by Terri Jo Neff | May 9, 2021 | News
By Terri Jo Neff |
As the finger-pointing continues as to why April’s job growth fell far below expectation, business organizations in Arizona are drawing attention once again to what they see as a worrisome obstacle to pro-growth — whether the U.S. Senate will approve the H.R. 842, also known as the PRO Act.
The PRO Act, which stands for Protecting the Right to Organize Act of 2021, passed the U.S. House of Representatives in March but has not yet had a committee debate in the Senate. Arizona Senators Kyrsten Sinema and Mark Kelly are among only three Democrats who did not co-sponsor the bill, which would enact sweeping changes to the National Labor Relations Act and other labor laws, including an override to Arizona’s longstanding “right-to-work” laws.
Arizona is one of 27 states governed by labor laws which ensure workers can choose whether or not to join a union and pay for representation. Employees in states without right-to-work laws can be required to pay union dues and fees in order to secure employment.
Millions of workers in Arizona and 26 other states would lose their right to work legal protections if Congress passes the Protecting the Right to Organize Act of 2021.
“Senators Sinema and Kelly have not co-sponsored this bill,” Glenn Spencer of the U.S. Chamber of Commerce said last week in an interview with Chamber Business News.. “That’s a good thing. People in Arizona should thank them for standing up for workers and right-to-work and employers.”
Major labor unions such as the AFL-CIO back the Pro Act, which President Joe Biden has already signaled he will sign. The possibility of severe changes to labor laws if the Pro Act is enacted is a cause of uncertainty for owners of all sizes of businesses at a time when the Biden Administration is desperate to follow through on promises of new jobs.
“The PRO Act would, for all practical purposes, eviscerate Arizona’s right-to-work law, which would mean that workers in the state who happen to be in a union work setting would have to pay dues or they would be at risk of losing their jobs,” Spencer said. “Their employers may well be forced to terminate them if they don’t wish to pay dues in that setting.”
And according to Spencer, research by the U.S. Chamber demonstrates that states with right-to-work laws usually have higher rates of economic growth, along with higher rates of job creation and lower rates of unemployment.
But concerns about Arizona’s right-to-work laws being tossed aside is not the only provision of the Pro Act many opponents, including workers, find objectionable.
As written, the PRO Act redefines the long-used criteria to determine who is an independent contractor. It will also restrict the ability of freelancers to have autonomy over their business activities. This could force many workers to be classified as employees, and in many instances those workers would be obligated to choose between paying for union representation or looking for another job.
In addition, the Pro Act’s language does not allow Arizona employees to opt out of having their personal information provided to unions. And the bill will prohibit employee / employer disputes from being addressed via cost-effective arbitration programs. Instead, time-consuming and lengthy litigation, often in the form of class action lawsuits, would be an employee’s only option.
“Employers have concerns about this move, because it is likely to increase the number of class action lawsuits, which are expensive and time consuming for employers and employees alike,” according to a review of the bill by the Snell & Wilmer Law Firm. “Employers with questions or concerns about the effects of the PRO Act should consult with legal counsel for a fuller understanding of its potential impact on their organization.”
On March 5, the Arizona Chamber of Commerce and 19 local chambers issued a letter to Arizona’s Congressional delegation explaining why H.R. 842 would not be good for Arizona. The same concerns were shared by Reps. Andy Biggs, Paul Gosar, Debbie Lesko, and David Schweikert who voted no.
The bill is currently assigned to the Senate’s Committee on Health, Education, Labor, and Pensions. There has been no activity reported by the committee since March 11.
by AZ Free News | May 9, 2021 | News
The Arizona Department of Health Services is reporting that more than 3 million people in Arizona have received at least one dose of COVID-19 vaccine. This number is well more than half of the population age 16 and older.
As of Friday morning, 5,233,507 doses of COVID-19 vaccine have been administered to 3,007,184 individuals, including 2,416,859 who are fully vaccinated. Nearly 1.5 million of those doses have been administered at state mass-vaccination sites in the greater Phoenix area, Tucson, Yuma, and Flagstaff, all of which accommodate walk-ins but continue to offer the convenience of appointments.
