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The power players, latest policy developments, and intriguing whispers percolating inside the West Wing.
Sep 14, 2023 View in browser
 

By Eli Stokols, Holly Otterbein, Lauren Egan and Lawrence Ukenye

Welcome to POLITICO’s West Wing Playbook, your guide to the people and power centers in the Biden administration. With help from producer Ben Johansen.

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The self-declared “most pro-union president in American history,” JOE BIDEN is bracing for an auto workers strike at midnight Friday. And the brewing fear among Democrats is that it won’t just complicate his labor credentials, it could slow the implementation of his green industrial agenda and the broader economic growth around which he’s basing his case for reelection.

Inside the White House, a strike is now viewed as highly likely and Biden could eventually be forced to intervene more directly. And if workers come to perceive any intervention as something less than full-fledged support for their position, it could risk their backing in next year’s presidential contest. Any strike, one senior person in the labor world said, could create “significant complications” for the president politically.

As the deadline nears, several Democrats aligned with the White House have been increasingly outspoken in blaming the automakers, not union leaders, for any possible strike.

“It's not that everybody's equally at fault here,” said Sen. SHERROD BROWN (D-Ohio). “The auto companies have done this; the workers have been hurt. The media is focused on what kind of damage this is going to do to the economy? How about the damage it's done to workers and families in Youngstown over the decades?”

Sen. BERNIE SANDERS (I-Vt.), who said he may travel Friday to Detroit to stand with striking auto workers, was one of several lawmakers who pointed to rising executive compensation levels as proof workers deserve to be paid more.

“Workers in the automobile industry are earning substantially less than they earned 15 years ago,” Sanders said. “In many cases their wages have not kept up with inflation, and CEOs are making $20-25 million. So it's time the workers were treated with respect."

Similarly, Sen. DICK DURBIN (D-Ill.) said he’s “concerned” about the economic implications but, like Sanders and others, thought the UAW’s position was “reasonable when you consider that the CEOs and executives at these automakers have made 40 percent more over the recent period of time and the workers have been increased 6 percent.”

Biden, who spoke about the economy Thursday afternoon in Maryland, framed his working-class appeal in contrast to Republican proposals. But he avoided the subject of the high-stakes negotiations entirely.

In the immediate term, the administration has been in touch with agencies about contingency plans and monitoring the potential impact of any strike on supply chains, and the economy as a whole, according to people familiar with recent meetings and discussions. At the same time, administration officials have engaged in direct talks with principals on both sides.

But discussions, so far, have not been entirely fruitful. And there is a sense inside the administration that no form of intervention would work at this late hour.

The administration sees United Auto Workers president SHAWN FAIN, who Biden met with in the Oval Office earlier this summer, as a less establishment-oriented labor leader. Fain didn't have particularly close ties to the White House and built his very brand on being aggressive and combative. Fain, in their esteem, was not someone looking for an off ramp, nor had he come to power as a user of them.

But Fain isn't seen as the only wild card in the current round of negotiations. The White House has also been leaning on a team with strong bonafides on labor policy and economics — including chief adviser GENE SPERLING and acting Labor Secretary JULIE SU. But they have been missing the person who helped navigate the last few high-profile standoffs: former Labor Secretary MARTY WALSH.

Whether Walsh would have been able to pull a rabbit out of the hat is impossible to know. But by Thursday afternoon, aides were being extremely delicate with how they talked about the pending strike: cognizant not just that it would have economic consequences but that it could alter perceptions of the president as a champion of organized labor.

They also feared that Biden might end up even more hampered after the strike began than before. The expectation was that other unions would come out in solidarity with the UAW once a strike were to commence, which would only add to the pressure on Biden.

If a strike now looks all but inevitable, the White House is working to keep it from becoming a drawn out, economically painful one, trying to coax both sides into recognizing the benefits of reaching a deal as quickly as possible. Biden, who called Fain on Labor Day and spoke to the big three auto CEOs prior to his trip last week to India and Vietnam, has been encouraging both sides to remain at the table, Council of Economic Advisers chair JARED BERNSTEIN said Wednesday.

“And he will continue to press on that,” Bernstein said.

Adam Cancryn, Jennifer Haberkorn and Sam Stein contributed to this report.

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POTUS PUZZLER

Thanks to the White House Historical Association for this question!

Which president enjoyed taking short retreats to Civil War battlefields?

(Answer at bottom.)

The Oval

QUEEN OF THE NERDS: MINDY MYERS is joining the president’s reelection campaign to head his polling team, our HOLLY OTTERBEIN reports. Myers helped former Biden aide GABE AMO win a Rhode Island Democratic primary earlier this month and previously managed Sen. ELIZABETH WARREN’s (D-Mass.) successful 2012 Senate campaign. The addition is another sign Biden’s campaign is ramping up its 2024 operation after naming several other top aides in recent weeks.

BIDEN DOJ, JUST RELENTLESS ABOUT GUN CRIMES: HUNTER BIDEN was indicted on three federal gun-related charges, our BETSY WOODRUFF SWAN reports, stemming from his purchase of a firearm at a time when he was using illegal drugs. The indictment reflects a major escalation of the Justice Department’s probe on the president’s son and a political problem for Biden as he prepares to navigate an impeachment inquiry by House Republicans. On a macro level, it’s also produced a political irony: conservatives cheering a Democratic administration’s DOJ for going after a relatively minor gun crime.

