Corporations Behaving Badly

[Tiredretiredlawyer]

https://popular.info/p/how-corporations ... 5qkg69bXxU

How corporations give Republicans a massive financial advantage in state politics

How corporations give Republicans a massive financial advantage in state politics
Judd Legum

Over the last decade, public corporations have given Republicans at the state level a financial advantage that exceeds $200 million, according to new research provided exclusively to Popular Information by the Center for Political Accountability.

One way corporations bankroll politicians is through corporate PAC contributions directly to candidates. This money is important but has some substantial limitations. First, PAC money comes from a segregated fund that is financed through voluntary contributions by corporate employees. Second, there are generally strict limits on how much a PAC can give to an individual candidate in each election. Third, there is a direct connection between the corporations and the candidate, which makes it easy to hold corporations accountable for PAC contributions.

But corporate donations to groups like the Republican Governors Association (RGA) and the Democratic Governors Association (DGA), which are organized under the tax code as 527 groups, have no such limitations. Corporations can donate unlimited funds directly from their treasury to groups like the RGA and the DGA. And those groups can spend unlimited amounts of money on behalf of candidates. These donations also insulate corporations from the actions of any individual candidate, since a donation to a national organization like the RGA could theoretically support a candidate in any state.

Corporations fund 527 groups directly and through trade associations like the U.S. Chamber of Commerce. The Center for Political Accountability looked at corporate donations to six 527 groups from 2009 to 2020: the RGA, the DGA, the Republican State Leadership Committee (RSLC), the Democratic Legislative Campaign Committee (DLCC), the Republican Attorneys General Association (RAGA) and the Democratic Attorneys General Association (DAGA).

Collectively, these six 527 groups play a dominant role in state politics. Over the five election cycles, they have collectively raised $1.69 billion. About 44% of this money came from public corporations and trade associations. Another 15% came from private companies.

[AndyinPA]

Legalized bribery.

[Phoenix]

When David Quay Johnson says the Republicans have “tiered” the playing field, this is what he means. They’ve spent decades passing legislation that benefits them and their elk, not the general citizens, and hiding it in plain sight.
As DFO says in the blurb on Jesse Waters’s book jacket - they fight like hell against social justice.

I can’t even imagine being proud of that.

[Tiredretiredlawyer]

These corporations just donated to a Republican group that helped create the January 6 mob

"The march to save America is tomorrow in Washington D.C… At 1:00 p.m., we will march to the Capitol building and call on Congress to stop the steal. We are hoping patriots like you will join us to continue to fight to protect the integrity of our elections."

That was an excerpt from robocalls sent on January 5 by the Republican Attorneys General Association (RAGA), through its self-described "policy branch," the Rule of Law Defense Fund (RLDF).

RAGA's involvement in building the mob that carried out the January 6 attack on the United States Capitol, however, has not dissuaded numerous major corporations from donating hundreds of thousands of dollars to RAGA in 2021. The donations were revealed in disclosures filed this week with the IRS.

RAGA's complicity in the events of January 6 extends beyond the robocalls. The organization also played a key role in setting the predicate for what devolved into a violent riot. Weeks before Election Day, RAGA pushed conspiracy theories suggesting Democrats were plotting to "steal" the election.

Match Group, Smile Direct Club, Mastercard, and AT&T did not respond to a request for comment.

[Jim]

Forgive me, this is a business instead of a corporation, but seemed the best spot for this

State College business charged with employee theft to pay restitution, pleads no contest at hearing

The Glenn O. Hawbaker company, which is one of the largest construction companies in the region, pleaded no contest to four felony counts of theft for illegal wage theft schemes that stole tens of millions of dollars from its workers, Shapiro said in a press conference following the hearing.

The company was accused of violating Pennsylvania's Prevailing Wage Law and the Federal Davis-Bacon act for stealing more than $20 million from workers over the course of three decades, according to Shapiro.

