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Hey, Democrats—Here’s a Winning 2024 Message on a Silver Platter

Why the party should go big on protecting consumers from corporate crooks

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Senator Elizabeth Warren and President Joe Biden during a debate in 2019

I’m not the sort of person to wager money on Supreme Court rulings based on the tenor of oral arguments, but TNR contributor Matt Ford was one of many high court observers who thought there was reason to believe the Consumer Financial Protection Bureau—which has served as an advocate for ordinary Americans against a slew of fast-fingered corporate crooks—may just survive its day in court. Should the CFPB prevail, it will buck some significant trends: one being the recent Supreme Court’s antipathy toward Democratic governance and the administrative state in general, the other being the longer-running winning streak that corporate interests have enjoyed at the high court for as long as anyone can remember.

But whether we’re poised to celebrate the CFPB’s unlikely survival or soon to mourn its demise, it’s worth reflecting on the agency’s mission and urging Democrats not just to continue it but to make the idea of protecting ordinary people from corporate thieves and cheats even more central to the party’s identity. Obviously, that work will only be more difficult if the CFPB goes down—should the Roberts court do the deed, liberals must add its demise to the larger portfolio of complaints that have driven public esteem of the court to new lows. But even if it emerges unscathed, a passion for protecting the little guy from a universe of crooks should be fomented and channeled with renewed vigor, as should a commitment to making consumer protection a vital avenue of the party’s policymaking zeal and its political fury.

As the Public Interest Research Group recently recounted, the CFPB has some hefty accomplishments to its name. The agency, which is often referred to as Elizabeth Warren’s brainchild, has recouped $17.5 billion worth of consumer money. This year alone, it’s prevailed against a slew of foes, from big banks to shady data brokers, and offered guidance to help ordinary people avoid pitfalls and hang onto their hard-earned money. These are victories that Democrats should savor and tout, in the same way cops do when they force scofflaws to do a public perp walk, their seized assets left on a table as Instagrammable trophies.

There’s a simple idea here: It should be politically toxic to rip people off. One suspects that everyone who opposes the CFPB’s mission is aware of how it looks to throw in with plutocratic con men, which is probably why Big Business has confronted the agency in crab-walk fashion, sidling up to the supposed cracks in its constitutional edifice rather than challenge it frontally by going to bat for every unreliable fiduciary and financial scam artist in Christendom.

It’s somewhat significant that in this most recent case, it’s the ultimate financial bottom-feeders serving as plaintiffs: payday lenders, who I once described as being fit for only two purposes—“to encircle the working poor in inescapable cycles of crushing debt, and to continually generate plausible-sounding reasons for why a civilized society should continue to allow [them] to exist.” I suppose you can add “front-running for the entire financial services sector against the country’s consumer watchdog” to that brief—an advantage seized from having a toilet reputation in the first place.

Democrats, of course, haven’t always walked the right side of the street where consumer protection is concerned. Scofflaws of all varieties, from payday lenders to big banks, have found allies on the left side of the aisle far too often. This needs to change: The CFPB is an important part of the Democratic Party’s legacy. The taxpayers who ponied up billions of dollars to bail out the banking industry after the 2008 financial crisis got little thanks and almost nothing in return for their generosity. The CFPB is the only monument to their sacrifice; the only gift they got in return.

This is a ripe time to renew this past promise. Democrats will go into the 2024 election seeking once again to define Trump as an illiberal force bent on soiling our civic fabric, thus building on the pro-democracy message of the 2022 midterms—which pundits pooh-poohed but voters embraced. Democrats will also likely make hay out of the GOP’s antipathy to abortion rights and the post-Roe dystopia it engendered and is now trying to avoid talking about. But there’s room for Democrats to diversify their portfolio of enemies, and consumer protection allows them to take on targets that are less partisan but just as political—adding some “right versus wrong” to a message that’s already full of “left versus right.”

Moreover, consumer protection is a cause that provides ample opportunity to freeze Republicans in disadvantageous positions: It’s pretty effective politics to campaign against the crooks who are plundering everyone’s American dream one dime at a time. If Democrats invite Republicans to weigh in on whoever ends up in the consumer protection crosshairs, they can either agree and help Democrats forge bipartisan consensus or they can disagree and get implicated as enablers. Democrats can tether their consumer protection zeal to their pro-democracy arguments as well: Certainly the clear consequences of a Trump win will be an executive branch that’s not just hostile to consumer interests but likely to pervert the cause of consumer protection as a weapon against its political enemies.

As former TNR contributor Brian Beutler noted, in a recent edition of his Off Message newsletter, Democrats have recently struggled to recover the “confidence and combative energy they’d developed by the end of George W. Bush’s second term,” their “fighting spirit” replaced by a data-driven, poll-tested “spirit of timidity.” Well, the quickest way to get back in the ring is to start naming foes and picking fights. President Joe Biden has seeded the terrain by making the purveyors of junk fees one of his administration’s enemies. But this is a fun fight everyone should join.

This article first appeared in Power Mad, a weekly TNR newsletter authored by deputy editor Jason Linkins. Sign up here.

Democrats Are Wasting Tens of Millions of Dollars in California’s Senate Race

The primary campaign for Dianne Feinstein’s seat has become a donor sinkhole. That money is better spent elsewhere.

Justin Sullivan/Getty Images
California Governor Gavin Newsom

There’s a new senator in Washington, D.C., this week: Laphonza Butler, a former president of Emily’s List, was tapped by California Governor Gavin Newsom to fill out the term of the late Dianne Feinstein. Butler’s path to the Senate—where she will be the lone Black woman in the upper body and the first to call that chamber home since Vice President Kamala Harris—was partly due to a set of baroque promises Newsom made in advance of Feinstein’s death: to select a Black woman for the post and to not select any of the Democrats already running for the seat in 2024, so as to not play favorites.

It is perhaps in furtherance of that latter pledge that Newsom roamed rather far afield to tap Butler, who resides in Maryland as opposed to California. But his apparent intention to pick a placeholder seems not to have been made clear to Butler herself, as she has not ruled out running to retain the seat.

