ABC OPPOSES DOLs PROPOSED EMPLOYEE NOTIFICATION RULE: ABC September 2 filed comments with the Department of Labor (DOL) Office of Labor-Management Standards voicing strong opposition to a regulation proposed for the implementation of Executive Order 13496 that would require federal contractors and subcontractors to post a notice informing employees of their rights to join or not join a union. Executive Order 13496, signed by President Obama Jan. 30, repealed existing Executive Order 13201, often referred to as the “Beck Order”, that required contractors to inform employees of their right to refuse to pay union dues that would be spent on earmarks for non-collective bargaining activities, including politics and lobbying. Although that information is no longer required to be given and employers are not prohibited from continuing to provide that information to their employees, employers should take the added precaution of consulting with labor counsel.
In its comments, ABC cautioned DOL that the proposed language to be displayed in a conspicuous place, as well as included in government contracts exceeding $100,000, needs to be revised because the level of detail and specificity of the language proposed exceeds DOL’s authority and will undermine employer-employee relations rather than promote them. “The Department’s approach invites employee misunderstanding of the law, particularly its complexities and nuances, and thereby risks confounding relations between employees and their employers,” ABC stated in its comments.
ABC also opposed DOL’s proposal to make subcontracts below the Simplified Acquisition Threshold ($00,000) subject to the notification requirements, especially when prime contractors are excluded. ABC advised that unless such subcontracts were also excluded, the rule will have negative impact small businesses. “First, the Department acknowledges that 251,824 small contractors will be affected by the proposed rule, constituting 67 percent of the entire regulated community of government contractors,” ABC stated. “Yet, the Department contends that this figure is not a “substantial number.”
ABC LAUNCHES ONLINE JOB BOARD: ABC Sept 9 launched a new online service, Construction Job Network, that makes finding the right employee for the job a little easier. The web-based career center connects construction professionals entering the job market with prospective employers and is accessible online at www.ConstructionJobNetwork.com. “Our association promotes construction industry knowledge, networking and excellence,” said ABC President and CEO Kirk Pickerel. “Launching an online career center for professionals and contractors in the construction field is a natural extension of that mission.
Jobseekers can create an account, post an anonymous résumé, search for jobs, set up personal email job alerts, browse a library of career advice, and direct questions to employment experts, all without charge. In addition, résumés will be posted on other job boards associated with Construction Job Network.
Employers can view résumés and post jobs under a variety of pricing plans. Further, the new online service offers employers added features that include posting job openings on other job boards associated with Construction Job Network, the option to include a company profile and logo with each job posting, and a pay-per-use résumé bank.
MORE THAN 3,100 ORGANIZATIONS CALL ON CONGRESS TO ENACT MEANINGFUL HEALTH CARE REFORM: ABC, along with 3,159 organizations and businesses, signed onto a letter sent by the U.S. Chamber of Commerce urging all members of Congress to work with the business community to enact constructive health care reform. The same day, Senate Finance Committee Chairman Max Baucus (D-Mont.) announced that he will initiate a committee mark up of a comprehensive health care reform bill the week of Sept. 21.
The thousands of businesses and organizations that signed onto the letter expressed concern about the creation of a government-run insurance plan as described in H.R. 3200 and the bill proposed by Baucus. The letter noted that the increased costs and lack of competition caused by a government plan will force employers to stop offering their current plan, forcing more than 170 million Americans to change their health insurance. In addition, the letter noted that a proposal to enact “pay or play” mandates will kill jobs by forcing employers to either provide health insurance or pay fines. “Market forces and employer autonomy should determine what benefits employers provide, rather than Congress,” the letter stated. “Collectively, we are dedicated to improving our nations’ health care system, especially in terms of lowering health care costs, improving the quality of care, and making sure every American has access to affordable coverage. However, we believe that the legislation currently being considered would not improve the system, but jeopardize the parts of the system that currently work.”
COBRA UPDATE - PART II: Nebraska employers who have fewer than 20 employees are not covered by COBRA. However, health insurance continuation provisions similar to COBRA are provided by Neb. Rev. Stat. § 44-1640 for employers with fewer than 20 employees. Under the American Recovery and Reinvestment Act of 2009 (ARRA) signed by President Obama in February, 2009, individuals who were involuntarily terminated from their employment between September 1, 2008 and December 31, 2009 are eligible for premium assistance in purchasing continued health insurance coverage through their former employer under COBRA. Under the ARRA, eligible employees pay 35% of the premium and employers pay the remaining 65%. However, employers are reimbursed through a federal tax credit. Nebraska employers not covered by COBRA who employ at least two, but no more than 20 employees, are also covered by this subsidy provision of ARRA. The IRS has issued questions and answers about the COBRA subsidy program which may be accessed at http://www.irs.gov/newsroom/article/0,,id=205364,00.html. Please note the answer to AE-27 concerning state law coverage. In addition, the IRS information to employers on this program may be found at http://www.irs.gov/newsroom/article/0,,id=204709,00.html. Please note the reference to state law plans like the Nebraska plan in the last sentence of the release. By Bill Harding, Chapter Attorney