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Economy
'Holding The Line': Municipal Workers' Strike Enters Second Week as Philly Refuses to Pay Living Wage
"We got people that work and repair the water mains and can't afford their water bill," said union leader Greg Boulware last week. "I don't want to be rich. We just want comfort inside the city that we serve daily."
Jul 07, 2025
Philadelphia's largest municipal workers' strike in over 40 years is entering its second week after negotiations with the city broke down this weekend.
Over 9,000 sanitation workers, 911 dispatchers, water services workers, crossing guards, and other city employees walked off the job last week, demanding that the city increase their salary enough to meet the rising cost of living.
But even with trash piling up on the streets and other city services understaffed, Mayor Cherelle Parker (D) would not agree to the demands made by AFSCME District Council 33, Philadelphia's largest blue-collar union.
Parker has offered a pay increase of 8.75% over the next three years, which she described as historic.
But DC 33 president Greg Boulware said that's far too little for municipal workers, many of whom are among the city's "working poor," to survive.
"It's not like as if our members are making $80,000, $90,000 a year," Boulware said. "A 2% increase on those would be significantly higher than it would be on somebody making $40,000-$45,000 a year. So, her math truly is not mathing, and you're clearly not paying attention to the working people that are going on in this city."
The average municipal worker in Philadelphia makes around $46,000, which is $15,000 less than the median income in the city and less than half of what a single adult needs to live comfortably, according to a study by SmartAsset.
"We got people that work and repair the water mains and can't afford their water bill," Boulware said at a rally last week. "We got people that repair the runways at the airport and can't afford a plane ticket. I don't want to be rich. We just want a comfort inside the city that we serve daily."
The union initially asked for an 8% raise for the next four years, which the city dismissed. This weekend, they pared their proposal down to 5%, but the city still did not budge.
Parker has insisted that her smaller proposed increases are merely what is "fiscally responsible," and that the city cannot afford to offer more.
The union has disputed this, pointing out that Parker herself is budgeted to receive a 9% increase to her salary of more than $240,000. That increase alone is nearly half the current salary that the average DC 33 member makes in a year.
As of Monday, negotiations have stalled, with no clear end in sight. With a throng of picketers behind him, Boulware told NBC 10, a local affiliate, that the union was working on a third proposal, and that negotiations may resume Tuesday. But he seemed to expect more obstinacy from the city.
"We've been there to be able to sit and meet and negotiate," he said. "It doesn't seem like the city quite honestly wants to entertain any of the questions that we have about things and actually have a true dialogue... That's how you negotiate and that's not truly what's been going on."
Despite the city's refusal to budge, momentum around the strike has continued to grow. On Friday, rapper LL Cool J dropped out of a 4th of July festival in the city, saying, "There is absolutely no way I can perform across a picket line."
Other AFSCME councils around Pennsylvania have joined pickets in solidarity. This includes Philadelphia's Council 47, which represents thousands of "white collar" city workers.
With mounds of trash accumulating on streets, sometimes becoming as "tall as people," the environmental activists with the Sunrise Movement have also joined in the effort to pressure the city. On Monday, activists hauled bags of trash into the lobby of City Hall, labeled with the words "Meet DC 33 Demands" written in yellow tape.
AFSCME, meanwhile, has stated its resolve to fight on as the strike has gained national attention.
"City workers are holding the line until they get a FAIR contract with the wages and benefits they deserve," the national union's account wrote on X Monday. "One day longer, one day stronger, no matter what it takes."
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2% Wealth Tax on Just 3,000 Billionaires Could Raise $250 Billion a Year: Nobel Economists
"Not only is it necessary to impose a stronger burden of justice on billionaires, but more importantly, it is possible."
Jul 07, 2025
Seven Nobel laureates on Monday published an op-ed advocating for "a minimum tax for the ultrarich, expressed as a percentage of their wealth," in the French newspaper Le Monde.
"They have never been so wealthy and yet contribute very little to the public coffers: From Bernard Arnault to Elon Musk, billionaires have significantly lower tax rates than the average taxpayer," wrote Daron Acemoglu, George Akerlof, Abhijit Banerjee, Esther Duflo, Simon Johnson, Paul Krugman, and Joseph Stiglitz.
Citing pioneering research from the E.U. Tax Observatory, the renowned economists noted that "ultrawealthy individuals pay around 0% to 0.6% of their wealth in income tax. In a country like the United States, their effective tax rate is around 0.6%, while in a country like France, it is closer to 0.1%."
