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Legislation
and Public Policy Report to the DPE General
Board
JUNE, 2002
During the
ongoing 107th Congress, the
Department has been directly involved in a
number of legislative, regulatory and other
policy matters. In particular, the DPE was on
point for the labor movement on two major
issues—the rulemaking by the Federal
Communications Commission regarding the existing
ban on Newspaper/Broadcast Cross-ownership and
the fight to save H-1B training monies. In
addition, the Department continues to provide
legislative, research, strategy and agency
liaison support to affiliates while advising the
AFL-CIO on policy matters that are unique to DPE
affiliates. The following report summarizes the
public policy advocacy work of the DPE.
MEDIA AND TELECOMMUNICATIONS
Newspaper/Broadcast Cross-ownership Rule
America’s working
families, as citizens and consumers, depend upon
diverse media sources to provide the kind and
variety of meaningful news and information that
is essential to their informed participation in
our democratic society. This diversity is also
necessary to the preservation of localism in
news reporting which in turn and drives a level
of news competition that is vital to both
content quality and comprehensiveness of
coverage.
Yet these
standards are being seriously threatened by a
continuing frenzy of media mergers that has
resulted in a marketplace that is increasingly
dominated by fewer and fewer independent news
voices. In this environment, despite their best
efforts, many media professionals have seen
their journalism diminished. Merger mania, where
ownership and outlets change daily, has
depreciated news quality and substance as the
driving force that underlies them--genuine news
competition—fast disappears, giving way to
business conglomerates concerned only about the
bottom line of balance sheets and profit
margins. Meanwhile, broadcasters and
journalists are well aware that, ultimately, it
is the public and an informed citizenry that is
badly served by such outcomes.
Against this
backdrop, the Federal Communications Commission
(FCC) announced last summer that, as part of its
biennial review process, it would reassess its
27-year Newspaper/Broadcast Cross-Ownership rule
banning the common ownership of a daily
newspaper and a broadcast station in the same
local market. The original 1975 prohibition was
designed to promote two important goals in
broadcast regulation – diversity of viewpoints
and economic competition. The Commission largely
based the rule on the diversity goal, explaining
“it is essential to a democracy that its
electorate be informed and have access to
divergent viewpoints on controversial issues.”
Moreover, the Commission concluded that it is
“unrealistic to expect true diversity from a
commonly owned station-newspaper combination.”
In today’s highly
concentrated media marketplace, the DPE and its
affiliated unions representing nearly 200,000
workers in broadcast and journalism along with
the AFL-CIO and a host of public interest,
consumer, civil rights and other organizations
believe that the rule is needed now more than
ever. These organizations share the conviction
that societal goals of protecting the diversity
of voices is best safeguarded by maintaining the
current cross-ownership ban. Its repeal would
only serve to exacerbate market concentration in
both large and small communities at the expense
of the public interest.
Soon after the
FCC announced its latest deregulatory assault,
the DPE formed an FCC Working Group of
interested affiliates. Along with ATRA, TNG,
NABET, WGAE, the DPE began to develop options
for a campaign to stop repeal of the rule. At
the November meeting of the Department’s Arts,
Entertainment and Media Industries Committee,
the affiliates agreed to invest resources and
staff in the campaign but also wanted AFL-CIO
involvement because of the larger public
interest issues that were at risk. In November,
then DPE Chairman Morty Bahr and President
Almeida met with AFL-CIO President John Sweeney
who agreed to support the effort. Over the next
several months the Federation filed extensive
briefs on behalf of the labor movement with the
FCC in support of its retention during both the
public comments and response periods set aside
by the agency under its rulemaking process for
public input. A number of public interest groups
also filed along with the anticipated media
industry filings. The AFL-CIO also commissioned
the Economic Policy Institute (EPI) to issue a
policy paper laying out the economic and public
interest arguments against abandoning the rule.
The paper was authored by Douglas Gomery, a
journalism professor at the University of
Maryland who has written widely on the subject
of media concentration. With the financial
support of the working group unions, the EPI
report was reprinted and widely distributed to
all members of Congress, the press and other
organizations.
