>> had a tough year and thanks, guys, we'll see if their predictions come true and stay tuned, just announced, the 2010 market call that will shock everyone, first, "cavuto on business." >> secret ballots at the workplace, ahead of the nation's largest union, saying congress will act within the few months, bit business leaders are warning it willpower up unions and short circuit the job recovery and i'm charles payne, kneel kneneil wik next week and dagen mcdowell, patricia powell and gary, and gary k. i want to start with you, what do you think. >> adding a third-party to the equation will cost jobs, expense go up, jobs go down and an environment where you have credit going south, with the economy, in bad shape and

unemployment terrible and adding this, only makes things worse. >> and, patricia, it is obvious, big businesses are bracing for this and already we've seen the training videos and own 7% of the business population are unions and businesses seem to be really afraid. >> they should be afraid. this has a tremendous impact on their businesses and if you want to la look anecdotally around, michigan 19% of the population is unionized and we have the highest state unemployment rate in the nation and they have the dubious distinction at 14%, over 14%, every month and look at north dakota and the dubious distinction of having the lowest unemployment rate, 4%, half the rate of unionization and if you want to unionize, there is no evidence to prove that you can create jobs, the only people you are creating jobs for are the people overseas because that is where the jobs are going. >> adam would you say that was a coincidence, staying with the

highest oounions and highest employment and lowest unions, has the best employment situation. >> quite literally a coincidence, charles them. last time i checked there were not scores of auto factories in north dakota. 50 or 60 years ago. so you can throw out statistics. and facts, and everything else, patricia said it factually correct but relatively meaningless to the discussion at hand. >> but, adam, some people would argue, though, that there aren't many automobile factories in michigan, now, because of the unions. >> some people would argue, the earth is flat, charles, but the fact that there are not -- that jobs are going away, in michigan, undoubtedly has something to do with obstinance at labor unions over the decade and no one says labor unions are perfect but the reason the u.s. auto industry entered a crisis also has something to do with horrible management, with building bad cars, with bad regulations, and, so on.

i mean, there is so many -- >> let me just say something. the companies -- what companies are afraid of what the unions want to do with car checks, wal-mart. target. michael's stores, the greatest success stories in american history. and, the industries that are on -- flat on their backs or need a taxpayer bailout, the airline industry. unionized, the auto industry, unionized. >> dagen we have a great opportunity to do educating here and the card check provision which everyone calls, the card check bill, the provision is gone and they've moved on, to having enlightened things like better collective bargaining. >> wait, no. no. no. wait. before you even move on, we clearly have a congress and a white house that wants greater government intervention in business. and, this bill to help unionization definitely does that. because the private industry has to go into binding arbitration, with a federal arbitrator, if

they cannot come up with a -- with a contract with the union. what does that say -- >> gary k., speaking of congress, how after the tooth and nail fight over health care, how can the unions have their priorities so highly placed that they get to step up to the plate next. >> it is called $450 million and that's how much they spent getting the democrats as well as obama elected and they'll try and get their money's worth and to say the card check is gone they'll try and slip it in big time. look for me, it's the cumulative effect. we are getting higher taxes on individual, on businesses, getting mandates on individuals and businesses and now want third parties coming into businesses to try and dictate policy? which means expenses have to go up, time gets wasted. and wages get negotiated. >> right. >> not a good sign going forward. >> patricia, beyond anybody's opinion you say that there is actually facts, too, the unions do not help the country. >> they don't help the country. they can't preserve jobs let

alone create a new job, as i said the only jobs they create are overseas and the fact the card check is really an issue, going for minority rule, not majority rule, an unamerican thing we are talking about here and when you go in and vote, you shouldn't have your spouse tell you how to vote and shouldn't have your -- >> and you shouldn't oversee it and the union organizer shunts oversee your vote, either, that is unamerican. in this country one man, one vote. and it's a private vote. >> haven't worked at a union shop, being in the union, gets in the way of advancement, because if the policy is last hired, first fired, what kind of incentive is there for you to work really hard to get ahead and what kind of incentive is there if there is a strict stewart tour how you move up -- structure how you move up in the company. >> you have to admit, adam, union membership in private corporation operations is down

