Digital Gabe
Cutting Edge Commentary On All Things Media

SCOTUS Decision To Impact Political Ad Spending

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Yesterday the US Supreme Court announced its decision to rescind the 1977 ruling which allowed Unions to collect dues from all workers in unionized workplaces, including individual workers who don’t sign up to be in their Union.  So what does this have to do with ad spending?  As it turns out, quite a bit.

Unions, especially public sector ones for police, teachers, firefighters, etc., contribute a significant portion of their collected dues to ad spending.  In the 2016 election cycle Union spending totaled $213M – so we’re not talking pocket change here.  90% of this money goes to Democratic candidates and causes which are typically more pro-Union.  Since yesterday’s decision prohibits Unions from collecting mandatory dues it’s inevitable that their revenue source will start to shrink.  With less money coming in from dues you can be sure that Unions’ political ad spending, and influence for that matter, will be on the decline.

 

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