The second phase
of the DPE campaign strategy was to build
greater public visibility of the issue by
hosting a widely-publicized policy briefing at
the National Press Club. The Department, with
the help of other organizations, succeeded in
recruiting over 30 national groups as
co-sponsors of the event. Staff from the CWA,
AFL-CIO, the Media Access Project and EPI did
extensive outreach to press, congressional staff
and other organizations. The Media Access
Project made sure the event was cleared as
“approved” for attendance by FCC staffers.
Meanwhile, the Newspaper Guild and AFTRA
collaborated on the development of a set of five
principals that would guide labor’s work on
preserving the rule and DPE worked with CWA to
create a policy fact sheet on the issue.
The briefing was
held on the March 15th. DPE President Paul
Almeida opened the event which was moderated by
DPE Secretary-Treasurer and President of the
Newspaper Guild Linda Foley. FCC Commissioner
Michael Copps presented opening remarks and
Professor Gomery formally unveiled his EPI
study. A panel of experts followed and offered a
variety of perspectives in support of the rule.
The panelists included:
-
Edward Fouhy,
five time national Emmy winning, former CBS
news director, CBS and ABC Vice president
and Washington Bureau Chief, founding member
of the Pew Center on Civic Journalism;
-
Belva Davis,
six-time local Emmy award winning,
African-American broadcaster and AFTRA vice
president commented on her personal
experiences at the San Francisco cross-owned
(Chronicle) television station;
-
Mark Cooper,
Research Director at the Consumer Federation
of America provided a graphic picture of the
state of media concentration and how repeal
of the rule would worsen market conditions;
-
Wade
Henderson, Executive Director of the
Leadership Conference on Civil Rights,
addressed the importance of news diversity
to the nation’s minority communities, and;
-
Stephen
Kimber, Director of the Kings College School
of Journalism (Halifax, Nova Scotia) who had
recently resigned his columnist position
with the cross-owned Halifax Daily News in
protest over the censorship actions of the
parent company—CanWest Global—Canada’s
largest media conglomerate.
The briefing was
attended by over 115 participants including 17
key FCC policy analysts, a number of reporters,
Hill staffers, a host of representatives from
sponsoring organizations as well as some
industry people. The event succeeded in
accomplishing several goals. First, it served as
a focal point to coalesce a growing number of
constituency groups in opposition to repeal of
the cross-ownership rule. Secondly, it ratcheted
up the decibel level in the ongoing public
policy debate about this matter. Third, it gave
key FCC staffers a better sense of the
widespread public support for the
cross-ownership ban. Finally, it got the word
out to the public, press and other organizations
about what is at stake in this rulemaking.
At present, FCC
staff is reviewing the submissions made earlier.
Expectations are that a draft rule will not
emerge until late fall or early 2003. In the
meantime, the Department will be coordinating
with affiliates the scheduling of meetings with
both key regulatory staff and later the FCC
Commissioners as well as revisiting the issue
with FCC Chairman Michael Powell. As to the
longer term strategy, the consensus of working
group—given the GOP tilt on the FCC—is that
labor’s goal should be to stop the FCC from
repealing or substantially gutting the rule and,
if possible, limit changes to more modest
revisions in the standard. If a more drastic
draft rule is proposed, efforts will focus on
trying to convince the Commission to adopt some
of the standards proposed in the Principles
document, precedents for which were originally
adopted by Congress when it passed the 1970
Newspaper Preservation Act.
At the same time
labor and other public interest groups will be
pressing the FCC to undertake a thorough market
analysis with specific parameters in order to
determine the extent of ownership concentration
that already exists in the media. DPE is already
pressing this message with Congressional allies
on Capitol Hill. Efforts are focusing on the
Senate where DPE has teamed with Consumers Union
to lobby Democratic and GOP members of the
Senate Commerce Committee which has jurisdiction
over communications issues. Senator Fritz
Hollings, Chairman of the Committee, has already
publicly spoken out in support of the rule and
held the first round of hearings last fall.
WORKER RE-TRAINING
The H-1B
Technical Skills Grant Training Program
In October 2000
the U.S. Congress authorized a massive, three
year expansion of the H-1B guest worker visa
program principally to solve--on a short term
basis--the alleged labor shortages that existed
in the high tech industry. One month later, the
industry went into an economic free fall. Since
then it is estimated that well over a half a
million high tech workers have lost their jobs
through out the economy as an even broader
recession has taken hold.
