Posts tagged Department of Labor
Op-Ed: Labor Department stuck in 1930s with rule against independent contractors
January 23, 2024 // With a national rule, however, few of those escape options are possible. Freelancers are unlikely to flee the country, and there is no such thing as a national ballot measure. The department has only just finalized the rule, so revisions are unlikely unless there is a change in control of the executive or legislature this November. Independent contractors face an extremely uncertain future. The reason why the rule is likely to be such a problem is because it is based on a vision of what the workplace should look like from a century ago, when large corporations dominated. Large corporations made sense when it was harder to be nimble as a business. Nobel Prize winner Ronald Coase explained the reason we have corporations at all is because of the presence of what are called transaction costs. If I have a business idea that requires the services of someone else, I face those costs. If the business idea requires someone with advanced mathematical calculation skills I don’t have, I can either contract with someone who has those skills to do the work every time I need it, or I can hire them as an employee instead and have them always available.
New Research Quantifies Harms To Independent Contractors Of California’s AB5
January 23, 2024 // Despite AB5 proponents’ claims that the law would increase full-time employment and offer benefits and protections, the researchers found “robust evidence that AB5 is significantly associated with a decline in self-employment and a decline in overall employment.” · AB5 reduced the level of self-employment by 6.7 percentage points to 28%. · AB5 reduced the level of overall employment by 7.3 percentage points to 14%. · The researchers did not find significant evidence that AB5 increased W-2 employment.
Commentary: Kevin Kiley: American Dream in danger
January 22, 2024 // AB 5 offers a warning to the nation. It is one reason California has ranked first or second in the country when it comes to unemployment and poverty, and last in the country in wage growth. Congress must reject the nationalization of AB 5 and protect the diverse range of work arrangements that contribute to the American economy. We must oppose the ongoing attacks on worker freedom and ensure that worker preferences and autonomy are accounted for in all policy decisions. More than ever, we must support the right of enterprising Americans to pursue their calling as they see fit. To that end, I am introducing legislation to nullify Biden’s Independent Contractor rule, and urge all Members of Congress to support it.
Opinion: Biden adds to his ‘Bidenomics’ flop: This new rule throws wrench in popular gig economy.
January 22, 2024 // Biden promised to be the “most pro-union president you’ve ever seen,” so he needs to reward all those campaign donations. And Biden’s doing it regardless of the impact on the economy. Independent contractors cannot be unionized, so the more companies lean on these workers, the less ability unions have to organize. It’s really that simple. The Biden administration is trying to sell its new rule as a way to protect workers and make it easier for them to qualify for benefits such as overtime pay and paid time off.
Opinion: Biden’s Labor Nominee ‘Embodies the Spirit of California,’ and That’s the Problem
January 18, 2024 // If approved, Su won’t be the only half-baked Californian in the Biden White House. Vice President Kamala Harris is (per National Review’s Charlie Cooke) “talented enough to make the inanities uttered by her rival Pete Buttigieg sound substantive, concise, and apprehensible.” Economist David Bahnsen calls California’s Janet Yellen “a career bureaucrat, albeit a hyper-intelligent one, who has spent an adult life devoid of accountability for poor decisions and even poorer ideas.” California’s Xavier Becerra knew nothing about health or human services until Biden made him head of Health and Human Services; during Covid, he did nothing, which, given his résumé, might have been for the best. Becerra’s fathomless ignorance is almost a prerequisite for this administration, where experience might mean owning your failures. The first White House gig of Californian Alejandro Mayorkas, now secretary of homeland security, as Obama’s director of U.S. Citizenship and Immigration Services involved running interference for a scandal-plagued electric-car company run by Secretary of State Hillary Clinton’s brother Tony Rodham and Terry McAuliffe, cochairman of President Bill Clinton’s 1996 reelection campaign, chairman of the Democratic National Committee from 2001 to 2005, and chairman of Hillary Clinton’s 2008 presidential campaign. I needn’t go on — or should I mention that Biden’s deputy secretary of education is a former San Diego teachers’-union official whose concern for union power exceeds any attachment to student performance? While she was Governor Gavin Newsom’s secretary of labor, Su oversaw the implementation of bad policy and the mismanagement of simple procedures. Any one of her major catastrophes would have been career-enders elsewhere; in California, where the failure of progressive policy is invariably a prompt for more progressive policy, she was instead excused — and then promoted into the Biden
New Study on California AB5 and Implications for the Department of Labor’s Independent Contractor Rule
January 18, 2024 // 1. First, employers may have hired some, but not most, independent contractors as employees, while other employers may have stopped working with their contractors based in California altogether. 2. Second, some employers may have extended employment opportunities to independent contractors who then declined such offers. Workers with a strong preference for flexible hours or for working with multiple clients, for instance, may not have wanted to work as traditional employees with one company. 3. Third, some small business owners may have been forced to shut down if they relied heavily on independent contractors and could not afford to hire them as employees or stopped working with independent contractors because of fear of compliance. This was highlighted by interviews of small business owners in the wake of AB5.
GOP Reps: Biden’s New Rule Rips Freedom Away from Workers, Small Businesses | Opinion
January 17, 2024 // Biden's rule on independent contractors circumvents Congress, the people's representation, to enact a disastrous policy similar to that in California's Assembly Bill 5 (AB5) and the Protecting the Right to Organize (PRO) Act. AB5, enacted in January 2020, led to countless Californians who were working as freelance employees losing their income mere weeks before the COVID pandemic. The radical PRO Act would take away independent contractors' ability to work how they see fit. Taking these failed far-Left policies nationwide would devastate millions of American businesses by depriving individuals of entrepreneurial opportunities, the ability to set their own hours, and the flexibility to care for their families the way it suits them.
Op-ed: KAREN ANDERSON: Joe Biden And Gavin Newsom Go To War With Freelancers For Their Big Labor Buddies
January 15, 2024 // or those who file Schedule C on their federal tax returns, deducting expenses is crucial, especially if expensive equipment is required in a particular field such as independent filmmaking. Prior to AB5, film producer Dan Cheatham could write off his office costs, vehicle usage, fuel, software, hardware, equipment, healthcare, and self-advertising. “AB5 is poison for the self-employed in California unless we are willing to just volunteer our services and turn this into art for art’s sake,” he said. Finally, the opportunity to hone one’s craft is inherent in the freedom to freelance. Whether it’s a videographer working with different clients in different settings, a writer growing their skill sets to include photography and web design, or a wedding vendor expanding her offerings, the chance to try on different hats is one of many essential attributes of being self-employed.
Brunswick Staples workers vote against unionizing
January 9, 2024 // Had a majority voted to unionize, the store would have been the first Staples to unionize in the U.S. The company, founded in 1986, has 997 retail stores in the U.S., including 10 in Maine, and more than 34,000 workers, according to its website.
CHICAGO TEACHERS UNION SEES PLENTY OF SCANDALS IN 2023
December 27, 2023 // The union’s decisions directly impact residents. The union spent millions to get its former employee Brandon Johnson elected mayor. CTU has failed to provide required annual audits to members and had to raise its dues $160 for 2024 – most likely to make up for its financial missteps. Yet it spends less than 17 cents of each dollar representing those members.