Government and Politics

Does Business Outspend Unions?

Opponents of California's Prop. 226 -- which would require unions to get workers' consent before collecting dues to be used in political campaigns -- are being accused of throwing around a patently false figure. At issue is the claim by foes that corporations outspend unions by 11-to-1 in political campaigns. The figure has been traced to the Center for Responsive Politics.

But advocates of Prop. 226 contend that the facts are quite otherwise.

  • According to the Federal Elections Commission, business political action committees spent a total of $130 million in the 1995-1996 election cycle -- compared to $99 million spent by labor union PACs.

  • Direct business PAC contributions to individual candidates amounted to $78 million, by FEC calculations -- not the $147 million claimed by the CRP.

  • CRP is also being accused of lumping individual contributions of $200 or more in the "pro-business" column -- without even determining why the money was given or whether the donor was a union member.

  • Moreover, CRP assigns donations from large groups such as the American Medical Association and groups of "lawyers and lobbyists" to the "corporate" side -- regardless of their political agenda.

Source: Glenn Ellmers (Claremont Institute), "A Big Lie About Big Business Donations," Investor's Business Daily, May 20, 1998.

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