So that’s something of a whoopsie! But it’s not the main reason that Newsom perhaps should have put his finger on the scale: The California primary for U.S. Senate has become a black hole of Democratic donor money, to the exclusion of what could be more consequential races.

Opportunities to become California’s senator have been in short supply in recent years, so it’s not a surprise that this race, in a state known for pricey political contests, was expected to become the most expensive Senate race in history. But now, as a result of Feinstein’s death, there will be not just the usual primary and general election next year but also special elections—meaning that donors normally constrained by maximum allowances will be permitted to double-dip for their favored candidates.

California Representative Adam Schiff already has raised what I would charitably call an unreasonable—perhaps even unspendable—amount of money. Axios reported in July that Schiff had almost $30 million in hand—“more than any other federal candidate, including for president.” After that figure ticked up slightly in the most recent fundraising quarter, Aaron Kleinman, the director of research at the States Project, made a canny observation: “In other words he has more cash on hand for a race Democrats are guaranteed to win than every single Democrat running for the Virginia House (which either party could control after November) has combined.”

The importance of the Virginia elections is clear: Democrats could stop the political career of Virginia Governor Glenn Youngkin—who is term-limited in the Old Dominion and said to be weighing a presidential run based on how Virginia Republicans fare in November—in its tracks. Democrats also have a generally daunting Senate map in 2024, and a highly competitive gubernatorial contest in Kentucky on the wing.

This is not to say that the California primary isn’t worth Democrats’ attention. People have some passionate, principled, and well-informed opinions of who among that field—which Schiff has largely led over Katie Porter and Barbara Lee, according to the scant polling that’s been done—should be Feinstein’s successor. I’ve no doubt that I could develop my own ideas on the matter if I took as much time as those with a vested interest. That doesn’t really change the fact that Democrats are going to retain this seat and that the differences between these candidates will largely fade into the grayscale once a winner is seated.

Which is why I wish Newsom, who seems to harbor ambition about becoming a national leader of his party, had taken a stab at ending this primary himself. He could have given the nod to Schiff and called a halt to the implacable donor arms race. Barring that, he could have just fully honored his commitment to upping the representation of Black women in the Senate by tapping Lee, who was already running. That might not have sent a strong enough signal to turn off the money spigot, but it would have sent a worthy message to the backbone of the Democratic Party.

Realistically, Newsom is too calculated to have seriously considered doing all that. His pledge to stay out of the fray was probably less about keeping the spirit of fair competition alive than about not wanting to stick his neck out, only to have California voters chop it off. But those who are, or aspire to be, Democratic standard-bearers ought to be thinking about the party’s needs across the country, and that means not encouraging a donor sinkhole in their own backyard. There are more critical elections and bigger prizes on which that boodle is better spent.

Democrats have, in recent years, demonstrated the tendency to dream a little too big and pile untold sums of campaign cash in the coffers of a litany of no-hopers. That’s not what’s going on here. But if Democrats are not careful, they could screw up from the opposite direction, denying critical resources to winnable races in the service of a seat they’re destined to get anyway. It’s time to stop emptying your wallets on this Senate primary and let these wannabe senators from California fend for themselves.

This article first appeared in Power Mad, a weekly TNR newsletter authored by deputy editor Jason Linkins. Sign up here.

The Looming Government Shutdown Is Not the Fault of Dysfunction

There’s only one culprit for the chaos gripping Capitol Hill—the Republican Party.

House Speaker Kevin McCarthy grimaces as he walks to another meeting with the House Republican caucus.
Kevin Dietsch/Getty Images
House Speaker Kevin McCarthy grimaces as he walks to another meeting with the House Republican caucus.

Former House Speaker Nancy Pelosi tends to get a lot of grief whenever she offers her opinion about how the country needs a “strong Republican Party,” but I think that what’s currently happening on the GOP side of the House of Representatives is probably what she had in mind. There, the scene has devolved over the past week into the parliamentary equivalent of a Superfund site. It’s become rivetingly clear that Kevin McCarthy’s charges are hurtling toward a spectacular self-own—and a government shutdown. A slew of inconveniences and vaporized economic activity are about to land, hard, on ordinary Americans.

If history is any guide, it also means that political woe is on the way for the GOP. As Senate Minority Leader Mitch McConnell told reporters this week, shutdowns have “always been a loser for Republicans—politically.” But McConnell, who is clearly still capable of dispensing effective strategic advice in between his harrowing health episodes, is likely to go unheeded.

What help can be offered to a party that can’t help itself? Democrats partially powered their 2020 presidential campaign on the notion that Joe Biden cast a long, collegial shadow over Washington and was just the figure to help a wayward Republican Party break the fever that had engulfed it during the Trump years. But as Biden became more familiar with the Republicans he’d be working with, his opinions on the matter shifted rather dramatically. He ended up helping to author a successful midterm message that captured the GOP as they are: autocratic and beyond redemption. As McCarthy’s untamed hooligans steer the ship of state toward the chop, Democrats would be wise to stick with this instinct. They’re already doing the best thing they can do in this situation—nothing at all.

If there’s anything that Democrats should emphasize about the looming government shutdown, it’s the essential Republican-ness of it all. This shutdown is the pure product of the modern GOP, packed with antisocial weirdos and redolent of their inability to govern themselves or anyone else. Here, Democrats may have to joust with a media that vastly prefers to pin this kind of dysfunction on mushy concepts like polarization, or point the finger of blame—more nebulously—at “Congress,” as The New York Times did in a limp headline last week. More recent reporting has, happily, hit the ball more squarely, properly identifying “Republican infighting” as the proximate cause of the impending calamity.

To say that the GOP has lost the plot is perhaps an understatement. As The American Prospect’s David Dayen pointed out this week, the debate that Republicans are having with themselves has lapsed into pure abstraction, in which members of the party are now “arguing with each other over how much funding to cut in a one-month stopgap continuing resolution—not the budget itself.” Meanwhile, every sentient life-form knows that cuts of any kind make it a nonstarter with Democrats in the Senate, and the Oval Office.