WHAT THE WHITE HOUSE WANTS YOU TO READ: This Newsweek op-ed by Rep. PRAMILA JAYAPAL (D-Wash.) about how Speaker KEVIN MCCARTHY’s decision to launch an impeachment inquiry will hurt Americans as lawmakers try to avert a government shutdown. “By their own admission, their months-long investigation — which cost the American public millions of dollars — has failed to uncover any evidence of wrongdoing by the president,” Jayapal wrote. Oversight and investigations spokesperson IAN SAMS tweeted the piece.

WHAT THE WHITE HOUSE DOESN’T WANT YOU TO READ: This piece by our SCOTT WALDMAN about how the economic fallout in Michigan and Wisconsin from a UAW strike risks breaking Biden’s blue wall. “A long-lasting walkout could trigger a recession in Michigan and spill over into neighboring states with parts suppliers and other businesses that rely on the auto industry,” Waldman writes.

Both states along with Pennsylvania played an immense role in shoring up Biden’s path to the White House in 2020 after Trump shocked Democrats by winning all three states in 2016.

THE BUREAUCRATS

PRITZKER TO OVERSEE UKRAINE REBUILD: Biden on Thursday nominated former Commerce Secretary and longtime Democratic bundler PENNY PRITZKER to serve as a new special envoy for Ukraine’s economic recovery. The appointment underscores the administration’s growing focus on the country’s long-term prospects and eventual rebuilding, even as the war with Russia grinds on. In a statement outlining Pritzker’s role, Biden reiterated U.S. support for Ukraine for “as long as it takes.”

PERSONNEL MOVES: BRIANNE TODD is now director for Central Asian affairs at the National Security Council. She most recently was a professor at the National Defense University detailed to the Office of Central Asian Affairs at the State Department.

— GIOVANNI ROCCO is now press secretary at the Department of Interior. He had been deputy press secretary at the agency since 2021 and is an alum of Biden’s 2020 campaign in North Carolina.

— TEIKA CARLSON has been promoted to be senior adviser for external affairs at the Office of Personnel Management. She most recently was special assistant to the director of OPM.

Agenda Setting

BOOK BAN COORDINATOR, COORDINATED: The Education Department’s Office of Civil Rights on Wednesday named deputy assistant secretary MATT NOSANCHUK to serve as its book ban coordinator, a department spokesperson told West Wing Playbook. Lawrence previously reported there hadn’t been any outward movement on filling the position after Biden announced the role three months ago along with other actions aimed at protecting LGBTQ students.

THAT’S A LOT OF GREEN: The Agriculture Department plans to use $1 billion allocated from the Inflation Reduction Act to support nearly 400 programs that will increase the amount of green space in urban communities. The department’s Urban and Community Forestry Program received $7 billion from the IRA and as cities grapple with warmer temperatures. The funding could be key in providing “new ways to cool concrete-heavy environments.” Our MARCIA BROWN has the details for Pro subscribers.

ALL CARE IS EQUAL: The Biden administration is proposing new rules to ensure insurance companies cover mental health treatment as they would other forms of care, our BEN LEONARD reports for Pro subscribers. Although companies claim they’re doing their best through embracing telehealth programs, some firms could face fines as high as $100 per policyholder per day if they don’t reevaluate coverage networks.

ANOTHER IMMIGRATION BLOW: A federal judge in Texas again struck down the Deferred Action for Childhood Arrivals program, even after the Biden administration worked to codify the policy, our MYAH WARD and JOSH GERSTEIN report. The program has allowed nearly 600,000 undocumented immigrants who arrived as children to work in the U.S. and avoid deportation but it has faced constant pushback from Republican-led states. The administration plans to appeal the ruling, pushing the program closer to being heard by the Supreme Court.

What We're Reading

How Biden Can Avoid a Collapse in the Youth Vote (Victor Shi for POLITICO)

White House Strategy on Impeachment: Fight Politics With Politics (NYT’s Peter Baker)

Biden’s Labor-Climate Dilemma (Steven Greenhouse for The Atlantic)

The Oppo Book

JEFFREY RAPP, a senior adviser at the Treasury Department, loves to dine out — so much so that he previously ran a restaurant blog. “RappEats” featured reviews from Rapp’s restaurant experiences in Washington, D.C., Chicago and beyond.

“I would say Doi Moi is exactly what I expect from an above average fun DC restaurant. It doesn't blow my socks off, but there are plenty of interesting dishes to enjoy,” he wrote in 2013 about his trip to the Logan Circle restaurant.

Although it’s been nine years since Rapp last posted, we hope he’s still trying new restaurants and promise to publish his recommendations if he sends them to us!

POTUS PUZZLER ANSWER

When he wasn’t visiting his Massachusetts family home at Hyannis Port on Cape Cod, JOHN F. KENNEDY enjoyed visiting Civil War battlefields. It offered a retreat from Washington D.C. but also allowed him to indulge in his passion for history, according to the White House Historical Association. 

A CALL OUT! Do you think you have a harder trivia question? Send us your best one about the presidents, with a citation or sourcing, and we may feature it!

Edited by Eun Kyung Kim and Sam Stein.

 

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