The Union

So, how exactly were the families making money off of the union? I heard at its peak, the mob could've put a halt to all of the construction sites in New York. And, do you fellas think the mob is still in on the whole union scheme? I've read an article on a few Lucchese guys being indicted for connections to the union.

Unions are a rich source of money for the Mob, and still are. Mob guys muscle their way into leadership positions in the unions, then they plunder union treasuries, pension funds and health care accounts. They give "no show" jobs to other Mob guys. They use union people, and treasury money, to support crooked politicians who protect Mob guys from police and courts.

And, yes, they can shut down construction--a favorite Mob scheme:

Let's say a big company wants to have a new headquarters building in a city with Mob activity. They hire a construction contractor and put a "performance guaranty" in the contract--the construction company promises to finish the building by a certain date, and will be penalized for big bucks by the big company for every day they're late. The Mob-controlled union knows this. They demand bribes from the construction company. If the construction company doesn't pay off, the union will call "wildcat strikes" that shut down the site. Or, they will cause a "rule book slowdown," where they will, for example, inspect every truck that comes onto the construction site for "safety," or halt work while they "inspect" everything around or on the site. The project will fall behind, the construction company will start owing big bucks in performance penalties--and they'll pay off the Mob.