Category: Corporations

Trojan Horse Ag-Gag Bill Introduced in New Hampshire

Chickens in a battery cage  (Wikimedia image)

Chickens in a battery cage (Wikimedia image)

The Humane Society of the United States (HSUS) is sounding alarm bells about a bill introduced in New Hampshire’s House of Representatives that requires people who photograph or make video recordings of cruelty against livestock to report it to police within 24 hours and turn over their unedited video or photos to authorities. So what’s wrong with that? And why does the HSUS oppose it? After all, it sounds like it’s aimed at exposing animal abuse, right? Nope. It’s a particularly tricky form of an industry-crafted “Ag-Gag” bill meant to stifle reporting on animal cruelty in commercial livestock operations. How? When whistleblowers expose cruelty at commercial animal enterprises, a common excuse put forth by business owners is that the abuse was a one-off occurrence or a single event perpetrated by a rogue employee who has, of course, since been fired. People working to expose animal abuse in big agribusiness enterprises have learned that they must document repeated instances of cruelty in order to make a solid case against the company that will hold up in court. Such high-quality evidence is animal advocates’ only leverage to try and stop to the abuse. If people are required to turn over a video recording of a single instance of abuse the same day it was taken, it would make it virtually impossible to document a pattern of abuse to the extent necessary to make a tight enough case to stop it.

FDA- Approved “Buttery” Food Flavoring Makes People Sick

diacetylA chemical flavoring used to create that delicious, buttery flavor in microwave popcorn, when heated, can cause a life-threatening, irreversible obstructive lung disease called bronchiolitis obliterates. The chemical, called diacetyl, was first found make popcorn manufacturing workers sick in 1985, after two workers employed in a factory where the flavoring was used developed a rare lung disease. The National Institute of Occupational Safety and Health (NIOSH), tested the air in the employees’ workplace, found a high concentration of diacetyl, and confirmed a link between workers’ exposure to the chemical and their reduced lung function. Since then, hundreds of workers have reported becoming sick after working around the chemical. According to NIOSH, diacetyl is used extensively in the flavoring and food manufacturing industries. Diacetyl doesn’t just affect factory workers, either. Wayne Watson of Denver, Colorado, ate two bags of microwave popcorn every day for ten years and developed the lung disease now known as “popcorn lung.” In September, 2012, he was awarded $7.2 million in a lawsuit against Gilster-Mary Lee Corporation, which made the popcorn, and the Kroger and Dillon Companies, the grocery store chains that sold it. In his suit, Watson pointed out that neither the manufacturer nor the grocery stores warned customers that diacetyl — also recently linked to Alzheimer’s disease — was dangerous. In December, 2012, Sensient, a flavoring company in Indianapolis, Indiana, agreed to pay a fine for violating Indiana OSHA workplace standards for use of diacetyl. The company also agreed to reduce its use of the chemical. In 2004, a jury awarded another couple, Eric and Cassandra Peoples of Joplin, Missouri, a total of $20 million for health injuries they incurred due to workplace exposure to the chemical. So far, food manufacturers have paid out over $100 million in damages to workers who were exposed to the chemical and got sick. Despite this, FDA still lists the chemical as safe on its website. 

Resource: U.S. Centers for Disease Control 2011 Review and Recommendation for Standard for Use of Diacetyl  (pdf)

Bushmaster Gun Company Forced to Pull Tasteless Ad

A portion of Bushmaster's tasteless online promotion. (The company has since pulled it.)

A portion of Bushmaster’s tasteless online promotion. (The company has since pulled it.)

Bushmaster, the company that makes the machine gun Adam Lanza used in the Sandy Hook Elementary School massacre December 14, 2012, was forced to pull a shockingly bad ad campaign from its website that taunted men about their masculinity and portrayed them as not masculine unless they owned a gun. Bushmaster’s site quizzed men about whether they ate tofu, knew how to change a tire or had ever watched figure skating “on purpose.” If men passed the “quiz,” they would get awarded a “Man Card” that entitled them to “leave the seat up without shame.” A “Man Card” could be revoked if a man was a “coward,” a “cry baby” or found himself on a “short leash.” One part of the site said “Colin F. avoids eye contact with tough-looking 5th graders. MAN CARD REVOKED.” The ad also made it clear that a man could reclaim his manhood by buying a Bushmaster assault rifle,  like the one Adam Lanza allegedly used at Newtown.