But the prospect of Republicans troubling Democrats with some fruit of their legislative labors is a long way off, as their blockheaded negotiations have yet to yield anything that’s not a nonstarter with one another. Here, the GOP has flopped in operatic fashion: a Freedom Caucus–wrought deal immediately got spiked this week as a “giveaway to Joe Biden” by other members of the Freedom Caucus. How, exactly, is a budget proposal that Biden would veto instantly a “giveaway” to him? Don’t worry: No one in the GOP knows the answer to that question!

This entire exercise in self-torture really has little to do with line items on a budget spreadsheet. This is all just a primate dominance ritual: a steroidal sequel to the government shutdowns of the Obama era, in which Republicans convinced themselves that bringing Washington to a crashing halt could break the White House’s will. The only new twist on this old formula is that I’m pretty sure that, as far as the Republicans driving us into a ditch are concerned, Joe Biden is a secondary concern, if not an afterthought. Republicans are well and truly into their Lord of the Flies era, fully engulfed in the internecine purity-test battles I predicted were on their way. But not even McCarthy promising an impeachment inquiry was able to buy him enough goodwill to simply keep the government running.

It’s hard to see how any of this ends. Republicans seem bent on playing stupid games for the privilege of winning stupid prizes, with the most stupid prize of all being the poisoned chalice of the House speakership. Yes, Kevin McCarthy may finally be forced out of what has become the worst job in all of Washington—and the biggest problem that those threatening to knock McCarthy from his perch face is that one of them will have to take his place.

What Democrats should do now is simple: Do not interrupt this. There’s no need to get involved. What Republicans are enduring can’t be solved by rational people appealing to better natures that don’t exist. The only way out is for the GOP to eat shit, every day, until their bellies are full. Yeah, it’s possible that some dumb pundit will come along, afflicted with a terminal case of what Dayen calls “Washington brain,” to try to convince Democrats to “blink and offer concessions to avoid a shutdown.” The only thing Democrats should throw Republicans’ way is the old military acronym, KMAGYOYOKiss my ass, guys, you’re on your own.

This article first appeared in Power Mad, a weekly TNR newsletter authored by deputy editor Jason Linkins. Sign up here.

Good Luck With Your Pro-Life “Rebranding,” Dummies!

The anti-abortion movement has grown too radical to be tamed by a bunch of Washington elites playacting as marketing consultants.

Allison Shelley/Getty Images

It would appear that anti-abortion conservatives are starting to come around to the realization that when the Supreme Court gutted Roe in its 2022 decision in Dobbs v. Jackson Women’s Health Organization, the Republican Party became the protagonist in the classic tale of “The Dog That Caught the Car.” As The Hill contributor B.J. Rudell put it, the pro-life movement had it pretty good for about 50 years, residing “in a self-made and self-contained cocoon, operating with equal parts political savvy and practical ignorance.” As long as its great dispute was a live issue—a political Schrödinger’s box that would remain a potent electoral motivator so long as it stayed closed—the movement could reap the benefits of its unrealized vision.

But once Samuel Alito and his fellow travelers peeled the box open, the world got a good long stare at the dead cat inside. The post-Dobbs landscape has been a regularly scheduled litany of dystopian one-offs—here’s a woman forced to travel 1,400 miles to deliver a skull-less fetus; there’s a woman who nearly died because she could not obtain a medically necessary abortion—peppering the steady, ambient worsening of the world: the obstetrics positions going unfilled, the measurable rise in health inequity, the “ominous health trends” that rose up, spawned in the wake of the Supreme Court’s decision to undo the modern world.

And did I mention that on top of all of this, the Dobbs decision is implicated in the consistent way that Republicans keep getting rinsed at the polls? It’s no wonder that elite conservatives have recently decided that the real problem here is the need to rebrand the term “pro-life,” not the myriad horrors that have been unleashed since the movement that sallied forth under that banner 50 years ago finally got all the things it wanted.

Right now, this “rebranding” effort is at the stage where various Republicans say staggeringly obvious things with the absolute wonder of a wee child. “What intrigued me the most,” said North Dakota Republican Senator Kevin Cramer, “was that ‘pro-choice’ and ‘pro-life’ means something different now; that people see being ‘pro-life’ as being against all abortions … at all levels.” Wow, no shit—that truly is a remarkable state of affairs! His Senate colleague Josh Hawley choked out some similarly incredulous words in a recent interview: “Most voters think [‘pro-life’] means you’re for no exceptions in favor of abortion ever, ever, and ‘pro-choice’ now can mean any number of things,” he said, adding, “So if you’re going to talk about the issue, you need to be specific.”

But as TNR’s Tori Otten pointed out, we can actually be excruciatingly specific about what Republicans want, and it’s pretty much entirely indistinguishable from “no abortion, ever, ever,” and not so much something that a few hasty marketing summits among GOP bigwigs is going to be able to obscure. “Since Roe was overturned,” Otten reported, “Republicans have banned abortion completely in 14 states. In many other states, Republicans have limited abortion access with cruel laws to the point that the procedure is effectively banned anyway.” The would-be rebranders are lagging badly behind the curve: Across the country it didn’t take long for the right to push hard for draconian bans after Dobbs was handed down. The plain truth is that when the next Republican trifecta hits Washington, many of them will be pushing hard to pass a nationwide abortion ban.

This is the biggest problem that those who are so desperate to “rebrand ‘pro-life’” face right now: This is a movement that’s largely defined by the zealots in its ranks. You’re not going to be able to exert control over a nation of anti-abortion radicals with a Central Committee to Temper Our Excesses and Lessen the Completely Foreseeable Consequences of Our Actions. Wherever those fanatics hold a little bit of untrammeled power, they’re doing headline-grabbing things to get attention and advertise exactly what they want the post-Roe landscape to look like.

Take, for example, the extremists who’ve brought so-called “abortion trafficking” laws to several counties in Texas. As TNR’s Melissa Gira Grant recently reported, political leaders in these jurisdictions have breathed new life into laws over a century old, in the service of incentivizing vigilantes to patrol Texas highways, looking for women who might be seeking to leave the state to receive abortions, in order to detain them for cash rewards. Or take the “pro-lifers” in Oregon who, far from getting their cues from Washington elites urging circumspection for the sake of winning elections, are plowing ahead to the next frontier and looking to ban contraceptives next—just as one could have predicted (and did).

