• In Letter to Bush, McElroy Outlines Key Issues for Union
• Union Vote Out Strong for Kerry
• Retiree Postcard Campaign--A Winner
• Bush's Agenda for Second Term
• Bush Win Good News for Health Industry
• Corporate Legal Challenges to Retiree Health Benefits Rise
• FDA Commissioner To Testify in Hearing on Vioxx
• Canada Might Halt Shipments of Medications to U.S.
• Medicare Will Cover More Preventive Services Starting Jan. 1
• CDC Offers Plan To Distribute Remaining Flu Vaccine
• Save When Dining Out this Holiday Season
  Quote of Note
• Web Site of the Week: www.aflcio.org/familyfunresources/shop.cfm

IN LETTER TO BUSH, McELROY OUTLINES KEY ISSUES FOR UNION
AFT president Edward J. McElroy has extended his congratulations to President Bush on his reelection and outlined some vital issues that the union would like to work on with the administration in the coming months. "I look forward to continuing to work with your administration on many important goals and priorities, including helping every child in the United States have access to a high-quality public education," McElroy wrote in a Nov. 10 letter to President Bush. "We welcome your recently stated intention to focus on high school reform to improve literacy and graduation rates at that level." McElroy's letter also cited priority areas that the union would like to work with the administration in advancing, including economic renewal, greatly increased access to quality healthcare and the strengthening of Medicare and Social Security. "These issues are important to our members and the nation, and we strongly support their advancement," he said. The recent election marked the start of a new era of political activism among the AFT and its affiliates. An army of thousands of energized AFT volunteers got out the vote for union-endorsed candidates. Underscoring the effectiveness of the AFT program, notes John Ost, director of the union's political and legislative mobilization department, is that AFT-backed candidates won the votes of those who cited job/union-related issues, such as the economy and healthcare, as their top concern. Meanwhile, the AFT will be working on an aggressive legislative agenda.

UNION VOTE OUT STRONG FOR KERRY
The AFL-CIO reports that union members overwhelmingly supported presidential candidate Sen. John Kerry (D-Mass.) and that union households accounted for one of four voters in the recent election. The AFL-CIO said the union vote totaled 27 million union household voters in 2004. Union households provided a 5.8-million vote advantage for the Democratic candidate for president, a new exit poll finds. Sixty-five percent of union members voted for Kerry, with an even bigger margin--68 percent--voting for Kerry in battleground states. In sharply divided Ohio, 67 percent of union members voted for Kerry, according to the election night survey conducted by Peter D. Hart Research Associates for the AFL-CIO. Overall, 62 percent of union members surveyed say they disapprove of President George W. Bush's job performance, with 67 percent saying they have only some or very little confidence that Bush will look out for working families. More than 90 percent of union members say they received information from their unions on election issues crucial to working families. Jobs and healthcare topped union members' concerns when making their decision for president. Of the union members who rated jobs the No. 1 issue, 71 percent voted for Kerry. Fifty-one percent of union members say the most important factor in their vote was the candidates' positions on issues. Although Kerry lost among seniors in the general public, 54 percent to 46 percent, he won by a whopping 41 percentage points among union seniors. The survey among 1,135 active and retired union members included 400 additional members in Ohio and had a 3.5 percent margin of error.

RETIREE POSTCARD CAMPAIGN--A WINNER
The election is over. The results are in and there were both wins and losses for working families and labor. The AFT retirement program's postcard campaign was a clear winner. More than 55 retiree unit leaders and AFT staff from Florida, Pennsylvania, Colorado, Ohio, New York, Minnesota, West Virginia, Wisconsin, Illinois, Washington and Oregon generated more than 34,000 postcards to nearly 90 percent of the AFT retirees in the battleground states. Thanks to the hundreds of retirees who wrote postcards to their colleagues across the nation and to the AFT PSRP division for coming up with this creative idea. As one postcard recipient put it, "This is the single most effective piece of campaign literature I will likely receive this year. It is a simple postcard, handwritten from a former colleague of mine, who I really didn't know well and haven't seen since I retired five years ago. I received it yesterday. This piece of literature cost him 23 cents and a few minutes of his time. My guess is that he is sending these to many people he knows. How about you, the same, with people you know--especially those not on e-mail? If you're like us, you get lots of mail, but very seldom a real, genuine, handwritten letter with a stamp!"

BUSH'S AGENDA FOR SECOND TERM
The AFT and AFL-CIO will have their work cut out for them in the second Bush administration. Based on the president's public statements, here is what older Americans can expect:

1. An assault on the Social Security program featuring an attempt to introduce individual private accounts under the guise of reform.
2. Higher prescription drug costs fueled by the president's opposition to letting the federal government negotiate prices with pharmaceutical firms and his continued resistance to the reimportation of cheaper drugs from Canada.
3. More changes in the tax code favoring high-income people, including making permanent the tax cuts set to expire in 2008 and 2010, producing even higher deficits.
4. Limits on medical malpractice lawsuits.
5. Stepped-up attacks on unions, collective bargaining agreements and pension protections.
6. More jobs lost to outsourcing.
7. Rules that further undermine environmental protections.

