Adovates for Reading ID cards vow to continue their efforts
Adovates for Reading ID cards vow to continue their efforts
Despite collective agreement by city officials, activists say the fight for creating a Reading city ID is nowhere near...
Despite collective agreement by city officials, activists say the fight for creating a Reading city ID is nowhere near over.
Make The Road Pennsylvania, a community action group leading the effort for municipal IDs, filled its Reading headquarters Thursday evening with people resolved to continue pushing for the initiative.
Reading City Council members and Mayor Wally Scott said Monday night that they would not pursue an ordinance setting up a program.
Make The Road submitted a draft ordinance for the creation of a city ID in May.
The IDs would help make everyday life easier for the elderly, undocumented immigrants, some Puerto Ricans and others who face hurdles getting ID, Make The Road says.
City officials cited several concerns about the draft ordinance, including the legality and costs of a program.
Make The Road organizers countered some of those reasons Thursday by naming 13 municipalities around the country that have already approved local IDs.
They also presented their own cost-analysis of the program which, under the group's estimates of an ID with a $30 price tag, would bring in about $130,000 for the city.
Gabriela Raful, president of the Berks County Bar Association Minority Law Committee, and Bernardo Carbajal and Abraham Cepeda, attorneys and Reading School Board members, also spoke with ID supporters.
The local bar association's board of directors endorsed the creation of a city ID Tuesday, but did not specifically endorse Make The Road's draft ordinance.
Though activists are determined, City Council President Jeffrey S. Waltman Sr. said Thursday afternoon that he doesn't think council will revisit the idea anytime soon.
"The bottom line is I don't foresee City Council taking the issue up in the near future," he said. "It deals with federal issues and with our city and our resources, we have to be focused on getting out of Act 47."
Waltman also said the draft ordinance would have to be significantly altered or completely rewritten for council to even remotely consider it.
At the council's meeting Monday, leaders expressed opposition to a stipulation in the ordinance that states the city would not be able to share cardholder information with federal authorities, such as Immigration & Customs Enforcement.
Scott did not return calls requesting comment Thursday, but expressed strong opposition at the council meeting to aspects in the draft ordinance, including the prohibition on information-sharing.
He had also questioned the constitutionality of the draft ordinance, an argument that Make The Road countered Thursday.
The Center For Popular Democracy, a social issues advocacy group based in Washington, helped craft the ordinance.
Emily Tucker, a senior staff attorney specializing in immigration law, said Thursday that in the other cities where similar legislation was introduced and passed, such as New York City and Newark, N.J., there had been no concerns from local officials about limits on information sharing.
Waltman said that the decision to not pursue the IDs is not to slight city residents, but that creating a municipal ID is an effort that the city cannot presently handle or is responsible to undertake.
Cepeda said city officials should not ignore an issue that he feels would be very beneficial to the Latino community.
"It shows that they either have an issue with the people they represent or they are clueless," Cepeda said.
By ANTHONY OROZCO
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Activists ‘Fed Up’ With Rate Rise Talk Offer Plosser a City Tour
Bloomberg News - November 15, 2014, by Jeff Kearns & Christopher Condon -Labor and community organizers meeting...
Bloomberg News - November 15, 2014, by Jeff Kearns & Christopher Condon -Labor and community organizers meeting with Federal Reserve Chair Janet Yellen challenged officials who are ready to raise interest rates to first come visit the poorest neighborhoods with them before saying that the economy has recovered.
Kati Sipp, one of about two dozen activists meeting Yellen, said at a press conference yesterday in front of the central bank in Washington that she would show Philadelphia Fed President Charles Plosser “what life is like in this economy” for his city’s unemployed.
“Clearly Charles Plosser hasn’t been coming out the way that I work,” said Sipp, director of Pennsylvania Working Families. “I work on 60th Street in West Philadelphia in a storefront office, and every single day someone or a couple of people come in to my office because they are looking for work.”
A spokeswoman for the Philadelphia Fed declined to comment.
Members of the group met with Yellen and Fed governors Stanley Fischer, Jerome Powell and Lael Brainard. The coalition of 20 community groups, labor unions and religious leaders from around the U.S. wants the Fed to hear the concerns of ordinary Americans as it prepares to raise rates. It’s part of wider public pressure, including from lawmakers of both parties, who want more accountability and transparency from the central bank.
The Fed has been criticized by Democratic and Republican groups over its rescue of big Wall Street banks in the 2008-2009 financial crisis, and over subsequent steps to support the economy through zero interest rates and massive bond purchases.
