McMillion & Hirtensteiner, LLP - Labor News
McMillion & Hirtensteiner, LLP's Labor News charts the latest developments in labor and legal issues with regular updates published as they are released to the media.
Friday, December 28, 2007
U.S. Labor Department Reports $32 Million in Court-Ordered Union Fund Restitutions for Workers in FY 2007
U.S. Labor Department Reports $32 Million in Court-Ordered Union Fund Restitutions for Workers in FY 2007 WASHINGTON, Dec. 28 /PRNewswire-USNewswire/ -- The U.S. Department of Labor's Office of Labor-Management Standards (OLMS) today announced its criminal enforcement data for Fiscal Year (FY) 2007, highlighting increases over previous years. Court-ordered restitution of union funds has risen in each year since FY 2001, with only one exception. In FY 2001, the amount was just under $2 million and in FY 2007, the amount was over $32 million. Criminal case processing is up 10 percent over FY 2001 (406 from 370), while convictions are up 16 percent (118 from 102). The bulk of the cases involve the embezzlement of union funds. "Workers' union dues are being aggressively protected with more than $100 million ordered returned in this decade," said Deputy Assistant Secretary for Labor-Management Standards Don Todd. "Criminal activity such as we've found in these cases must be uncovered and prosecuted wherever possible. The workers that own this money deserve nothing less." Another major initiative of OLMS has been an increase in the number of union audits. In FY 2004, increased staffing enabled OLMS to establish a new unit with the express mission of increasing OLMS audit presence in international unions, as well as assisting local unions in meeting disclosure requirements, thus enhancing compliance. OLMS is the federal law enforcement agency responsible for administering most provisions of the Labor-Management Reporting and Disclosure Act of 1959 (LMRDA). The agency's criminal enforcement program includes investigations of embezzlement from labor organizations, extortionate picketing, deprivation of union members' rights by force or violence, and fraud in union officer elections. In cases where racketeering and/or organized crime are involved, OLMS works with the Department of Labor's Office of Inspector General, which is the lead agency in those cases. The agency's civil program collects and publicly discloses unions' annual financial reports, conducts compliance audits of labor unions and seeks civil remedies for violations of union officer election procedures. OLMS's public disclosure Web page at http://www.unionreports.gov/ contains union annual financial reports and additional forms required to be filed under the LMRDA. Other information, including a fact sheet on OLMS results and synopses of certain recent enforcement actions, is available on the OLMS Web site, http://www.olms.dol.gov/. U.S. Department of Labor releases are accessible on the Internet at www.dol.gov. The information in this news release will be made available in alternate format (large print, Braille, audio tape or disc) from the COAST office upon request. Please specify which news release when placing your request at 202-693-7828 or TTY 202-693-7755. The Labor Department is committed to providing America's employers and employees with easy access to understandable information on how to comply with its laws and regulations. For more information, please visit www.dol.gov/compliance.
