Craig Becker, general counsel for the AFL-CIO, writes for Law360 that it’s time to reexamine the “companionship exemption” in the Fair Labor Standards Act, through which employers do not need to pay America’s estimated 2 million home care workers minimum wage and overtime. Becker notes that the home care industry has changed in recent decades, with most home care workers performing a full variety of housework, cooking, and other chores—far beyond the simple “companionship services” that were contemplated by the law’s drafters. He offers a critique of a District Court’s decision in December 2014 that struck down DOL’s more limited definition of the exemption, and argues that our labor laws need to be adapted to the workplace of the 21st century.
The New York Times and Wall Street Journal report on Ford Motor Co.’s “historic” plan to increase wages for up to 500 of its “entry-level” union workers. The move comes as the company is experiencing growing demand for its new pickup truck model, prompting the hiring of 1,550 new workers to increase production. The new hires mean that Ford will exceed the number of employees it can place in its entry-level wage category. According to the Times: “The transition is the first time that any entry-level workers at the three domestic carmakers have moved up to the higher wage scale since the companies agreed to a two-tier system in their 2007 contract with the United Automobile Workers union.”
The strike of 3,800 United Steelworkers workers continued into its fourth day today, with no signs of resolution. Politico reports that most refineries continue to operate, relying on trained managers and non-union employees, but that one California refinery has been completely shut down.
Lydia DePillis writes for the Washington Post about the growing trend of companies classifying more of their workers as independent contractors—and the emerging businesses such as Work Market that help connect these workers to available jobs. There are high tradeoffs to this arrangement: independent contractors need to purchase more expensive health care, their capacity to bargain collectively for benefits and wage increases is undermined, and finding steady work remains a constant challenge.
Daily News & Commentary
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September 16
In today’s news and commentary, the NLRB sues New York, a flight attendant sues United, and the Third Circuit considers the employment status of Uber drivers The NLRB sued New York to block a new law that would grant the state authority over private-sector labor disputes. As reported on recently by Finlay, the law, which […]
September 15
Unemployment claims rise; a federal court hands victory to government employees union; and employers fire workers over social media posts.
September 14
Workers at Boeing reject the company’s third contract proposal; NLRB Acting General Counsel William Cohen plans to sue New York over the state’s trigger bill; Air Canada flight attendants reject a tentative contract.
September 12
Zohran Mamdani calls on FIFA to end dynamic pricing for the World Cup; the San Francisco Office of Labor Standards Enforcement opens a probe into Scale AI’s labor practices; and union members organize immigration defense trainings.
September 11
California rideshare deal advances; Boeing reaches tentative agreement with union; FTC scrutinizes healthcare noncompetes.
September 10
A federal judge denies a motion by the Trump Administration to dismiss a lawsuit led by the American Federation of Government Employees against President Trump for his mass layoffs of federal workers; the Supreme Court grants a stay on a federal district court order that originally barred ICE agents from questioning and detaining individuals based on their presence at a particular location, the type of work they do, their race or ethnicity, and their accent while speaking English or Spanish; and a hospital seeks to limit OSHA's ability to cite employers for failing to halt workplace violence without a specific regulation in place.