Josh Hawley, Kevin Cramer, and the rest of the people trying to slap a new name on “pro-life” are simply not going to cow this movement into submission with a PowerPoint presentation on the value of adopting a more palatable brand identity—not after they’ve already spent a wild-eyed half-century howling for an unpopular set of draconian policies to be imposed on the country. And so the Republican Party will continue to be defined by its militants, not its marketers. Yes, this could contribute greatly to future Democratic wins at the polls, as an agitated public sends more protectors of abortion rights to office. But this should give us pause nonetheless—because wherever the pro-life dead-enders can hold on to even a little bit of political power, they will continue to advance their tyrannical vision, inch by inch, and in their wake damage the lives of a yet-to-be-counted number of ordinary Americans—leaving a trail of ruin that no rebranding can redeem.

This article first appeared in Power Mad, a weekly TNR newsletter authored by deputy editor Jason Linkins. Sign up here.

How Badly Will the Media Botch the Trump Trials?

There’s a good chance the political press will create a circus out of the former president’s legal entanglements and then blame the people trying to hold him accountable.

Steven Hirsch/Getty Images

Donald Trump may have spent the past year creaming his wan Republican competition in the polls, but the news has not been all wine and roses for the former president—at least not in America’s legal venues. He has collected a scavenger hunt’s worth of indictments and faces a formidable calendar of dates as a professional defendant. What Trump is about to endure has few historical precedents—limp comparisons to Eugene V. Debs notwithstanding. This is shaping up to be a strange campaign, fought on large patches of undiscovered country.

But even as we fantasize about the consequences catching up with Trump, it must be said that once again he has us right where he wants us: at the center of a newshole that he is dominating. The Man Who Ate the Discourse is back, devouring whole news cycles, his attendant Gorpmans and Bleemers hopping in and out of the headlines. And with the news that the Georgia trial will be televised—for months on end—the potential for a feeding frenzy seems likely. But should this become a demented spectacle, remember: It’s not the fault of those who are seeking to hold the former president to account.

It’s not out of the realm of possibility that the media will either catastrophize the effort to hold Trump accountable or turn the justice-seekers into the villains of the story. The campaign trail is long and dull, and this time out it will wind through numerous courtrooms, in which Trump will be arrayed against a constantly shifting cast of “opponents.” Ever on the hunt for the mythical “balance” that they believe defines pure, mountain-grown political coverage, the press may well endeavor to cover these trials neutrally, as opposed to fairly—that is to say, to locate some imaginary middle ground between a criminal and his victims to defend, instead of considering the substance of the matter.

In a recent piece for The Wall Street Journal, Peter Funt convincingly argues that the transparency gained from televising the trials offsets whatever media circus is created. But along the way, he identifies a litany of concerns that we might soon hear spilling out of the hyped-up mouths of the hand-wringers on your local cable news panel—that the substance of the cases against Trump will be lost amid the grandstanding, cheapening the whole affair and thus contributing to an overall erosion of faith in the judiciary.

As Funt reminds, some fairly dubious theories about Trump have already been marshaled to argue that this moveable media feast will prove disastrous, such as the belief that the former president is some kind of inimitable maestro of the televisual arts and the idea that all of these indictments are a secret boon to his campaign. I am sorry to use this particularly overused term, but these notions are all just vibes. None of it is tethered to a quantifiable reality. It is clearly preferable to not get indicted, four times over, if you want to run for president. And Trump’s reputation for being some kind of teevee trickster all stems from the fact that he has benefited immensely from promiscuous cable news coverage.

Trump’s also already benefiting from some early carping about the media circus that’s lying over the horizon. Last week, New York Times columnist Ross Douthat complained about the logistics of Trump’s federal trial—the one in which he’ll face charges for conspiring to overturn the 2016 election. At issue was Judge Tanya S. Chutkan’s decision to begin proceedings on March 6 of next year, the day before Super Tuesday. This, to Douthat’s mind, was an “extremely suboptimal convergence.”

“If you take the judicial process seriously,” he wrote, “then clearly under ideal circumstances the trial of a major presidential contender would be completed before voters begin passing judgments of their own.” Well, sure? But what is Judge Chutkan supposed to do about this? As writer Tom Scocca pointed out in his newsletter, Chutkan had to fit her obligations into a calendar already crowded with Trump trials: “The only way to keep one or another of Trump’s trials from happening during a sensitive part of the primary season is by pushing things back into a sensitive part of the general election season.”

Yes, it’s true, these are suboptimal choices, all the way down. Court dates are mashing up against court dates, which in turn are abutting important dates on the primary calendar. I think one thing that maybe every party involved in these matters can agree on is that none of this is ideal. But who, then, should fill the blank space that Scocca locates in Douthat’s argument, the person to whom the “blame, formless and insinuating,” should attach?

Here’s a thought: Maybe it’s Trump’s fault! Trump’s allies keep darkly muttering, “If they can do this to Trump, they can do it to you too.” And my response is: “Well yes, that’s the whole point!” My one neat trick for avoiding indictments charging me with trying to overturn an election is to not try to overturn an election. And in the parallel universe where Trump had offered a dignified concession, no one’s worried about whether his federal trial is too close to Super Tuesday. It was a failure of accountability that gave rise to the media circus that’s coming down the pike. Maybe a strong dose of it will actually end this spectacle once and for all.

This article first appeared in Power Mad, a weekly TNR newsletter authored by deputy editor Jason Linkins. Sign up here.

The Real Crime Isn’t Shoplifting—It’s Wage Theft

Why has the media gone all in on small time scofflaws when organized financial crime is robbing people straight from their paychecks?

Erik McGregor/Getty Images

Last weekend, I stumbled across a viral tweet thread that provided a rather thorough debunking of one of my big bugbears: the insipid shoplifting panic that’s been coursing through the media the past two years. Over several posts, WBAI radio host Rafael Shimunov punctures what’s become a classic “too good to check” story and discovered that many of the foundational ideas behind what’s been sold as a bona fide crisis were falsehoods—and not particularly well-constructed ones at that.