Despite the
availability of hundreds of thousands of highly
trained U.S. tech workers and thousands more
well-qualified, recent college graduates, the
high tech industry continues to import H-1B
guest workers in large numbers. And now some in
the industry want to make sure that these
“temporary” guest workers stay put by
reprogramming over a $100 million in Department
of Labor funding earmarked for worker training
and instead shift it to expedited processing of
“green card” permanent labor certifications.
This would be accomplished via a request
contained in the FY 2003 budget proposed by the
Bush Administration to wipe out the H-1B
Technical Skills Grant Training program designed
to prepare American workers for employment
oppor6tunities in high skilled occupations such
as high tech, telecom and health care.
The training
initiative targeted by the Administration was
conceived as a direct result of Congressional
action taken in both 1998 and 2000 to expand the
H-1B guest worker programs. When it did so,
Congress imposed on employers a “user” fee for
each guest worker visa issued to them. Of the
funds generated, 55% are allocated to the
Department of Labor (DOL) for job training
grants for technical skills training programs.
The fee, which is now $1,000 per visa, will
produce nearly $200 million each year over the
next six years if the yearly allotments of guest
worker visas allowed under the current H-1B law
are used or renewed.
Specifically, the
Administration’s wants to shift all of the funds
in the current H-1B visa-generated training
account—estimated at between $100 to $150
million --and dedicate it to the processing of
permanent foreign labor certifications. In other
words, over the next several years, nearly a
half billion dollars that would have otherwise
been earmarked for job training for our
citizens--thus reducing the need for guest
workers--would instead be lavished on the alien
labor certification program in order to speed
employer access to still more foreign workers.
Since the first
grants were awarded in 2000, the H-1B Technical
Skills Grant Training Program has invested
nearly $175 million in some 73 training programs
in 31 states and the District of Columbia. Since
the program is entirely financed through
employer “user” fees, no tax revenues are
expended. So “spending” for this program has no
adverse effect on the federal budget. In
addition, one of the requirements of receiving
an H-1B training grant is an additional match of
employer funds and/or other tangible assets.
Thus, the value of available training monies is
actually increased by 50% over and above the
initial using private sector resources. And in
some cases the local match of private sector
dollars has actually exceeded the 50%
requirement.
The program has
blended some of the best in private and public
sector training expertise from big and small
businesses, education, unions, various business
alliances and consortiums and well as over 100
state and local workforce development agencies.
Project partners include a number of DPE
affiliates--the CWA, IBEW, UAW, AFSCME and SEIU--that
have been involved in job training for decades.
In addition, major U. S. corporations,
including15 of the top one hundred, Fortune 500
companies as well as some of the nation’s most
prominent high tech firms are also participants.
Finally, educational institutions that are on
the leading edge of workforce development in
most states—the community colleges—are partners
in over 75% of the H-1B grants awarded thus far.
Over 50 community and technical colleges,
several statewide systems along with over 30
colleges and universities are key players in
H-1B training programs.
Soon after the
budget proposal was announced the DPE met with
Senate Labor-HHS Appropriations subcommittee
staff to discuss the importance of the program.
At their request, the Department developed
background and other information that could be
used when the Secretary of Labor testified
before the panel, chaired by pro-labor Sen. Tom
Harkin (D-IA). In addition, using material from
the AFL-CIO and the work for America Institute,
the DPE created a compendium of information
which became the basis of a comprehensive
briefing book to be used by Hill staff,
affiliate lobbyists and grassroots advocates to
fight for retention of the program.
The first
legislative flare-up came in late April during
Congressional consideration of the FY 2002
Supplemental appropriations bill. The White
House proposed using all of the remaining H-1B
funds as an offset to increased spending being
sought lawmakers in other program areas. DPE
and AFL-CIO lobbyists worked with the Democratic
staffs of the House and Senate Appropriations
Subcommittees to send the message that this was
unacceptable. As a result, their first attempt
to eliminate the program was snuffed out.
However, the original budget proposal still
remains on the table and will be considered by
the GOP-dominated House subcommittee when markup
of the Labor-HHS appropriations occurs in late
June. DPE and affiliate lobbyists are now making
the rounds of member offices to explain the
value of the program and urge defeat of the Bush
budget proposal to eliminate it.
