2009 Regulatory Issues
Governor Jan Brewer freezes new regulations
In her first official act as Governor of Arizona, Jan Brewer asked each state agency to put a temporary freeze on all new state government regulations. The directors and acting directors of these agencies have been asked to refrain from submitting any new regulations to the Arizona rule-making process until the Governor has reviewed all rules and regulations that were set into motion during previous administrations.
"It is imperative that my senior staff and I perform a thorough review of all regulatory mandates set in motion by previous administrations. We must assess where the regulatory burdens lie and determine how they are appropriately or inappropriately impacting the citizens of Arizona. We must make sure that Arizona is the most economically, vibrant place in the world through freedom from archaic regulation." Brewer said
The memo also orders agency heads to withdraw any regulations not yet published with the Secretary of State. The directive provides an exemption mechanism for rules necessary to protect public health and safety, as well as those that address the state budget deficit.
FEDERAL ISSUES
The Employee Free Choice Act (Also known as the "Card Check" bill)
Labor is making the EFCA a top priority in Congress this year. The EFCA would radically alter 75 years of labor law governing the rights of employees by, among other things, effectively eliminating NLRB-supervised secret ballot elections in favor of "card check," thereby enabling unions to organize employees merely by convincing or coercing a majority of them to sign cards.
The EFCA would also mandate binding arbitration if agreement on a contract cannot be reached, where a third party will make the labor contract decisions for both the employer and employees. Companies that are not able to operate under contracts may be forced to reduce worker benefits, reduce their workforce to remain in business, or worse, close their doors and move offshore.
PROVISIONS
- Removes current barriers that prevent workers from forming unions to bargain collectively. Requires that when a majority of employees has signed authorizations designating the union as its bargaining representative, the union will be certified by the National Labor Relations Board (NLRB). Requires the Board to develop model authorization language and procedures for establishing the validity of signed authorizations.
- Guarantees workers a contract when they form a new union. Provides that when an employer and newly formed union are unable to bargain a first contract within 90 days, either party can request mediation by the Federal Mediation and Conciliation Service (FMCS). If no agreement has been reached after 30 days of mediation, the dispute is referred to binding arbitration. All time limits can be extended by mutual agreement.
- Strengthens penalties against companies which break the law during organizing campaigns and first contract negotiations. Company violations have become epidemic in large part because remedies for corporate misconduct, such as illegal firings of union supporters, are so weak that companies treat them as a cost of doing business and a cheap way to scare workers away from their union support. New, tougher remedies will provide more protection for workers' rights.
- Civil Penalties: Up to $20,000 per violation against companies found to have willfully or repeatedly violated employees' rights during an organizing campaign or first contract negotiations.
- Treble Back Pay: Increases to three times back pay the amount a company is required to pay when an employee is discharged or discriminated against during an organizing campaign or first contract negotiations.
- Mandatory Applications for injunctive remedies: Requires the NLRB to seek a federal court injunction when there is reasonable cause to believe a company has discharged or discriminated against employees, threatened to do so, or engaged in conduct that significantly interferes with employee rights during an organizing campaign or first contract negotiations. Equalizes remedies by making mandatory injunctive remedies against companies the same as the currently required injunctive remedies against unions.