Source: Buzzfeed, December 17, 2012

Hobby Lobby’s Misguided Religious Activism

Hobby Lobby founder David Green, and his wife.

Hobby Lobby founder David Green, and his wife.

Op-Ed

A U.S. District Court court ruled in November that Hobby Lobby, a private, for-profit, national arts-and-crafts supply store chain owned by a Christian family, cannot be exempted from a government requirement that its employees’ health insurance plan cover 100% of the cost for emergency contraceptives. Hobby Lobby’s owners, who are conservative Christians, challenged a provision of the Affordable Care Act (“Obamacare”) that requires businesses provide employees with no-cost birth control through their health insurance plans. U.S. District Judge Joe Heaton of the Western District Court in Oklahoma ruled November 19 that privately-owned companies are secular, for-profit enterprises, and as such are not entitled to the the same religious rights as the individual members of the family that owns them. The Green family, owners of Hobby Lobby, have vowed to defy the Court’s ruling, and to continue to block their employees’ access to free contraception through their health insurance plans.

In his religious zeal, David Green, the owner of Hobby Lobby, is missing the point. The law entitles him and his family to their own beliefs, but Hobby Lobby’s claim that the Affordable Care Act’s contraception requirements infringe on his own personal religious liberty makes no sense.

Expedia Uses its Clout to Crush Small, Independent Hotels

The owners of the Luna Blue Hotel on Mexico's Caribbean coast reveal their experience with Expedia's strong-arm tactics to try and ruin their business and push travelers to book at more bigger, more lucrative properties that have a more favorable relationship with the site.

The owners of the Luna Blue Hotel on Mexico’s Caribbean coast reveal their experience with Expedia’s strong-arm tactics to try and ruin their business and push travelers to book at more bigger, more lucrative properties that have a more favorable relationship with the site.

Years ago, Tony and Cheri quit their jobs, left their lives in the U.S. and risked their entire life savings to pursue their dream of operating a small hotel on Mexico’s Caribbean coast. Their quaint, 18-room place, the Luna Blue Hotel, took some hits from the swine flu scare and state-side reports of central Mexico’s drug wars, but the couple vowed to hold on and get through it somehow. During that lean time, a representative of the powerhouse travel website Expedia approached the couple and offered to help them recover some of their lost business by listing their place on Expedia. The couple agreed it might be a good idea to list with the site, and signed on as an Expedia “partner.”

But almost immediately the relationship turned sour.

Gun Backlash Gathers Steam

Protesters mass in Washington, D.C. to demand action against  gun slaughter (Credit:Fox News, D.C.)

Protesters mass in Washington, D.C. to demand action against gun slaughter (Credit:Fox News, D.C.)

The National Rifle Association has gone dark, shutting down its Facebook page, going silent on Twitter and staying silent on it’s blog as it hunkers down in face of anti-gun protesters marching on its Washington, D.C. headquarters in the wake of the Sandy Hook Elementary School massacre.  WalMart, one of the world’s largest sellers of both guns and kids’ toys, announced it is pulling Bushmaster rifles off its shelves nationwide. And another large gun seller, Dick’s Sporting Goods, tastefully removed all guns from view at its store closest to Newtown, Connecticut, where the mass killing took place last Friday, and announced it will stop selling “modern sporting rifles” at stores nationwide. The California state treasurer is considering purging the state’s pension investment funds of stock in companies that manufacture guns, and Cerberus Capital Management, a big investment firm, divested itself of holdings in Freedom Group, which makes  Bushmaster rifles like the one the shooter used at Sandy Hook. The California State Teachers’ Retirement Fund is also looking to divest itself of funds invested in Freedom Group. Meanwhile, online petitions demanding legislators move quickly to better regulate guns and gun purchases are gathering signatures at phenomenal rates. One petition we’ve been following on SignOn.org — the biggest one so far — continues to gather hundreds of signatures every hour and is currently up to almost 380,000 signors. Another petition on the White House’s “We the People” petition website that sprang up demanding the Obama administration take immediate action to limit access to guns has gathered 184,202 signatures. It needed just 25,000 signatures to get serious consideration by the Obama administration.