LABOR STANDARDS
Fair Labor
Standards Act (FLSA): High Tech Exemption
With the AFL-CIO
seeking to pass legislation to increase the
minimum wage, the danger exists that when that
debate is engaged, efforts could be made to
further erode overtime coverage for certain
classes of professional workers. One of the most
serious threats is legislation—H.R. 1545
introduced by Rep. Rob Andrews (D-NJ)—to further
weaken 40 hour work week protections for
computer specialists and other "high tech"
workers. This bill adds to the categories of
already-exempted high tech workers by including
among them all network and database analysts and
designers as well as those who manage or train
employees named in the exemptions. If passed,
this bill would exempt tens, if not hundreds, of
thousands of additional high tech workers who
currently receive overtime compensation. In
2000, when the Republican-controlled House last
considered minimum wage, a GOP-sponsored bill
included the Andrews proposal. Despite strong
opposition from organized labor and the Clinton
Administration, the House passed the bill with
these and other FLSA erosions included. However,
the legislation died in the Senate.
Soon after
Andrews re-introduced his bill in this Congress,
the DPE urged him to reconsider. The Department
pointed out that with the high tech economy in
free fall, computer workers had already
experienced severe economic hardship including
layoffs, drastically diminished hours of work,
pay cuts, loss of benefits and stock options and
unfair job competition from an army of H1B guest
workers as they try to re-enter the job market.
In a letter to Andrews, the DPE outlined its
case against the bill:
-
Eliminating
overtime protections for these workers would
exacerbate conditions in an industry that is
already notorious for workweeks of 50, 60 or
even 70 hours—a reality that diminishes the
attractiveness of these jobs, particularly
among workers with young families, making it
hard both to retain current employees and
recruit a new generation of IT workers.
-
Wages in many
computer occupations have been stagnant. For
example, computer operations and systems
researchers and analysts (an occupational
category affected by the proposed
legislation) saw their after-inflation,
median earnings actually decline by 6.8%
from 1997 to 2000. For women in these same
occupations, their before-inflation, median
weekly wages actually declined from $826 to
$817-- a 10% drop in inflation-adjusted real
wages!
-
Exempting
certain hourly high tech workers from
overtime coverage imposes a second-class
status on “new economy” workers, an
untenable public policy position. For
example, hourly production workers in auto
manufacturing, transportation and
construction who make more than the $27.63
or $57,470 per annum (the threshold for
exemption in the amendment) would continue
to be covered by the law. Meanwhile, those
who trained in the computer fields would
not.
-
If overtime
pay is cut off, these technicians will
likely find themselves working the same
amount of hours (in excess of 40) but with
no additional compensation beyond their set
salary. In effect, their hourly/yearly wages
would decline to below those of many other
highly skilled workers. Such a wage policy
is at odds with a whole range of existing
and proposed public policies designed to
attract workers into this industry.
-
Without
overtime pay, computer technicians working
50 hours per week—not uncommon in the
computer fields—and earning $27.63 per hour
would see their real hourly rate shrink to
$22. And at 60 hours per week, it would be
down to $18 per hour—far less than the
hourly rate of a union production worker in
an auto plant—and hardly the kind of
compensation that these workers envisioned
when they undertook years of advanced
training to qualify for employment in the
high tech jobs of the new economy.
-
Part-time
temporary and contingent workers--who rely
more than most workers on overtime
pay--would be especially hard hit.
Characteristically, they work fewer overall
hours and are often denied benefits. Premium
pay available to them for project-defined
tasks with excessive hourly work
requirements somewhat compensates for their
sporadic work schedules. Without overtime
compensation, their wages would also
decline.
In 2002, in
anticipation of possible Senate action on the
minimum wage, the AFL-CIO, DPE and affiliated
unions representing white collar workers are
already lobbying Senators to oppose any and all
erosion amendments.
Fair Labor Standards Act: White Collar
Exemptions
Since coming into
office, the Bush Administration has unleashed a
series of deregulatory assaults against the
labor movement. The infamous defeat of the
ergonomics standard is the most prominent among
these attacks. It also appears that overtime
protections for white collar workers are also in
the Administration’s cross hairs as the
Department of Labor (DOL) announced in early
2002, that it would ‘review” the criteria for
determining if executive, administrative,
professional or outside sales employees are
exempt from FLSA overtime requirements.
By way of
background, one of the key mandates of the FLSA
is its limitation of the work-week to 40 hours.
