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Posts Tagged ‘Federal Government’

Federal government is the biggest low-wage employer in South Carolina

Monday, February 29th, 2016

Many workers whose jobs are funded by the federal government don’t work for the federal government—they work for companies with federal contracts. And many of those jobs don’t pay a living wage, effectively making the government a low-wage employer. In South Carolina, it’s actually the largest low-wage employer in the state, a new analysis by Good Jobs Nation finds:

These low-wage jobs are in occupations such as home healthcare aides (4,336), construction (1,185) security guards (876) and food service workers (444). And, just as Demos found for the nation as a whole, the 30,000 low-wage jobs subsidized by federal funding streams in South Carolina make the U.S. government the single largest creator of low-wage private sector jobs in the State, outranking Wal-Mart and McDonald’s combined, which employ an estimated 20,600 and 8,900 low-wage workers respectively within the State.

President Obama signed an executive order raising the minimum wage for federal contract workers to $10.10 an hour in 2014, but that is going into effect gradually. And $10.10, while a big improvement over the federal minimum wage of $7.25 an hour, is not enough.

This blog originally appeared in dailykos.com on February 27, 2016. Reprinted with permission.

Laura Clawson has been a Daily Kos contributing editor since December 2006 and Labor editor since 2011.

 

Ahead of Pope Francis Visit, Bernie Sanders Joins Low-Wage Worker Strike in Washington, D.C.

Tuesday, September 22nd, 2015

in these timesSen. Bernie Sanders (I-VT) threw down the gauntlet for Congress and President Obama Tuesday morning, joining hundreds of low-wage contract workers from federal buildings who are striking in advance of Pope Francis’ visit to Washington, D.C.

Speaking to the assembled workers at a nearby Catholic Church, Sanders urged U.S. lawmakers to take seriously the pontiff’s message on “social and economic justice.” He also challenged President Obama to sign an executive order raising the wage for federal contractors to at least $15 an hour and allowing them to unionize.

“There is no justice in America when the largest low-wage employer is not McDonalds, it is not Burger King, it is not Wal-Mart, it is the United States government,” he told the cheering crowd. “The United States government has got to become a model employer.”

Sanders told The Hill that as “one of the great moral forces on earth today,” any statement by the Pope on the issue of wealth inequality during his trip to D.C. would be influential.

The rallied workers later marched to the steps of the Capitol, where they held a prayer service asking for lawmakers to listen to the Pope’s words. Some workers also organized a brief sit-in at the Senate cafes.

The strike, organized by Good Jobs Nation, had been planned as early as last week to coincide with the Pope’s visit, whose various statements on inequality, neoliberalism and economic justice have pegged him as an ally of the labor movement. Striking workers had written a letter to Pope Francis asking him to meet with them in addition to those in power.

“We may be invisible to the wealthy and powerful we serve everyday—but we know we are worthy of a more abundant life as children of God,” the letter reads.

Although President Obama granted federal contractors a wage increase to $10.10 in February 2014, the workers charge this is not enough in a city that, according to one study, requires a salary of $108,092 to live “comfortably” in. Reports abound of cleaners and cooks resorting to food stamps, working second jobs and even going homeless as a result. Critics charge that the federal government bears large responsibility for this by awarding hundreds of billions of dollars in contracts, grants, loans and more to companies that pay low wages and offer no benefits.

According to a report from Demos, nearly 2 million federal contractors currently make less than $12 an hour, far less than MIT’s calculated living wage for D.C. of $20.27. At the same time, according financial data analyzed by OpenSecrets.org, the median net worth of U.S. lawmakers climbed to over $1 million.

This Blog originally appeared on In These Times on September 22, 2015. Reprinted here with permission.

About the Author: Branko Marcetic is a Fall 2015 In These Times editorial intern.

It’s the Final Countdown: How the Government Shutdown Affects Labor and Employment Law

Tuesday, October 1st, 2013

HymanJonathanTIn case you haven’t heard, as of 12:01 a.m. this morning, the federal government is closed. Your business will feel this shutdown in many ways, including in your interactions with the federal agencies that enforce the various labor and employment laws. Each has posted on its website a contingency plan for operations during the shutdown.

For example, the Equal Employment Opportunity Commission:

  1. Will accept and docket new charges, and examine if immediate injunctive relief is necessary.
  2. Will not conduct any investigations.
  3. Will not mediate any charges.
  4. Will not have staff available to answer questions or respond to correspondence.
  5. Will not litigate, unless a court denies a request for extension of time.
  6. Will not process any FOIA requests.

The Department of Labor and the National Labor Relations Board have each posted their own detailed shutdown plans. The bottom line, however, is that except for services that are absolutely essential, federal agencies will be closed until Congress works out its financial issues.

Federal courts, meanwhile, will remain open for business as usual for at least 10 business days, after which the Judiciary will reassess the situation.

Other federal services impacting employers that will be temporarily shuttered include e-Verify and the IRS.

While it difficult to predict how long this shutdown will last.The last shutdown of the federal government, spanning the end of 1995 to the beginning of 1996, lasted 28 days.

For now, if you have active matters with any federal agencies, expect for them to be on hold. Please remember is that while the EEOC and other agencies might be temporarily out of business, the laws that they enforce are not.

This article was originally printed on Ohio Employer’s Law Blog on October 1, 2013.  Reprinted with permission.

About the Author: Jonathan Hyman is a partner in the Labor & Employment group of Kohrman Jackson & Krantz.