“We know through rigorous trials and federal reviews that each COVID-19 vaccine is safe and extremely effective at preventing serious cases and deaths,” said Arizona Department of Health Services (ADHS) Director Dr. Cara Christ. “What we are still learning is the long-term health effects on those among those who recover from severe cases of COVID-19, including young people. It’s a mistake to assume you are safe just because the percentages show you at lower risk of severe outcomes from coronavirus.”
Many sites across Arizona now offer COVID-19 vaccines, including grocery store pharmacies and standalone pharmacies. This week, doctors’ offices and other neighborhood healthcare providers were able to start directly ordering vaccine from the U.S. Centers for Disease Control and Prevention.
As early as next week, the federal government is expected to approve use of the Pfizer vaccine for those 12 and older, expanding from 16 and older. State-run sites offer the Pfizer vaccine, as do some pharmacies. ADHS offers a map of vaccination sites at azdhs.gov/FindVaccine that lists which vaccine types are offered at each.
Appointments for state sites and many others are available at podvaccine.azdhs.gov. Those without computer access or needing extra help registering can call 1-844-542-8201 to be connected with someone who can assist in English or Spanish. Appointments aren’t required at state sites, but can reduce the duration of your visit because registration is completed in advance.
by AZ Free News | May 8, 2021 | News
Governor Doug Ducey signed legislation to protect the Second Amendment rights of Arizonans by safeguarding against frivolous lawsuits that have no connection to unlawful use of firearms. The new state law mirrors federal law that was passed on a bipartisan basis.
“With efforts currently underway in Washington to erode Second Amendment rights, Arizona is taking action to protect those rights,” said Governor Ducey. “In Arizona, we’re safeguarding manufacturers, sellers and trade associations. Bad actors need to be held accountable, and we will work to make sure they are. But we’re not going to allow lawsuit after lawsuit to slowly tear down the Constitutional rights of law-abiding citizens in our state. Senate Bill 1382 achieves this goal, and I’m grateful to Representative Quang Nguyen and Senator Wendy Rogers for leading on this important legislation.”
Senate Bill 1382 prohibits the state and all entities of the state from suing a member of the firearms industry for lawful design, marketing, distribution, and sale of firearms and ammunition to the public. The legislation also prohibits a civil action from being brought against a manufacturer or seller of a firearm or ammunition or related trade association for damages resulting from the criminal misuse of the firearm or ammunition, with exceptions.
Additionally, it protects manufacturers or sellers of firearms and ammunition from civil action for damages resulting from the criminal misuse of the firearm or ammunition, except in specified circumstances.
“Arizona is—and will remain—a strong Second Amendment state,” said Judi White of Tucson, a champion of gun rights who has long been active in the NRA. “We can’t let flippant lawsuits hinder operations of firearm or ammunition manufacturers, sellers and trade associations that are following the law. Senate Bill 1382 makes sure of that. Thank you, Governor Ducey, for signing legislation that protects citizens’ Constitutional rights.”
In 2005, Congress passed the Protection of Lawful Commerce in Arms Act (PLCAA) which provides federal protection for law-abiding firearms and ammunition industry members against frivolous lawsuits. PLCAA has been challenged in recent years, including in April 2021 when President Biden stated removing PLCAA as a top priority of his administration. Senate Bill 1382 codifies the federal provisions under state law.
by azfreenews1 | May 8, 2021 | Economy, News
By B. Hamilton |
This month’s jobs numbers report, showing a dismal 266,000 jobs added last month to the nation’s economy, has not surprised small business owners. School closures, erratic school schedules in states allowing students to return to the classroom, and nonstop unemployment benefits have kept potential employees home, studies show.
Just the day before the national numbers came out, the National Federation of Independent Business (NFIB) released its Jobs Report and its latest numbers confirm that there is a dearth of ready-to-work employees.
According to the NFIB report, a record 44% of all small business owners say they have job openings they could not fill, 22 points higher than the 48-year historical average, and two points higher than the 42% figure from March.
