Regulatory Wrap-up: Insider’s guide to retail-related legislative developments
Labor is in the spotlight as Supreme Court issues far-reaching, employer-friendly ruling and a potential mass strike of hospitality union workers could cripple Las Vegas resorts.
Wages
Arkansas - The state supreme court issued an order directing the attorney general to either approve the ballot initiative to raise the state’s minimum wage or provide language that she deems appropriate. The order came after the attorney general rejected three previous attempts by authors to submit valid ballot language. As a result, Attorney General Rutledge reluctantly chose to approve the language which, if passed, would raise the state’s wage to $12/hr by 2022. Advocates now have until July 6 to collect and submit 80,000 valid signatures in order for the measure to be approved for the ballot.
Michigan - Advocates submitted over 370,000 signatures for approval in support of a ballot initiative to increase the state’s minimum wage to $12/hr by 2022 as well as phase out the state’s tipped wage by 2024. The state Bureau of Elections will begin the process of validating the signatures, and if approved, the language will appear on the Nov. ballot.
Vermont - Governor Scott vetoed legislation that would have raised the state’s minimum wage to $15/hr by 2024. It does not appear that the legislature has enough votes to override the veto.
Anaheim, CA - Senator Bernie Sanders is headlining a June 2 rally in support of a ballot initiative that would raise the minimum wage to $15/hr for hotels that receive city tax subsidies. It would rise to $18/hr by 2022 with future increases tied to cost of living. Advocates recently submitted signatures in support of the initiative appearing on the ballot, but the city has yet to conclude the certification process.
Paid Leave
Vermont - Governor Scott vetoed legislation that would have established a state-run paid family leave program funded by employees through a payroll tax. It does not appear that the legislature has enough votes to override the veto.
San Antonio, TX - A labor advocacy group, Working Texans for Paid Sick Time, submitted over twice the number of required signatures to the city clerk’s office in support of a paid leave ballot initiative. The language mirrors the law in Austin, TX which passed earlier this year and is the subject of litigation. If the signatures are approved, the initiative will appear on the Nov. ballot.
Equal Pay
Connecticut - The governor signed into law a bill that prohibits employers from asking about a job candidate’s salary history prior to offering employment.
Labor Policy
U.S. Supreme Court - In a much anticipated and far-reaching decision, the U.S. Supreme Court issued an employer-friendly ruling that could impact at least 25 million workers. In a 5-4 vote, the court ruled that companies may use arbitration clauses in employment contracts to prevent workers from banding together in class action lawsuits related to workplace disputes.
NLRB - Despite a December decision by the federal labor board that narrowed the circumstances under which micro-units could be created, an NLRB regional director ordered a union election for a sub-group of employees at the Boeing Company. The director found that they "share a sufficiently distinct community of interest." This marks the second ruling this month in which a regional director upheld a micro-unit, in spite of the NLRB's Dec. ruling. The two rulings may further spur NLRB General Counsel Peter Robb to demote and reduce the influence of regional directors, whom many in the business community regard as too pro-labor.
Las Vegas, NV - For the first times in decades, a mass strike of hospitality union workers may be imminent. In a move that could cripple Las Vegas resorts, nearly 25,000 members of the Culinary Union who work at 34 different casino-resorts voted to strike at any time beginning June 1. The contracts of 50,000 unionized workers are set to expire at midnight May 31 and union negotiators are working to secure new, five-year contracts. If they don’t, workers could shut down area casino-resorts in protest.
New York City, NY - Similar to efforts in Seattle, New York City is taking steps to extend employment law protections to ride-sharing contractors. The Independent Drivers Guild, a quasi-union for drivers, petitioned the New York City Taxi and Limousine Commission to set a livable wage rule that applies to drivers for apps like Uber and Lyft in the city. Their proposal would also prohibit apps from charging more than 20 percent over what workers are paid. The commission has sixty days to consider the proposal.
McDonald’s - Fight for $15 attacked McDonald's on two fronts this week. The SEIU-backed group organized protests and disruptions at the Illinois state house and delivered a letter to McDonald's corporate headquarters, stating the company "perpetuates systemic racism in the U.S. by blocking raises for people of color." In conjunction with the Time's Up Legal Defense Fund, the union also assisted McDonald's cooks and cashiers in filing 10 complaints with the Equal Employment Opportunity Commission, alleging workers have faced sexual harassment, assault and retaliation on the job.
Taxes
Louisiana - A much-debated tax package passed the house and now heads to the senate. Among other provisions dealing with sales taxes, the package includes language that expands sales tax collection obligations to sellers with more than $100,000 in sales or more than 100 sales into the state annually. The language is modeled after the landmark South Dakota law that is awaiting a decision from the U.S. Supreme Court regarding its constitutionality which is expected sometime in June.
