The Economic Policy Institute estimates that under the Trump administration’s proposed rule, employers would pocket nearly $6 billion in tips earned by tipped workers each year.
"This action indicates an intent to appease employers who want every tool possible to defeat workers’ efforts to form a union, instead of ensuring the fairness of the union representation process," said Rep. Bobby Scott of Virginia, the top Democrat on the House Education and the Workforce Committee.
If successful, the bill would mark a historic shift in labor law. Millions of low-wage workers across the country would be directly impacted, losing a key mechanism to protect their rights on the job, while corporations which regularly escape liability would gain protections.
What has remained is the National Labor Relation Board’s (NLRB) position that Section 7 of the National Labor Relations Act (NLRA) protects workers’ substantive rights to join together in class actions.
On July 13, the Senate Health, Education, Labor and Pensions (HELP) Committee held hearings on Trump’s two NLRB selections and his deputy labor secretary pick. All three of these men are expected to be confirmed.
NLRB member, Hirozawa, writing only for himself, offered an interpretation of Section 8(a)(5) of the NLRA that would arguably require employers to bargain with minority unions.
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