Yellen Meeting
The group meeting with Yellen and her colleagues yesterday included individuals struggling to find work despite the improving economic picture in the U.S., Ady Barkan, senior staff attorney at the Brooklyn-based Center for Popular Democracy, one of the organizers of the meeting, said in an interview.
“They all listened very intently and asked questions,” Barkan said of Yellen and the three governors. “They were very interested in hearing about the personal stories of the folks we brought.”
Those included Reginald Rounds, a resident of Ferguson, Missouri, near St. Louis, where protests erupted after an unarmed black teenager was shot and killed by police in August. The predominantly black town became a symbol of racial inequality and militarized policing as armored trucks and tear-gas canisters rolled through the suburban community after the shooting.
‘Sky-High’
Barkan said Rounds told the Fed officials that “sky-high unemployment” in the St. Louis area had contributed to “desperation” in the town.
Another speaker was Shemethia Butler, an unemployed woman from Washington. She recounted for Yellen how she was laid off from a job that offered no paid sick days after becoming ill and missing time at work, Barkan said.
Barkan said he had agreed with Fed officials not to recount how Yellen and the governors responded.
Eric Kollig, a Fed spokesman, declined to comment on the meeting.
The jobless rate has fallen to 5.8 percent from a 26-year high of 10 percent in October 2009. Interest rates have been held near zero since December 2008, and most Fed officials project that they will raise borrowing costs sometime in 2015.
Still, millions of Americans can find only part-time work, and average hourly wages have risen at about a 2 percent pace for the last five years, barely outpacing inflation.
Big Banks
“The economy is not working for the vast majority of people,” Barkan told reporters before the meeting in front of the central bank headquarters facing the National Mall. “It’s too important of an institution to be controlled and dominated by big banks and corporations rather than the public.”
In addition to low rates to help the unemployed, the groups are pushing for a more open and transparent search process for regional bank presidents that includes more community input. Barkan said the group asked Yellen for support in arranging meetings with each regional Fed president.
While formal changes to the process of selecting regional Fed leaders would require legislation, Barkan said the Fed board of governors held significant informal influence over the process.
“I’m sure they could change the process if they wanted to,” he said.
Plosser, Fisher
Plosser and Richard Fisher of Dallas both plan to retire next year and the “Fed Up” coalition wants more public input in naming their successors. Both banks have said they have hired executive search firms to find candidates.
Regional bank chiefs are picked by their respective boards, which are typically composed mostly of banking and business executives. Philadelphia’s nine-member board includes Comcast Corp. Chief Financial Officer Michael Angelakis.
Both presidents have cast dissenting votes this year against the Fed’s policy, and have been among officials favoring raising rates sooner to prevent inflation and financial-instability pressures from building.
“It’s important that real people are also representing the public and Federal Reserve policy making,” Sipp said. “We want publication of the names that are under consideration so that we know who they are, that it’s not just a puff of white smoke and suddenly we have a new” president.
Search Firms
The Philadelphia Fed has hired executive search firm Korn/Ferry International and said yesterday that the Los Angeles-based company has set up an e-mail address -- PhiladelphiaFedPresident@KornFerry.com -- to receive inquiries.
The Dallas Fed announced two days ago that it hired Heidrick & Struggles International Inc. to seek a replacement for Fisher.
Economist Josh Bivens, research and policy director at the Economic Policy Institute in Washington, told reporters yesterday that the Fed’s willingness to arrange the meeting was “incredibly encouraging” because the central bank “is one of the most important institutions in the world but few Americans know it.”
While the unemployment rate has declined to a six-year low, there remains “too large a gap between today and a healthy economy,” he said, adding that stakes are highest for disadvantaged groups, including African-Americans. Their unemployment rate tends to be twice as high as the broader U.S. level both “in good times and in bad,” Bivens said.
The rate was 10.9 percent in October, and rose to a 26-year high of 16.9 percent in March 2010, Labor Department data show. The rate for whites was 4.8 percent last month.
Wider Inequality
Yellen, a labor market economist for most of her three-decade career in government and academia, has shown concern for people who aren’t fully benefiting from a stronger economy. Last month, in a speech in Boston, she questioned whether widening inequality is “compatible with values rooted in our nation’s history.”
