Regulatory Wrap-Up: Weekly recap of retail-related legislative developments -- June 10

Connecticut - The house approved senate-passed legislation to mandate 12 weeks of leave to care for a new child, a sick family member or their own illnesses. The bill calls for a .5% payroll tax and covers 95% of wages not to exceed $900/week.

Massachusetts - Efforts to impose a three-month delay on implementation of the state’s new paid family and medical leave program have appeared to fall short and the program will be effective July 1, as scheduled. The state will begin collecting a .63% payroll tax from employers to fund the nearly $800 million program.

Scheduling

Chicago, IL - Negotiations continue on coverage exemptions to the proposed scheduling ordinance. As currently written, the proposal would cover industry employers with at least 30 locations worldwide and employ at least 250 people collectively. A hearing on the bill is scheduled in the coming weeks.

Labor Activism

NLRB - The U.S. Chamber of Commerce is petitioning the National Labor Relations Board (NLRB) to take a closer look at the labor organizing activities of non-profit worker centers. The Chamber has long maintained that these groups operate as unregulated front groups for unions, dodging the operational and disclosure requirements of traditional labor organizations and should be subject to the same requirements if engaged in certain activities.

Little Big Burger - In an interesting turn of events, the burger chain, Little Big Burger, filed an election petition with the NLRB this week for an “ambush election,” and union organizers are crying foul and asked the NLRB to delay the vote. Organizing efforts at that location intensified a few months ago following a successful unionization effort at another Portland-area chain, Burgerville. At one Little Big Burger location workers had called upon the company to recognize the union. The company did not. Instead, it decided to call for an election that includes all locations in Oregon (thirteen total). Presumably, expanding the bargaining unit to thirteen locations provides an advantage to the company while possibly diluting the number of union-allied workers. Unless the NLRB delays the vote, the election will be held next week.

McDonald’s - Gretchen Carlson lent her name to calls for McDonald’s to strengthen its prevention of sexual harassment in the workplace. In an opinion piece penned for the Washington Post, she added credibility to many of the claims made by the Fight for $15 campaign.

Taxes

Maine - Legislation expanding sales tax collection obligations to online sellers is moving quickly through the legislature and is expected to eventually be signed into law. The bill establishes a minimum economic threshold of $100,000 in annual sales for all sellers and mandates that online marketplace providers collect sales taxes on sales made by third-party vendors on their site.

Nevada - Legislation expanding sales tax collection obligations to online sellers passed both chambers and heads to governor for his expected signature. The bill establishes a minimum economic threshold of $100,000 in annual sales for all sellers and mandates that online marketplace providers collect sales taxes on sales made by third-party vendors on their site.

San Francisco, CA - Next November, city voters will decide on a ballot measure to institute a CEO tax with revenues earmarked for a program to open mental health clinics throughout the city. The tax would apply to those companies whose CEO pay is at least 100 times that of the median compensation paid to employees.