dramatically and there has to be a reason for that. >> there is all sorts of reasons for it. part of which, but, we could trot out other statistics about how the industry, where unions traditionally have been strongest, being down over several decades, is neither a good thing or a bad thing, just a fact of life. and what is interesting, gary k. started out the segment talking about the added costs that unions bring to the process and you pointed out, charles, that companies all across the country are producing training videos, to encourage their employees, not to support unions and they could save money by not producing -- >> patricia brought up, more importantly the card check aspect of this. listen if people want to unionize, they want to unionize but the core problem for folks is the card check thing where the issue of privacy is out the window and that invites a lot of intimidation and other things. >> absolutely. >> it's not -- >> it is not legislation and

they've moved on from the card check provision and is not something to be overly concerned about and one more thing i wanted to get back to, dagen wal-mart is a terrific company. it has always been anti-union and always will be. that's fine, you can't hold them out as an example when you know -- >> one of the greatest job creators in the history of the country. the largest private employer in the country and i think it's worth noting that maybe they wouldn't have gotten there otherwise. >> we'll leave it there, guys on that note. ticking time bomb for 2010, forbes says it could hit the job market big time, details coming up and first a poll shows government workers are more bullish on the economy than the rest of americans. someone's has a very bearish sign for all of us. we'll explain. o

>> from america's news head equity market i'm gregg jarrett. new controversy surrounding president obama's pick to head the tsa, the "washington post" reporting, some new suters admitted he gave congress misleading information about an incident that occurred while he was and fbi agent and received a reprimand for running background checks on his estranged wife's boyfriend 20 years ago and the new revelations could complicate

his election, in northwest pakistan at least 96 people are dead in an attack, at a volleyball tournament, a man drove his car into the field and set off a bomb. i'm gregg jarrett, now back to "cavuto on business," here on the fox news channel. >> looks like our tax dollars are making a group in america more optimistic for the new year. a new poll shows 46% of government employees believe the economy is getting better. but the numbers flipped for folks working in this private sector, 49% think things are worse and that has patricia powell flipping out? hide for cover! >> charles, i have to tell you first, my comments will not be made towards the military. the government workers who protect us all. >> an asterisk. >> i have an asterisk next to it. government workers, of course they are thrilled and good times are -- treasury doors have been

opened up to the barbarian horse here and if you look at the salaries, 100,000-plus incomes in the government workers, the group has grown 50% in the last two years, during a period where we have been losing jobs like crazy in this country. if you look at the rate of growth of government pay, it has been growing at twice the rate of the overall economy, of course they are having a wonderful time and having a wonderful time on your dime. >> federal spending is what, 28% of gdp, the highest since we were fighting wars. >> and the money is rolling in and it is impossible to get fired. >> how is it rolls in when the country is in recession, there are no tax receipts. >> it will come and it is borrowed, we are borrowing from our buddies overseas. >> and what i wanted to ask you, what they're big -- one of the things coming into the year, the mantra was shared sacrifice and what is going on? the government is getting so build we are build up for a war, but against whom? >> well, i think the -- our

premise here is, a cheap shot against government workers and patricia i love you, you can take the military and the police people who protect us out of your thoughts, but they are included in the survey because they are government workers. the government does good things. >> what about the premise, though, these guys are making so much money and are making money the government is getting larger, while the really people actually paying their salaries are suffering. >> you know, they are not getting rich. and you know that. >> richer. >> as well as i do. they are doing jobs, they are employed and it's no surprise they would be optimistic because we know, it is the fact the money is slowing -- flowing into the government sector now because we have been spending the money purposefully to try to stimulate the economy. again i don't know if it is a good thing but i wouldn't pick on government workers for being optimistic because their jobs are secure. when they are doing good jobs. >> i'm not talk about being optimistic but aside from the salaries you have to look at the

