Labor Issues News Archive

11.27.07

On November 15, the Occupational Safety and Health Administration (OSHA) implemented a personal protective equipment (PPE) standard requiring employers to pay for employees PPE. The standard will go into affect in 90 days and must be implemented by companies within 6 months. Companies within general industry, shipyard employment, marine terminals, long shoring and construction will all be affected.

11.27.07

A legal alert from the law firm of Phillips Nizer advises that effective October 16, 2007 an important change was enacted in the New York State Labor Law which essentially compels every company to utilize a written employment contract with all commissioned sales employees (but not independent sales agents who are not employees). In the absence of such a written contract, the new law creates a presumption that, in the event of a dispute, the terms presented by the employee accurately reflect the agreed terms of employment. This represents a Draconian penalty to the company, since the employee’s testimony as to compensation, claims for commissions on sales booked but not shipped or paid and post-termination commissions will be presumed to be the agreement. This information was provided by Donald Kreindler of Phillips Nizer.

11.05.07

AAFA submitted comments on October 31 on the US Department of Labor's Proposed Procedural Guidelines for the Development and Maintenance of the List of Goods From Countries Produced by Child Labor or Forced Labor. In its comments, AAFA applauded the US Department of Labor's efforts to further the goal of eradicating child and forced labor worldwide, but expressed strong reservations that the publication of such a list might not further this goal. In fact, the publication of a product and country on the list would likely be tantamount to "blackballing" the subject industry in that country, leaving tens, if not hundreds of thousands of people, most of them the sole breadwinners for their family, out of work essentially overnight. Further, if children were indeed working in the subject industry, they would be thrown out of work without any transition assistance or support. Most of these children would not end up in school and/or with their family – the prescribed goals of such a list. Instead, they would likely move into industries in the informal sector where they would likely be subject to even worse abuse than the industry they left and even more removed from the public eye. AAFA then proceeded to comment on the specific proposed guidelines.

7.10.07

Senators were unable to obtain the 60 votes needed to stop debate and move to a final vote on H.R. 800, the so-called Employee Free Choice Act. As a member of the Coalition for a Democratic Workplace, AAFA sent letters to each member of the Senate and encouraged AAFA member companies from across the country to contact their Senators to defeat this bill.
H.R. 800 would have replaced the existing system of federally-supervised secret ballot union certification elections with a “card check” that would certify a union if a majority of employees sign an authorization card. Contrary to the present secret ballot process, employees’ signatures would be made public to the employer, union organizers and co-workers.
It is quite fitting that sponsors of this undemocratic legislation sought to covertly move it to the floor without it being vetted through the normal legislative process. Nevertheless, AAFA is pleased to see that the Senate voted to maintain democracy in union certification.

4.12.07

On March 29, Senator Edward M. Kennedy (D-MA), introduced the Senate version of the Employee Free Choice Act (EFCA) bill (S. 1041). This bill has already passed the House and is now pending in the Senate. If enacted, the legislation would replace the existing system of federally supervised, secret ballot union certification elections, with a “card check” that certifies a union if a majority of employees sign an authorization card. Employees’ signatures would be made public to the employer, union organizers and co-workers. So far, there are 47 co-sponsors, all of which are Democrats. With several Democrats opting not to co-sponsor this legislative priority of organized labor, and with all Republican Senators so far withholding support, there appears to be not enough support for the measure to be approved in the Senate or withstand an expected filibuster.
Nevertheless, it is crucial you contact your Senator and encourage him or her to oppose S. 1041. You may contact them through the Senate switchboard at 202.224.3121 or by sending an email through a website AAFA has created for your convenience. When you access this website, type in your zip code at the prompt. AAFA is opposed to this legislation and has joined a broad industry coalition – the Coalition for a Democratic Workforce – to work this issue. The Coalition has sent a letter to Congress, and is now actively meeting with Senators and staff to explain why this legislation is not needed. Please contact Steve Lamar at 703.797.9041 or Rebecca Mond at 703.797.9038 for more information

