Wednesday, October 16, 2024

Hurricane Helene stress tests North Carolina’s UI system

Delivered every Monday by 10 a.m., Weekly Shift examines the latest news in employment, labor and immigration politics and policy.
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By Nick Niedzwiadek and Lawrence Ukenye

Flooding is seen from heavy rains from hurricane Helene in Asheville, North Carolina.

Heavy rains from hurricane Helene caused record flooding and damage on September 28, 2024 in Asheville, North Carolina. | Melissa Sue Gerrits/AFP via Getty Images

QUICK FIX

ROAD TO RECOVERY: North Carolina is wading through a deluge of unemployment insurance claims in the wake of the devastation to the western part of the state from Hurricane Helene.

“We have 25,000 claims that's been filed total, with about 16,000 of those claims that are identified as disaster-related claims for the first two weeks,” Antwon Keith, assistant secretary for the Division of Employment Security at the state Department of Commerce, said in an interview Monday. “That’s more than we do in a month.”

Keith said that of those, close to 5,000 have already been tabbed for the federal Disaster Unemployment Assistance program , which covers workers whose jobs were disrupted by the storm but otherwise ineligible for regular UI benefits. That number will continue to grow, given the extent of the damage and once people exhaust their state UI that’s capped at $350 per week for 12 weeks.

Keith noted that the state had been handling around 3,200 new claims per week in 2024 before the hurricane, making the Helene surge one that North Carolina hasn’t seen since the early days of Covid-19.

Compared to the pandemic, hurricane fallout presents additional logistical challenges for state officials trying to act quickly. For instance, you can’t send debit cards loaded with a person’s UI benefits if someone’s mailbox has been washed away, Keith said. And widespread electrical outages early on kept people from being able to apply for UI or other emergency assistance.

But “when it comes to these benefits, it’s not a race,” he said. “We’re going to make sure that when you’re able … we’ll make sure that you get the claim plugged in.”

Keith said that other state officials — including those in Mississippi and Maine — who have gone through recent disasters of their own have reached out with guidance for North Carolina as it works through the claims process.

GOOD MORNING. It’s Wednesday, Oct. 16. Welcome back to Morning Shift, your go-to tipsheet on labor and employment-related immigration. Send feedback, tips and exclusives to nniedzwiadek@politico.com and lukenye@politico.com. Follow us on X at @NickNiedz and @Lawrence_Ukenye.

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AROUND THE AGENCIES

UP AND UP: The National Labor Relations Board received 3,286 union petitions in the 12 months ending on Sept. 30, an increase from the 2,593 the agency recorded during FY2023, Nick reports.

“When I took office, I promised to be the most pro-union, pro-worker President in history,” President Joe Biden said in a statement. “I have kept that promise.”

By the numbers: The agency also fielded a slightly higher number of unfair labor practice allegations, increasing from 19,869 to 21,292.

Cash concerns: Soaring union petitions come as the NLRB continues to grapple with funding woes worsened by its efforts to ward off various lawsuits that challenge the agency’s constitutionality. Biden sought to increase the NLRB’s budget to $320 million from $299 million but has faced staunch opposition from Republicans looking to slash its funding.

More NLRB news:US labor board accuses Apple of restricting workers' Slack, social media use ,” from Reuters.

More agency news: "Feds are sweating a Trump comeback," from POLITICO's E&E News.

ELECTION 2024

FIREFIGHTERS IN FLUX: Michigan’s firefighters union decided against endorsing Vice President Kamala Harris and will stick with its national union, which opted not to officially back her, our Meredith Lee Hill reported.

The move came after International Association of Fire Fighters President Edward Kelly warned state unions against moving ahead with their own endorsements, cautioning that it could push other swing states like Pennsylvania, North Carolina and Arizona to come out against Harris.

IAFF dealt a blow to Harris and Walz’s campaign after leading officials to believe the union would endorse her, only to blindside officials that the organization planned to stay neutral during this election cycle.

On the other hand: The California Professional Firefighters sidestepped IAFF and endorsed the vice president on Monday, our Camille von Kaenel reported.

How we got here: Former President Donald Trump angered the California union by vowing to withhold wildfire aid to the state due to his opposition to Gov. Gavin Newsom’s water management policies.