fact these people are getting pensions paid for by you and colas, in most cases, unfunded which means we'll be paying for these pensions for a long time, a lot of promises have been made that are not necessarily funded to be fulfilled and getting 100% in many cases, health care and no wonder the average guy is having trouble saving for retirement. and having trouble saving for... >> these are pointed question, gary k. >> let's bring gary into this. >> yes, first off whatever coffee pat is drinking please send some my way. >> you wouldn't say that... >> look, there is no cheap shots here, the statistics -- they are statistics and talking about the military but i have civilian defense department employees earning $150,000 or more, went from 1800 up to 10,000 in the two years '07 to '09, during the recession. same thing for the transportation department. i have been saying for two years now, the government is -- there is no accountability and they are unchecked, spending money

that is not theirs and basically castrating the taxpayer and the only way to change this is in the elections to tell people, enough is enough. i don't mind government workers making money, but, not the average making 71,000 and private workers make 41,000. >> the broader issue is what is the best use of our dollars? do you want the government to take it from you, or in the interim, borrow it from someone overseas? and write an iou? and dole it out through the giant bureaucracy which is clearly ineffective or let the private market decide where the money goes. >> remember -- >> and grow companies again that make us proud. >> all the money -- >> go, gary. >> the money that goes into government gets sucked out of the private economy and the last i looked, the private economy creates job for the long term, not the government. >> so now -- patricia. >> that is not true. >> go ahead, adam. >> the money goes into -- you act as if it goes in tie black

hole and never comes out, i mean, that is -- last i checked government workers go to restaurants, and buy clothes and take vacations and these are people who work for a living and do jobs we have asked them to do and patricia i want to ask you, whose pension would you take away, and which pension would you advocate that we not pay. >> i would advocate we all take care of ourselves and the average guy who is watching the show today and has trouble putting $2,000 into an ira stopping paying into somebody else's pension plan and takes care of his own family, i would advocate that people -- >> they work for a government agency. >> people who don't have the ability to buy health care instead of paying taxes for people who are getting their health care for free, that ill -- >> you are on fire. >> if we didn't pick their pockets. >> dagen, final word to you on this, the voice of reason. besides being unfair, is that -- >> pat is the voice of reason, she's passionate. >> besides it seeing unfair to the numbers gary pointed out, 71

versus 41,000, is it creating an economic danger for the economy? >> yes. if you were not getting what people are producing, in terms of their pay, do you get what you are paying for? and again are we a better society if all of the money and controls is in the hands of government or whether you let the people decide and private market decide the best -- >> not all. >> we'll leave it there. guys, okay? and terror in the skies, a new security plan someone here says will be a new money grab for the airlines.

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>> terror plots in the skies, cracking down on carry on bags, canada's reaction after the failed terror bombing attempt on christmas. limiting most carry-ons for flights headed to the united states and gary says get ready for the security plans to arrive in the u.s. and get ready to pay more to fly because of it. gary? >> well, look. over the last nine months, before even the holidays, airlines have taken in $2 billion, for checked bag gadggad i know they care about safety but a close second is the buckos and you'll see a lot more baggage and you'll see a lot more paid because of it. >> gary you are so cynical. >> not gary. >> it would look so horrible for the airlines if they had to ban carry-ons and do all checked

bags and if they looked like they were profiting from this. at least in the short run. if we go the way of the canadian airlines, i don't think they'll do it. they'll probably end up having to do the reverse and waive the checked bag fees in the short run. >> adam, last year when fuel prices, jet fuel prices went through the roof airlines put in all kinds of fees and fuel prices, they didn't take them they've table and maybe gary has a great point here. >> thank you. >> consumers hate a la carte pricing and hate being nickelled and dimed. >> most of the time? >> sometimes we don't mind, you don't mind paying an extra, i don't know, buck or another ingredient on the pizza for example, because that is what you want. most of the time, we hate being charged extra fees but the airline industry has been screwing itself for decades, not charging customers enough and chasing competition in various routes and not making money on the routes, so what they are