Since becoming chair in February, Yellen has focused attention on those who have been left behind after five years of economic expansion. In March, she told a community development conference in Chicago the Fed hadn’t done enough to combat unemployment and cited local residents who have struggled with joblessness.
In August, the Center for Popular Democracy brought low-wage workers to the Fed’s annual monetary policy symposium in Jackson Hole, Wyoming, where they spoke briefly with Yellen on the sidelines of the event and met with Kansas City Fed President Esther George, who also wants to raise rates sooner.
The activists arrived at the Fed wearing the same shirts that they wore when they gathered in the lobby of the Jackson Lake Lodge during the symposium: bright green T-shirts emblazoned with the question “What Recovery?”
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‘Clopening’ time: Seattle on the clock for secure scheduling
‘Clopening’ time: Seattle on the clock for secure scheduling
The subject has been bubbling up in Seattle public discourse for around six months now. Last fall, local progressive...
The subject has been bubbling up in Seattle public discourse for around six months now. Last fall, local progressive labor advocacy organization Working Washington and Starbucks baristas protested their inconsistent and unpredictable work schedules, which labor advocates say act as barriers for low-income workers to scheduling life necessities like college classes or childcare or budgeting living expenses. A few months later, in his 2016 state of the city speech, Mayor Ed Murray highlighted secure scheduling as a key low-wage worker equity issue and said his office would work with the City Council to address it.
“We know that having a secure schedule of hours helps workers plan their budget, plan for childcare, enroll in school or take a second job – and we know schedule predictability will most help low-wage hourly workers,” Murray said in his speech.
SECURE SCHEDULING
Here are a couple chances to get involved or learn more: Thursday night, “join a live tele-town hall over the phone and over the internet about the fight for secure scheduling in Seattle. When: 6:00 pm, Thursday, May 26, 2016. Where: You can listen in live over the phone by calling 855-756-7520 Ext. 32020#, or join live online athttp://workingwa.org/ourtimecounts/townhall.” On Friday, the committee will hear from Lonnie Goldan, a researcher at the Economic Policy Institute who has studied the issue, on her findings and national data. Tune in to Seattle Channel at 9:30AM to watch. On June 16th,Working Washington is holding a “Secure Scheduling Story Slam.”
With a $15 minimum wage already under Seattle’s belt, City Hall along with labor and business interests have turned their attention to the next big issue affecting the city’s proletariat and their bosses: secure scheduling.
“The response has moved pretty quickly from when workers first spoke out about it, and that’s heartening. There’s been a tremendous amount of support expressed by both the council and the mayor’s office on the need to move forward and do something to address secure scheduling,” said Sage Wilson, a spokesperson for Working Washington. “This is a really urgent issue for workers week to week.”
“Clopenings” — when a worker works a late-night closing shift and is also directed to work a early-morning opening shift with only a few hours in between
On March 8th, the mayor’s office convened a group of stakeholders of both labor and employers representing—including representatives from the likes of Working Washington, the Washington Restaurant Association, the Seattle Chamber of Commerce, and unions like SEIU 775 and UFCW Local 21—who have been meeting separately and then “reporting out” regularly to the the city council’s committee on Civil Rights, Utilities, Economic Development & Arts (of which Herbold is the chair and District 3’s own Kshama Sawant is a committee member) on their discussions to help inform the Council. The mayor’s office says these stakeholders will be submitting formal recommendations to the council at some unidentified date.
The council committee has also been bringing in experts on the issue and model secure scheduling ordinances. Last week, the committee heard from representatives from the Center for Center for Popular Democracy (CPD)—a non-profit left advocacy group—on their model secure scheduling policy and the San Francisco Office of Labor Standards Enforcement, who enacted their own scheduling ordinance specifically for retail workers several years ago.
The Council and the mayor’s office also commissioned a study from researchers at the University of Washington Evan’s School of Public Policy and Governance on the state of irregular scheduling in Seattle, including focus groups and a employer/manager survey of scheduling practices. The study is slated to come back on July 4th.
The plan, according to staffers in Herbold’s office, is to keep meeting with the stakeholders, receiving input from experts and looking at available data into early June, after which Herbold’s office will start drafting the actual policy.
The claims of Working Washington and picketing Starbucks baristas have merit. Researchers in addition to advocates have documented the impacts of unpredictable scheduling on workers (especially employees receiving hourly compensation), namely the association between irregular schedules and work/family conflicts (like picking up kids from school or childcare), the inability to schedule and maintain routines (e.g college classes or other jobs), and general increased worker stress from having to be on-call all the time. These types of jobs are concentrated in the retail, food service, hospitality, and healthcare industries.
