The Eleventh Circuit revived a suit brought by the NAACP against the state of Alabama for its law pre-empting Birmingham’s minimum wage hike. The NAACP argued that the Alabama law intentionally discriminated against black workers, who would have benefitted disproportionately from the increase wages. In allowing plaintiffs’ claims of constitutional violations to go forward, the court wrote that “[t]oday, racism is no longer pledged from the portico of the capitol or exclaimed from the floor of the constitutional convention; it hides, abashed, cloaked beneath ostensibly neutral laws and legitimate bases, steering government power toward no less invidious ends.”
The candy maker Necco abruptly shut down a production factory in Massachusetts after it was sold. The company, which had been at risk of shutting down production permanently earlier this year, had seemed to catch a break when an investment company bought it at a bankruptcy auction. But now its future is unclear, and the 230 workers at the Revere plant do not know if their jobs will return.
Mattel, the toy manufacturer, announced that it would lay off 2,200 workers – over 20% of its workforce. The move comes after the bankruptcy of Toys R Us, one of the biggest retailers selling Mattel’s toys, which include Hot Wheels and Barbie dolls. The layoffs are part of a wide-ranging attempt to cut costs at the company, which posted a 14% drop in revenue in the last quarter.
The Federal Labor Relations Authority advised the U.S. Department of Education that it likely violated federal law when it cut employee compensation and benefits earlier this year and limited employees’ ability to engage in union activity. Other departments of the federal government, including the Social Security Administration and the Department of Veterans Affairs, implemented similar new contracts and thus may also risk a finding that they have violated federal labor law. The decision comes after a four month investigation by an independent civil servant, and the federal employees’ union vowed to continue to fight what it sees as rampant bad-faith bargaining by the government.
Daily News & Commentary
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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.
October 6
Protect College Sports Act dampens athlete unionization outlook; Stanford RA union decides to withdraw petition
October 5
Delaware bans captive audience meetings; EEOC settles remote work national origin discrimination claim; First Circuit stays enforcement order in VA's dispute with AFGE.