EFCA's Impact on the Economy

Major business organizations across the nation oppose Card Check. Here's just a sampling of what leading business groups are saying about EFCA:

  • "EFCA is a direct assault on free enterprise and would undermine employers ability to respond to changing economic conditions. . . would cost hundreds of thousands of jobs ... [and] is one of the greatest threats facing our economic recovery and prospects for future growth." (National Association of Manufacturers)
     
  • "Card check is a job killer for small businesses, which are already near the breaking point in this economic recession." (National Federation of Independent Business)
     
  • "The [EFCA] bill would ultimately destroy jobs by making it more difficult for businesses to adapt and innovate. This is exactly the wrong prescription for our ailing economy." (U.S. Chamber of Commerce)

Serious economic consequences at the worst possible time

In a March 2009 study, noted economist Dr. Anne Layne-Farrar analyzed the impact of Card Check policies in certain Canadian provinces over the last 20 years. She determined that while EFCA may provide some workers with increased earnings, it will likely "decrease employment opportunities for others and increase inflation for all Americans." She concluded that EFCA would increase unemployment and reduce job creation, which she called "two adverse effects that America can ill afford at any time, especially during this time of recession."

According to Dr. Layne-Farrar's study, every three percentage points gained in union membership through Card Check will result in a corresponding one percentage point increase in unemployment the following year. That means if 1.5 million existing jobs become unionized in the first year EFCA is in effect, as organized labor leaders predict will happen, 600,000 jobs will disappear the following year.  Andy Stern, head of the Service Employees International Union, is predicting that EFCA would cause unions to grow by 1.5 million members a year for 10 to 15 straight years.

CLICK HERE for frequently asked questions about Card Check.

Some people say Card Check is needed to make it easier for workers to join unions.
A March 2009 Rasmussen Reports poll of 1,000 adults nationwide found that...
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