ALEC Authored Michigan’s Wage-Depressing Law

Michigan's Right-To-Work Legislation Draws Large Protests At Capitol

Michigan workers, locked out of their state capitol, protest a so-called “right tow work” bill that cuts wages and depresses benefits

The wording of the union-killing bill Michigan Governor Rick Snyder signed this week was taken virtually word for word from “model” legislation crafted by the American Legislative Exchange Council (ALEC), a stealth lobbying group for corporations.  The Natural Resources Defense Council has calls ALEC “Corporate America’s Trojan Horse in the States.” ALEC is essentially an exclusive club for state-level legislators and corporate representatives that masquerades as a charitable, non-profit group. ALEC charges legislators just $50 a year to join, while corporations pay anywhere from $7,000 to $25,000 a year. In return corporations get ongoing opportunities to have their lobbyists hobnob closely with thousands of state legislators.  ALEC puts on corporate-sponsored confabs at tony beach and golf resorts where lobbyists get plenty of face time with state legislators and influence them to introduce their favored legislation in state houses back home. Legislators never intentionally reveal that the bills came from ALEC when they introduce them. One of ALEC’s highest legislative priorities has been passing so-called “right to work” (RTW) bills across the country to slash the political power of unions.

Hostess Fleeced its Workers, Showered Execs with Extra Cash

TwinnkieDeath

The Hostess Corporation, not labor unions, killed Twinkies through corporate greed.

Hostess Brands publicly blamed its workers’ union for forcing it out of business, but now Hostess CEO Gregory Rayburn has admitted to the Wall Street Journal that the company had been quietly ripping off its own workers. Hostess took money out of workers’ paychecks that was supposed to go towards their pensions and put it towards company operations instead, Rayburn admitted. Rayburn said the company was not under his management when those diversions occurred. During its dispute with the union, Hostess pressured employees to take another pay cut ostensibly due to financial difficulties, but in November, 2012 — while the company was undergoing bankruptcy filing — Hostess  asked a judge to allow it pay out $1.8 million in bonuses to 19 of its top executives. The judge approved the bonuses, but did not, however, include any bonus pay for Rayburn, who was already being paid $125,000 a month, nor did the company seek any bonuses for its factory or other non-executive-level workers. The story that the union was responsible for tanking the Twinkie maker, then, is a myth designed to cast labor unions in a bad light.

Main source: Huffington Post, December 10, 2012

Twitter Facilitated Some of the Biggest PR Disasters of 2012

Burger King employee photo that caused one of the biggest PR disasters of 2012.

Business Insider has published a list of the biggest PR disasters of 2012. There are some doozies, and social media figured into many of them. An Ohio Burger King employee took a photo of an employee standing with both feet in tubs of lettuce (shoes on) and then posted it on the local newspaper’s Facebook page with a caption that said, “This is the lettuce you eat at Burger King.” KitchenAid was forced to quickly delete a tweet made from their account about Obama’s grandmother that someone sent out during one of the presidential debates. It said “Obamas gma [grandmother] even knew it was going 2 b bad! ‘She died 3 days b4 he became president’.” American Apparel exploited Hurricane Sandy by running a “SandySale” in which they offered 20% off all merchandise. Gap did, too, but then apologized for it. (American Apparel did not.) Just hours after the horrific theater shooting in Aurora, Colorado, in which a crazed gunman murdered 12 innocent people, The National Rifle Association’s magazine, American Rifleman, tweeted “Good morning, shooters. Happy Friday! Weekend plans?” A Taco Bell employee tweeted a photo of himself urinating on a plate of nachos and asked his Twitter account followers what he should pee on next. Dan Cathy, the Chief Operating Officer of Chick-Fil-A came out against gay marriage, causing a national uproar and protests at Chick-Fil-A restaurants from coast to coast. McDonalds started a PR campaign in which they asked people to tweet stories about McDonald’s food to #McDStories. No doubt they hoped to get positive stories they could use in future advertising campaigns, but instead they got an avalanche of tweets from people who found gross foreign objects in their food or got hospital-grade food poisoning from their McDonalds’ meal. McDonalds pulled the #McDStories campaign after an hour.