The Other Occupation: How Wall Street Occupies Washington

Thursday, October 13th, 2011

jilani_zaid_bioAs ThinkProgress has previously noted, the 99 Percent Movement has been set off thanks to long-standing economic inequities and and a recession caused primarily by Wall Street’s misdeeds.

But Wall Street did not engage in reckless financial behavior — which plunged 64 million people worldwide into extreme poverty — in a vacuum.

In order to engage in these practices that brought the world’s economy to its knees, Wall Street had to make sure that the federal government based in Washington, DC would both de-regulate the financial industry (and provide lax oversight) and that Congress and the Federal Reserve would bail out banks with few strings attached if they were in danger of failing. The way the financial industry and big banks won this kid glove treatment from the federal government is by occupying Washington — flooding it with campaign contributions, lobbyists, and its own staffers and executives to occupy key positions of power. ThinkProgress has assembled a rundown of three ways Wall Street has occupied Washington:

1. Wall Street Occupies Washington With Massive Campaign Contributions: On Nov. 12, 1999 President Bill Clinton signed into law the repeal of the Glass-Steagall Act of 1933, a Depression-era law that created a firewall between commercial and investment banking. Repealing this law was one of the top legislative goals of the financial industry. In the 1998 election cycle, commercial banks spent $18 million on congressional campaign contributions, with 65 percent going to Republicans and 35 percent going to Democrats. Securities and investment firms donated over $40 million. The mega-bank Citibank spent $1,954,191 during that cycle, and it was soon able to merge with Travelers Group as a result of the repeal of banking regulations. Between 2008 and 2010, when new financial regulations were being written following the financial crisis, the finance, insurance, and real estate industries spent $317 million in federal campaign contributions, with $73 million of that coming from Political Action Committees (PACs). The hold of campaign contributions is starkly bipartisan. As Sen. Jim Webb (D-VA) explained to Real Clear Politics in an interview last year, he couldn’t get a vote on a windfall profits tax on bonuses at bailed out banks due to campaign contributors. “I couldn’t even get a vote,” Webb explained. “And it wasn’t because of the Republicans. I mean they obviously weren’t going to vote for it. But I got so much froth from Democrats saying that any vote like that was going to screw up fundraising.”

2. Wall Street Occupies Washington With Its Lobbyists: One way to control what Washington lawmakers do is to give them access to exclusive funding streams that allow them to finance their campaigns. But yet another is to control the stream of information. From the deregulatory period of 1998 to 2009, the financial sector spent $3.3 billion on lobbyists. In 2007, the financial industry employed 2,996 separate lobbyists, five for every member of Congress. During the debate over financial reform last year, the industry flooded the nation’s capital with its own lobbyists. On just one issue — regulating derivatives — financial industry lobbyists outnumbered consumer group lobbyists and other pro-reform advocates by 11 to 1. In fact, by 2010, the industry had hired awhopping 1,600 former federal employees as lobbyists. Included among these lobbyists were high-ranking former public leaders like former Democratic House Majority Leader Dick Gephardt (MO) and Kenneth Duberstein, Ronald Reagan’s chief of staff. Much of this lobbying is done through elite K Street firms that specialize in hiring government insiders. Yet there are also bank-funded front groups like the Chamber of Commerce that deploy lobbyists on behalf of the big banks.

3. Wall Street Literally Occupies Washington By Placing Its Staff In Government Positions: Shortly after Clinton signed into law the repeal of the firewall between commercial and investment banking, his Treasury Secretary and Goldman Sachs alumni Robert Rubin left the government to work for newly-formed Citigroup — whose merger was only possible thanks to the policies Rubin championed and enacted. His compensation at Citigroup topped $15 million, not including stock options. Goldman’s alumni are found across the government, including bailout architect and former Treasury Secretary Hank Paulson, Paulson’s bailout chiefNeil Kashkari, and Commodity Futures Trading Commission chairman Gary Gensler. The revolving door, of course, works both ways. Obama budget director Peter Orszag joined Citigroup shortly after leaving the government. This is just a small sampling of Wall Street’s staffers who found their way into government.

These three facets of lobbying do not include how these financial interests fan their funding out among nonprofits and think tanks, and how they fund media campaigns and public relations efforts within the parameters of the geographic territory of the District of Columbia. The amount of money spent on these tasks is likely formidable but is difficult to track.

There are reforms that can be enacted to combat this Wall Street infiltration of Washington. Ranging from public financing of federal campaigns to new disclosure laws to placing restrictionson lobbying from federal public officials, these reforms would blunt the impact of big money on federal policymaking. Yet only vigilance from the American public can get such reforms enacted.

This blog originally appeared in Think Progress on October 12, 2011. Reprinted with permission.

About the Author: Zaid Jilani is a Senior Reporter/Blogger for ThinkProgress.org at the Center for American Progress Action Fund. Zaid grew up in Kennesaw, GA, and holds a B.A. in International Affairs with a minor in Arabic from the University of Georgia. Prior to joining ThinkProgress, Zaid interned for Just Foreign Policy and was a weekly columnist at The Red & Black, the University of Georgia’s official student newspaper. He is a co-editor at the Georgia-based blog Georgia Liberal and a regular on RT America’s The Alyona Show and The Thom Hartmann Show and has been a guest host on Al Jazeera English’s The Stream. He is also an occassional contributor to the op-ed pages of The Atlanta Journal-Constitution. His Twitter handle is @zaidjilani.

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