contracts with the Warriors and have gained broader recognition through collaborations with JPMorgan Chase.

“A lot of what Chase is trying to do,” Garcia added, “is bring businesses together because what they’ve asked for is an ecosystem, a network where they can connect, grow, and thrive organically.”

This year’s Alley-Oop Accelerator reflects that vision through its comprehensive curriculum and emphasis on practical learning. Participants explore the full spectrum of business essentials including financial management, marketing strategy, and legal compliance, while also preparing for real-world experiences such as pop-up market events.

Each entrepreneur benefits from one-on-one mentoring sessions through Chase’s Coaching for Impact program, which provides complimentary, personalized business consulting.

Garcia described the impact this hands-on approach has had on local small business owners. He recalled one candlemaker, who, after participating in the program, was invited to provide candles as gifts at Chase events.

“We were able to help give that business exposure,” he explained. “But then our team also worked with them on how to access capital to buy inventory and manage operations once those orders started coming in. It’s about preparation. When a hiccup happens, are you ready to handle it?”

The Coaching for Impact initiative, which launched in 2020 in just four cities, has since expanded to 46 nationwide.

“Every business is different,” Garcia said. “That’s why personal coaching matters so much. It’s life-changing.”

Participants in the 2026 program will each receive a $2,500 stipend, funding that Garcia said can make an outsized difference. “It’s amazing what some people can do with just $2,500,” he noted. “It sounds small, but it goes a long way when you have a plan for how to use it.”

For Chase and the Warriors, the Alley-Oop Accelerator represents more than an educational initiative, it’s a pathway to empowerment and economic inclusion. The program continues to foster lasting relationships among the entrepreneurs who, as Garcia put it, “build each other up” through shared growth and opportunity.

“Starting a business is never easy, but with the right support, it becomes possible, and even exhilarating,” said Oscar Lopez, the senior business consultant for Chase in Oakland.