Union Armies — Mortgage note broker

This week’s local newspaper featured the absurdity of certain special interest groups, including public education unions. The California State University system has a high-paying profession, great health benefits, a great retirement program, and job security that is far better than most people in the private sector or public sector. It is therefore shocking to learn that the CSU faculty union has authorized a strike with 90% approval to protest the removal of pay increases. Due to budget cuts in California, which were partly caused by unions, these raises were canceled. With 16%+ unemployment (including long-term unemployed), 49 million people living below poverty lines and nearly as many on food stamps one would expect that union leaders and members would be more sensitive to what is going on in the real world.

 The public education unions in California have been a powerful political force for many years. California is now worse off as a result. Although most teachers care about the students they teach, unions are not. They oppose charter schools, home education, discipline or firing bad teachers, as well as any attempt to limit the power of the unions, their cronies, and they fight against charter schools. These issues were brought up by a school superintendent three years ago. He was honest and not the politically correct answer that I expected. He said that both the teacher and prison guard unions always had a place at any legislative meeting. This means they have a lot more power than certain politicians.

A friend suggested that I read “Plunder”, a book about the political machinations of unions and how public servants become public masters. In 2006, only four of ten students in grades 2 through 11 were proficient in math and language. Los Angeles Unified is one example of a school district where less than half the students receive a high school diploma.

Jason Richwine and Andrew Biggs recently published articles in Wall St. Journal proving that public school teachers do not get underpaid. Comparing similar educational backgrounds and comparable results on objective cognitive ability tests, the salaries of teachers are almost equal. However, fringe benefits put teachers in a far better position than those working in the private sector. Because of the public perception that teachers are underpaid, states and cities have a tendency to reduce teacher benefits and pay. Also, any adverse effect on teachers’ unions could indicate that they “don’t care about children.”

This is not meant to disrespect teachers. My children had a lot of great teachers. While I don’t believe there should be any public-sector unions in my opinion, I would accept them if they had good education and were not involved in politics. Unfortunately, this is not true.

If corruption and unions could be removed from education, I believe our children and taxpayers would reap the rewards. Bad teachers would be fired and good teachers would be rewarded (Los Angeles was able to fire only five teachers in the last decade …out of 33,000). Although a school district may not be managed like a business, certain business principles could help.

Adam Mcbrian, a California-based mortgage note broker, is Alan. Alan’s company also buys mortgage notes, but being a mortgage broker allows him and his investors to purchase notes on almost any property in all 50 States.