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Investigation into Chicago Teachers Union for absent financial audits by House committee

Investigation into Chicago Teachers Union for absent financial audits by House committee

Chicago Teachers Union Under Investigation

The Chicago Teachers Union (CTU) is currently being investigated by the House Education and Labor Committee. This scrutiny comes from allegations that the union has not adequately disclosed how it has spent member funds over the last five years, as indicated by a letter obtained by Fox News Digital.

According to the committee’s correspondence with CTU President Stacey Davis Gates, there are indications that members have not received a complete financial audit since 2020. The letter emphasized that unions have a responsibility to their members, stating, “For unions to ignore these obligations is to betray the trust of the people they are supposed to serve…Every dollar paid by workers should serve their interests, not the interests of a select few operating in the shadows.”

Moreover, the Commission has suggested that the union’s practices might warrant more stringent federal reporting requirements. This could potentially provide states with access to more timely and detailed financial information.

The committee’s letter pointed out the CTU’s failure to conduct a full financial audit since 2019, leading them to consider whether changes are needed to the Labor Management Reporting and Disclosure Act (LMRDA) to enhance protections for union members. As stated, “This failure to disclose financial information deprives dues-paying members of their fundamental right to understand how their money is being used.”

In essence, a complete annual audit typically requires the Treasurer to submit a comprehensive report that should be published in the union’s newsletter. Additionally, the Board of Directors is expected to undergo an annual audit and make its findings available to all members.

The committee cited reports indicating that Davis Gates and other CTU leaders have allegedly brushed off member requests for audits, describing them as racially motivated “dog whistles.” Notably, the CTU has delayed publishing its full annual audit for over five years, in breach of its own bylaws.

By December 8, 2025, the CTU must provide the Commission with full audited financial reports dating from 2019 to 2024, as well as minutes from meetings where audit requests were made and any corresponding written requests and responses from September 2020 onwards.

Laws under the LMRDA of 1959 mandate that labor unions submit annual reports to the Secretary of Labor to promote transparency, accountability, and to prevent misuse of funds.

CTU has not yet responded to requests for comment from Fox News Digital.

This letter follows a report from November 12, which revealed that employees of Chicago Public Schools (CPS) reportedly spent $7 million in coronavirus relief funds on lavish hotel stays, extravagant meetings in Las Vegas, and international trips. Expenses also included limousine rides and spa visits funded by Chicago taxpayers.

Recently, it was reported that enrollment in Chicago Public Schools has fallen drastically, with data indicating that 43.2% of teachers recorded ten or more absences in the 2024-25 school year. Interim CEO MacLean King announced in September that total enrollment is now at 316,224, reflecting a decrease of 2.8% from the previous year.

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