CA passes bill allowing college athletes to profit from endorsements

From today’s Los Angeles Times:

California became the first state to require major financial reforms in college athletics on Monday after Gov. Gavin Newsom signed into law a measure that allows players to receive endorsement deals, despite the National Collegiate Athletic Assn. calling the move unconstitutional.

Other states have proposed similar measures to pressure the NCAA, but so far only California is on a collision course with the governing body of college athletics, a billion-dollar organization that has repeatedly opposed efforts to allow players to profit off their sports.

Senate Bill 206 by Sen. Nancy Skinner (D-Berkeley) prohibits the NCAA from barring a university from competition if its athletes are compensated for the use of their name, image or likeness beginning Jan. 1, 2023. The University of California system, California State University schools, Stanford and USC all opposed the bill, saying they feared it would increase costs to ensure compliance with the law and lead to fines or even expulsion from the NCAA.

Newsom said university presidents and athletic boosters contacted him and urged him to veto the bill but that he felt strongly the state needed to address the racial, gender and economic injustices ingrained in college athletics.

“I have deep reverence, deep respect for the NCAA and college athletics,” Newsom said Monday. “I just think the system has been perverted, and this is fundamentally about rebalancing things. It’s about equity, it’s about fairness, and it’s about time.”

Read the complete article here.

Opinion: You Call It the Gig Economy, but California Calls It “Feudalism”

From today’s New York Times:

Labor leaders cheered in the balcony and lawmakers embraced on the floor of the California Senate on Tuesday as it passed a landmark measure that defines employees, a move that could increase wages and benefits for hundreds of thousands of struggling workers.

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But the bill is as much a starting point as an endgame: It will drive a national debate over how to reshape labor laws fashioned in the industrial era of the 1930s to fit a 21st-century service and knowledge economy.

With the measure, which Gov. Gavin Newsom says he will sign, California will lead in a shift that will likely redefine the roles of governments, unions and worker organizations. Just as federal labor laws were promulgated to help the country recover from the Depression, the imperative to extend basic guarantees like a minimum wage stems from the staggering income inequality in California, the state with the highest poverty rate in the country.

The new paradigms will need to fit not the relatively stable industrial work force of the last century but a gig economy in which workers are increasingly likely to hold multiple jobs or report to no workplace at all. California lawmakers took a major step in constructing the foundation of such a model with the new measure, which presumes workers are employees, entitled to all concomitant protections and benefits, unless they meet strict criteria as truly independent contractors.

Read the complete article here.

Sweeping bill rewriting California employment law sent to Gov. Newsom

From today’s Los Angeles Times:

California lawmakers rewrote the rules of employment across a wide swath of industries Wednesday in legislation that could grant hundreds of thousands of workers new job benefits and pay guarantees.

After vigorous debates over what occupations should be exempted, Assembly Bill 5, which curbs businesses’ use of independent contractors, gained final approval in the state Senate and the Assembly and was sent to Gov. Gavin Newsom, who has pledged his support.

The 6,700-word bill is one of the most controversial of the year. It could upend the relationship between workers and bosses across businesses as varied as ride-hailing tech giantsconstruction, healthcare, truckingjanitorial servicesnail salonsadult entertainment, commercial fishing and newspapers.

The message of the legislation, said its author, Assemblywoman Lorena Gonzalez (D-San Diego), is “we will not in good conscience allow free-riding businesses to continue to pass their own business costs on to taxpayers and workers. It’s our job to look out for working men and women, not Wall Street and their get-rich-quick IPOs.”

Contractors, including many in multibillion-dollar technology companies, are not covered by laws guaranteeing a minimum wage, overtime pay, sick leave, family leave, unemployment and disability insurance, workers’ compensation and protection against discrimination or sexual harassment. Nor do businesses pay into Social Security or Medicare for contractors.

After months of lobbying by the California Chamber of Commerce and a score of trade associations, AB 5 exempted a host of occupations — but not platform-based gig giants Uber, Lyft, DoorDash, Postmates and others that mounted a powerful push to avoid reclassifying their workers as employees with labor law protections.

Read the complete article here.

What to Do at Work When You Feel Uninspired

From today’s New York Times:

It’s an inevitable part of having a job: At some point we all feel a little uninspired. Maybe you’re not crazy about a new project, or you just can’t pump yourself up to finish something that’s been dragging on, but you know when the feeling hits, and it can feel like a block on your ability to get things done.