First Call Analyst:
FCMN Contact:
Source: U.S. Department of Labor
CONTACT: Loren Smith or Richard Manning, both of the U.S. Department of
Labor, +1-202-693-4676 Web Site: http://www.dol.gov/
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Profile: labor-news
posted by McMillion & Hirtensteiner LLP Labor News # 9:25 AM
Washington's New Minimum Wage Rate Will Cause Continued Job Loss among Vulnerable Groups
Washington's New Minimum Wage Rate Will Cause Continued Job Loss among Vulnerable Groups Autopilot Wage Indexing Causes Problems in Entry-Level Job Market WASHINGTON, Dec. 28 /PRNewswire-USNewswire/ -- As Washington approaches yet another increase in the minimum wage rate on January 1st, the Employment Policies Institute released new data showing that after last year's minimum wage hike the state saw an increase in unemployment among vulnerable groups. The 2008 increase, to $8.07 (the highest rate in the nation) is the fifth such increase in the past five years, totaling $1.06 during that time frame -- a 15% hike. The negative effects of this ever-rising wage can be seen in Washington's entry-level employment data. Comparing employment data from November 2006 to the present, there has been an alarming increase among vulnerable groups like teenagers for whom unemployment rates rose to 23.92%, 8 percentage points higher than the national average. A joint Cornell University and University of Connecticut study found that a 10 percent increase in the minimum wage causes a 5.7 percent reduction in teen employment. For these vulnerable individuals, a 10 percent increase in the minimum wage leads to an 8 percent decrease in employment. The job loss is a result of the burden the consistently increasing wage puts on businesses. For example: Over the past 2 years Washington's minimum wage has increased by $0.44. For a business with 20 entry-level employees, that increases costs over $18,000 per year. Businesses with small profit margins would need to sell hundreds of thousands of dollars in additional goods to recoup those increased costs. "Decades of economic research is consistent with what we're seeing in Washington: increased job loss among vulnerable groups following mandated wage hikes," said Jill Jenkins, chief economist for the Employment Policies Institute. "When you put increased labor costs on autopilot, while consumer demand and sales are shrinking, you create the recipe for job loss among the least employable workers." The Employment Policies Institute is a nonprofit research organization dedicated to studying public policy issues surrounding entry-level employment. For additional information or to schedule an interview with a spokesperson call Tim Miller at 202.463.7650. CONTACT: Tim Miller 202-463-7650 First Call Analyst:
FCMN Contact:
Source: Employment Policies Institute
CONTACT: Tim Miller of the Employment Policies Institute,
+1-202-463-7650 Web Site: http://www.epionline.org/
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Profile: labor-news
posted by McMillion & Hirtensteiner LLP Labor News # 9:08 AM
OSHA Records Another Successful Enforcement Year in FY 2007
OSHA Records Another Successful Enforcement Year in FY 2007 WASHINGTON, Dec. 28 /PRNewswire-USNewswire/ -- The Occupational Safety and Health Administration (OSHA) recently released its annual enforcement statistics, confirming that the agency's enforcement programs are producing positive results for the benefit of American workers. In FY 2007, OSHA conducted 39,324 total inspections, a 4.3 percent increase over its stated goal of 37,700. Total violations of OSHA's standards and regulations were 88,846, a 6 percent increase from Fiscal Year (FY) 2006. The agency cited 67,176 serious violations, a 9 percent increase from the previous year and a more than 12 percent increase over the past four years. The number of cited repeat violations also rose from 2,551 in FY 2006 to 2,714 in FY 2007. "The fact that OSHA surpassed its inspection goal for FY 2007 proves our enforcement commitment remains strong," said Assistant Secretary of Labor for OSHA Edwin G. Foulke, Jr. "The significant increase in citations for serious and repeat violations documents OSHA's focus on identifying and eliminating severe hazards in the workplace." Fatality and injury and illness rates have continued to decline to record lows. The injury and illness incidence rate of 4.4 per 100 employees for calendar year (CY) 2006 was the lowest that the Bureau of Labor Statistics (BLS) has ever recorded. Workplace fatality rates hit an all-time low in CY 2006 with 3.9 fatalities per 100,000 employees. OSHA's results show that a strong, fair and effective enforcement program, along with outreach to employees and employers and partnerships and cooperative programs, add value to the workplace for both employers and employees by reducing injuries, illnesses and fatalities. Under the Occupational Safety and Health Act of 1970, employers are responsible for providing a safe and healthful workplace for their employees. OSHA's role is to help protect the safety and health of America's working men and women by setting and enforcing standards; providing training, outreach, and education; establishing partnerships; and encouraging continual process improvement in workplace safety and health. For more information, visit www.osha.gov. U.S. Labor Department releases are accessible on the Internet at www.dol.gov. The information in this news release will be made available in alternate format upon request (large print, Braille, audiotape or disc) from the COAST office. Please specify which news release when placing your request at (202) 693-7828 or TTY (202) 693-7755. The U.S. Department of Labor is committed to providing America's employers and employees with easy access to understandable information on how to comply with its laws and regulations. For more information, please visit www.dol.gov/compliance.