Shapiro said the company was awarded $1.7 billion in contracts from the Pennsylvania Department of Health from 2003-2018 to complete projects like building roads and bridges.

Contract workers are required to receive a "prevailing wage," meaning a set wage per hour they are on the job. Workers can receive the full set wage in a paycheck or the money can be split between a paycheck and other fringe benefits like health care. However, Shapiro said the full prevailing wage must ultimately go back to the employees.

Vice President of Glenn O. Hawbaker, D. Michael Hawbaker, was present at the hearing and said although the company is not pleading guilty, it agrees to pay the restitution in full.

[Tiredretiredlawyer]

https://popular.info/p/gm-said-it-was-a ... for-voting

GM said it was a champion for voting rights, sent 125K to GOP group pushing voter suppression

On April 6, General Motors CEO Mary Barra wrote on LinkedIn that the "right to vote in a fair, free, and equitable manner is the most precious element of #democracy." Barra then expounded at length on GM's "support of voter rights."

The post, published three days after Georgia's controversial voter suppression bill was signed into law, said that GM was "focused on advocating for laws that safeguard and guarantee the right to vote." The company, Barra wrote, believes "unnecessary restrictions on the right to vote strike at the heart of representative government."

GM also posted a link to Barra's message on its Twitter account, along with a graphic touting GM's commitment to voting rights.

But just a week earlier, on March 31, the Republican State Leadership Committee (RSLC) — a driving force behind voter suppression efforts in Georgia and other states — reported receiving a $125,000 donation from GM. The company's donation was buried in a 3,618-page disclosure filed by the RSLC with the IRS earlier this week.

Walgreen's , WalMart, Eli-Lilly, AT&T, Facebook, and Kum and Go also donated.

[RTH10260]

did not do further research

SHOCKING: Frito-Lay Worker Electrocuted, Denied Medical Care & Surveilled by Company Agents

More Perfect Union
25 Jul 2021

Brandon Ingram was severely electrocuted and nearly died while working at a Frito-Lay factory in Missouri. The company then denied him needed medical care. Brandon, his wife, and children have been stalked and secretly filmed by company agents for years.

The new revelations add to a troubling trend of abuse exposed by Frito-Lay workers on strike in Topeka, Kansas.
-----
More Perfect Union is a new nonprofit media org with a mission to empower working people.

[RTH10260]

Man claims Frito-Lay harassed his family after he suffered electric shock at work
“I am in pain every day,” said Ingram. “It’s excruciating. It’s running down my body through my leg. It hurts.”

Author: Holden Kurwicki
Published: 9:28 PM CDT July 27, 2021
Updated: 2:07 PM CDT July 28, 2021

FLORISSANT, Mo. — A Florissant man who was shocked by a piece of equipment on the job says his company turned its back on him and hired private investigators to follow him.

After Brandon Ingram left the Navy he moved home to St. Louis for a job offer he thought would set him up for long-term success.

“It’s Frito-Lay,” said Ingram. “Who wouldn’t want to work for Frito-Lay.”

In an effort to move up within the company Ingram said he was working 60, 70 and sometimes even 80 hours per week at a Frito-Lay warehouse.

On Oct. 2, 2016, an incident occurred that changed his personal and professional life forever.

“I felt a strong attachment and then I went a little dizzy for a moment,” said Ingram. “I was like I’m OK, I’m OK. I just got zapped a little bit.”

Realizing he had been shocked, a manager took Ingram to a local hospital.

“They were just like 'You’re good to go,'” said Ingram.

However, it didn’t take him long to realize there was something seriously wrong.

“I am in pain every day,” said Ingram. “It’s excruciating. It’s running down my body through my leg. It hurts.”

Diagnosed with two herniated discs and liver failure, Ingram was put on short-term disability.