Once the evidence was sorted and the numbers run, Shimunov estimated that the total cost of our shoplifting horror show amounted to “seven cents per 100 dollars in losses.” The real “shoplifting crisis,” in fact, may be simply the way this nonstory has become so indelibly imprinted in the zeitgeist: Shimunov, after all, was pulling his evidence largely from a Los Angeles Times article from 2021, one of many pieces that explored these claims and found a hoax at the center instead. What will it take, then, to dislodge this falsehood from the public consciousness? Perhaps what we need here is a better enemy—and if the public wants a pound of flesh from a gang of conniving thieves, I’ve got one: corporate America’s runaway wage theft.

Unlike shoplifting, this is not a penny-ante crime, and it’s carried out every day with the ruthless efficiency of the boardroom. An L.A. Times column of a more recent vintage, courtesy of Michael Hiltzik, tells a fuller story. He enumerates many ways in which employers pull their own coordinated smash-and-grab jobs on their employees’ paychecks: “They may pay workers less than the legal minimum wage, fail to pay overtime, deny workers legal meal breaks or rest periods, divert workers’ tips, or require them to work off-the-clock to prepare for their shifts or to perform duties after their shifts have ended.”

And those are some decidedly old-school techniques. The “one neat trick” to screwing workers in today’s gig economy is simply to misclassify them as independent contractors, “thus sticking the workers with expenses that would be covered for employees.” All in all, the true cost of wage theft amounts to something substantially north of chump change: A 2014 study from the Economic Policy Institute “a nationwide epidemic that costs American workers as much as $50 billion a year.”*

Moreover, a 2021 study from the Center for Public Integrity found that while firms that “hire child care workers, gas station clerks, restaurant servers and security guards are among the businesses most likely to get caught cheating their employees,” wage theft is a way of life at “many major U.S. corporations.” One such scofflaw that gets top billing in Hiltzik’s column is Home Depot, which in June settled a class-action lawsuit over wage theft to the tune of $72.5 million. That the firm’s former CEO Bob Nardelli was recently on Fox Business hyping up the threat of shoplifting is enough to make a cynic wonder: Is he fomenting public fear over an urban legend to distract from the real thieving?

Fortunately, in some quarters, wage theft is being treated with the seriousness it deserves. Just this week, ProPublica produced a blockbuster report on wage theft in New York City, finding that from 2017 to 2021, “more than $203 million in wages had been stolen from about 127,000 workers in New York.” And Documented, which partnered with ProPublica to produce the piece, this week launched its Wage Theft Monitor, which allows anyone to dig down into the data of who got ripped off and who did the stealing.

Under Biden, the Labor Department—whose acting secretary, Julie Su, made her name helping workers keep their hard-earned money from being pilfered by their bosses—has been frisky in the fight against wage theft. Last October, the agency reversed a Trump-era rule that permitted gig-economy employers to misclassify their workforce. A month later, an agency investigation led to Krispy Kreme paying $1.2 million in damages and back wages to more than 500 workers who’d been denied overtime. And this week, the department extended overtime protections to 3.6 million workers, the estimated equivalent of an additional “$1.2 billion in employees’ pockets, both in the form of more overtime pay and also salary increases by employers to ensure their white-collar workers will be exempt from the new rules,” according to the L.A. Times.

Naturally, we’ve a ways to go before all of the money that corporations have absconded with is back with whom it belongs. Perhaps the biggest policy change we could make in support of that effort, as TNR contributing editor Osita Nwanevu has written in the past, is to pave the way for worker ownership of firms. In the meantime, however, whenever you hear about a shoplifting crisis, remember that the actual theft isn’t occurring in the aisles of your nearby chain stores; it’s occurring in their boardrooms.

* This article originally linked to the wrong EPI study.

This article first appeared in Power Mad, a weekly TNR newsletter authored by deputy editor Jason Linkins. Sign up here.

The CEOs Who Are Robbing You Blind

Corporate executives are using taxpayer dollars and the proceeds of worker labor to keep the pay gap grotesquely wide.

Lauren Justice/Getty Images
Lowe’s CEO Marvin Ellison was 2022’s undisputed king of stock buybacks.

One of the big ironies in watching Elon Musk run his business empire in the fashion of The Twilight Zone’s Anthony Fremont is while it’s a demonstrable tragedy seeing the rapid demise of a firm like Twitter, it is also a highly entertaining spectacle. This is, after all, a strange era in which a weird array of business leaders has become world-famous for being bad at business. Elizabeth Holmes may have been sent to jail for the rampant fraud she committed while running the fake blood extraction machine firm Theranos, but she is also, somehow, a multiplatform entertainment industry unto herself. 

And let’s face it: One day, she’s going to be handed another massive pile of money to do with what she pleases. This is the way things work when you become famous for being rich: Just this week it was reported that Billy McFarland is planning to do another Fyre Festival—and while I am gobsmacked at the idea that people will give this man money, I can’t wait to watch the documentaries.  

But one of the deleterious effects of all the attention that the stars in the celebrity firmament of corporate cons and big-money malfeasance receive is it takes our eye off the ball. Beneath this straight-to-streaming-series layer of camera-ready scammers, there is a more substantial plunder going on in executive suites all across the country. Fortunately, we have the Institute for Policy Studies keeping watch over executive excess. And their 2023 report on what they term the Low-Wage 100—the 100 firms listed on the S&P 500 Index that had the lowest median worker pay levels in 2022—casts a riveting light on some real highway robbery. 

Among the companies in the Low-Wage 100, the gap between average workers and the executives who govern their lives continues to be grotesquely wide. When one of the few good things you can say about the CEO-worker pay gap at these firms is that it dropped from a staggering 670-to-1 to a slightly less stratospheric 603-to-1, you are still facing a thoroughly baked-in state of affairs.