First Call Analyst:
FCMN Contact:
Source: Occupational Safety and Health Administration
CONTACT: Sharon Worthy or David Sims, +1-202-693-4676, both of U.S.
Department of Labor Web Site: http://www.dol.gov/
http://www.osha.gov/
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Profile: labor-news
posted by McMillion & Hirtensteiner LLP Labor News # 8:57 AM
U.S. Labor Department Announces FY 2007 Enforcement Results for the Employee Benefits Security Administration
U.S. Labor Department Announces FY 2007 Enforcement Results for the Employee Benefits Security Administration Monetary results at $1.5 billion with 115 criminal indictments WASHINGTON, Dec. 28 /PRNewswire-USNewswire/ -- Bradford P. Campbell, assistant secretary of labor for the Employee Benefits Security Administration (EBSA), today announced that the agency achieved monetary results of $1.5 billion and 115 criminal indictments in fiscal year 2007. EBSA closed 3,236 civil investigations in Fiscal Year 2007. Nearly 75 percent of those investigations resulted in correction of violations under the Employee Retirement Income Security Act (ERISA). The agency also achieved a 43 percent increase in the number of criminal investigations closed with either a guilty plea or with a criminal conviction. Criminal investigations, in conjunction with other law enforcement agencies, including the Department of Labor's Office of Inspector General, led to the indictment of 115 individuals for crimes involving pension, health and other benefit programs. Campbell said, "Over the seven years of the Bush Administration, we have achieved record results totaling $10.7 billion and 806 criminal indictments. These results represent a victory for millions of American workers, retirees and their family members whose benefits were protected through EBSA's comprehensive program of vigorous enforcement and compliance assistance. Our results demonstrate a strong, fair and effective program that protects the benefits of the 150 million Americans covered by private-sector benefit plans." Approximately $96 million of the 2007 results were achieved through informal complaint resolution under the agency's participant assistance program. The agency's popular compliance assistance program, the Voluntary Fiduciary Correction Program, continued to yield tremendous success with 1,451 applications and $130 million in results. In fiscal year 2007, employers, plan officials, service providers and other fiduciaries used the program to protect workers by reporting and correcting violations of ERISA. A fact sheet on agency results is available on EBSA's Web site at www.dol.gov/ebsa. U.S. Department of Labor releases are accessible on the Internet at www.dol.gov. The information in this news release will be made available in alternate format (large print, Braille, audio tape or disc) from the COAST office upon request. Please specify which news release when placing your request at 202-693-7828 or TTY 202-693-7755. The Labor Department is committed to providing America's employers and employees with easy access to understandable information on how to comply with its laws and regulations. For more information, please visit www.dol.gov/compliance.
First Call Analyst:
FCMN Contact:
Source: U.S. Department of Labor
CONTACT: Richard Manning or Gloria Della of the U.S. Department of
Labor, +1-202-693-4676 Web Site: http://www.dol.gov/
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Profile: labor-news
posted by McMillion & Hirtensteiner LLP Labor News # 8:49 AM
EPI: Ohio's New Minimum Wage Rate Will Cause Continued Job Loss Among Vulnerable Groups
EPI: Ohio's New Minimum Wage Rate Will Cause Continued Job Loss Among Vulnerable Groups Autopilot Wage Indexing Causes Problems in Entry-Level Job Market WASHINGTON, Dec. 28 /PRNewswire-USNewswire/ -- As Ohio approaches yet another increase in the minimum wage rate on January 1st, the Employment Policies Institute released new data showing that after last year's minimum wage hike the state saw an increase in unemployment among vulnerable groups. The 2008 increase, to $7.00 will mark a $1.85 raise over the past five years - a 36% hike. The negative effects of this ever-rising wage can be seen in Ohio's entry-level employment data. Comparing employment data from November 2006 to the present, there has been an alarming increase among vulnerable groups like high school dropouts and African-American teenagers for whom unemployment rates rose to 12.84% and 27.05% respectively. A recent University of California at Irvine study found that high school dropouts