“I went from making a nice amount and being able to support my family to barely making it and being in the red,” he said.


https://www.ksdk.com/article/news/local ... 5361c7dcc3

[Tiredretiredlawyer]

https://popular.info/p/updates-the-corp ... syeqpaW3xU

UPDATES: The corporate campaign to tank reconciliation
Judd Legum 2 hr ago

A recent poll from Data for Progress found that 62% of Americans support the reconciliation package. This includes 85% of Democrats, 58% of Independents, and 39% of Republicans.

The Data for Progress poll is not an outlier. Every recent poll of the reconciliation bill found supporters outnumbering opponents, including Pew (+24), Fox News (+22), Monmouth (+28), and Quinnipiac (+30).

The Business Roundtable also announced a "multi-million-
dollar campaign" to defeat the reconciliation bill which will include "direct CEO engagement to Capitol Hill and the Administration, as well as high-frequency radio print and digital ads in over 50 media markets across the country, generating calls and letters from constituents in target states."

As Popular Information reported, Apple CEO Tim Cook is on the board of the Business Roundtable. Apple has publicly endorsed the climate provisions of the reconciliation bill, calling the legislation's Clean Energy Standard "urgent." But, as a leader of the Business Roundtable, Cook is part of this aggressive effort to defeat the bill.

[raison de arizona]

Corporations Ready to Resume Donating to Pro-Coup Republicans It’s not because they’ve solved the problem of Republican authoritarianism.

Of all the gestures of revulsion that followed Donald Trump’s January 6 assault, the corporate boycott on Republicans who refused to accept the election results was the most transparently short-lived. To be sure, when a slew of major corporations announced earlier this year they would suspend donations to those members of Congress who opposed certification of the election, they probably experienced sincere feelings of patriotic indignation.

Now the pretend feud is ending. “Interviews with about a half-dozen GOP-connected lobbyists reveal that the results of the off-year election bode well for the party’s fundraising from companies that had soured on giving after Jan. 6,” reports Hailey Fuchs. “Some corporations are moving to resume relationships with members from whom they had distanced themselves about a year ago.”

It’s definitely not the case that the corporations are resuming their giving because the problem has been solved. By any measure, the problem is dramatically worse now than it was at the beginning of the year. The Republicans who vocally denounced Trump’s attempted coup are facing purges, while those who supported the coup are getting bolder.

What has changed is that all sides now expect Republicans to win control of Congress. It was one thing to boycott the minority party in Congress for its refusal to abide by the essential norms underpinning democratic government. But if authoritarian maniacs have gained power, then they need to be placated and dealt with.

https://nymag.com/intelligencer/2021/11 ... ary-6.html

Quick read, interesting but depressing.

[Foggy]

... if authoritarian maniacs have gained power, then they need to be placated and dealt with.

I couldn't possibly disagree more about this. When they gain power, it must be taken from them. By force if necessary.

[RTH10260]

... if authoritarian maniacs have gained power, then they need to be placated and dealt with.

I couldn't possibly disagree more about this. When they gain power, it must be taken from them. By force if necessary.

Where is the army when one needs them

[John Thomas8]

An historical instance of corporations behaving badly:

[raison de arizona]

I guess Nascar forgot their target audience for a moment...then backtracked.

@WendyRogersAZ
NASCAR was mocked for this tweet so they deleted it.

► Show Spoiler

As a result, they're taking flak from every side now.
https://twitter.com/search?q=nascar%20kwanzaa

[raison de arizona]

Uh, good job?

Domino's spent $50.4 million (and counting) on TV ads to brag about giving local businesses a total of $100,000

[sugar magnolia]

They're also screwing their drivers by promoting the $3 delivery tip for store pick-up. People are now tipping $3 rather than the higher tips the drivers were getting.

[raison de arizona]

I was listening to NPR today & a 27 year old was diagnosed with Mesothelioma thinking she had cysts. She joined the lawsuit against J&J for their baby powder but they’ve stalled it out by creating a fake co, passing the suit to it & declaring it bankrupt.