April is the third consecutive month with a record-high reading of unfilled job openings among small businesses, according to NFIB.
Even though most experts believe unemployment payments are suppressing the job pool, State Rep. David Cook of Globe has been pushing an increase in weekly benefits.
The federally-established Unemployment Insurance Benefits Program, administered by DES according to state law, provides unemployment benefits to persons unemployed through no fault of their own for up to 26 weeks and up to $540 per week or $2160 per month in untaxed paid benefit. During the COVID-19 crisis, beneficiaries did not have to prove they were actively looking for work.
That changed this week when Governor Ducey rescinded a March 2020 Executive Order that waived the requirement that an individual receiving employment benefits must be actively looking for work to receive the benefits.
Other governors are getting more aggressive in getting residents back to work. Montana Governor Greg Gianforte, citing a workforce shortage, announced he will use funds from the American Rescue Plan to incentivize people to become employed.
“While small businesses are glad to see Gov. Doug Ducey re-instating the active work search requirement to qualify for continued state unemployment benefits, more work needs to be done to get able workers off the unemployment rolls and back into one of the many available jobs in the private sector,” said Chad Heinrich, NFIB’s Arizona state director in a press release. “With April also setting a new 12-month high in small businesses raising wages, and a full one-fifth of additional owners planning future wage increases, hopefully, the private sector will soon be able to compete with the overwhelming price the federal government is paying able-workers to sit on the sidelines.”
NFIB Chief Economist Bill Dunkelberg says the “tight labor market is the biggest concern for small businesses who are competing with various factors such as supplemental unemployment benefits, childcare, and in-person school restrictions, and the virus. Many small business owners who are trying to hire are finding themselves unsuccessful and are having to delay the hiring or offer higher wages. Some owners are offering ‘show up’ bonuses for workers who agree to take the job and actually show up for work.”
On Friday, Ducey made a move to bring some relief on the childcare front by providing an additional $9 million in aid for child care providers throughout the state.
“Parents and families need access to safe, reliable, and high-quality child care, especially as Arizonans go back to work and job opportunities expand,” said Ducey. “With the additional funding announced today, we’re making sure more working families have access to that care. I’m grateful to all Arizonans working to ensure families and kids have the support and resources they need and am proud to celebrate Child Care Provider Appreciation Day.”
The CCWRR Grant Program provides immediate support to child care providers in hiring qualified staff and retaining existing staff. This grant program will help all regulated child care providers with recruitment and retention costs to support the child care workforce in Arizona. These funds are made available to Arizona through the Child Care and Development Fund CARES Act, 2020.
Child care centers and group homes must use grant funds for salaries and benefits for employees, and bonus incentives for hiring and retention. Group homes and family child care homes without staff, grant funds may be utilized for a variety of expenses including licensing fees, liability insurance, tuition and registration relief for families, lease and mortgage payments, utilities, classroom materials, and supplies.
While child care providers must apply and attest that they are open and providing child care services at the time of application and for the duration of the grant, grants are not competitive. Grant awards will be paid in one sum amount, with the distribution of payments initiated on June 24, 2021. Child care providers will have until September 30, 2021, to spend the grant funds.
In addition to the CCWRR Grant, the Department has also extended the Essential Workers Child Care Relief Scholarship through June 30, 2021, allowing essential workers and child care providers access to vital child care.
by AZ Free News | May 8, 2021 | Economy, News
With more businesses reopening and bringing employees back to work, the U.S. economy is on firm footing and could see its fastest growth in more than three decades, National Retail Federation Chief Economist Jack Kleinhenz said today.
“While there is a great deal of uncertainty about how fast and far this economy will grow in 2021, surveys show an increase in individuals being vaccinated, more willingness to receive a vaccination, increased spending intentions and comfort with resuming pre-pandemic behaviors like shopping, travel and family gatherings,” Kleinhenz said. “This feel-better situation will likely translate into higher levels of household spending, especially around upcoming holidays like the Fourth of July and spending associated with back-to-work and back-to-school.”