Although the "ultrawealthy can easily structure their wealth to avoid income tax, which is supposed to be the cornerstone of tax justice," the strategies for doing so differ by region, the experts detailed. Europeans often use family holding companies that are banned in the United States, "which explains why the wealthy are more heavily taxed there than in Europe—though some have still managed to find workarounds."
The good news is that "there is no inevitability here. Not only is it necessary to impose a stronger burden of justice on billionaires, but more importantly, it is possible," argued the economists, who say that taxing the overall wealth of the ultrarich, not just income, is the key.
The wealth tax approach, they wrote, "is effective because it targets all forms of tax optimization, whatever their nature. It is targeted, as it applies only to the wealthiest taxpayers, and only to those among them who engage in tax avoidance."
💡 "One of the most promising avenues is to introduce a minimum tax for the ultra-rich, expressed as a percentage of their wealth."Seven Nobel laureates in economics advocate for the Zucman tax in their latest op-ed.Read the full @lemonde.fr article 👇www.lemonde.fr/idees/articl...
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— EU Tax Observatory (@taxobservatory.bsky.social) July 7, 2025 at 8:05 AM
The anticipated impact would be significant. As the op-ed highlights: "Globally, a 2% minimum tax on billionaire wealth would generate about $250 billion in tax revenue—from just 3,000 individuals. In Europe, around $50 billion could be raised. And by extending this minimum rate to individuals with wealth over $100 million, these sums would increase significantly."
That's according to a June 2024 report that French economist and E.U. Tax Observatory director Gabriel Zucman prepared for the Group of 20's Brazilian presidency—which was followed by G20 leaders' November commitment to taxing the rich and last month's related proposal from the governments of Brazil, South Africa, and Spain.
"The international movement is underway," the economists declared Monday, also pointing to recent developments on the "Zucman tax" in France. The French National Assembly voted in favor of a 2% minimum tax on wealth exceeding €100 million, or $117 million, in February—but the Senate rejected the measure last month.
The economists urged the European country to keep working at it, writing that "at a time of ballooning public deficits and exploding extreme wealth, the French government must seize the initiative approved by the National Assembly. There is no reason to wait for an international agreement to be finalized—on the contrary, France should lead by example, as it has done in the past," when it was the first country to introduce a value-added tax (VAT).
"As for the risk of tax exile, the bill passed by the National Assembly provides that taxpayers would remain subject to the minimum tax for five years after leaving the country," they wrote. "The government could go further and propose extending this period to 10 years, which would likely reduce the risk of expatriation even more."
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Anti-Poverty Campaigners Cheer Spain-Brazil-South Africa Plan to Tax the Grotesquely Rich
"People are fed up with billionaires' greed eroding the environment and communities we depend on," said one supporter of the new initiative. "It's time for world leaders to listen and act."
Jul 01, 2025
A new plan backed by the governments of Spain, Brazil, and South Africa to tax the fortunes of the uber-rich drew hearty cheers from anti-poverty campaigners, environmental activists, and unions when it was announced on Tuesday.
As described in an announcement by the Spanish government, the initiative aims to create coordination between governments on the taxation of high-net-worth individuals to ensure they are not shuffling money abroad to avoid proper taxation.
"The proposal aims to incentivize and guide different countries to join the initiative and address policy, administrative, and data deficiencies, ensuring that high-net-worth individuals are taxed more efficiently in line with their wealth," the Spanish government explained. "To achieve this, it is necessary to foster international cooperation in multilateral forums to promote and facilitate the implementation of evidence-based reforms and ongoing experiences regarding the taxation of large fortunes in different countries."
The plan—crafted by the governments of Spain and Brazil and presented at the United Nations' Fourth International Conference on Financing for Development being held in the Spanish city of Seville—was quickly praised by an assortment of international nonprofit organizations as an essential tool for tackling global wealth inequality.
Kate Blagojevic, associate director for Europe campaigns for environmental the advocacy group 350.org, described it as "a bold move by Spain and Brazil" that she said could provide funding for clean energy investments around the world, including in countries that lack the resources to make such investments.
"We want more countries to join this coalition so that billionaires and multi-millionaires help to foot the bill for the climate damage they have caused and decrease the huge gap between the rich and the poorest," she said, while also calling for the United Kingdom, France, and Germany to sign on.