Source: Business Insider, December 3, 2012

 

Court Orders Tobacco Companies to Run Ads Saying They Lied

A U.S. District Court has ordered American tobacco companies to start running ads in which they must openly admit they lied to the American public about the health hazards of smoking and secondhand smoke. Judge Gladys Kessler, who presides over the case of United States v. Philip Morris, U.S.A., Inc., et al, specified the wording to be used in the corrective ads:

“A Federal Court has ruled that the Defendant tobacco companies deliberately deceived the American public about the addictiveness of smoking and nicotine, and has ordered those companies to make this statement. Here is the truth:”

The subsequent must contain truths about the dangers of tobacco use. Some examples:

* “Defendant tobacco companies intentionally designed cigarettes to make them more addictive.”

* “When you smoke, nicotine actually changes the brain – that’s why quitting is so hard.”

* “Smoking kills, on average, 1200 Americans. Every day.”

* “More people die every year from smoking than from murder, AIDS, suicide, drugs, car crashes, and alcohol, combined.”

Chase’s PR Stunt, the “American Giving Awards” is Back Again

NBC’s upcoming feel-good holiday TV program, the “American Giving Awards” to be broadcast on December 8, is nothing more than a highly-orchestrated public relations stunt designed to rain good feelings upon JP Morgan Chase, one of the most reviled U.S. financial institutions and a major contributor to the collapse of the U.S. housing market. Chase was behind the creation of many of the problematic financial products like credit default swaps which almost brought down the global financial system in 2008. Chase has been fined hundreds of million dollars for lying to investors, perpetrating mortgage fraud and engaging in other illegal financial schemes. To further thumb it’s nose at consumers, Chase recently hired an executive to head up the company’s Foreclosure Victims Bureau who the Justice Department concluded helped enable mortgage fraud. To help repair its tarnished image, Chase created the “American Giving Awards,” using a PR company called  Intersport, which boasts that it is an “innovator and leader in the creation of sports and entertainment-based marketing platforms” designed to benefit “global brands.” Actor Gary Sinise and singer Colby Caillat are two of the stars recruited to help draw attention to this televised PR stunt in which JP Morgan Chase gives away millions of dollars to charity.

Walmart Workers Tell the Real Stories of Working at Walmart

Walmart employees have embarked on an effort to bring more respect, better pay and improved working conditions to all Walmart workers. Their group,  Organization United for Respect at Walmart, or OURWalmart, has a website,  ForRespect.org, lists exactly what employees want from Walmart. They want every employee to get a company policy manual and assurance that the company will enforce its policies  equally without discrimination. They want full time work and wages and benefits high enough so they won’t have to depend on government assistance to survive. They seek dependable, predictable work schedules, and affordable health insurance.  Walmart workers report that Walmart has been retaliating against workers who speak out about their low wages, unsafe working conditions and other issues they have with the company, and workers want the freedom to speak their mind without retaliation. OURWalmart also started a second website, WalmartAt50.org, to get a jump on the one-sided spin they expect the company to churn out about their anniversary. The site commemorates Walmart’s 50th anniversary by allowing Walmart “associates” to share stories of how they are treated at work, the difficulties they have in trying to advance within the company and what it’s like to try to live on Walmart’s super-low wages. The site also allows community members and owners of small businesses to post stories about how Walmart has impacted their living standards. Walmart workers and customers alike can share their stories on the site, and can upload photos. The site maintains that Walmart’s business model has dragged down the middle class and been bad for America. Their slogan is “Change Walmart to Rebuild America.” The site says that the “America Walmart helped to create isn’t working for most of us.”