The Act requires employers to pay an hourly
overtime wage for work in excess of that
standard. However, Section 13 (a) (1) of FLSA
provides an exemption from this requirement for
those employees working in a "bona fide
executive, administrative, or professional
capacity." To be exempt, white-collar workers
must meet each of three tests to qualify: the
employee must be paid a salary, not an hourly
wage – the salary-basis test; the amount of the
employee's salary must indicate managerial or
professional status – the salary-level test,
and; the employee's job duties and
responsibilities must involve managerial or
professional skills – the duties test. There are
also subsidiary regulatory clarifications within
each category. For example, to be exempt as a
professional, a worker must either: have a
requisite academic degree and his or her job
must also require consistent exercise of
discretion and independent judgment, or; be
involved in original or creative work requiring
invention, imagination or talent in a recognized
field.
In 1999 the
General Accounting Office (GAO) issued a report
on white-collar exemptions calling on the DOL to
revise and modernize its regulations to better
deal with the realities of today's world of work
and to narrow existing professional exemptions.
In this context, the DPE and other unions have
long pointed out that:
·
The
tests applied under FLSA regulations to
determine white-collar/professional exemptions
from coverage insufficiently restricted the
application of exemptions--often illegally--by
employers.
·
DOL
failure to adjust the "salary level test" since
1975 has eroded the minimum salary for exempt
professionals down to near minimum wage levels.
·
The
duties test for executive and managerial
employees had been weakened through court
decisions, resulting in inadequate protections
for low-paid supervisory workers.
·
Abysmal enforcement by DOL due to insufficient
resources has seriously undermined legal
protections for professionals.
As a result of
these problems, millions of workers who
otherwise would be covered are now excluded from
FLSA protection.
In April, the DOL
began a series of meetings with individual
AFL-CIO unions regarding the overtime issue. The
agency is expected to issue a notice of proposed
rulemaking soon with final rules proposed for
early next year. The DPE is working with
affiliates and the AFL-CIO and will be closely
monitoring the rule-making process.
Pay Equity
While women
are now the majority in U.S. professional and
technical occupations, they continue to earn
less than men in these fields. For example, in
2000, professional women earned about 26% less,
female technicians and related support workers
earned 29% less and female administrative
support, including clerical workers, earned over
20% less than similarly employed men. Pay
inequity persists even though women have been
earning more Bachelors’ and Master's degrees
than men for almost 20 years. To illustrate: The
median income of women with Bachelor's degrees
was over 40% less than that of similarly
qualified men while women with Master's degrees
earned 34% less than men with a Master's degree.
While the overall
wage gap has narrowed slightly, DPE research has
shown that the gap in pay between male and
female technical and professional workers has
actually expanded in recent years-- a
particularly disturbing trend, because these are
the occupational categories expected to grow
most rapidly between now and 2008.
Wage disparity remains a serious and pervasive
problem, even though gender differences in labor
force participation and occupational
distribution are diminishing. Recent studies
indicate that between and quarter and one half
of the gender wage gap remains unexplained by
differences in education, training, tenure,
experience and hours worked. Some economists
attribute some or all of this to pay
discrimination.
To help remedy
this economic inequity, in the 107th
Congress the DPE strongly backed
S. 77 and H.R. 781--the Paycheck Fairness Act.
The purpose of this legislation is to amend the
Fair Labor Standards Act to toughen penalties
for equal pay violations and step up enforcement
against this insidious form of wage chiseling.
The bills have been referred respectively to the
Senate Health, Education and Labor Committee and
the House Education and workforce Committee.
IMMIGRATION
Regulations Governing Foreign Labor
Certifications and H-1B Guest Workers
In
early May, the DOL also announced a notice of
proposed rulemaking to expedite the process for
approving employer requests for both of these
categories of foreign workers.
For permanent
“green card” certifications, the proposal
initiated by the Employment and Training
Administration (ETA) is aimed at streamlining
the process by which employers apply to
permanently hire immigrants by creating a new
filing system and cutting back the role of state
workforce agencies in the procedure. ETA also is
recommending changes to the regulations
stipulating that employers hiring foreign
workers under the permanent labor certification
program and the temporary H-1B program pay those
workers the prevailing wage for the job and the
location. The proposal would eliminate the
requirement that prevailing wage determinations
be made under the Service Contract Act and the
Davis-Bacon Act. According to ETA, using the
wage component of the BLS expanded Occupational
Employment Statistics program is a more
efficient and cost effective way to develop
consistently accurate prevailing wage rates.