Last year’s report from the Restaurant Opportunity Center on the state of the restaurant industry in Seattle showed that 26% of local restaurant workers receive their schedules less than a week in advance and 30% see schedule changes every two weeks. And women and people of color (who are heavily represented in low-wage food industry jobs) are disproportionately impacted by erratic scheduling.
“The issues that we’ve heard most about from workers are about two weeks advance notice of schedules”
The utilization of new scheduling software by employers and managers has been identified as a major cause of irregular scheduling. Starbucks has come under fire in recent years for its scheduling policies, specifically its utilization of scheduling software designed to maximize company efficiency by predicting store traffic and corresponding required staffing levels when and where. Advocates say the software incentivizes managers to under-staff stores, keeps employee hours at part time levels (which also allows employers to avoid giving full-time employee benefits and overtime), and quickly patch together weekly schedules from a large pool of part-time employees, often with little advance notice for the employee.
One of the often cited extreme results of digitized, maximum-efficiency scheduling is “clopenings,” when a worker works a late-night closing shift and is also directed to work a early-morning opening shift with only a few hours in between.
Advocates want to see these issues addressed in any future policy in Seattle.
“The issues that we’ve heard most about from workers are about two weeks advance notice of schedules,” said Wilson of Working Washington. “There’s access to hours. before companies hire more and more extremely part time workers, they should give more hours to employees they already have. And then there’s the eliminating ‘clopening shifts’ and the right to rest. You should have the ability to rest at least eleven hours between shifts.”
What the final ordinance will look like is still unclear, though based on the arch of the committee and stakeholder discussions, we know what they’re considering. It’s a balancing act between the real need to crack down on scheduling policies that leave employees at the mercy of their employer and employer’s legitimate need for scheduling flexibility, such as when a restaurant gets slammed during a understaffed dinner rush or someone calls in sick.
There is a potential ways to find that middle ground, as was illustrated at last Tuesday’s committee meeting and presentations on CPD’s model ordinance and San Francisco’s own retail worker secure scheduling ordinance. Both the CPD and San Francisco model use a “predictability pay” mandate as an incentive for employers to give workers adequate notice, where employers would compensate a worker for an hour’s worth of wages if they fail to provide a schedule two weeks or more in advance, and then dialing it up for schedule changes or notices that occur within 24 hours by raising the mandated compensation to two to four hours of pay. The San Francisco ordinance does provide exceptions for employee initiated shift swaps, like when an employer needs another worker to cover the shift of an employee who is out sic). Both models also require that employers must make hours available to veteran employees before hiring more part-time employees, a requirement aimed at combating the proliferation of part-time employee labor.
“The policy is designed to both preserve the flexibility that workers and employers need in making work schedules while also promoting stability for hourly workers,” Rachel Deutsch of the CPD told the Council.
District 3’s Kshama Sawant told CHS that she wants to see a policy that affects all businesses in Seattle, not just big retail and foodservice businesses. San Francisco’s ordinance is structured to only affect big box retailers.
“While it’s true that the issue is experienced more by workers in the service industry and retail industry, like Starbucks, the best way to ensure secure scheduling for all workers is to ensure a citywide policy for all businesses across Seattle,” Sawant said.
Naturally, the issue pits the local labor and employer camps duking it out during Seattle’s $15 minimum wage debate against each other yet again. However the tone and dynamic of the debate in this round, is a little different, along with the format. While the Seattle Chamber of Commerce has indicated that it is certainly uncomfortable with the secure scheduling initiative and initial stakeholder discussions with council committee back in March resulted in the employer representatives claiming that scheduling wasn’t really a problem, loud pushback from the business community has been noticeably lacking in recent weeks.
“It was the early committee meetings that employers were spending time and energy to try and deny that scheduling was a problem,” said Wilson. “One the things that has happened through the stakeholder process is that employers have stopped trying to make that case. They’re largely in agreement [with labor] that people should have predictable schedules.”
Sierra Hansen, head of the Capitol Hill Chamber of Commerce, said that the issue is barely on the radar of the chamber’s board and that she hasn’t heard anything about it from member businesses.
“I would prefer we draft an ordinance and then debate it rather than closed room discussions and that the public got involved”
Wilson with Working Washington attributes the change in the dynamic of the stakeholder group conversations to the political climate of the city, the unity between the executive and the council to push the issue, and previous local labor victories, like $15 and paid sick and safe leave.
