Massachusetts Democratic Sen. Elizabeth Warren’s crusade against the private sector continues apace, with a new proposal to give the federal government the power to block and break-up mergers without first getting a court order:
The Prohibiting Anticompetitive Mergers Act would allow the Federal Trade Commission (FTC) and Department of Justice to reject large merger deals without a court order. It would also give the government power to retroactively break up deals that resulted in a market share above 50 percent or “materially harmed” competition, workers, consumers, or small or minority-owned businesses.
The proposal is backed by a coalition of progressives in both chambers, including Sen. Bernie Sanders (I-Vt.) and Alexandria Ocasio Cortez (D-N.Y.), and follows a series of proposals introduced in Congress targeting the market power of tech giants.
Of course government would never abuse such authority, would it? Of course it would, which is why there are so many inconvenient and time consuming steps government actors must take before they are allowed to stop economic activity politicians dislike.
Or in this case, what unions don’t like:
The Communications Workers of America (CWA), a group that is raising concerns with the FTC over Microsoft’s planned acquisition of gaming publisher Activision Blizzard, said the bill would help project workers.
“Mega mergers not only often result in mass layoffs, but an unfair concentration of market power that limits workers’ choices for employment, leads to wage suppression across industries, and hinders workers’ ability to exercise their rights,” CWA President Chris Shelton said in a statement. “In particular, when workers at these companies do not have union representation, they are not able to have a seat at the table and do not have a meaningful opportunity to fight back to protect their jobs and their communities.”
Now it all makes sense. Unionize the shop, and you’ve nothing to fear from government looking over your shoulder. And worse.