This time last year, we talked about how stock buybacks—which the Harvard Business Review assailed as an exemplar of “bad management” because the practice neither creates capital for reinvestment nor rewards a workforce for its hard work—had become the “one neat trick” by which the executives at these firms feathered their own nests while leaving their workers wanting. As the IPS reports, 90 of the Low-Wage 100 reported “combined stock buyback expenditures of $341.2 billion” between January 1, 2020, and May 31, 2023. 

Lowe’s, which has become something of a bête noire on the IPS’s annual report, topped all-comers with respect to stock buybacks. According to the IPS, in 2022, the company spent “more than $14.1 billion on buybacks—enough to give every one of its 301,000 U.S. employees a $46,923 bonus.” Collectively, stock buybacks have allowed the CEOs of the Low-Wage 100 to cart off quite a pile of boodle—the IPS estimated that these executives’ “personal stock holdings increased more than three times as fast as their firms’ median worker pay.” 

But perhaps one of the most galling things about these corporations is how many of them are using our taxpayer dollars to add to these CEOs’ kitties. According to the IPS, 51 of the Low-Wage 100 “received federal contracts worth a combined $24.1 billion during fiscal years 2020–2023.” Additionally, “The average CEO pay in this low-wage contractor group stood at $12.7 million, 56 times as much as the salary of a Biden administration cabinet secretary” and “438 times their $34,550 median worker pay.” The firm that stands out among those fattening themselves off the taxpayer teat is Amazon, which has taken in nearly $10.4 billion in federal contracts, according to the IPS. As The New Republic contributor Sandeep Vaheesan recently reported, Amazon’s broad universe of contract work is one factor that makes it hard for antitrust regulators to bring the firm to heel.

The recently passed Inflation Reduction Act included measures to contend with the escalating problem of corporate malfeasance, most notably through a long-overdue 1 percent excise tax on stock buybacks. But according to The Wall Street Journal, “Executives largely shrugged off” the IRA’s impositions “as the cost of doing business.” It’s probably no surprise, then, that President Joe Biden wants to take a bigger bite: He’s proposed raising that excise tax to 4 percent—the better to goose “long-term investments by companies instead of rewarding shareholders and executives.”

Sarah Anderson, the director of the IPS Global Economy Project and author of this year’s report, encouraged lawmakers to keep pushing the envelope to narrow these gaping corporate inequalities. That includes executive action. “President Biden should wield the power of the public purse to push all corporate recipients of taxpayer money to narrow their pay gaps, stop wasting money on buybacks, and respect worker rights,” says Anderson.

There’s a line from Michael Mann’s movie Thief that feels apt: “I can see my money is still in your pocket, which is from the yield of my labor.” It’s worth remembering that CEOs across multiple industries have been raking it in even as they have seeded the business-friendly press with phantasmal recession fears and mass layoffs have become the norm. The New Republic contributor Boen Wang, who’s watched enthusiastic coverage of a podcasting boom even as massive job losses hit that industry, is keen to observe that the proceeds of that boom have to go somewhere—most likely, to corporate executives who haven’t earned it. Perhaps, as Wang suggests, it’s time for CEOs to return the money in their pockets to people to whom it truly belongs.

This article first appeared in Power Mad, a weekly TNR newsletter authored by deputy editor Jason Linkins. Sign up here.

Look Who’s Defying the Supreme Court Now

Republicans haven’t lost too often at the high court of late—but when they do, they’re sore losers indeed.

Celal Gunes/Getty Images

It goes without saying that Democrats don’t believe they’ve fared particularly well at the Supreme Court in recent years. This past term was no different, as the high court’s conservative majority ruled against affirmative action in higher education, sandbagged the Environmental Protection Agency, and struck down President Joe Biden’s plan to alleviate the burden of student loans. What’s interesting about these and other radical acts of the Roberts Court, though, is that Democrats have watched the political fallout redound to their benefit. That probably explains why liberals lately have been content to wage war with the court using political rhetoric or strategic policy work-arounds, allowing the public’s increasingly low esteem for the Supreme Court speak for itself.

But Roberts and his crew haven’t actually given Republicans everything they’ve wanted—or at least not everything to which they’ve felt entitled after spending so much money and effort to purchase the Supreme Court of their dreams. And the party that’s been getting the most cake from their comrades on the bench have proven, on those rare occasions where they’ve not prevailed, to be pretty sore losers. Now, as Garrett Epps at The Washington Monthly reports, they seem poised to do something radical about it.

At issue is Allen v. Milligan, a case which Matt Ford recently enthused as a rare instance in which the Roberts Court actually did something good on voting rights: a 5–4 ruling that the state of Alabama had to draw a second majority-Black congressional district. John Roberts and Brett Kavanaugh joined the liberal justices in declaring that Alabama had violated Section 2 of the Voting Rights Act of 1965. But the plaintiffs on the losing end of this case apparently plan to do something altogether different than the Democrats typically have on those numerous occasions when they’ve been hard done by the Supreme Court: They’re contemplating simply defying it.

This would be a very Alabama thing to do. As Epps recalls, former Governor George Wallace became the poster boy for defying the federal courts in 1963 when he “stood in the door of the University of Alabama six months later to block a federal court order that the university admit two Black students.” This is an interesting fact about the Supreme Court: They don’t actually have cops on hand who can go around ensuring compliance with their orders. Those familiar with the history of the high court might remember President Andrew Jackson’s semi-apocryphal response to the court’s decision in Worcester v. Georgia, one of the foundational rulings enforcing tribal sovereignty in the United States: “John Marshall has made his decision, now let him enforce it.”

This kind of open defiance of the court may not end up being necessary in the Alabama dispute, as Kavanaugh indicated that he’d be open to resolving the matter in a different way. But Epps notes that Republicans seem unusually keyed up to go to war with a Supreme Court that mostly just delivers everything they want, gift wrapped:

Let’s begin with the states; they are raring to go. Texas, for example, seems to regard Supreme Court decisions as mild suggestions. In 2021, its SB 8 abortion bill didn’t merely test the boundaries of Roe v. Wade but successfully negated it, even though the landmark 1973 ruling was affirmed by the Court as recently as 2016. The Court meekly allowed that bill to take effect. Months later, after the Court’s majority issued its opinion in Dobbs v. Jackson Women’s Health Organization and scrapped Roe, Texas Attorney General Ken Paxton invited state officials to begin prosecuting LGBTQ persons for “sodomy” and refusing same-sex marriage licenses (both forbidden by the Court). I am surely not the only one wondering what will happen if a federal court orders Governor Greg Abbott to remove the deadly pontoons he uses to block the Rio Grande.