“It does seem to me to be both a product of the process as well as a strong consensus on Council and the mayor to do something on this,” said Wilson. “[And] the mood of the city is pretty clear: people want workers to have basic rights.”
Sawant, who was voted into office on her fiery platform of rent control, a $15 dollar an hour minimum wage, and a fundamental change in labor and equity in the city, said that the stakeholder workgroup process is “not an approach that I would choose.”
“I would prefer we draft an ordinance and then debate it rather than closed room discussions and that the public got involved,” said Sawant. “That’s how we won $15 dollar an hour, that’s how we won the SHA rent hikes. A lot of historic things have happened, and that’s because of the approach of my office.”
“What was different around $15 was that we were very clear. If you were for $15 you were with working people and had to go up against big business and be courageous about that,” Sawant said. “I know that there is this narrative from the mayor and big business and Tom Douglas that we won 15 because we all came together and agreed to raise the minimum wage. That’s absolutely untrue. The reason we won 15 is because we had a mass movement in Seattle.”
by Josh Kelety
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Full-Time Hires Buck the Trend at Fast-Food, Retail Chains
Full-Time Hires Buck the Trend at Fast-Food, Retail Chains
EASTON, Pa.—The orders came in fast during a recent Friday lunchtime rush at a Sheetz Inc. convenience store here....
EASTON, Pa.—The orders came in fast during a recent Friday lunchtime rush at a Sheetz Inc. convenience store here. Behind the counter, Alexis Cooper layered tomatoes on two sandwiches, refilled a container of onions and swirled a peanut-butter milkshake.
Six weeks into her job at Sheetz, Ms. Cooper easily distinguishes the beep of the deep fryer from the boop of the convenience store’s order-taking system and knows to have a pepperoni roll ready for a regular who shows up around noon.
Ms. Cooper, 20 years old, is something of a rarity in the realm of fast-food and retail work: a full-time employee.
At a time when many chains are shifting workers to part-time, the Altoona, Pa.-based Sheetz is making a big bet on full-time hires, who now comprise 53% of the company’s 17,000-person workforce. Leaders at the convenience store-and-gas-station chain say having full-time workers behind the register results in better customer service, lower turnover and a more engaged workforce—all of which, executives say, will lead to higher sales and profits.
Nearly 5.7 million workers said they were working part-time last year because they couldn’t get more hours or find full-time work, according to Bureau of Labor Statistics survey data. About 65% of store employees in the retail sector work part-time, according to an analysis by search and consulting firm Korn Ferry Hay Group. Companies reason that keeping staff to 30 hours or fewer a week curbs labor costs and allows firms to act nimbly, adjusting staffing to match customer demand.
Sheetz, and others like beauty retailer Bluemercury Inc., acknowledge that full-timers might cost more at first, but say they are more reliable—27% of full-time hourly workers leave their jobs per year, versus 68.7% of part-timers, according to the Korn Ferry report. Lower employee turnover saves on training and hiring costs, those employers say, and some report their customers spend more when full-timers take orders and ring up purchases.
“This is a moment where some employers at least are taking stock of whether they’ve gone down the labor flexibility path a little too far,” says Susan Lambert, a University of Chicago professor who studies hourly work.
Full-time workers are the “glue” that holds businesses together, Ms. Lambert’s research has found. They help coordinate tasks and anticipate business needs, and are often more committed. These employees are more likely to go the extra mile on the job, such as tracking down an item online for a customer.
For customers, a full-time employee “gives them the same face every day. It builds a different feeling than the robot behind the counter,” says Sheetz Chief Executive Joe Sheetz.
On employee surveys, Sheetz’s full-time workers tend to report more commitment and willingness to put in extra effort than part-timers do. That engagement correlates with higher customer-service marks, says Stephanie Doliveira, Sheetz’s human-resources vice president.
Less than a quarter of Sheetz’s full-time staff leaves each year; for part-timers, 83% leave. Overall voluntary turnover at the company is down two percentage points from last year, saving $925,000 in recruiting and training, Ms. Doliveira says. Starting sales associates make $9 to $11 per hour and are eligible for paid time off; those working more than 30 hours per week get access to health insurance.
At Buffalo Wings & Rings, a restaurant with 50 locations in the U.S., full-timers ring up 6% higher sales per hour on average and have far lower rates of absenteeism than part-timers do, according to CEO Nader Masadeh. The eatery has doubled its share of full-time workers since 2013, with about 37% of employees working full-time. The company’s training costs have fallen 25% as a result, according to Mr. Masadeh.
