On July 19, the U.S. Senate confirmed Thomas Perez to be the next Secretary of Labor.  The confirmation was part of a bi-partisan compromise over a number of stalled presidential nominations.  The deal includes an agreement over appointments to the National Labor Relations Board (NLRB or Board) that is expected to soon give the Board a full complement of five confirmed members for the first time in several years.

The U.S. Court of Appeals for the Fifth Circuit (LA, MS, TX) has refused to enforce a National Labor Relations Board (NLRB) order finding that the Houston chapter of the Independent Electrical Contractors (IEC) was operating an applicant referral service unlawfully. 

The United States Supreme Court has issued two decisions that expand same-sex marriage rights. In the first, United States v. Windsor, No. 12-307 (June 26, 2013), the Court ruled unconstitutional a law denying federal recognition of legally-married same-sex couples. In the second, Hollingsworth, et al. v. Perry, No. 12-144 (June 26, 2013), the Court effectively permitted same-sex marriage in California. These decisions have wide-ranging implications for employers.

The first report on collective bargaining settlements for 2013 has been released by the Construction Labor Research Council (of which AGC is a member).  Settlements reported to CLRC to date yielded an average first-year wage-and-benefit increase of 2.2 percent or $1.04.  For newly negotiated, multiyear agreements, the average second year increase was 2.1 percent or $1.09, and the average third-year increase was 2.1 percent or $1.10.  As percentages, these increases are higher than contracts settled in 2012 and 2011 for contract year one, and lower than 2012 and 2011 for years two and three.

Legislation Continues to Include AGC-Opposed Restrictions on the Construction Industry The Senate debate of the comprehensive immigration bill S. 744 – the Border Security, Economic Opportunity, and Immigration Modernization Act – enters its third and final week, with the conversation still focused on strengthening the border security provisions before the legalization provisions of the bill could go into effect.  Yesterday, the Senate cleared a procedural motion on a compromise border security amendment with 67 votes. The border security amendment would double the size of the U.S. Border Patrol by adding 20,000 agents and require 700 miles of fencing at the U.S.-Mexico border. It also would deploy unmanned aerial drones and other added resources at the border. The bill is likely to see a vote on final passage later this week and will likely pass. 

The U.S. Court of Appeals for the Fourth Circuit has ruled that the National Labor Relations Board’s (NLRB) notice-posting rule is invalid.  The regulation, which has been on hold for over a year and has never taken effect, would require most employers to post designated notices informing employees of certain rights under the National Labor Relations Act (NLRA), including the right to organize.  The decision is the latest in a series of significant victories by employers challenging the Board’s authority in court, including a decision last month by the D.C. Circuit striking down the same rule on different grounds.

The implementation of the Affordable Care Act’s (ACA) tax credit for employers with fewer than 25 employees and the looming requirement that large employers (those with 50 or more full-time-equivalent (FTE) employees) provide affordable health insurance to their full-time employees or pay a penalty have resulted in some employers trying to limit the number of employees in their organization. One method that is gaining popularity (and that we do not recommend) is broadly classifying workers as independent contractors instead of employees. Employers should not try to manipulate the system to obtain the ACA’s tax credits or avoid its requirements. Misclassifying an employee as an independent contractor can result in substantial penalties and quickly erase any benefit.

According to the Center for Construction Research and Training, 30 percent of all construction workers are Hispanic.  Therefore, understanding and exploring the impact culture plays when working with a Hispanic workforce is vital to the success of construction companies nationwide. On Thursday, July 18, AGC will host a webinar on The Hispanic Workforce: Best Practices for Construction Employers.  The webinar will take place from 2:00-3:30 p.m. EDT.  The cost to participate is just $99 for AGC members and $129 for non-members. 

The U.S. Department of Labor’s Wage and Hour Division (WHD) has scheduled two upcoming conferences to educate federal contractors on the Davis-Bacon and Related Acts. Each conference will address such topics as the process of obtaining wage determinations and adding classifications, compliance assistance and enforcement processes, and the process of appealing wage rates.  The conferences will be held June 20-21 in Long Island, N..Y, and June 26-27 in Atlantic City, N.J.

AGC recently hosted a webinar on The New Form I-9: What You Need to do to Avoid the Pitfalls and Stay Compliant.  An on-demand version of the webinar is available for purchase from the AGC Bookstore.