Anytime there’s a new presidential administration there’s potential for a shake-up in the laws and regulations that impact businesses and their employment practices. New presidents bring in new teams and pursue new priorities. That’s particularly true when the incoming administration is from a different political party than the outgoing administration.
HR Braces for New Labor Secretary Impacts
Business leaders and HR professionals across the country are anxiously awaiting the final makeup of President-Elect Donald Trump’s cabinet and broader administration. One post they are watching in particular is Secretary of Labor, head of the powerful Department of Labor with significant regulatory and enforcement powers.
The pick for the role, Lori Chavez-DeRemer, has raised eyebrows (and concerns), primarily for her pro-union views. But what will Chavez-DeRemer’s enforcement policies actually be? Here are some potential areas of focus.
Potential Areas of Enforcement
First, Chavez-DeRemer may push policies that strengthen labor unions, making it easier for workers to organize and negotiate. This could include cracking down on employers who interfere with union efforts and promoting transparency in union-employer relations.
Wage and hour enforcement is another likely focus. Chavez-DeRemer could prioritize stricter compliance with laws on overtime, minimum wage, and the classification of employees versus independent contractors—key issues in the gig economy.
Workplace safety and health might also take center stage, meaning a potential for more OSHA inspections and tougher penalties for violations, especially in industries with ongoing health concerns post-COVID.
On the other hand, some observers are skeptical of Chavez-DeRemer’s apparent pro-labor stance. Critics point to a record in her short stint as a one-term congresswoman as evidence she may not be as labor-friendly as she’s being made out to be.
Another Perspective
In an article for Prospect.org, Hassan Ali Kanu notes that Chavez-DeRemer “voted for policies that favor workers just 10 percent of the time, only slightly higher than the 6 percent score for the average House Republican.” writes Hassan Ali Kanu.
Kanu points to information from the AFL-CIO noting that Chavez-DeRemer voted for legislation that included provisions that would penalize unemployment insurance recipients for inadvertent errors. She also supported health benefit legislation that would loosen regulations to the point that employers could offer plans not backed by adequate reserves.
“Chavez-DeRemer has also voted against one of the biggest labor priorities of the past decade—a ‘joint employer’ rule to restrict companies’ ability to effectively outsource certain legal, pay, and benefits obligations to third parties, like contractors and franchisees,” Kanu writes.
While it’s too soon to say for certain what potential incoming Secretary of Labor Lori Chavez-DeRemer’s enforcement policies will be, it’s possible to make a few educated guesses based on her past statements and policy positions.
Lin Grensing-Pophal is a Contributing Editor at HR Daily Advisor.
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