Churn among part-time workers prompted &pizza, a 14-store chain in the Washington, D.C., area, to halt new restaurant openings for a while, says CEO Michael Lastoria. Managers noticed that customers gave low ratings to new stores where inexperienced, often part-time, workers comprised 95% of staff. Some 31% of &pizza staff now workfull-time, up from 15% in 2014, and the chain is set to open seven additional stores this year, Mr. Lastoria says.
Having more full-time workers requires managers to adjust. Sheetz’s store managers initially resisted adding more full-timers when the company launched the initiative in the summer of 2014, Ms. Doliveira says. Used to having a big bench of part-time workers to call upon, they worried about being caught short when employees called in sick. Managers are also figuring out how to plan shifts now that more workers have vacation time.
Moving to full-time has come with health insurance and an extra $50 or so each week for Tammy Shepard, a salesperson at a Sheetz in Statesville, N.C. “It gives you a sense of security, which is a huge thing,” she says.
Full-time private industry workers make $25.44 an hour in wages and salaries, as compared with $13.29 for part-time workers, according to the Bureau of Labor Statistics.
“There’s a real penalty that workers pay for working part-time,” says Carrie Gleason, director of the Fair Workweek Initiative at left-leaning advocacy group Center for Popular Democracy.
The promise of a 40-hour work week was what spurred Ms. Cooper to apply to Sheetz, though she holds down another part-time job managing a nearby pub. Logging just 14 hours a week there has made it tricky to stay on top of everything, such as the new beers on the menu.
“It stinks when you don’t know certain things,” she says.
By RACHEL FEINTZEIG
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Hundreds of Activists Occupy the Capitol to Stop Trumpcare
Hundreds of Activists Occupy the Capitol to Stop Trumpcare
Hundreds of activists from around the country descended on Capitol Hill Wednesday to protest the GOP's latest assault...
Hundreds of activists from around the country descended on Capitol Hill Wednesday to protest the GOP's latest assault on health care and the Affordable Care Act. As Donald Trump and Mitch McConnell spent hours twisting senators' arms over lunch and secret meetings trying to whip up votes, nearly 300 Americans, including doctors, nurses, home health aides, and people with chronic conditions, occupied Republican senators' officers, demanding that their elected officials kill the Better Care Reconciliation Act and support a single-payer, Medicare-for-all health care system.
Read the full article here.
The elevator moment: when to speak up, when to stay quiet, and the power of both
The elevator moment: when to speak up, when to stay quiet, and the power of both
One of the women who confronted Arizona Sen. Jeff Flake in a Capitol elevator Friday said she hopes other Republican...
One of the women who confronted Arizona Sen. Jeff Flake in a Capitol elevator Friday said she hopes other Republican senators listen to the stories of women who have been sexually assaulted.
Ana Maria Archila and Maria Gallagher stopped Flake on Friday morning and spent nearly five minutes shouting at the Arizona lawmaker after they learned he had decided to support the US Supreme Court nomination of Judge Brett Kavanaugh. Archila said Friday night she was looking for Flake to step up.
Read the article and watch the video here.
Youth of Color Demand Racial Justice in Gun Reform During #NationalSchoolWalkout
Youth of Color Demand Racial Justice in Gun Reform During #NationalSchoolWalkout
In the days leading up to today’s protest, young people of color released a petition that calls for gun reform and...
In the days leading up to today’s protest, young people of color released a petition that calls for gun reform and school safety measures that center racial justice. In the petition, which was signed by several social justice organizations including Advancement Project, American Federation of Teachers and Center for Popular Democracy...
Read the full article here.
Yellen Says Debate Over When to Hike Now Center Stage
MarketWatch - August 22, 2014, by Greg Robb - With the economy mending, the Federal Reserve’s emphasis is “naturally...
MarketWatch - August 22, 2014, by Greg Robb - With the economy mending, the Federal Reserve’s emphasis is “naturally shifting” to the debate over when to raise interest rates, the head of the U.S. central bank said Friday.
“With the economy getting closer to our objectives, the FOMC’s emphasis is naturally shifting to questions about the degree of remaining slack, how quickly that slack is to be taken up, and thereby to the question of under what conditions we should begin dialing back our extraordinary accommodation,” Fed Chairwoman Janet Yellen said in a speech opening the central bank’s summer policy conference in Jackson Hole.