And that’s O.K.! It’s generally a solvable problem, and it’s rarely the end-of-the-world scenario it can sometimes feel like.

“Often people lose motivation because they no longer find their work meaningful, and that can take many forms,” said Liz Fosslien, co-author of “No Hard Feelings,” which looks at how emotions affect our work lives. “It could be that you’ve lost sight of the impact your work has on the broader world.”

Losing that spark can hit at any time, added Mollie West Duffy, the other co-author of “No Hard Feelings,” and sometimes you might not even realize you’re in that slump until it’s pointed out to you.

“I think it can be a slow progression,” Ms. West Duffy said. “It’s sort of like the boiling frog, it slowly starts getting more and more distracting to you, and you might not realize it.”

Feeling uninspired or unmotivated can sometimes — though not always — lead to burnout, and the overlap in symptoms is clear: It’s that “blah” feeling when you approach your job or a task, or the feeling of just being stuck in a rut. It can sometimes be hard to pinpoint or recognize that you’re in a slump, but it’s quite common among American workers: One study from 2018, found that one in five highly engaged employees is at risk of burnout.

Read the complete article here.

There is a national movement to decriminalize sex work, explained

From today’s Vox News Online:

“Everybody has sex,” says Tamika Spellman. “The only difference is that we charge for it.”

Spellman has been a sex worker in Washington, DC, for more than 30 years. In that time, she’s faced a stream of abusive behavior from police.

“I’ve had them call me names, tell me that I was stupid, that whatever happened to me out there, I deserved it for being out there,” she told Vox.

Officers have made comments like, “it would be all right if you were out here working, so long as I get lunch,” Spellman said, essentially forcing her to buy them a meal to avoid being arrested.

She’s also been sexually assaulted by officers, she told Vox. “This is something that you can find across the board with sex workers,” she said. Police “take advantage of us.”

Then there is the financial toll of criminalization. Repeated arrests and fines for doing sex work have driven Spellman further into poverty. She’s currently homeless.

Criminal penalties can take a toll on sex workers’ families too. Spellman’s children are grown now, with children of their own — she even has a great-grandchild. But when they were young, she said, “those arrests really took away from my babies.”

The solution, for Spellman and other sex workers’ rights advocates, is decriminalization: the removal of criminal penalties for selling and buying sex. Advocates say getting rid of those penalties is the only way to keep sex workers safe from police harassment and the damaging effects of arrests and fines — and to guarantee them full human rights as workers in America.

Read the complete article here.

Walmart CEO to shareholders: America’s minimum wage is ‘too low’

From today’s CNN News Online:

Walmart CEO Doug McMillon thinks the federal minimum wage is “too low.” Now the head of the country’s largest private employer is calling on Congress to raise it beyond $7.25 an hour.

“The federal minimum wage is lagging behind,” Doug McMillon said at Walmart’s annual shareholder meeting in Bentonville, Arkansas on Wednesday.

Congress has not raised the minimum wage since 2009, but McMillon’s surprise comments may give lawmakers an incentive to act. McMillon’s call may also ease pressure on Walmart.Senator and presidential candidate Bernie Sanders, along with workers’ rights groups, have called on Walmart to raise its wages above the company’s current $11-an-hour minimum.

McMillon said “it’s time for Congress to put a thoughtful plan in place” to increase wages. It was the first time he has pushed Congress to raise pay nationwide, according to the company.

Any plan to increase the minimum wage, however, should take into account cost of living differences around the country “to avoid unintended consequences,” McMillon said. He also noted that a hike may need to be phased in over time.

McMillon defended Walmart’s moves to raise wages, expand benefits and train its 1.5 million US workers in recent years. The company has steadily been raising its minimum wage, boosting it to $11 an hour more than a year ago. That’s up 50% in the last four years, McMillon said.

McMillon added that Walmart pays more than $11 in some markets to “recruit and retain the talent we need to run a good business.”In a hotel ballroom near Walmart’s corporate headquarters in Bentonville, Sanders pressed the world’s largest retailer to increase its wages and called out McMillon for his nearly $24 million in total pay last year. Sanders also introduced a shareholder resolution that would put hourly workers on Walmart’s board of directors. The resolution was voted down on Wednesday.

