Cleveland-Area Steelworkers Boss Indicted for Tax Evasion

As if he didn’t have enough problems, David Sager has something new to worry about. On April 4, Sager, former president of United Steelworkers Local 5000, was indicted in U.S. District Court for the Northern District of Ohio on three counts of filing false tax returns. The charges grew out of income he allegedly had derived from diverting funds from the Cleveland-area union to his own personal use. He had been indicted last September on nine counts of embezzlement, 18 counts of mail fraud, one count of obstruction of justice and one count of making a false statement. All the charges follow a joint investigation by the IRS and the U.S. Labor Department’s Office of Labor-Management Standards.

United Steelworkers Local 5000, based in Middleburg, Ohio, represents about 100 employees of various Great Lakes shipping companies. David Sager headed the union from 1999 until last April. There was a good reason … Read More ➡

NLRB Denies Union Standing for Northwestern Football Players

Some would call it punting. Others would call it common sense. Both summations might apply. On Monday, August 17, the National Labor Relations Board unanimously ruled that scholarship football players at Northwestern University cannot form a union. In overturning a March 2014 regional NLRB decision, the board concluded that allowing union organizing at one campus, but not at others, would be disruptive. The ruling read: “Our decision is primarily premised on a finding that because of the nature of sports leagues…it would not promote stability in labor relations to assert jurisdiction in this case.” While the decision is a rebuke to the players’ request, its scope is narrow. By declining to rule on whether student-athletes qualify as “employees,” the board has kept the door open for similar cases.

Union Corruption Update twice analyzed this case in detail last April (here and here). A nationwide student-athlete labor activist organization, … Read More ➡