Yellen said there was “no simple recipe” for the Fed to follow, but again warned that rate hikes could come sooner than expected if progress in the labor market continued to be more rapid than anticipated or if inflation moves up more rapidly.
Balancing this more hawkish tone, Yellen said 19 labor market indicators followed by the Fed suggest the decline in the unemployment rate overstates the improvement in overall labor-market conditions.
The initial reaction in the stock market was a muted one, with the Dow Jones Industrial Average DJIA, -0.18% trading in a narrow range. Read Market Snapshot
Her comments “skirted around the issue of future monetary policy by noting that whilst there were a number of factors that might mean the labor market was less of a threat to inflation than in previous business cycles, equally, there were factors that might make it more so,” said ING economist Rob Carnell in a note to clients.
Yellen’s remarks about a shift in the Fed debate toward when, and under what conditions to tighten, lend credence to comments earlier this month from Richard Fisher, the hawkish president of the Dallas Fed, who said that the discussion among policy makers at their last meeting had moved in his direction.
Minutes of that meeting released on Wednesday were also judged by Fed watchers to be hawkish.
Perhaps sensing the shift, protestors have arrived for the first time in Jackson Hole this year urging the Fed to delay any rate hike.
Yellen gave no sense a rate hike was imminent. She noted the Fed still thinks that labor-market slack is “significant” and that the central bank has repeated it intends to hold rates close to zero for a “considerable time” after the Fed ends its bond-buying program, expected in October.
But her remarks suggest the first rate hike since 2006 is now on the table for active discussion.
Yellen and her allies on the Fed have signaled the first rate hike won’t happen until after the middle of next year. Hawks on the committee are pressing for an earlier move, and they have been vocal in speaking to reporters at Jackson Hole.
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Charter schools misspend millions of Ohio tax dollars as efforts to police them are privatized
Akron Beacon Journal - 05.30.215 - No sector — not local governments, school districts, court systems, public...
Akron Beacon Journal - 05.30.215 - No sector — not local governments, school districts, court systems, public universities or hospitals — misspends tax dollars like charter schools in Ohio.
A Beacon Journal review of 4,263 audits released last year by State Auditor Dave Yost’s office indicates charter schools misspend public money nearly four times more often than any other type of taxpayer-funded agency.
Since 2001, state auditors have uncovered $27.3 million improperly spent by charter schools, many run by for-profit companies, enrolling thousands of children and producing academic results that rival .
And the extent of the misspending could be far higher.
That’s because Yost and his predecessors, unable to audit all charter schools with limited staffing and overwhelmed by the dramatic growth in the schools, have farmed out most charter-school audits to private accounting firms.
Last year, these private firms found misspending in one of the 200 audits of charter schools they conducted, or half of 1 percent, while the state’s own police force of auditors found misspending in one of six audits, or 17 percent of the time.
“You don’t even have to understand audits to know that something is broken there,” said Kyle Serrette, director of Education at the Center for Popular Democracy.
The Center for Popular Democracy, based in Washington, D.C., is allied with teachers unions that generally oppose privatization in public education.
released in April, the nonprofit watchdog detailed $200 million in waste, fraud and abuse in charter schools in Ohio and 14 other states.
Serrette said none of the 43 states with charter schools has created an accountability system designed to catch fraud. But Ohio has all of the telltale flaws, and more.
Because the money must first be spent, audits are conducted years after public funds go missing.
“[Financial] audits are historical. They’re not out in front of these things,” said Robert Hinkle, Ohio’s deputy state auditor.
And the audits, which note potential fraud but give no actionable opinion, aren’t designed to detect fraud. They merely check revenues against expenses, ensuring tax dollars going in match receipts and cash balances.
Often, though, the receipts are unavailable.
“You have a system in Ohio, and everywhere else, where every single year charter school operators are getting audited. And every single year, those audits come up clean. It’s because they are not set up to catch fraud waste and abuse,” Serrette said.
And finally, there has been a historical lack of political will to strengthen state law so auditors can delve more deeply into the private contracts that charter schools enter.
“Every year, state lawmakers fail to … take the evidence that [the media] is providing and change that into law that would improve the system,” Serrette said.
Of the 10 charter schools responsible for the most misspending, all but one closed. The money likely never will be retrieved.