Read the complete article here.

Walmart workers invite Sen. Sanders to crash the company’s annual meeting

From today’s Washington Post:

For years, Walmart workers have attended the company’s annual shareholders meeting to call for higher wages, better benefits and more predictable schedules.

This year they’ll have someone new delivering the message on their behalf: Sen. Bernie Sanders.

The presidential candidate, who has repeatedly called on Walmart to improve its working conditions, is heading to Bentonville, Ark., on June 5 to introduce a shareholders’ proposal that would give hourly Walmart workers a seat on the company’s board.

“These workers need and deserve a seat at the table,” Sanders (I-Vt.) told The Washington Post. “If hourly workers at Walmart were well represented on its board, I doubt you would see the CEO of Walmart making over a thousand times more than its average worker.”

If passed, the measure would require the retailer to consider its 1.5 million hourly U.S. employees when nominating candidates to its board, which is currently companies of a dozen wealthy executives from companies like McDonald’s and NBCUniversal.

Read the complete article herhttps://www.washingtonpost.com/business/2019/05/21/walmart-workers-invited-special-guest-crash-companys-annual-meeting-bernie-sanders/?utm_term=.92102ae998b9e.

Labor Dept. Says Workers at a Gig Company Are Contractors

From today’s New York Times:

The Labor Department weighed in Monday on a question whose answer could be worth billions of dollars to gig-economy companies, deciding that one company’s workers were contractors, not employees.

As a result, the unidentified company — whose workers, it appears, clean residences — will not have to offer the federal minimum wage or overtime, or pay a share of Social Security taxes. And while the decision officially applies only to that company, legal experts said it was likely to affect a much larger portion of the industry.

The move signals the Trump administration’s approach to the way gig companies, a growing share of the economy, must treat their work force. As companies like Uber and Lyft begin to sell shares to the public, industry officials estimate that requiring them to classify their workers as employees would raise their labor costs by 20 to 30 percent.

“Today, the U.S. Department of Labor offers further insight into the nexus of current labor law and innovations in the job market,” Keith Sonderling, an official in the division that oversees such issues, said in a statement. It is a longstanding policy for the department not to disclose the names of companies receiving such letters.

Read the complete article here.

Labor Department moves to ease franchise liability for wage violations

From today’s Reuters News:

The U.S. Department of Labor on Monday issued a proposal that would make it more difficult to prove companies are liable for the wage law violations of their contractors or franchisees, a top priority for business groups.

If adopted, the rule would likely help fast-food companies and other franchisors who have been sued by workers in recent years for wage-law violations by franchisees.

The department in 2017 had already repudiated legal guidance issued by the Obama administration that had expanded the circumstances in which a company could be considered a so-called joint employer under the federal Fair Labor Standards Act (FLSA).

Labor Secretary Alexander Acosta in a statement said Monday’s proposal would reduce litigation under the FLSA and provide clarity to businesses and courts. The FLSA mandates that workers be paid the minimum wage and overtime, among other requirements.

Publication of the rule kicked off a 60-day public comment period.

Under the proposal, companies would be considered joint employers only if they hire, fire, and supervise employees, set their pay, and maintain employment records. That would likely exclude many franchisors and companies that hire contract labor.

Read the complete article here.

McDonald’s Announces It Will No Longer Lobby Against Minimum Wage Hikes

From today’s CNBC News Online:

McDonald’s will no longer take part in efforts to lobby against raising the minimum wage at the federal, state or local level, the fast-food giant told the National Restaurant Association Tuesday. 

Genna Gent, McDonald’s vice president of U.S. government relations, said in a letter to the association that the company believes wage increases “should be phased in and that all industries should be treated the same way.”

“The conversation about wages is an important one; it’s one we wish to advance, not impede,” Gent wrote. The fast-food chain also stated that outlets owned by the company have an average starting wage that exceeds $10 per hour while franchisees pay “likely similar” wages in their own restaurants.

A McDonald’s spokeswoman declined to comment further to CNBC. Politico was the first to report the news of the letter. 

The move from McDonald’s, one of the largest employers in the world, could boost House Democrats and their efforts to raise the minimum wage. Earlier this month, the House Committee on Education and Labor advanced a bill to raise the U.S. wage floor to $15 per hour by 2024. Currently, the minimum wage is $7.25.

Read the complete article here.