Romney Continues Attacking U.S. Automakers with Misleading Ads

Mitt Romney

General Motors publicly rebuked Mitt Romney over a misleading Ohio radio campaign ad that wrongly infers GM is planning to move U.S. auto manufacturing jobs to China. The ad’s narrator states, “Under President Obama, GM cut 15,000 American jobs, but they are planning to double the number of cars built in China, which means 15,000 more jobs for China. And now comes word that Chrysler plans to start making Jeeps in, you guessed it, China.” GM spokesman Greg Martin said “We’ve clearly entered some parallel universe during these last few days. No amount of campaign politics at its cynical worst will diminish our record of creating jobs in the U.S. and repatriating profits back to this country.” Chrysler CEO Sergio Marchionne, similarly tried to limit the damage Romney has done to his company’s reputation after Romney lied at a campaign event October 27 when he wrongly stated Jeep was moving all its manufacturing jobs to China. Marchionne sent an email out to employees reiterating that “Jeep production will not be moved from the United States to China. The numbers tell the story…Those include more than $1.7 billion to produce the successor of the Jeep Liberty and hire about 1,100 workers on a second shift by 2013.” Earlier this month, the Salt Lake City Tribune, the leading newspaper in the most Republican state in the U.S. and in the heart of Mormon country, endorsed Barack Obama for president, calling Romney “shameless” and suggesting the GOP presidential nominee will say whatever he thinks he must to win votes.

Main Sources: Business Insider, October 30, 2012 and the Detroit Free Press, October 30, 2012

Under Mitt Romney, Bain Made Millions on Tobacco

Mitt Romney

Mitt Romney’s former company, Bain Capital, may refuse to make public the clients it has served, but now previously-secret tobacco industry documents reveal Bain & Company worked closely with cigarette makers British American Tobacco, Philip Morris and Gallaher, to help them expand their markets and become more profitable at the expense of global public health.  Bain helped British American Tobacco (BAT) crack open the cigarette market in Russia and transform it into a lucrative business at a time when American tobacco companies were under pressure at home and smoking rates in the U.S. were decreasing. By 1993, during the time when Bain worked with cigarette makers, the dangers of smoking were well established. The 1964 Surgeon General’s report had announced that cigarettes caused cancer.  In 1988 the U.S. government warned that nicotine was addictive in a similar manner as heroin and cocaine. In 1989 the Surgeon General announced that most people begin smoking as children and one in every six Americans was dying from smoking. In 1993 the EPA rated secondhand tobacco smoke a Group A Human Carcinogen — the same rating the agency gives to asbestos, radon gas and vinyl chloride. Romney took over Bain in 1990 and stayed until 1995, when this crucial public health information about smoking was public. When Romney took over Bain, the company was in financial distress and seeking new clients. One of the first new clients Bain signed during that time was Philip Morris (PM). Little more than a month after Romney took over, Bain signed a six month contract with Philip Morris estimated to be worth $1 million.

How Corporations Influence the Media

How do corporations influence entire media markets? A 1995 Philip Morris (PM) document shows one way in which corporations work to influence the larger media to manipulate larger public opinion. The previously-secret document shows that PM hired a Denver-based public relations agency to implement an ambitious and comprehensive plan aimed at influencing Colorado media outlets and thus shift public opinion more in the company’s favor.

The document, titled “PM Media Action Network – Media Plan for Colorado,” was written by public relations firm Russell, Karsch & Hagen, based in Denver. It states:

“[We] will begin to reshape public opinion through the media…” and “…[W]e are confident we can continue to shift the media’s view, and, ultimately the view of the general public…toward issues affecting the industry.”

In keeping with PM’s internal adversarial view of public health efforts to reduce smoking, Russel, Karsch planned to develop a “War Book” of “key issues and message points we believe will be effective in Colorado.”

Finally, A Law Firm that Helps the Beleaguered Working Class

Sharon Y. Eubanks, who helped start new law firm that advocates for regular working people. She headed up the United States’ 1999 legal case against the major tobacco companies.