3.5.07

As expected, on March 1 the House approved a bill (HR 800) that would eliminate important workforce protections relating to union organizing. The legislation, which passed on a near party-line vote of 241 to 185, would replace the current system of federally supervised secret ballots with a simple "card check". While proponents believe this legislation is needed to promote unionization efforts, critics maintain that the legislation would constitute an assault on democracy, privacy and security at the workplace. AAFA sent a "key vote" letter to every House member urging a NO vote. Immediately after the House action, AAFA President Kevin M. Burke issued a statement urging the Senate to reject this legislation should it be considered. Although the Senate champion of this legislation, Senator Ted Kennedy (D-MA) has indicated his intention to move a Senate companion bill, conventional wisdom now suggests that there is insufficient support in the Senate for the legislation to move. Moreover, President George W. Bush has already announced he will veto this legislation. Nevertheless, it is important for AAFA members to continue to voice their opposition to this poorly crafted legislation. To register your opposition and email Congress, please click here.

2.26.07

The goal of the annual NAOSH week, to be held nationwide May 6 - 12, is for employers, employees, the general public and all partners in occupational safety, health and the environment to become better informed on the importance of preventing injury and illness in the workplace.

1.17.07

This week, the House passed a “clean” bill by a vote of 315-196 to raise the minimum wage for the first time in almost a decade. The House bill will increase the minimum wage by $2.10 over two years – from $5.15 to $7.25 and did not contain any small business incentives as the Senate counterpart is expected to include. House Republicans offered an alternative that was not considered, which included a provision to allow small businesses to band together under associations to offer health care benefits. The initial wage increase of $5.15 to $5.85 will take effect 60 days after enactment. One year later it will increase to $6.55. One year after the second increase the wage will increase to $7.25.
Although the bill would apply the minimum wage to Saipan, it does not cover workers in Guam. This move has sparked some controversy due to the fact that a major employer in Guam is Del Monte, a company that is based in the district of House Speaker Nancy Pelosi. Also unaddressed in the bill are any provisions that would extend the federal minimum wage to inmate workers in federal prisons.
House leaders have hinted at taking up the Senate bill once it is passed in order to avoid a conference. The Senate bill could include small business incentives agreed upon by Senate Finance Committee Chairman Max Baucus (D-MT) and Ranking Member Chuck Grassley (R-IA), which would cost in the range of $7 billion to $20 billion and will be fully offset. Accelerated depreciation for new construction of restaurants and a short-term extension of Section 179 expensing limits for small businesses, as well as increased flexibility for businesses to use the cash method of accounting for inventory are among the provisions that are expected to be included in the Senate incentive package. This plan, however, could be thwarted by House Ways and Means Committee Chairman Charles Rangel (D-NY), who is not supportive of the small business incentives and could “blue slip” the bill under the constitutional requirement that all tax legislation originate in the House.

10.4.06

On September 21, the AFL-CIO and the National Textile Association (NTA) filed the first petition ever under the US–Jordan Free Trade Agreement (FTA) alleging labor abuses against guest workers in apparel factories in Jordan. Under the FTA, the US government can formally request consultation when allegations of labor abuses are made. If the situation is not rectified, the FTA allows the United States to remove Jordan's tariff benefits in retaliation. The petitioners request that the US government invoke the dispute resolution mechanism of the FTA to force Jordan to reform its labor laws and improve enforcement. Ironically, Jordan, in consultation with the US government, has already undertaken ALL of the recommendations made by the petitioners.

9.19.06

The US Department of Labor on September 6 released its 2006 Annual Report on the World Forms of Child Labor (Note: Actual Report 3.5MB). Following the downward trend over the last few years, the report cited child labor in footwear and apparel factories in only a handful of countries, mostly in Eastern Europe and the Middle East. Further, the citations were brief as the major child labor violations in those countries did not occur in the footwear and apparel industries.

AAFA Statements on Labor Issues:

Comments on Guatemala Labor Review, March 16, 2001

Letter to the Editor, The New York Times, re: "The New Human Rights" Article , August 3, 1999

Comments on Department of Labor Proposal re development of a methodology for the regular reporting of working conditions in the production of apparel imported into the United States"September 18, 1998

Monitoring and Compliance Activities by the US Apparel Industry - Larry Martin Testifies before the Oversight and Investigations Subcommittee of the House Education and Workforce Committee September 25, 1998