suffer four times more employment loss from minimum wage increases than their more educated counterparts. For these vulnerable individuals, a 10 percent increase in the minimum wage leads to an 8 percent decrease in employment. The job loss is a result of the burden the consistently increasing wage puts on businesses. For example: Between 2007-2009 Ohio's minimum wage will increase by $0.40. For a business with 20 entry-level employees, that increases costs over $16,000 per year. Businesses with small profit margins would need to sell hundreds of thousands of dollars in additional goods to recoup those increased costs. "Decades of economic research is consistent with what we're seeing in Ohio: increased job loss among vulnerable groups following mandated wage hikes," said Jill Jenkins, chief economist for the Employment Policies Institute. "When you put increased labor costs on autopilot, while consumer demand and sales are shrinking, you create the recipe for job loss among the least employable workers." The Employment Policies Institute is a nonprofit research organization dedicated to studying public policy issues surrounding entry-level employment. For additional information or to schedule an interview with a spokesperson call Tim Miller at 202.463.7650. First Call Analyst:
FCMN Contact:
Source: Employment Policies Institute
CONTACT: Tim Miller of the Employment Policies Institute,
+1-202-463-7650 Web Site: http://www.epionline.org/
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Profile: labor-news
posted by McMillion & Hirtensteiner LLP Labor News # 8:04 AM
U.S. Department of Labor announces Record-Breaking FY 2007 Federal Contract Worker Wage Recoveries
U.S. Department of Labor announces Record-Breaking FY 2007 Federal Contract Worker Wage Recoveries Office of Federal Contract Compliance Programs sets record for third consecutive year WASHINGTON, Dec. 28 /PRNewswire-USNewswire/ -- The U.S. Department of Labor's Office of Federal Contract Compliance Programs (OFCCP) today announced its enforcement data for Fiscal Year 2007, highlighting a record number of workers helped. For the year, the agency obtained $51,680,950 for 22,251 workers who had been subjected to unlawful employment discrimination. These numbers represent substantial, steady growth over the course of this decade, with financial remediation up 78 percent over Fiscal Year (FY) 2001 and the number of workers helped up 145 percent. "We believe our actions demonstrate our commitment to workers being appropriately compensated under federal law," said Deputy Assistant Secretary for the Office of Federal Contract Compliance Programs Charles James. "This is the third consecutive record-breaking year for both workers helped and amounts recovered, and we are proud of these results. The government must ensure that the contractors it employs are following the rules, and our ongoing efforts are a step in that direction." The number of workers helped had topped 10,000 only once in the 1990's, but that benchmark has been cleared now four times in this decade. The period from FY 1994 to FY 1999 saw 41,500 workers helped through our agency, while the period from FY 2002 to FY 2007 showed 85,230 workers, more than double the comparable period in the 1990's. This success is the result of a new focus on systemic discrimination - cases involving a significant number of workers or applicants subjected to unlawful discrimination. During the past six years, OFCCP has shifted its focus and resources to target employers using discrimination as their "standard operating procedure." This concentration on the worst offenders is designed to give the greatest protection to the largest number of workers. Of the record recovery in 2007, 98 percent was collected in cases of systemic discrimination. The Office of Federal Contract Compliance Programs is part of the U.S. Department of Labor's Employment Standards Administration. OFCCP is responsible for ensuring that employers doing business with the federal government comply with the laws and regulations requiring nondiscrimination and affirmative action in employment. A fact sheet on agency results is available on OFCCP's Web site, www.dol.gov/esa/ofccp.
First Call Analyst:
FCMN Contact:
Source: U.S. Department of Labor
CONTACT: Loren Smith or Richard Manning of the Department of Labor,
+1-202-693-4676 Web Site: http://www.dol.gov/
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Profile: labor-news
posted by McMillion & Hirtensteiner LLP Labor News # 7:42 AM
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