The January jobs report published by the Bureau of Labor Statistics on Friday has been the subject of economic forecasts over the weekend. According to the report, nonagricultural employment rose by 151,000 and the unemployment rate fell to 4.9%, which is the first time the jobless rate has dipped below 5.0% in over eight years. Wage growth was also notable as the average hourly earnings rate rose by 12 cents, to $25.39, an hour for all employees and by 6 cents, to $21.33, for individuals in private-sector production and nonsupervisory positions. The New York Times reports that the wage increase might be a sign that the economy has become stable enough for workers to demand more pay. Analysts for MarketWatch, however, suggest that the “slower-than-expected” pace of hiring might be indicative of a “weakening U.S. economy” and “the possibility of recession.” Despite mixed reviews from analysts, President Barack Obama views the statistics as a healthy sign of progress, reports the Times. “After reaching 10 percent in 2009,” he told reporters in Washington at a White House briefing, “the unemployment rate has now fallen to 4.9 percent . . . Americans are working.”
Union members of 769 United Steelworkers working at refineries in California and Washington State have settled with their employer, Tesoro Corp., for $8.08 million, reports Reuters. The payout will compensate employees for bonuses denied while the workers were on strike in 2015. After non-striking employees received bonuses in March of 2015, those workers who participated in the strike filed complaints with the National Labor Relations Board (NLRB) for retaliation and unlawful modification of their contract. Under the settlement, 100 percent of the bonuses that employees were eligible for last March will be meted out.
Another prominent settlement is the anticipated $3.1 million that the City of Chicago plans to dole out to pinch a class-action lawsuit filed by the Department of Justice in U.S. District Court last Friday. According to the Chicago Tribune, the DOJ filed the lawsuit on behalf of two men who alleged that the Chicago Police Department used a 10-year residency requirement to discriminate against foreign-born applicants. In addition to monetary compensation, the lawsuit also demands that the Police Department change its hiring policies to ensure that the residency requirement does not become a “pass/fail screening device.” The Tribune reports that the city could approve the settlement as early as this Wednesday.
Daily News & Commentary
Start your day with our roundup of the latest labor developments. See all
October 13
Chicago hotel workers remain on strike; a coalition of Democratic states sues the Labor Department over canceled unemployment insurance grants; the Federal Labor Relations Authority establishes a new mediation framework for federal worker disputes.
October 12
Workers at the Obama Foundation begin organizing; MLB submits its latest collective bargaining agreement proposal; Brigham & Women's nurses postpone strike.
October 11
UAW President Shawn Fain succeeds in his reelection bid, and Spanish unions call for a general strike.
October 9
DHS proposes a $100k fee for the foreign grad employment program; Trump suspends tech company access to green card program; and private equity perpetuates poor working conditions for home care workers.
October 8
NLRB judge finds UPS unlawfully restricted union insignia; Harvard graduate workers authorize second strike; OSHA orders Union Pacific to pay $300,000 in damages in whistleblower case.
October 7
DOL scraps plan to remove decades-old wage-and-hour guidance from federal regulations; New York enacts personnel records access law; Starbucks loses bid to dismiss Workers United trademark suit.