Seattle, WA - Large companies with locations in the city have pledged financial resources to place an initiative on the Nov. ballot that would repeal the recently
Wages
Arkansas - The state supreme court issued an order directing the attorney general to either approve the ballot initiative to raise the state’s minimum wage or provide language that she deems appropriate. The order came after the attorney general rejected three previous attempts by authors to submit valid ballot language. As a result, Attorney General Rutledge reluctantly chose to approve the language which, if passed, would raise the state’s wage to $12/hr by 2022. Advocates now have until July 6 to collect and submit 80,000 valid signatures in order for the measure to be approved for the ballot.
Michigan - Advocates submitted over 370,000 signatures for approval in support of a ballot initiative to increase the state’s minimum wage to $12/hr by 2022 as well as phase out the state’s tipped wage by 2024. The state Bureau of Elections will begin the process of validating the signatures, and if approved, the language will appear on the Nov. ballot.
Vermont - Governor Scott vetoed legislation that would have raised the state’s minimum wage to $15/hr by 2024. It does not appear that the legislature has enough votes to override the veto.
Anaheim, CA - Senator Bernie Sanders is headlining a June 2 rally in support of a ballot initiative that would raise the minimum wage to $15/hr for hotels that receive city tax subsidies. It would rise to $18/hr by 2022 with future increases tied to cost of living. Advocates recently submitted signatures in support of the initiative appearing on the ballot, but the city has yet to conclude the certification process.
Paid Leave
Vermont - Governor Scott vetoed legislation that would have established a state-run paid family leave program funded by employees through a payroll tax. It does not appear that the legislature has enough votes to override the veto.
San Antonio, TX - A labor advocacy group, Working Texans for Paid Sick Time, submitted over twice the number of required signatures to the city clerk’s office in support of a paid leave ballot initiative. The language mirrors the law in Austin, TX which passed earlier this year and is the subject of litigation. If the signatures are approved, the initiative will appear on the Nov. ballot.
Equal Pay
Connecticut - The governor signed into law a bill that prohibits employers from asking about a job candidate’s salary history prior to offering employment.
Labor Policy
U.S. Supreme Court - In a much anticipated and far-reaching decision, the U.S. Supreme Court issued an employer-friendly ruling that could impact at least 25 million workers. In a 5-4 vote, the court ruled that companies may use arbitration clauses in employment contracts to prevent workers from banding together in class action lawsuits related to workplace disputes.
NLRB - Despite a December decision by the federal labor board that narrowed the circumstances under which micro-units could be created, an NLRB regional director ordered a union election for a sub-group of employees at the Boeing Company. The director found that they "share a sufficiently distinct community of interest." This marks the second ruling this month in which a regional director upheld a micro-unit, in spite of the NLRB's Dec. ruling. The two rulings may further spur NLRB General Counsel Peter Robb to demote and reduce the influence of regional directors, whom many in the business community regard as too pro-labor.
Las Vegas, NV - For the first times in decades, a mass strike of hospitality union workers may be imminent. In a move that could cripple Las Vegas resorts, nearly 25,000 members of the Culinary Union who work at 34 different casino-resorts voted to strike at any time beginning June 1. The contracts of 50,000 unionized workers are set to expire at midnight May 31 and union negotiators are working to secure new, five-year contracts. If they don’t, workers could shut down area casino-resorts in protest.
New York City, NY - Similar to efforts in Seattle, New York City is taking steps to extend employment law protections to ride-sharing contractors. The Independent Drivers Guild, a quasi-union for drivers, petitioned the New York City Taxi and Limousine Commission to set a livable wage rule that applies to drivers for apps like Uber and Lyft in the city. Their proposal would also prohibit apps from charging more than 20 percent over what workers are paid. The commission has sixty days to consider the proposal.
McDonald’s - Fight for $15 attacked McDonald's on two fronts this week. The SEIU-backed group organized protests and disruptions at the Illinois state house and delivered a letter to McDonald's corporate headquarters, stating the company "perpetuates systemic racism in the U.S. by blocking raises for people of color." In conjunction with the Time's Up Legal Defense Fund, the union also assisted McDonald's cooks and cashiers in filing 10 complaints with the Equal Employment Opportunity Commission, alleging workers have faced sexual harassment, assault and retaliation on the job.
Taxes
Louisiana - A much-debated tax package passed the house and now heads to the senate. Among other provisions dealing with sales taxes, the package includes language that expands sales tax collection obligations to sellers with more than $100,000 in sales or more than 100 sales into the state annually. The language is modeled after the landmark South Dakota law that is awaiting a decision from the U.S. Supreme Court regarding its constitutionality which is expected sometime in June.
Seattle, WA - Large companies with locations in the city have pledged financial resources to place an initiative on the Nov. ballot that would repeal the recently