Many unions use funds they obtain from payroll deductions for political purposes. This includes contributions to campaigns for candidates, campaigns for ballot measures, or “independent expenditures” not directly coordinated with a campaign for a candidate or a ballot measure. Other than unions, not many corporations or other organizations obtain funds from payroll deductions to use for political purposes.
What Prop 32 would do if it passes:
- Prohibit any corporation, labor union, government contractor, or government employer from using payroll deduction for political purposes.
- Prop 32 would also prohibit any government contractor (including public sector labor unions) from making contributions to elected officials who play a role in awarding a contract to the contractor.
Effect on the state budget:
The state would experience increased costs to investigate possible violations of the law and to respond to requests for advice. These costs could exceed $1 million every year.
People for Prop 32 say (www.yesprop32.com):
- Prop 32 prohibits money from being deducted from employees’ paychecks for political purposes without their permission.
- Prop 32 stops special interest groups from influencing politicians with contributions.
People against Prop 32 say (www.stopspecialexemptions.org):
- 99% of California corporations don’t use payroll deductions for political contributions, so Prop 32 is aimed at limiting unions.
- Prop 32 does nothing to stop Corporate Super Political Action Committees and independent expenditure committees.