Estimated Impact of Janus on California’s Public Sector Unions So Far: $50M/year

On June 27, 2018, the U.S. Supreme Court ruled in the case Janus vs AFSCME. An immediate consequence of this ruling was that public sector unions could no longer collect so-called “agency fees” from workers in their bargaining units who had opted out of full union membership.

The other main consequence of the Janus ruling was that those workers who were full dues paying members of public sector unions would have the right to terminate their memberships. In anticipation of a result unfavorable to them, which Janus certainly was, public sector unions have used their influence with lawmakers to pass numerous pieces of legislation designed to make it harder for union members to quit. As a result, the full impact of union members terminating their membership will not be felt immediately.

With nearly a year passed since the Janus case was decided, however, it is possible to begin to quantify the impact so far on union membership and on union revenues. It’s not at all an easy task. The mandatory disclosure requirements for public sector unions are minimal. Public corporations and private sector unions are both required to disclose much more information about their finances and operations than are public sector unions.

Nonetheless, over the past several months, the California Policy Center has filed numerous public information requests with public agencies in California, asking their payroll departments to disclose how many of employees had union membership dues and fees deducted, and how much those deductions amounted to. While […] Read More