She died last month.

Before her passing of course she was drowning in medical debt and her mother couldn’t work because she was taking care of her. They interviewed her mom after she died and she said she’s also angry her daughter died without getting justice and closure.

Johnson & Johnson is worth $400 billion by the way.

npr.org
Some companies are using bankruptcy courts to block lawsuits

[Phoenix520]

In 1981 I moved back to CA and had to find all new doctors. Way back then, my new OB/GYN said one of her biggest problems was girls/ women who used baby powder to stay dry ‘down there’ and warned me never to do that. I never did.

It’s been going on as long as J&J has existed. Fuckers. They knew all along.

[raison de arizona]

Confirmed: @carvana laid off 2,500 employees today via a pre-recorded message through zoom.

[northland10]

And they just announced today they are spending 2.2 billion to buy a car auction company. The cynical part of me says it was not "right-sizing" but a numbers game to show better operation margins in order to get banks to fund the acquisition.

https://www.marketwatch.com/story/carva ... 2022-05-10

[raison de arizona]

And they just announced today they are spending 2.2 billion to buy a car auction company. The cynical part of me says it was not "right-sizing" but a numbers game to show better operation margins in order to get banks to fund the acquisition.

https://www.marketwatch.com/story/carva ... 2022-05-10

Interesting.

Just hours before officially downsizing its staff, Carvana announced its intention to pay $2.2 billion for Adesa U.S., the wholesale vehicle auction unit of Carmel, Indiana-based KAR Auction Services Inc.

“It’s profits over people,” Conrad said.

A company spokesperson did not confirm any relationship between the two events.

“We aim to carry out this difficult decision in a transparent and thoughtful manner while providing meaningful assistance, resources, and support to impacted team members,” Cardenas said. “We believe these decisions, while extremely difficult, will result in Carvana restoring a better balance between its sales volumes and staffing levels and facilitate the company returning to efficient growth on its mission to change the way people buy and sell cars.”

Affected workers, believing their employer was over-zealous in recruiting a small army of new personnel last year, claim the company is simply trying to cover for its mistake.

Brown was brought on board six months ago as part of a large hiring initiative that saw more than 100 new employees start work every week. Hiring just halted in April.

https://www.phoenixnewtimes.com/news/te ... x-13600822

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[johnpcapitalist]

Confirmed: @carvana laid off 2,500 employees today via a pre-recorded message through zoom.

And they just announced today they are spending 2.2 billion to buy a car auction company. The cynical part of me says it was not "right-sizing" but a numbers game to show better operation margins in order to get banks to fund the acquisition.

https://www.marketwatch.com/story/carva ... 2022-05-10

I don't follow Carvana at all, so the following is based on years of general Wall Street experience and knowledge and a handful of minutes of research.

Carvana had about 21,000 employees before the merger, so laying off 2,500 is about 1 in 8. That's a much deeper cut than "fine-tuning" expense levels to dress something up for Wall Street. The fact that they announced the layoff the same day as doing a big acquisition doesn't mean that they're trying to clean up the income statement to get financing. Financing was already in place before they announced the deal today, so that doesn't help them.

It sounds to me like their business model is seriously broken. The stock is down about 90% from its August 2021 high of $360; it's at $36 today.

My suspicion is that the broken business model is around how they bought the cars they resell. If they were the customers of all the regional used car auction lots, then they were overpaying for cars because they had to pay auction fees, especially if they were having trouble buying cars. So that probably destroyed their operating margins at the scale they're trying to operate.

2021 results didn't look horrible -- revenue more than doubled (+129%), profit per vehicle was up sharply, and losses came in near breakeven, the best ever performance in its history.