I wonder how the political media will respond if Republicans revive the George Wallace/Andrew Jackson style of court opposition. Back in May, I observed that the rancid coverage of the debt ceiling crisis was emblematic of the asymmetrical way the media treats the two parties, where Republicans are “allowed to exert maximal power” to get what they want while Democrats are “forced into the role of helpmate, permitted to step up occasionally to buffer the GOP’s excesses but not to exert maximal power themselves.” It’s a fairly consistent pattern that puts Democrats in a bind while granting the GOP broad permission to test the limits of our norms and institutions.

So it’s not a great sign that The New York Times covered these goings on in Alabama with a piece headlined, “Alabama Lawmakers Decline to Create New Majority-Black Congressional District”—as if the court had merely offered a suggestion that could be opted out of instead of issuing a ruling. It is hard to believe that the same paper would have treated Biden as mildly if he had, say, refused to comply with the Supreme Court’s decision to scuttle his student loan relief plan. The political press seems overly vigilant about what Democrats might do in response to a wayward Supreme Court. (Even Epps is hard-pressed to deliver the examples of court defiance on the left that his piece promises.) During the last presidential campaign, they treated the mere notion that Biden might countenance court-packing as radical beyond words—this after largely treating the GOP’s refusal to grant Merrick Garland a hearing as the normal stuff of politics.

In any event, Democrats aren’t in any rush to impose those kinds of radical reforms on SCOTUS, and as TNR contributor Simon Lazarus explains, they have good reason: For the time being, the rhetorical and political campaigns they’ve waged against an unpopular court, coupled with some creative policy responses, have proven to be sufficient to mitigate some of the damage done. What’s more, liberals seem to be having an influence on the justices themselves: In Allen v. Milligan, Roberts was able to temper his previously well-documented hostility to the Voting Rights Act, which Lazarus chalks up to the fact that liberals have been highly effective politically of late, even as they’ve faced adversity from the court. Still, if that adversity ever gets to be too much, it will be worth remembering that the GOP has made it fair game to openly defy the court’s rulings.

This article first appeared in Power Mad, a weekly TNR newsletter authored by deputy editor Jason Linkins. Sign up here.

This Week’s Republican Faceplant Has a 2024 Lesson for Democrats

The failure of Ohio’s Issue One shows that abortion—and democracy—are still potent issues for voters.

Anna Rose Layden/Getty Images

Did Ohio Republicans actually think their plan was going to work? The idea was, at least, somewhat simple to understand: To head off the possibility that a majority of Ohioans might approve a referendum to enshrine abortion rights in the state constitution this November, Buckeye State conservatives decided to rig the rules of the game with a referendum of their own. Issue 1, as it came to be known, would change the ballot initiative rules so that a 60 percent supermajority would be required to carry the day instead of the simple majority Ohioans had hitherto enjoyed. Then they scheduled the Issue 1 vote for August—the silliest of seasons—believing that doing so would lead to low turnout.

These well-laid plans went spectacularly awry this week as voters rejected the call to restrict their own voting rights. Turnout was massive, and Ohio Republicans got mauled.

It sure seems as if the Supreme Court’s decision in Dobbs has created the ultimate “be careful what you wish for” situation for conservatives, who’ve watched as voters all across the country beat back plans to further restrict abortion rights at the ballot box. Whenever they’ve been given a chance to do so, voters have rejected the call to limit reproductive freedoms—including in ruby-red redoubts such as Kentucky and Kansas. The Ohio result was a “five-alarm fire for the pro-life movement” for anti-abortion activist Patrick Brown, who tweeted, “The cause of life has to adapt, even if that means unwelcome compromise for the time being. We’ll keep getting run into the ground if we don’t.”

Whether or not that’s true is still up for debate in some quarters. The New York Times’ David Leonhardt noted on Wednesday that Democrats failed “to defeat Republicans by emphasizing their hostility to abortion” in statewide races held in Florida, Ohio, and Texas, calling it “an important caveat” to the issue’s “political potency.” But The Washington Post’s Greg Sargent was not convinced by Leonhardt’s argument, noting that there were numerous electoral successes on the other side of the ledger that were in whole or in part driven by backlash to the Supreme Court’s Dobbs decision, including several 2022 gubernatorial races (Arizona, Pennsylvania, Wisconsin, and Michigan); Senate races in Arizona and Georgia; and a crucial Wisconsin state Supreme Court election earlier this year.

There are no silver bullets in politics, but to paraphrase Dave Wasserman, I’ve seen enough to contend that the instability of the post-Dobbs world has become a motivating force for voters and a critical piece of electoral ammunition for Democrats. But Ohio Republicans may have unwittingly thrown a healthy dose of accelerant on an already burning fire by launching a broadside against democracy on top of their attack on abortion rights, as The Guardian’s Moira Donegan wrote this week:

And so the fight over abortion rights and Issue 1 in Ohio has become a proxy for the broader fight many Republicans are waging across the states: when voters don’t like the party’s proposed policies—and overwhelmingly, voters do not like abortion bans—then instead of changing their platforms or setting out to persuade the electorate to change their minds, Republicans simply change the rules, so that the voters’ wishes don’t get in the way of their preferred policy outcomes. Don’t want to vote for the Republican party line? Then state Republicans will make sure that your vote doesn’t matter.

In 2022, the Democrats’ decision to put democracy on the ballot and wage a campaign against the illiberal aims of the Republican Party was greeted with puzzlement by many pundits. But as Axios subsequently reported, the exit polls proved that Democrats had gotten it right: “National polling showed abortion and democracy turned out to be big issues with voters. Coverage in the run-up to midterms had focused heavily on pocketbook issues.” That Ohio Republicans, with this knowledge in hand, decided to court backlash in these potent areas with this ballot initiative fight makes me wonder if they ever really thought that they were going to pull off this plot against their own voters.