Susana Ruiz, the tax justice policy lead at the anti-poverty organization Oxfam, emphasized that international coordination on taxation of high-worth individuals was a serious proposal to address a crisis in global democracy, which she said was being undermined by the corrupting influence of vast sums of money being held by a tiny number of people.
"This extreme inequality is being driven by a financial system that puts the interests of a wealthy few above everyone else," she said. "This concentration of wealth is blocking progress towards the Sustainable Development Goals and keeping over three billion people living in poverty: over half of poor countries are spending more on debt repayments than on healthcare or education."
Fred Njehu, the global political lead for Greenpeace’s Fair Share campaign, deemed the tax plan essential at a time when nations are behind their renewable energy goals and when wealthy elites such as Amazon CEO Jeff Bezos can go all-out for a lavish three-day wedding in Venice.
"Financing is urgently needed for climate action and public services, not for polluting space travel and luxury weddings," he said. "This new coalition of governments working to tax the super-rich adds to the growing global momentum to make the world’s wealthiest pay their fair share. People are fed up with billionaires' greed eroding the environment and communities we depend on. It's time for world leaders to listen and act."
And Leo Hyde, the campaigns and media coordinator at the Public Services International union, praised the plan and said that was the result of years' worth of advocacy by unions and other organizations.
"The initiative aims to ensure a progressive and efficient global tax system with the aim of reducing social inequality," he said. "This builds directly on years of union-led tax justice campaigning that has already yielded significant victories, including the OECD global minimum corporate tax, Australia's public country-by-country reporting initiatives, and the ongoing UN tax treaty negotiations."
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Wealth of Global 1% Has Skyrocketed by Over $33 Trillion Since 2015: Report
"Governments should heed widespread demands to tax the rich—and match it with a vision to build public goods from healthcare to energy," said the executive director of Oxfam International.
Jun 26, 2025
An Oxfam report published Wednesday estimates that the richest 1% globally have seen their wealth surge by more than $33.9 trillion over the past decade, with just 3,000 billionaires accounting for $6.5 trillion of that increase.
The report, released ahead of June 30 development financing talks in Seville, Spain, argues that the international community's plan to achieve the Sustainable Development Goals agreed upon in 2015 has failed utterly as global inequality has continued to expand, efforts to end poverty have stagnated, and the climate crisis has spiraled further out of control.
"There is glaring evidence that global development is desperately failing because—as the last decade shows—the interests of a very wealthy few are put over those of everyone else," said Amitabh Behar, executive director of Oxfam International. "Rich countries have put Wall Street in the driver's seat of global development. It's a global private finance takeover which has overrun the evidence-backed ways to tackle poverty through public investments and fair taxation."
"It is no wonder governments are abysmally off track, be it on fostering decent jobs, gender equality, or ending hunger," Behar added. "This much wealth concentration is choking efforts to end poverty."
According to Oxfam's analysis, the roughly $34 trillion wealth increase enjoyed by the global 1% since 2015 would be enough to eliminate annual poverty "22 times over."
"It's time we rejected the Wall Street Consensus and instead put the public in the driving seat."
The report argues that "a new agenda is needed" to break free from the private profit-centered global development model that has allowed international crises to run rampant while letting the ultra-wealthy continue growing their massive fortunes unabated.
The upcoming conference in Seville, the report states, represents a key opportunity for countries that are willing to "work together to tackle extreme inequality" and "reject the 'Wall Street Consensus' around financing development."
"They can start by taxing the very wealthiest—a new global survey finds 9 out of 10 people support taxing the super-rich to raise the revenue needed to invest in public services and climate action," the report notes. "Reforms to the international financial architecture and restoring aid are also key."
The report comes as the world's wealthiest countries, including the United States under President Donald Trump, are making unprecedented cuts to development aid spending, a surefire way to reverse any recent progress toward reducing global hunger, poverty, and disease.
Behar said Wednesday that "trillions of dollars exist" to tackle such emergencies, "but they're locked away in private accounts of the ultra-wealthy."
"It's time we rejected the Wall Street Consensus and instead put the public in the driving seat," said Behar. "Governments should heed widespread demands to tax the rich—and match it with a vision to build public goods from healthcare to energy. It's a hopeful sign that some governments are banding together to fight inequality—more should follow their lead, starting in Seville."
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