BUSH WIN GOOD NEWS FOR HEALTH INDUSTRY
Pharmaceutical companies and other sectors of the healthcare industry likely will benefit from new federal policies and the continuation of current policies as a result of the re-election of President Bush over Sen. John Kerry (D-Mass.). News that Bush won the election prompted healthcare industry stock prices to increase. The Dow Jones industrial average rose 101 points, or 1 percent, to 10,137 on Nov. 3, in large part due to increases in so-called "Bush sectors," such as pharmaceuticals. The increase marked the largest post-Election Day rise since 1980. "We're seeing a big collective sigh of relief" from the healthcare industry, says Kenneth Thorpe, a healthcare economist at Emory University. The increase in the Dow that day was prompted by investors who viewed the election results as continuing the status quo--including no drug price controls. Under a Kerry administration, pharmaceutical companies had expected to face a number of concerns, such as proposals to legalize the reimportation of prescription drugs. Knowing that Kerry supported reimportation and a proposal to allow Medicare to negotiate directly with pharmaceutical firms for discounts, the healthcare industry contributed $26 million to Bush and the Republican Party in the last election cycle, the Wall Street Journal reports. Meanwhile, the healthcare plans Bush has proposed likely would not slow the growth in spending for employers and workers. Frank McArdle of Hewitt Associates, a firm specializing in health benefits, says that the aging U.S. population, rising prescription drug prices, expensive technology and a growing number of uninsured indicate "there is not going to be a huge relief in costs."

CORPORATE LEGAL CHALLENGES TO RETIREE HEALTH BENEFITS RISE
Corporations have stepped up legal challenges to reduce union retiree benefits, according to the Wall Street Journal. Although companies taking such steps still remain a minority, the number of employers using the courts to attempt to reduce benefits for union retirees is rising, and some have succeeded. Companies have argued that contract references to lifetime coverage refer to the lifetime of the contract--not the retiree--and many contracts already have expired. Companies have little to lose by suing unions because they do not face penalties if they lose. In addition, companies are not always required to provide benefits for retirees who elect to drop coverage during litigation. As the cases drag on, some companies save money when retirees forego high-priced care or drop out of the plans. Some private-sector unions have stepped in to try to protect the benefits of retirees, including the United Auto Workers (www.uaw.org/) and the United Steelworkers of America (www.uswa.org/uswa/program/content/index.php). However, private-sector unions are barred from striking or filing unfair labor practice complaints for retirees. Public sector retirees are much more fortunate in this regard. Since pension benefits are usually a matter of state or local law, they--and their unions--exercise political leverage. "It's just another reason why AFT retirees should be involved and politically active," says AFT president Edward J. McElroy. "And when they do it through their union, their voice is magnified."

FDA COMMISSIONER TO TESTIFY IN HEARING ON VIOXX Senate Finance Committee chair Charles Grassley (R-Iowa) on Nov. 10 called on Merck CEO Raymond Gilmartin and Food and Drug Administration acting commissioner Lester Crawford to testify at a Nov. 18 congressional hearing on actions that the company and the agency took to inform the public about the cardiovascular risks associated with the COX-2 inhibitor Vioxx. Merck in late September voluntarily withdrew Vioxx from the market based on a study. However, some researchers have said that the company had evidence about the safety risks of Vioxx as early as 2000. Grassley said, "The agency must address what looks like systemic problems when it comes to putting public health and safety first and public relations second." FDA spokesperson Kathleen Quinn said that the agency will review the request from Grassley. Meanwhile, a study released the week of Nov. 8 indicates that Bextra, a COX-2 inhibitor manufactured by Pfizer, doubles patient risk for heart attack and stroke. It drew a sharp rebuttal from company officials. According to preliminary results of the University of Pennsylvania study, participants who took Bextra experienced heart attacks or strokes 2.19 times as often as those who took a placebo. Pfizer spokesperson Joseph Feczko said that the study draws unsubstantiated conclusions about the safety of Bextra and is based on information that has not been published in a medical journal or subject to independent scientific review.

