National Legal and Policy Center
Organized Labor Accountability Project
www.nlpc.org

 The Failure of the LIUNA “Internal Reform Effort”

2. LACK OF INDEPENDENCE
2.6 Luskin’s Financial Dependence on the GEB
Robert D. Luskin can never be truly independent when he is dependent on LIUNA General Executive Board, led by Arthur A. Coia, for funding.  Luskin’s reported compensation to date has been quite lavish.  He recently disclosed that the “internal reform effort” as a whole has cost LIUNA about $35 million since 1995.  But in June 1998, Luskin admitted to his take -- $4 million.  Luskin and his small law firm have received $4 million from November 1994 to June 1998 from LIUNA. See: Stephanie Mencimer, “Ex-FBI Official Pulls at Union’s Infamous Roots,” Washington Post Jun. 7, 1998.

$4 million over 44 months (Nov. 94 to Jun. 98) equals $90,909 a month, or...$1,090,909 a year... $20,979 a week... $4,196 a day...$524 a hour (at 40 hours a week)... $8.74 a minute... all thanks to the mandatory unions dues of LIUNA members. Bring that estimate up to date (51 months), it is now about $4.63 million. Remember too that LIUNA is not Luskin’s only client.

More troubling is the GEB’s recent willingness to yank on Luskin chain.  According to Reader’s Digest’s Eugene Methvin, the GEB defunded Luskin and the “internal reform effort” in the summer of 1998 claiming it cost to much.  Allegedly, DOJ pressure made the GEB restore the funding. However, as Methvin correctly points out, this episode demonstrates that 1) Luskin and the “internal reform effort” are not independent and 2) the GEB is hostile to cleaning up the union.  Undoubtedly, this was a major reason behind DOJ’s concession in the 1999-2000 Extension of the Operating Agreement to accommodate LIUNA’s “budgetary constraints.” (See section 1.4.)
 


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