An entirely new kind of law firm has opened up in Washington, D.C. and New York City. Its stated mission is to take the side of average working people against the big dogs: the corporate polluters, discriminatory employers and unsafe manufacturers whose policies, behaviors, products and activities make life difficult for the rest of us. The new, high-powered public interest law firm specializes in fighting for beleaguered, regular working-class clients and on the way getting court rulings that will benefit entire communities. The group, Advocates for Justice Chartered Attorneys (AFJ), is made up of activist-minded attorneys who have extensive experience litigating against big corporations in specialty areas like labor and employment, consumer rights, environmental justice and civil rights. “Our mission is to ensure that high-quality legal representation is not limited to the wealthy, but is available to those who need it most.  We represent regular, working people who suffer the bulk of our country’s legal problems,” says Sharon Y. Eubanks, one of the firm’s founding attorneys.  Ms. Eubanks is an example of the high caliber of attorneys at AFJ — she served as lead counsel for the United States in the largest civil Racketeer Influenced and Corrupt Organizations (RICO) enforcement action ever filed, United States v. Philip Morris USA, et al., also known as the federal tobacco litigation. Other attorneys at AFJ are Arthur Z. Schwartz, Cate Edwards, Richard Soto and Tracey Kiernan. AFJ’s website is afjlaw.com. In one of the firm’s current cases, AFJ is representing 170 parents and community members in a civil rights action against a school district in New York. The suit alleges that the school district violated the plaintiffs’ constitutional rights by intentionally segregating white students into private schools, while cutting funds to the primarily black and Hispanic student population of the public schools. AFJ Law in D.C. is located at 11 Dupont Circle, Washington, D.C. 20036. The group also has an office on Broadway in New York City. If you need help or want a consultation, contact information is on the firms’ web site.

Koch-Funded Climate Skeptic Now Warns of Global Warming

UC Berkeley Physics Professor Richard A. Muller

A University of California, Berkeley physics professor and longstanding critic of prevailing global warming science has reversed course and now attributes climate change directly to greenhouse gases produced by human-related activities. Professor Richard A. Muller, a climate change skeptic in the past, has taken funding from the Charles Koch Charitable Foundation named after billionaire Charles G. Koch, owner of the big petrochemical conglomerate Koch Industries and one of the most prolific funders of climate change denial and misinformation on Earth. Muller says a research project he undertook actually showed “that the average temperature of the Earth’s land has risen by two and a half degrees Fahrenheit over the past 250 years, including an increase of one and a half degrees over the most recent 50 years. Moreover,” he says, “it appears likely that essentially all of this increase results from the human emission of greenhouse gases.” Muller further concludes that “Humans are entirely the cause” of global warming. He calls his stance a “total turnaround” from the way he used to think. Muller authored an opinion piece in the Saturday, July 28 issue of the New York Times titled “The Conversion of a Climate-Change Skeptic.”

Source: Los Angeles Times, July 29, 2012

CO Candidate Who Renounced Special Interest Funding Wins

Jovan Melton, Democratic candidate for CO House, rejected PAC money and won

Colorado citizens had a rare opportunity to vote for a candidate who openly rejected corporate, PAC and special interest funding, and they took it.  Jovan Melton, a Democrat who made the honorable but unusual decision to publicly turn down special interest PAC money, appears to have won his election. As of Wednesday, June  27, 2012 — the day after the election — Melton had a 51 vote lead in his district. If he is declared the winner, he will have no opponent in the general election, assuring Colorado’s General Assembly of having one more representative who pledged to only be beholden to constituents. Ken Gordon, founder of CleanSlateNow.org, the new and unique responsive-government organization that backed Melton and has been working to get him elected said,  “Our slogan is ‘People…Not Money.’ Huge piles of campaign cash are profoundly undermining our democracy, so we made a major effort to help Melton. We mailed 8,000 pieces of campaign literature, and volunteers made 11,054 calls. However, it was not the amount of literature that we sent or the number of calls that made the difference; it was the power of the message. People want to be represented by elected officials who work for them and not big special interest contributors. It was the power of that message that made the difference.This race was a demonstration project. Americans do not have to accept the inevitability of big money dominating our political process. Citizens can use the power of their vote to fight against the influence auction that American politics has become.” CleanSlateNow.org is a non-partisan organization that opposes special interest money from both the left and the right. They support candidates who do not take special interest money, and they educate the public on the issue of big money in politics. Their website maintains the only known public list of state and national candidates who do not take special interest contributions.