Why Biden’s strike magic faltered

“For Biden, the tried-and-tested formula for defusing labor disputes has included back-channel negotiations that kept the pressure on companies to make concessions to workers, along with his agencies’ efforts to make it easier for employees to organize and his own frequent public praise for labor activists. Fain, though, made it clear he doesn’t want quiet murmuring from the administration behind closed doors, and he wasn’t satisfied with Biden’s remarks from Washington that automakers should “go further” in their offers.”

https://www.politico.com/news/2023/09/25/uaw-strike-bidens-strategy-00117656

Biden’s Nominee for Secretary of Labor Wants ‘Wage Theft’ Cops

“”Wage theft” is a catch-all term for not paying workers what they are owed under the law, such as violating minimum wage or overtime regulations. It is a crime under the Fair Labor Standards Act and is enforced by the Labor Department’s Wage and Hour Division. It can involve business owners sneakily ripping off employees. It can also result from honest confusion or mistakes regarding what is owed.”

What banning noncompetes could mean for the US workforce

“A 2014 survey of economists found that nearly 20 percent of workers have noncompete clauses in their contracts. That number is more likely 50 percent for people in high-skilled and high-tech jobs”

“Marx added that these agreements don’t just specify that you can’t share a specific company’s secrets, but are often interpreted more broadly so that a person can’t use skills they had prior to working at that company — something he said can be debilitating to high-skilled workers and entrepreneurs.”

“Detractors of noncompete clauses say the agreements prohibit workers from getting jobs with competitors or even within the same industry. In doing so, they restrict job mobility and prevent workers from being able to push for higher wages, since changing jobs is often how workers get higher pay. These clauses can send them on lengthy job searches or even “career detours.””

“Pro-employer groups like the US Chamber of Commerce have argued that noncompete clauses can actually be pro-competitive because they protect an “employer’s special investment in, training of, and disclosure of sensitive business information to its employees.” In a statement released shortly after the FTC’s announcement, the organization called the rulemaking “blatantly unlawful” since it says the FTC doesn’t have the authority to promote the rule. “When appropriately used, noncompete agreements are an important tool in fostering innovation and preserving competition,” the Chamber said in an emailed statement.”

The Importance and Misuse of the Labor Force Participation Rate: Bibliography

What Lower Labor Force Participation Rates Tell Us about Work Opportunities and Incentives Joint Economic Committee. 2015 7 15. What’s Happening with Today’s Labor Force? California Workforce Development Board. 2022. What’s behind the US labour shortage? | The Bottom Line Al Jazeera

What banning noncompetes could mean for the US workforce

“The FTC announced..that it proposed a rule that would ban the practice of forcing workers to sign noncompete clauses, which forbid employees from working for their employer’s competitors for a certain amount of time after they leave.
“The freedom to change jobs is core to economic liberty and to a competitive, thriving economy,” Khan said in a statement. “Noncompetes block workers from freely switching jobs, depriving them of higher wages and better working conditions, and depriving businesses of a talent pool that they need to build and expand. By ending this practice, the FTC’s proposed rule would promote greater dynamism, innovation, and healthy competition.”

If enacted, the proposed rule would give Americans more choice in where they work and, by extension, higher pay. They could more easily work for rival companies or start their own companies with less fear of being sued. Such mobility could make what’s already a tight hiring economy even tighter, as workers have even more options of which open jobs they can take.”

The Supreme Court hears a case this week that endangers workers’ ability to strike

“The Teamsters, the union in this case, allegedly timed a 2017 strike so that it would begin after some of Glacier Northwest’s mixing trucks were already filled with concrete, forcing the company’s non-union employees to race to dispose of this material before it hardened in the trucks. But the company was able to remove this wet concrete from the trucks before they were damaged, and there are a wealth of cases establishing that workers may strike even if doing so will cause some of their employer’s product to spoil.
In one case, for example, the National Labor Relations Board (NLRB) — a kind of quasi-court that hears disputes between unions and employers — sided with milk truck drivers who struck, even though their strike risked spoiling the milk before it was delivered to customers. Another case, handed down by a federal appeals court, reached a similar conclusion regarding striking cheese workers.

That said, there are also some cases establishing that workers may not walk off the job at a time that could result in truly egregious damage to their employer’s business. In one such case, for example, a federal appeals court ruled that foundry workers who work with molten lead could not abruptly walk off the job and leave the lead in a state where it could melt the employer’s facilities or injure other workers.

In any event, the Supreme Court’s decision in San Diego Trades Council v. Garmon (1959) lays out the process that employers must use if they believe their workers timed a strike so recklessly that the union should be held liable. In nearly all cases, the employer must first obtain a ruling from the NLRB establishing that their workers’ strike was not protected by federal law. Only then may they file a lawsuit against the union.

The employer in Glacier Northwest, however, wants the Supreme Court to water down Garmon considerably, potentially enough to render that decision toothless.

If that happens, it would be a tremendous blow to workers. One important reason the Garmon process exists is that it shields unions from lawsuits that could drain their finances and discourage workers from exercising their right to strike — after all, that right means very little if well-moneyed employers can bombard unions with lawsuits the union cannot afford to litigate.”