Other changes
include:
·
requiring employers to conduct both mandatory
and alternative recruitment before filing for a
permanent labor certification;
·
establishing an automated processing system to
deal with the applications;
·
eliminating the “business necessity standard,”
which, according to ETA often works to the
disadvantage of U.S. workers by allowing
employers seeking foreign workers to justify job
requirements that exceed those normal to jobs in
the United States.
According to
DOL’s latest regulatory agenda, ETA hopes to
issue the final rule by August. At present,
both the DPE and the AFL-CIO are analyzing these
proposals.
TAXES
Tax Relief for
Middle Income Performers
Because of a
quirk in the federal tax code, middle income
actors and performers are unable to deduct the
full cost of legitimate business expenses
related to securing employment in their
respective industries. Because of the nature of
their work, these artists incur a
disproportionate share of high dollar expenses
such as agent fees, voice, acting and dance
lessons, portfolio development and other
expenditures. None of these outlays, which can
run into the thousands of dollars, are
reimbursed by their employers. Ironically, under
U.S. tax law similar kinds of expenses for other
professionals are tax deductible; but for
performers they are artificially limited. As a
result, these costs—some of which are already
taxed as income to the providers of these
services--a--are not deductible under the
revenue code. To end this discriminatory tax
treatment, Rep. David Camp (R-MI) introduced
H.R. 3573 to establish a new deductible limit of
$16,000 annually. The legislation has been
referred to the House Ways and Means
Committee.
E-Commerce
Taxation
The explosion of
retail sales over the Internet has raised a
number of policy issues. According to one
estimate, business-to-consumer (B2C) e-commerce
retail sales, which were a paltry $1.5 billion
in 1997, are projected to be well over $150
billion by 2004. As these transactions—which
are now free of sales taxes—grow, traditional
“bricks and mortar” retail stores may lose
customers, sales taxes traditionally collected
at the register will dry up and state and local
governments that benefit from those revenues may
suffer. State and local governments are in the
meantime held hostage by two Supreme Court
decisions that prevented them from demanding
that the catalogue sales companies collect the
tax at the point of sale because the court
viewed that as overly burdensome on interstate
commerce. Since state and local sales taxes now
comprise over 40% of their revenue base, the
erosion due to increased e-sales is estimated to
be $5 to $10 billion annually over the next
three years. Over time, in addition to lost jobs
in traditional retailing, sales tax revenue
losses will skyrocket. This could have a
catastrophic impact on state and local services
and programs as well as public sector
employment.
In an early
manifestation of their eagerness to be
e-friendly, Congress waded into the controversy
in 1998. At the behest of the "dot-coms" it
passed legislation to place a three-year
moratorium on state implementation of any new
Internet access taxes. In effect, this assured
that e-commerce commodity sales would also
continue to be tax-free in state and local
jurisdictions that had not moved to tax these
sales. Prior to its expiration in 2001, high
tech proponents tried to make the tax exclusion
permanent—a position supported by the Bush
Administration. When that proposal went nowhere,
they rallied around H.R. 1552--introduced by
California Republican Chris Cox--to extend the
moratorium for five years. DPE and a number of
affiliates including AFSCME, AFT, CWA, AFSA,
IFPTE, UAW, UFCW and SEIU along with most of the
retail industry and several state government
organizations opposed the bill preferring no
extension or one of shorter duration. In a
surprise move, the House Judiciary Committee
voted 19 to 15 for a substitute proposal by Rep
Barney Frank (D-MA) to extend the ban for only
two years. That proved to be the final version
as the House and Senate later adopted the
proposal and President Bush signed it into law.
OTHER ISSUES
Pickering
Nomination—The
DPE joined the AFL-CIO campaign to oppose
President’s Bush’s nomination of Charles W.
Pickering--a federal judge from Mississippi--to
the Fifth federal Circuit Court of Appeals. In a
letter to the members of the Senate Judiciary,
DPE described Pickering as a jurist that
“frequently demonstrated both an insensitivity
and hostility to the basic tenets and remedies
that are the foundations of this nation’s civil
rights laws.” In summarizing some of Pickering’s
more egregious actions as a federal judge, the
DPE concluded that “given
Judge Pickering’s record, judicial temperament,
extremist views and ethical lapses, we believe
he is unfit to serve on the appellate court.”