“National state of emergency declarations should be about assisting the public whose lives and homes are endangered by wildfires, floods, and earthquakes, not partisan politics,” Brian Rice, the California union's president, said in a statement.

Unions

TURBULENT TIMES: Acting Labor Secretary Julie Su met with leaders at Boeing and the International Association of Machinists and Aerospace Workers as both sides don’t appear to be nearing an agreement, Bloomberg reported.

Negotiations between the plane maker and the union stalled last week after machinists rejected an offer that IAM leadership endorsed which included a 25 percent pay increase over four years.

Su’s intervention comes as Boeing announced plans to slash 17,000 jobs amid the company’s worsening financial challenges during the work stoppage, which has lasted more than a month.

“We remain committed to finding a resolution to end the strike,” a Boeing spokesperson told Shift. “We will work with the union when they are ready to bargain an agreement that recognizes our employees and preserves our company’s future.”

ILA and DOL did not respond to Shift’s request for comment about what Su discussed with both sides during the meeting.

More on Boeing: " Boeing lines up $35 billion in funds as strike hammers finances," from Reuters.

CARTIER FRAME MONEY : More than two dozen top executives at the International Longshoremen’s Association earned more than $9 million in salary and other compensation, according to DOL reports reviewed by New Jersey Monitor.

Federal filings show that ILA President Harold Daggett received more than $850,000 last year and that members of his family also earned relatively high salaries. Some executives at the union also secured benefits including tickets to see the New York Yankees, limousine service and memberships to the New York Athletic Club.

An ILA attorney told New Jersey Monitor that Daggett’s salary reflects his commitment to earning concessions for his members and was voted on and approved by union members.

Context: ILA members briefly went on strike over wages before securing a tentative agreement that will allow workers to earn approximately $93,600 for a 40-hour work week.

More union news:Unions Defy Their Leadership With More ‘No’ Votes on Contracts,” from The Wall Street Journal.

In the Workplace

RIP: Lilly Ledbetter, a fair wage activist who pushed Congress to prevent pay discrimination, died on Saturday at age 86.

Ledbetter learned that her male colleagues at Goodyear Tire & Rubber were paid more than her, prompting her to file a formal charge with the Equal Employment Opportunity Commission and later file a lawsuit.

After the Supreme Court ruled 5-4 that she did not file her case in a timely manner, she pressed lawmakers to address wage discrepancies. A bill relaxing requirements on filing discrimination lawsuits — the Lilly Ledbetter Fair Pay Act — was the first piece of legislation former President Barack Obama signed into law.

“Lilly did what so many Americans before her have done: setting her sights high for herself and even higher for her children and grandchildren,” Obama posted on X.

More workplace news:‘I Applied to 2,843 Roles’: The Rise of AI-Powered Job Application Bots,” from 404 Media.

IN THE STATES

GOING TO THE VOTERS: Voters in California and Nevada will vote on whether to approve language in their state constitutions that prohibits forced prison labor, the Associated Press reports.

The California ballot measure seeks to prohibit involuntary servitude while Nevada’s seeks to strike language allowing slavery and involuntary servitude. Colorado, Alabama and Tennessee are among several states that have banned forced prison labor in recent years.

More from California:Labor advocates say Newsom’s gas prices bill risks safety. He disagreed,” from CalMatters.

BAY STATE SURVEY: Sixty-one percent of Massachusetts respondents support a ballot measure that would raise the state’s minimum wage for tipped workers to the full state minimum wage — which is currently $15/hour — over the next five years, according to a University of Massachusetts Amherst/WCVB poll released on Tuesday.

Twenty-seven percent of respondents are opposed to Question 5, the ballot measure, while 13 percent remain undecided.

Why it matters: Business groups opposed to the wage increase plan to spend millions on ads during the next few weeks to sink the ballot measure in November, along with similar initiatives in other states aimed at giving tipped and service workers a raise.

WHAT WE'RE READING

— "We watched 20 Trump rallies. His racist, anti-immigrant messaging is getting darker," from our Myah Ward.

— "The Border Crisis Won’t Be Solved at the Border ," from Texas Monthly.

— "Boston University grad workers strike could end after vote this week, union says," from Boston.com.

— "FEMA workers threatened as anti-fed rhetoric escalates," from POLITICO's E&E News.

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