What academic records remain of their last report cards show none scored higher than the lowest possible grade, though only two were shuttered by the state for poor academics. One voluntarily closed. The rest cited financial and contractual issues for closing.
Taxpayers high and dry
Ohio first employed private accounting firms to take over school audits about a decade ago as the number of charter schools swelled and budget cuts thinned the auditor’s staff.
Last year, private accountants audited 41 percent of the roughly 5,800 Ohio organizations that received taxpayer funds, and 54 percent of charter schools, according to Yost’s office.
While there were fewer than 400 charter schools among the 5,800, they accounted for 70 percent of all tax dollars found to be misspent, often intentionally and illegally, according to 14 years of audits reviewed by the Beacon Journal.
And the difference between state and private auditors was profound: For every $1 private auditors found to be misspent, state officials found $102 in their audits.
Most charter schools that misspent tax dollars folded for financial issues, and after six years of failure to make restitution, the state can no longer collect.
And so more than $25 million remains unpaid — and likely never will be.
The $27.3 million misspent since 2001 is only what the state knows about.
Charter school audits often cite “numerous” missing financial documents.
These documents — from receipts to contracts to bills — must be reviewed to ensure public funds are spent for a proper public use.
Last year, Yost declared financial records at five taxpayer-funded agencies too disorderly to audit; four were charter schools.
Audits privatized
Originally, all charter schools were audited by the state.
“We had to do all of them in house,” Hinkle said. “It’s just been within probably the [Auditor Mary] Taylor administration that, if we had some community schools that through prior audits have been fairly clean — again the issue is resources in a time when we were downsizing the number of employees — we allowed some contracting of community school audits.”
Today, networks of charter schools managed by the same private companies — among them Akron-based White Hat Management and Summit Academy Management — are bundled together and bid out to be audited year after year by the same private accounting firm.
The contracts usually last five years — longer than some charter schools are open. By bundling schools that employ the same treasurer (sometimes hired by the management company), there is greater efficiency because books are more uniform.
“It just makes sense for economy of scale, for the pricing we can get from the firms and also for the interest that we can get from a number of firms. If I send out one 80-hour [audit] job, I may not get as much interest as if I send out 10 of those jobs and it’s an 800-hour job,” Hinkle said.
The state pays around $41 per hour. Last year, REA & Associates, an accounting firm headquartered in New Philadelphia, conducted 111 of the 373 charter school audits, including nearly every audit on schools managed by White Hat and Summit Academy, the state’s largest operators.
Charting reform
Auditor Yost has taken notice of the misspending in the charter school sector, which nationally ranks low on academic performance and high on privatization.
Only Michigan and Texas have a greater portion of charter schools operated by private, for-profit companies, which are not compelled to disclose how they spend public money.
Sen. Peggy Lehner has proposed a bill that would require these private companies — which run most charter schools in Ohio — to give a more detailed account of how tax dollars are used. This heightened transparency in the auditing process was not included in charter school reform bills proposed earlier this year by the House and governor.
Yost worked with Lehner and a group of mostly charter-school advocates to draft the law change.
Meanwhile, the auditor is eyeing charter schools with what limited resources he has.
“We’ve already brought in a few of those audits,” Brittany Halpin, Yost’s spokesperson, said.
“[Yost] is considering bringing them all in,” she said.
Source: Ohio.com
Safety coalition: ‘Scaffold Law’ study is ‘flawed’
Safety & Health Magazine - April 18, 2014 - A recent study that questioned the usefulness of New York state’s “...
Safety & Health Magazine - April 18, 2014 - A recent study that questioned the usefulness of New York state’s “Scaffold Law” is flawed, according to a new report from a worker safety advocacy coalition.
In December, a study from State University of New York’s Rockefeller Institute of Government concluded that New York’s Labor Law 240 – which imposes a strict liability on employers for workplace injuries at height – drives up the cost of business without improving worker safety.
But an April 17 report from the Center for Popular Democracy and the New York Committee for Occupational Safety and Health called the Rockefeller study “biased,” noting that the study was paid for by the New York Civil Justice Institute, a group created by an alliance criticized as working on behalf of employer and industry interests.
The Rockefeller study confused correlation with causation, the two worker safety advocacy groups say, by claiming differences between worker injury rates in construction and non-construction industries in New York and elsewhere are entirely due to the Scaffold Law.
CPD and NYCOSH are partners in a newly launched Scaffold Safety Coalition, a group of workers, advocates and other organizations that have joined to defend the state’s Scaffold Law.
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