But it’s not like the GOP have given themselves much of a choice. Having abandoned the work of policymaking in favor of an increasingly weird and rapidly expanding universe of culture-war obsessions, Republicans don’t have all that many political moves at their disposal. The fact that voters are torpedoing the GOP agenda at the ballot box, TNR contributor Alex Thomas reported this week, means that Republicans will try even harder to demolish these avenues of direct democracy.

Democrats have lately endeavored to highlight the success of Bidenomics; there’s no doubt that pocketbook issues will be a critical component of the 2024 campaign. But there’s still a considerable amount of voltage flowing through the third rails of last year’s midterms. As TNR contributor Laleh Ispahani argued this week, Democrats should stay invested in Dobbs and democracy, especially as Republicans continue to wage war on voting rights—and dream of a national abortion ban.

This article was adapted from one that first appeared in Power Mad, a weekly TNR newsletter authored by deputy editor Jason Linkins. Sign up here.

The 2024 Election Cycle Has Entered Its Summer of Discontent

It seems like the primaries are over before they even began—and people are feeling unsatisfied.

Dustin Frank/Getty Images

On a good day, our two-year-long presidential election cycle often seems like a lengthy road trip spent in the company of the world’s most insipid people. But it’s especially dull in the August before the presidential primaries, when the novelty of all the pre-primary activity has worn off but the most substantive and consequential days are far ahead.

“So what are we going to talk about?” says the bored passenger to his dull-witted driver, having exhausted what little interest there is to be had in, say, the quixotic bid of anthropomorphic Reddit comment thread Robert F. Kennedy Jr. and the even less interesting political peregrinations of centrist nincompoops No Labels, who still somehow have deep-pocketed donors left to fleece. “Well,” the driver responds, “we could just accept the fact that this looks like it’s going to be a rematch between Donald Trump and Joe Biden.”

The endgame has slouched into view way earlier than anyone wanted it, and people are restless, testy, and dissatisfied. To wit: This week, thanks to Dean Phillips, we were made to endure yet another round of discourse over whether Joe Biden is too old to be running for president. Wait—who is Dean Phillips?

So asked everyone. It turns out he’s a three-term Democratic representative from Minnesota who spent the weekend “meeting with Democratic donors in New York City … to explore a run for the White House” and then, I guess, made a point of telling some reporters that he’d met with some donors in New York City to explore a run for the White House.

Phillips has been going on about Biden’s age for some time now, apparently. He told Politico’s Jonathan Martin in February, “If he were 15-20 years younger it would be a no-brainer to nominate him, but considering his age it’s absurd we’re not promoting competition but trying to extinguish it.”

So why aren’t Democrats trying to sabotage their incumbent presidential candidate? While I share the broad concerns about Biden’s age, the time to resolve this conundrum was back in 2015, when many younger Democrats were champing at the bit to be president. Democratic elites took stock of what was on offer and swung behind Biden; voters proclaimed their support for him soon after. Credit Phillips for consistency—he endorsed the comparatively younger Amy Klobuchar during the last primary. But another bed got made back when it mattered, and there’s no choice but to lie in it.

And so, I’m sorry to say, the die is cast: Biden has the best chance of any Democrat to win right now, and no one who might have a shot at the Democratic nomination in 2028 is going to burn bridges with the party pursuing a 2024 campaign that is likely to fail and hurt Biden’s chances. If Dean Phillips and his donors want to mount a campaign and ride a single percentage point all the way to becoming the answer to a pub trivia question in the years to come, they can be my guest.

Here’s some good news for Democrats, however. Joe Biden is definitely aging better than this quote: “What is the downside for humoring him for this little bit of time?” That line was spoken by a “senior Republican official” who, on November 8 of 2020, didn’t really see a problem with Donald Trump’s constant stream of “baseless assertions that fraud had cost him the election”—after a week in which the former president was indicted for a series of alleged criminal activities that led to the January 6, 2021, attack on the U.S. Capitol. Which brings us to this week’s New York Times/Siena poll showing that Trump is eviscerating his primary competition—including Florida Governor Ron DeSantis, who trails him by a cool 37 points.

Why isn’t DeSantis faring better? Probably because his candidacy is a knotty tangle of contradiction and nonsense. TNR’s Grace Segers deftly summarized the DeSantis campaign’s raison d’être like so: “I’m not Trump, but I’m like Trump, but Trump has baggage, but he also won the 2020 election, but I’m better than Trump, but Trump was also an incredible president.” This will fit real nice on a bumper sticker.

As I wrote back in April, this was the obvious contradiction at the heart of the candidacies of Trump’s rivals: Few have reconciled their support for Trump’s stolen-election claims with their desire to supplant him. So the people who should be fighting to tear Trump down have instead bestowed on him the sheen of an incumbent, and the Republican base has, to no one’s surprise, followed these cues. As my colleague Alex Shephard noted this week, this latest polling underscores just how deeply entrenched the idea of Trump’s Avignon presidency has become—and how it remains a third rail for challengers like DeSantis.

Still, all things being equal, you’d rather have the Democrats’ problems (that Biden is extremely old) than the GOP’s. (And here I should belatedly add that Trump, in addition to being a one-man wrecking ball of criminality and corruption, is also really frigging old.) Besides, as TNR contributor Osita Nwanevu once noted, Biden’s most important campaign promise is that he’ll beat Trump, and should he succeed again, there’s nothing stopping him from getting re-inaugurated, taking Jill out for a few spins on the dance floor, and then waking up the next morning to resign from office. That would resolve the concerns of Democrats swiftly and handily. And Republicans might wish for Biden to beat Trump in 2024 as well, because let’s face it—the only thing that’s likely to solve their Trumpism problem is a savage, election-year shellacking.

This article was adapted from one that first appeared in Power Mad, a weekly TNR newsletter authored by deputy editor Jason Linkins. Sign up here.