The
Department communicated with its affiliates
urging concerted grassroots activities aimed at
holding the Committee Democrats against the
nomination. They did and the Committee voted 10
to 9 on a party line vote to reject the nominee.
Patient Bill of
Rights—This
important health care reform legislation
is designed to provide health care consumers an
array of protections against abusive practices
by HMOs and other managed care providers. Among
its protections, the legislation would allow
patients who have sustained injury because they
were denied appropriate medical care, to sue
their health care provider in federal and state
court. Organized labor strongly supported the
intent of the legislation. However, serious
concerns were raised with congressional sponsors
because under the pending bills (S. 1052,
H.R.2563) unionized Taft-Hartley Health and
Welfare plans and their trustees would also be
subject to this lawsuit provision. On behalf of
DPE affiliates in broadcast, entertainment and
other sectors, the Department advised the
AFL-CIO of its serious concerns regarding this
legislation.
Discussions
between the AFL-CIO, the National Coordinating
Committee for Multi-Employer Plans (NCCMP) and
the staff of key lawmakers succeeded in somewhat
limiting liability exposure for these plans
before the House and Senate passed their
respective versions of the legislation in late
summer 2002. However, because of significant
differences between the two bills, no conference
has occurred to work out a final proposal. As a
result, continuing efforts to more fully address
labor’s concerns in conference have also been
detoured.
Musicians and
Airline Travel—Professional
musicians, who daily travel the nation by
airplane on their way to concert and other
engagements, often must hand carry with them
fragile musical instruments that are worth
thousands of dollars. For many years these
artists have found themselves victimized by
haphazard, inflexible and sometimes irrational
airline policies that force them to risk
property damage by requiring them to store these
instruments in the cargo hold of the plane. As a
result, some instruments have been irreparably
damaged and in some cases stolen. In cases where
musicians have refused to allow the confiscation
of an instrument for cargo storage, they have
been summarily thrown off of the flight even
when—as instructed by the airline-- they had
purchased a second ticket in order to store the
instrument on board. While some airlines have
such transport accommodations, they are unevenly
applied and often vary from flight to flight and
airport to airport.
During debate
late last year on airline security
legislation—H.R. 3150--the American Federation
of Musicians (AFM) and the DPE saw the
opportunity to remedy this long-standing
problem. With the help of Rep. Howard Coble
(R-NC) and Sen. Dan Inouye (D-HA), “sense of the
House” language was added to the conference
report on the final bill despite the opposition
by the Flight Attendants union and the AFL-CIO
Transportation Trades Department that opposed
any liberalization of carry-on baggage
procedures. The provision explicitly directs the
new Under Secretary for Security in the
Department of Transportation to “develop
procedures to allow passengers transporting a
musical instrument on a flight of an air carrier
to transport the instrument in the passenger
cabin of the aircraft…” The AFM is now in
discussions with the DOT to devise appropriate
parameters for implementation of this directive.
Recording Artists’ Rights--At
the state level, the DPE backed efforts by AFTRA
and the AFM to remove the recording artist’s
exemption under the existing California law
limiting personal services contracts to seven
years. Presently recording performers are the
only exemption in the state law. Recording
artists are typically tied to a contract that
runs seven years or seven albums and no artist
is capable of producing seven albums in seven
years in today’s market. Artists are therefore
indentured to the same label often for periods
of time greater than ten years preventing the
artist or group from having any opportunity to
test their value in the free market. The repeal
bill --S. B. 1246—was introduced by California
Democratic State Senator Kevin Murray. In late
January, DPE President Paul Almeida joined a
coalition of artists and labor leaders in
Sacramento to meet with California Governor Gray
Davis’ staff along with many state legislators
to present an artist’s perspective on the
legislation. The press conference announcing the
legislative campaign included such high-profile
artists as Carole King, Cheryl Crow, Don Henley,
Stevie Nicks, Ray Parker Jr., the Deftones and
other solo and group artists. At the event,
which included top officers from the California
AFL-CIO, Almeida presented a letter from
Federation President John Sweeney strongly
endorsing the Murray bill. The legislation has
drawn all out opposition from the recording
industry. As of this writing, the bill is
pending in Committee in the State Senate.
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