On July 6, the Department of Labor proposed a new income threshold to determine who would be eligible to receive overtime pay. The current threshold of $23,660 a year, or $455 per week, has been in place since 2004 and we have to go back to 1975 in order to look at the time before that. In total, the income threshold for overtime has been increased seven times since it was first implemented in 1938. It has never been indexed to inflation, wage rates, or any measure. The threshold being proposed would increase to $50,440 a year, or $970 per week, and then indexed to either the 40th percentile of all salaried employees, or to the Consumer Price Index (CPI-U). If the $50,440 figure strikes you as a bit high and wide of the strike-zone, you would be right. In the chart below, you can see why. (continue reading…)
Donald Trump turned one of the most feared phrases in the workplace into a punchline. As the star of The Apprentice, Trump famously critiqued contestants in a board room and concluded by telling one of them, “You’re fired.” With the release of a new proposed regulation on overtime, it seems President Obama is rebranding the show’s tagline to “You’re demoted!” (continue reading…)
Today, the Department of Labor and the Federal Acquisition Regulation Council announced the proposed regulations to implement President Obama’s “Fair Pay and Safe Workplaces Order.” The proposed regulations are the culmination of nearly a year’s work by the agencies in drafting what are perhaps the most politically motivated changes to the federal procurement process in decades. The last attempt to inject such partisan politics into procurement happened at the end of the Clinton Administration in 1999 and 2000. Those regulations were rolled back in 2001. Back then it was called “High-Road Contracting,” but the intent was the same. (continue reading…)
It comes as no surprise that, today, the President vetoed Congress’ disapproval of the National Labor Relations Board’s (NLRB) “Ambush” Election Rule, finalized by the Board late last year and which goes into effect on April 14.
In the Memorandum accompanying the pocket veto (a veto occurring while Congress is adjourned), the President states that Congress’s Resolution of Disapproval would “block modest, but overdue reforms to simplify and streamline private sector union elections.” The word “streamline,” in the Merriam-Webster Dictionary, means “to make simpler or more efficient.” However, when looking at the NLRB’s own data, I am confused as to what needs to be “made simpler or more efficient.” Currently, in over 95 percent of election petitions filed, a union election is held in 60 days or less. That is two months, which when you compare to our political campaign cycles, is merely a blink of an eye. So what exactly needs to be streamlined with this process? (continue reading…)
Improving border security is an essential part of immigration reform for the United States. Our current system incentivizes illegal immigrants to remain in the U.S. while providing few opportunities for them to engage in the legal immigration system. As a matter of national security we need to know who is coming into our country and if they pose a threat. Creating a truly functional immigration program for lesser-skilled workers is the most effective way to achieve this important goal. We need to take away the incentive to come to and stay in the United States illegally and the best way to do that is to create a legal framework to manage it. By creating a legal system, we can be assured we know exactly who is here as well as allow temporary workers to return to their native country instead of being forced to live in the shadows for years on end. Under the current system, or lack of one, workers are incentivized to obtain false documents and unable to return home for fear that they will not be able to get back to in the US. (continue reading…)
Unless or until it’s stopped, the National Labor Relations Board regulation that denies employees time to consider whether to join a union by putting union elections on an inappropriately fast track will go into effect on April 14th. This is troubling to manufacturers because there is scant evidence anywhere that the union election process needs to be sped up at all and the regulation would force employers to turn over closely guarded personal information such as an employee’s cell phone number and work schedule. (continue reading…)
The NAM is pleased that the Administration finally moved forward with allowing spouses of certain H-1B visa-holders to have employment authorization. The wait for a green card can be more than a decade for some visa-holders, and during that time their spouses, who many times are highly-educated and skilled themselves, were not permitted to work. This creates frustration and instability for many manufacturing families. Today the Administration officially announced they are finalizing new regulations that allow certain spouses to have work authorization. Under the new rule, only the spouses of individuals in the final stages of the H-1B process and waiting in-line to clear the excessive green-card backlog, will be permitted to work. (continue reading…)
Tomorrow, the U.S. Supreme Court will hear the case Peggy Young v. United Parcel Services, Inc. where the Court will examine the Pregnancy Discrimination Act (PDA) and consider “whether, and in what circumstances, an employer that provides work accommodations to non-pregnant employees with work limitations must provide comparable work accommodations to pregnant employees.” (continue reading…)
As Members of the 114th Congress descend on Washington for orientation, and the 113th Congress convenes for the upcoming lame duck session, manufacturers stand ready to work with our leaders to advance policies that will enable us to continue to grow and create jobs. Manufacturers believe that now is the time to set aside the differences that have resulted in gridlock, and focus on the pro-growth policies that brought voters to the polls. Simply put, it is time to govern and grow. (continue reading…)
President Obama put his signature to important legislation to address the skills gap – an issue that has plagued manufacturers in recent years, with 80 percent of them reporting a serious difficulty in finding skilled workers. Recently, a Monster.com jobs expert took a close look at the skills gap and what manufacturers are facing.
The NAM and Manufacturing Institute have led the business community’s effort to ensure that employers have access to the 21st century workforce that they need to drive innovation, production and growth. Enacting the Workforce Innovation and Opportunity Act into law provides much needed streamlining of skills certification programs and the direction of necessary funding to ensure manufacturers have the workforce they need to succeed in a globally competitive environment.
The United States has long been the home of the most productive and successful workforce in the world. By coming together in a bipartisan manner (a sight too rarely seen in Washington these days), Congress and the President have taken an important step toward ensuring that the American workers’ reputation as the world’s best will continue.