CANADA MIGHT HALT SHIPMENTS OF MEDICATIONS TO U.S.
Canadian Health Minister Ujjal Dosanjh warned Nov. 9 that the Canadian government might take action to end the sale of prescription drugs to U.S. residents in the event that the practice increases and causes a tremendous strain on Canada's supply. Canadian officials have said that the sale of prescription drugs to the United States will cause domestic shortages and harm Canadian patients, but Dosanjh's comments in a speech at Harvard Medical School were the strongest yet. Although to date Canada has not experienced prescription drug shortages, Dosanjh said that an increase in medication sales to the United States-- which currently total about $600 million annually--could lead to such shortages. "Canada," Dosanjh noted, "cannot be the drug store of the United States. Neither American consumers nor Canadian suppliers should have any illusions otherwise." The health minister said he has discussed reimportation with U.S. pharmaceutical companies, some of which have begun to limit shipments to Canadian wholesalers that supply U.S. residents. He added that Canada would not increase prescription drug prices to reduce the disparity with U.S. prices.

MEDICARE WILL COVER MORE PREVENTIVE SERVICES STARTING JAN. 1
Medicare will begin covering initial physical examinations and more types of health screenings Jan. 1, 2005. The new benefits, part of the Medicare legislation passed last year, include a physical exam for all who enroll in the program after Jan. 1, and screenings for diabetes, hearing and vision, cholesterol and blood pressure. Medicare already covers screenings for breast and colon cancers and osteoporosis, as well as annual flu and pneumonia vaccines. The Centers for Medicare & Medicaid Services estimate that the expanded coverage of preventive services will cost between $20 million and $60 million in the first year. The new benefits will be funded in part through Medicare Part B premiums, which cover physician and other outpatient services. Monthly Part B premiums will increase from $66.60 to $78.20 Jan. 1.

More info: www.medicare.gov/ or 1-800-MEDICARE.

CDC OFFERS PLAN TO DISTRIBUTE REMAINING FLU VACCINE
The Centers for Disease Control and Prevention announced Nov. 9 a flu vaccine distribution plan that directs states to allocate the nation's remaining 10.3 million doses based on state populations of high-risk residents and the number of doses states have received amid a nationwide vaccine shortage. Under the plan--a collaboration among CDC, Aventis and the Association of State and Territorial Health Officials--7.2 million doses of vaccine will be sent to states under a formula that takes into account the number of high-risk individuals in each state based on census data; the number of doses a state already has received; and the number of high-risk residents who have not received a vaccination. State health officials then will distribute the doses. In addition, about 3.1 million doses of vaccine will be sent to state health departments to be directed to public health clinics. CDC will reserve the remaining 1.3 million doses of flu vaccine until redistribution is complete, in case problems arise once the flu season intensifies. CDC director Julie Gerberding said that the agency would try to place the 29 states that already have reported flu activity at the top of the shipping line. Vaccine will be shipped over the next two months as it becomes available. Once a state gets its allocation, it will distribute vaccine to individuals and agencies where the need is greatest, directing doses to private physicians or nursing homes, for example. Gerberding declined to say how many doses each state would receive. She said that no state is reporting widespread flu activity but noted that the influenza virus is unpredictable.

SAVE WHEN DINING OUT THIS HOLIDAY SEASON
As an AFT retired member, you can earn up to 20 percent cash back on your entire restaurant bill, including food, drinks, tax and tip at more than 10,500 restaurants coast to coast. AFT members are entitled to 40 percent off the regular annual membership fee for Rewards Network, a cash-back rewards program formerly called iDine Prime. To earn cash-back rewards, just locate a participating restaurant at www.idine.com/. Dine there and pay using a credit card that you registered when you enrolled. Your cash-back rewards will automatically appear as a credit on your monthly credit or debit card statement. There are no ID cards or coupons to present. Call 877/491-3463 or visit www.idine.com/ to sign up. The cost is just $29 per year. Have ready your credit or debit cards that you want to register in the program. Mention discount code AFT-7 to qualify.

QUOTE OF NOTE
"The primary mission of the Alliance is to advocate for a better quality of life for America's retirees. We have no intention of backing off our objective, no matter who is president or which party controls Congress. In the months ahead, we will work to ensure that all Americans know what's at stake with Social Security privatization."

George Kourpias, president
Alliance for Retired Americans

WEB SITE OF THE WEEK: www.aflcio.org/familyfunresources/shop.cfm
As the holidays approach, it's time to think about purchasing those special gifts for the special people in your life. Why not shop union? Union shopping not only means buying quality products, it also means investing in union worker rights. Check this site for U.S. products and services in nearly every industry, and make someone's holiday special--the American way.

Contributors and sources: Bill Cunningham, Shantel Edmonds, Renee Turner, New York Times, Wall Street Journal, Washington Post, USA Today, Los Angeles Times, Associated Press, Reuters, Detroit News, Seattle Times, Boston Globe, Atlanta Journal-Constitution, Washington Times, Las Vegas Sun, American Health Line, AFTCA e-Catalyst, Union Label & Service Trades Department, Alliance for Retired Americans Friday Alert, Kaiser Health Policy Report. Frank Stella, editor; Annette Licitra, copy editor; Renee Turner, design.