Alaska News

Giving away $2 billion won't assure Alaska hire

A CEO, a union worker and a non-union worker are sitting at a table with a dozen cookies. The CEO takes 11 cookies and tries to leave. The workers say, "Hey what are you doing?" The CEO looks at the non-union worker and says, "Watch out, that union guy wants your cookie."

That joke cracked me up, until I realized how sadly true it was. See, big business does what it wants while the rest of us are left fighting over scraps. I was reminded of that joke when I read Paul Jenkins' Sept. 18 piece ("To increase production, North Slope jobs, fix ACES") where he questioned my commitment to Alaska's workers.

He incorrectly and predictably asserted that my invited testimony before the Senate Labor and Commerce Committee on Sept. 8 was strictly to benefit my members; that all I really care about is me and mine. An artful attempt to change the subject, but so off the mark.

In those prepared remarks on Alaska hire issues relating to the governor's bill to roll back taxes on the oil industry, I stated at least twice that I am interested in the oil industry returning to the practice where they hire Alaskans to work on the North Slope, union or non-union Alaskans.

Mr. Jenkins is upset that I questioned the logic of giving the oil companies nearly $2 billion a year with no strings attached, and that I prefer to keep that $2 billion of our money flowing directly into the economy through the capital budget. The capital budget keeps money in Alaska by putting thousands of Alaskans to work each year, union and non-union. So let's say if, and that's a big if, the oil companies were to get their tax break and start hiring more Alaskans, any new jobs created would be subtracted from capital budgets that would become a casualty of $2 billion less available for capital construction jobs each year. In other words, no net job growth. So the Legislature still needs to do a heck of a lot more negotiating until the math works for all of us, and not just give the farm away.

So on one point, Jenkins is right. I do question the logic of giving them $2 billion a year on a hope and a prayer. By training and occupation I am a negotiator, and let's be clear, the oil companies have made no actual commitments. They've yet to negotiate with us -- Alaskans who own the resource. They are merely suggesting they will do the right thing.

But Alaskans have heard this tune before. Jenkins comparing a guy on a street corner playing a guitar for spare change to the companies making the biggest profits in the entire history of the world is delusional at best. The guitar player could make more dough than these companies? Who does this man think he's talking to?

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Last spring, during the special session, we commissioned a poll to see how Alaskans of all stripes felt about the oil tax debate that was happening at the time in Juneau.

We gleaned lots of interesting information -- but here is one statistic that Mr. Jenkins and his industry friends need to take note of. When asked whether hiring Alaskans (union or not) should be a condition of any tax break, 77 percent said yes.

Alaskans have had enough. We see the jobs going out of state and we know that if we don't require them to hire us, they probably won't.

Before I send all the politicos into orbit about the unconstitutionality of Alaska hire, let me say two things: Union hiring practices allow for legal Alaska hire preference, and legal tax credit policies or rebates for hiring Alaskans, union or not, can assure Alaska hire.

It can be done. The public says it should be done.

This is our oil. This is our money. I won't be distracted and reduced to fighting my fellow Alaskans for the last cookie, because all we'll have left is a few crumbs.

These should be our jobs. Period.

Vince Beltrami is president of the AFL-CIO in Alaska.

By VINCE BELTRAMI

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