doing is something they have to be doing because they don't have the courage just to raise their prices, what they should be doing. >> courage is a great word but is a tacky thing and look to the money, gary's point these guys made this year, $2 billion is a lot, i mean, more than just a little extra topping on your pizza. >> i wouldn't say what the problem with the show is about, profit, come on, guys it is a begin and we don't have an unalienable right to fly commercial and fly at very low cost, safety trumps everything. safety trumps -- >> i think we're talking about the fact that it feels disingenuous they could be profiting off the notion of safety. >> how about put a fee on, everybody on the plane gets and fbi background check and gets searched, i would be the first in line to pay that fee, i want to be -- >> i'll pay them for a pat-down! pat!

[laughter]. >> christmas comes around a couple of times around here, buddy! >> i don't mind any industry -- >> i'm staying away, i don't mind any industry making money, but, look, the airlines, as you said, charles, a great point when oil prices came down they didn't remove what they did as far as fees. and they are going after everything now and you have to pay for sodas and water and i'm waiting for the little nozzle for the bathroom to pay to flush it. >> and really quickly it would be better off if it was and all-inclusive fare and they didn't nickel and dime us and everything was imbedded in the price of the ticket and easy to comparison shop. >> and southwest is the only airline not doing it and are promoting it heavily. >> like crazy! >> and it could backfire, adam as a begin decision, on a lot of the airlines. >> free market. >> a great point. most of the carriers we are talking about, not southwest,

have been bankrupt at some point in the last couple of decades. several more than once. it is obvious their begin model is broken for a long time. southwest charges what it thinks is a fair price for its -- a seat on the planes, and in know investigates in other incremental ways, like the business offering they do now. they are a great model and also don't fly coast-to-coast in almost all the instances. >> hard to replicate the model. >> and southwest understands the consumer better by understanding people don't like being nickelled and dimed, all the fees for everything on an an airplane. >> and up next still working on the bubbly from new year's eve, pop open profits with our gang's best stock picks for the new year. hey -- who's our best presentation guy? carl.

tell carl he's coming to new york with me. i thought you said carl was our best presentation guy. [ worker ] he is. just last week he told my team about fedex office print online for our presentations. we upload it to fedex office, then they print, bind, and ship it. the presentation looks good, right? yes, but -- wait, you didn't actually bring carl with you. good morning! but i digress. [ male announcer ] we understand. you need presentations done right. fedex office print online.

>> julie: the best stocks for 2010. adam? >> charles, bungee, an agricultural products company like owning an agriculture etf which i think is a good idea and will do well for a long time. >> you have been on the agricultural stocks and you like that, patricia. >> i really do. i think you have to warn viewers it is risky, if you are doing anything in agriculture you have to worry about commodity prices an droughts an cro and droughts and crops, but we are starting off the new year with agreement, and i like cheese cake factory and you can tell i love cheese cake by

looking at me and the restaurant is a chain and it is casual and have done a great job and most competitors had a tough time and cut down to smaller items on the menu and not this company. they have been able to plow through the recession, and pick -- >> adam, patricia liked your pick, do you like hers. >> a totally impressive company and my concern is the stock has done so well, it is not a cheap product. >> gary k., what is your pick? >> teva pharmaceuticals, and i love consistent growth out of companies and they've done it for years and stock acts well and broke out of a good trading range and will have a big 2010. >> pat the world's largest generic drug company. like night yeah, i do. i'm sorry, i wish i could say something bad about it but you have to watch the risks of competition, particularly from india and. i think it is pricey with the breakout you cited but, gary good pick. >> and speaking of prediction, a