However, growth slowed markedly in the first quarter of 2021 to +14% y/y. The company attributed this to overall economic conditions including COVID and rising interest rates but also company-specific factors including problems getting cars reconditioned and ready for sale fast enough. They apparently are a high fixed cost business (great when business grows ahead of expectations and extremely painful when the growth you are counting on doesn't arrive), according to their Q1 press release, something I wouldn't have guessed looking at them, but they say they are.

While they tanked in Q1, the stock had already begun collapsing, dropping steadily from the August 2021 peak of $360 to around $150 when they reported numbers in January, and it continued to decline throughout the disastrous first quarter. It doesn't really look like someone figured out that they were going to miss the quarter; there was consistent selling pressure all along, which tells me that the issue is the business model or other structural issues. Often, when some hedge fund figures out that a company is going to miss numbers, you see a quick leg down, often in the last two weeks of the quarter or just before an earnings report. That didn't seem to happen here.

I'm not sure what the current economics of car auction businesses are, but I suspect they're down because of COVID. I would guess that prime used cars (3-5 years old) that they handle are in short supply because people that have them aren't selling them because there are no new cars to buy, and people who need cars because theirs blew up are struggling with price increases. The market for used cars is probably a lot like the hot real estate market -- prices are surging because there are few sellers, even at increased prices, because people moving out need some place to move to. They may have been able to pick up this wholesale auction company for cheap. They get a lot of real estate that may be valuable in and of itself, and where they may be able to locate reconditioning operations.

[northland10]

JPC, thanks as always. I value your Wall Street insight. I have started to wonder if part of their business model issue is that they tend to jump fast on changes without really looking at a cohesive, at least slightly longer term, strategy. They had huge growth and the stock was high and they leaped on adding staff way too quickly. Their drops could have been exasperated by too many staff who were not yet fully on-boarded and thus, could not support the necessary continued growth (coupled with the business model flaws you already mentioned). Their latest acquisition target seems like another grand leap instead of stabilizing their business.

If they were adding people extremely fast, that would explain the interview experience Rasison had. They likely had to increase their HR and recruiting folks fast and then have the do formula questions only. They had too little experience in the business and too little time in the interview to create a real conversation that gives them insight into what potential the candidate can bring to the organization.

[Ben-Prime]

Confirmed: @carvana laid off 2,500 employees today via a pre-recorded message through zoom.

Was reading about this on the r/antiwork subreddit yesterday. Now, I was reading this particular article on my phone while sitting at a Glacier (I think that's the way the French refer to an ice cream parlor) on the Quai du Port of Marseille's Vieux-Port, eyeballing boats and people-watching (I'm only 1/4 of the way into a 2-week vacation from my work at the Embassy in London, 5 days each in Marseille and Genoa capped at both ends with short stays in Paris to transit back and forth to London on the Eurostar), so I was a mite distracted, and reading it on a small screen.

But from what I read, internal comms at the company made it clear that when they first made the announcement to staff *they hadn't yet released the list of who was being let go and the staff was forbidden to discuss this internally and figure out who was being let go.*

"Imma just torture you, but I forbid you to cry out in your suffering."

I'd be glad to be wrong on this. I'm killing some time in my hotel room this morning waiting for confirmation on a lunch reservation this afternoon before I head out (apparently, the restaurant will not confirm to a US or UK number, and I gambled on my UK personal cell having roaming here in France so didn't bother buying a local sim, so they have to call me on the hotel room phone), so I'll try to look it up and circle back while I'm waiting.

Off Topic

Bonus: the new profile pic includes the jaunty hand-made limited run new flat cap I picked up at a specialty hat shop on the Vieux-Port yesterday. It's so superheroic, that two of my oldest friends back from my high school days in the 80s *and* my best friend in the Foreign Service who was my office mate during my time in Dhaka (and it turns out lives 30 miles from me in Florida and we have friends in common but we'd never met until Dhaka) all want me to say how many more are made and whether any are in their sizes!

[Ben-Prime]

.....aaaaand as it turns out, I still had the window open on my mobile phone's browser, so I sent myself the linkie.