“The consumer is nearly always the key driver in the economy, and with the consumer in good financial health, a sharp demand is expected to unfold over the coming months,” Kleinhenz said.
Kleinhenz’s remarks came in the May issue of NRF’s Monthly Economic Review, which
said NRF expects the economy to grow 6.6 percent this year, the highest level since 7.2 percent in 1984.
The report said the latest edition of the Federal Reserve’s Beige Book “affirms what the economic data has been signaling: U.S. growth is beginning to accelerate.” The Fed assessment and other data show unemployment benefits, government stimulus checks and tax refunds have provided a substantial increase in personal income and purchasing power. Consumers are “sitting on a stockpile of cash” that could become “a spring-loaded spending mechanism,” Kleinhenz said.
Among other favorable indicators, the $2.4 trillion saved by households during February alone was approximately twice the average monthly savings during pre-pandemic 2019 and comes on top of savings accumulated over the past year as consumers stayed home rather than dining out, traveling or attending sports and entertainment events.
In addition, use of consumer credit is up, with outstanding credit surging in February to its highest level since late 2017. The increase in borrowing “highlights a consumer who is growing more confident as the economy accelerates, job growth picks up and more states lift burdensome restrictions,” Kleinhenz said.
Kleinhenz cautioned that 2020’s “outsize swings” in economic data caused by the pandemic, hurricanes, wildfires and other events will make year-over-year comparisons difficult during 2021. Federal agencies have “tried their best with the information available” to make seasonal adjustments account for the swings, he said.
NRF’s calculation of retail sales – which excludes automobile dealers, gasoline stations and restaurants to focus on core retail – is based on data from the Census Bureau, which released its annual revision of retail sales going back to 2013 last week. NRF has revised its numbers accordingly, and now shows 2020 retail sales of $4.02 trillion rather than the $4.06 trillion originally reported. But 2020 grew 6.9 percent over 2019 rather than 6.7 percent because 2019 was revised down to $3.76 trillion from $3.81 trillion.
The annual update is done to replace previously reported data with more accurate data and to benchmark numbers to the Census Bureau’s Annual Retail Trade Survey. Retail firms are required by law to complete the annual survey, while the monthly survey is voluntary and sometimes reflects estimates and incomplete or unaudited records rather than final numbers.
Even with the revisions, 2020 sales broke the previous record of 6.3 percent set in 2004 despite the pandemic. NRF has forecast that 2021 retail sales – excluding autos, gas and restaurants – will grow between 6.5 percent and 8.2 percent over 2020 to between $4.33 trillion and $4.4 trillion.
by AZ Free News | May 7, 2021 | News
Maricopa County Treasurer John Allen has accused his predecessor of making a $15.8 million error in the investment portfolio that generates interest earnings for Maricopa County, school districts, and other taxing districts.
Allen, in a press release, claimed that the error led the Treasurer’s Office to over-distribute money to these districts during the past three years.
Allen argued that in keeping with A.R.S. § 11-504, his office “must correct the error immediately,” and the “planned 3rd quarter distribution of $18.7 million will be reduced to $2.9 million.”
However, according to his predecessor Royce Flora, Allen is wrong.
In fact, insiders say it is Allen, who “simply does not even understand the job.”
According to former staff, “the money is from an over payment of taxes by Western Pipeline. The Department of Revenue lost the lawsuit and its appeal. As a result, that meant the schools received too much money and it needed to be reversed. The Treasurer’s Office is unique in that it earned closed to $100 million a year in interest. Flora decided to take the money out of the next year’s distribution rather than pull it retroactively from the schools. The end result is the same. The Pipeline got its money back and the schools were not harmed. It just too complex for Allen to understand.”
Allen claims that Flora overstated “income earned from interest reflected a narrative that served their political purposes.” Contrary to Allen’s claims, say former staff, “politics were the last thing on Flora’s mind.”
The Maricopa County Treasurer’s Office receives an annual property tax levy of approximately $5 billion from the country’s fourth most populous county. The office invests in a conservative portfolio that earns millions of dollars in interest that is then distributed to schools and other entities that participate in the investment pool.
