Monday, January 28, 2019

Dan Waters on the teacher strike


The union that represents teachers in the state’s largest school district, Los Angeles Unified, is claiming that its six-day strike produced a victory, and local media are echoing that line.
It may be, however, a pyrrhic victory because it could drive LA Unified, which is already in a deep financial hole, mostly of its own making, even closer to insolvency.
United Teachers of Los Angeles settled for the same 6 percent salary rise over two years that the district had offered before the strike. Its victory claim rests mostly on the district’s agreeing to place more nurses and librarians in junior and senior high schools and reduce class sizes. 

It was strictly a political and union strike not directly aimed at teachers, but aimed to extract more jobs from the state.   But the district is about a billion in the hole per year.  Gavin will have to borrow money, the state is due to cover costs, as is the usual practice after the Dills Act.  But the state is about 15 billion shrt, the rainy fund wiped in two days by Gavin, and this year the stock returns are looking dismal so far.  Gavin will be hitting the debt market pretty quick.  Once Jerry left, it is straight to Venezuela.

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