San Jose, CA – The price of gasoline has risen 65% from only one year ago, topping $3 dollars a gallon in the aftermath of hurricanes Katrina and Rita. This has forced many working families to cut back on spending or go deeper in to debt. The big energy companies and the corporate media have been blaming this year’s spike in gasoline prices, and the spike in heating bills to come, on hurricanes Katrina and Rita, which have shut down much of the gasoline refining and natural gas infrastructure along the coasts of Texas and Louisiana. However, just as the disaster that took place in Louisiana and Mississippi was as much manmade as an act of nature, so too is the rise in energy prices.
Incomes Fall, Poverty and Uninsured Rise Four Years in Row
On Aug. 30 the federal government reported that average household income fell and the poverty rate rose for the fourth year in a row. The same report also showed that the percentage of people who went without health insurance for the entire year increased; their numbers rose to almost 46 million. While, on average, the bottom 80% of the population lost income in 2004, the top 20% of the population increased both their average incomes (to $151,000), as well as their share of income – to more than half, at 50.1%.
San Jose, CA – On July 19 Hewlett-Packard, or HP, one of the country’s largest computer makers, announced that they would cut almost 15,000 jobs and dismantle their workers’ pension program. HP said that it could increase its profits $300 million a year by ending pensions for all new workers and cutting pension payments for all but the oldest and most senior workers – and expanding their 401(k)retirement program instead. HP is just another big business to slash their workers’ pension plans. In 1979 over 60% of workers with retirement benefits had pensions, but now less than 13% do.
“Here’s the fix, tax the rich!” chanted 350 University of Illinois at Chicago (UIC) workers, as they marched on May 26. Employees were mad as hell because of Governor Blagojevich’s threats against state pensions.
San Jose, CA – Over the past four years, retired workers have faced a double-barreled attack as companies do away with their retiree health plans and dump their pension plans. At the same time, the fall in the stock market has reduced the value of 401-k plans for older workers and retirees, forcing many to have to work longer. Now the Bush administration has declared that it will move forward with plans to begin to privatize Social Security, creating personal investment accounts with the money that used to go to Social Security benefits. This would be a windfall for Wall Street, which could collect up to $15 billion dollars a year from ‘managing’ and ‘advising’ these retirement accounts.
San Jose, CA – 2003 saw a record number of people filing for bankruptcy – for the second year in a row. More than 1.6 million people filed for bankruptcy last year, or one out of every 73 households in the United States. The percentage of credit cards whose users have fallen behind on their payments also hit record highs last year. The increase in bankruptcies and late credit card payments, despite low interest rates, show that more and more households are being crushed by almost $10 trillion of debt.
San Jose, CA – As Congress wrapped up its business for the holiday break, the Republican leadership sent a big lump of coal to millions of unemployed workers. By refusing to renew the federal extended unemployment benefits program, jobless workers whose six-month state unemployment benefits ran out after Dec. 21, 2003 will no longer be able to collect thirteen more weeks of unemployment benefits. This will affect about 90,000 workers each week.
San Jose, CA – In late September the Census Bureau reported that, for the second year in a row, household income fell, the number of poor rose, and more Americans lacked health insurance. Household incomes, adjusted for inflation, fell 1.1%. 1.7 million more people fell below the government’s official poverty line in 2002. In addition, 2.4 million more individuals went without health insurance than the year before.
