President-Elect Obama’s Workplace Agenda

The transition in our nation’s capital to a new administration is well underway.  The new administration has made known its intent to bring change to several areas of workplace law, including organized labor, employment discrimination, and wage and leave laws.  The administration’s platform on these, and other, workplace issues is summarized below.

ORGANIZED LABOR

Organized Labor Regains A Voice in Washington
Organized labor contributed significant time and effort to President-elect Obama’s campaign.  Labor’s efforts did not go unnoticed, as Obama made his support for organized labor a theme that echoed throughout his campaign.  Labor unions see the new administration as an opportunity to advance favorable policies on many fronts, an opportunity they have not had the past eight years.  President-Elect Obama’s labor platform reflects his desire to facilitate a larger unionized workforce.

The New Administration’s Support for Growing the Unionized Workforce
Expected to be the centerpiece of the Obama administration’s labor agenda, the Employee Free Choice Act (EFCA) would require the National Labor Relations Board to certify a union after a majority of a company’s workers sign union cards, effectively putting an end to the current secret-ballot union election process.  Once a union is certified, EFCA would impose mandatory interest arbitration if the employer and union fail to agree to a new contract within 90 days of certification – thus allowing an arbitrator to set the terms of the labor contract.  Obama’s platform regarding EFCA is set forth here.

In addition, President-Elect Obama has publicly stated his support for the “Re-Empowerment of Skilled and Professional Employees and Construction Tradeworkers” or “RESPECT” Act, which would significantly limit which workers are considered supervisors under the National Labor Relations Act, paving the way for unionization of many employees currently regarded as supervisors.

A Movement to Outlaw Hiring Permanent Replacements for Striking Workers
President-Elect Obama has proposed a policy that would ban the permanent replacement of striking workers.  This would potentially increase union bargaining power two-fold by galvanizing union job security and weakening employers’ ability to find adequate replacement workers during labor stoppages.

DISCRIMINATION

Stiffer Penalties for Unequal Pay
The Paycheck Fairness Act, supported by President-Elect Obama, would make it easier for plaintiffs’ lawyers to file class action lawsuits under the Equal Pay Act, and would place the burden on employers to prove that any pay differential between similar employees is not based upon gender.  The law would also allow for unlimited compensatory and punitive damages.  Obama is a co-sponsor of the Paycheck Fairness Act.

Expanding the Timeframe to File a Title VII Lawsuit – the Ledbetter Fair Pay Act
This law, if passed, would effectively extend the statute of limitations for certain claims under Title VII, the Americans With Disabilities Act, the Age Discrimination in Employment Act, and the Rehabilitation Act.  The law would allow a plaintiff to file suit based upon a discriminatory act occurring outside the current 300-day charge-filing period, if the effects of the discrimination (such as reduced pay) are felt within the 300-day period.  Obama’s Senate webpage sets forth his support for the Ledbetter Fair Pay Act.

Increased Enforcement
In addition to new laws, the Obama administration is expected to increase the size and budgets of the EEOC and other agencies charged with enforcing anti-discrimination laws.  A blog entry posted on Obama’s campaign Website summarizes the President-Elect’s support of increasing the EEOC’s budget and staffing.

WAGES AND LEAVE

Mandatory Paid Sick Leave and Flexible Work Schedules
President-Elect Obama has stated his support for a new law that would require employers to provide employees up to seven days paid sick leave per year.  In addition, Obama supports creating a program that would encourage businesses to offer flexible work schedules.  The program would emphasize that flexible schedules increase productivity and establish positive workplace environments.

Raising the Minimum Wage
President-Elect Obama publicly supports amendments to the Fair Labor Standards Act that would increase the federal minimum wage to $9.50 per hour by 2011, and provide for automatic increases indexed to inflation thereafter.

BUSINESS CLOSURES

Tighter Regulations on Employer Shut Downs - FOREWARN Act
Amendments to the Worker Retraining and Notification (“WARN”) Act would expand the law to cover employers with as few as 50 employees, increase the plant-closing or mass-layoff notice period to 90 days, and double penalties for violations.  This statement, published on Obama’s senate webpage, sets forth the President-Elect’s support for the FOREWARN Act.