MA House Narrows Treble Damages

The MA House of Representatives recently voted to narrow the 2008 Treble Damages Law.  Included in the FY 2012 Budget is a provision limiting treble damages to "willful" violations and removing the threat of punitive damages for employers who make honest mistakes.  Associated Industries of MA led a coalition effort to support these changes.  If passed by the Senate and signed off by the Governor, this measure will ensure that workers are protected from willful wage violations while employers no longer have to fear treble damages in case of mistakes.   

Work continues on attempts to gain a pared down disclosure rule from FASB for our contractors.  MCAA President Mark Rodgers and UA General President Bill Hite wrote letters to Treasury Secretary Tim Geithner to explain the issues and ask for consideration and endorsement of the disclosure compromise drafted by MCAA and the Construction Industry FASB Coalition (CIFC).  MCAA and the CIFC continue to work and correspond with FASB on the issue.  Go to www.mcaa.org/fasb for a copy of letters and the compromise proposal.      

1099 Repeal Signed

In early April, the President signed a bill that repeals a tax measure contained within universal health care law.  The new law repeals a requirement for businesses to file a Form 1099 for the purchases of goods and services exceeding $600 per year.  The original measure was meant to improve tax compliance and help pay for healthcare, but small businesses deemed it to be unnecessary and burdensome.    

MA Labor Secretary Pushes Paid Sick Days

MA Secretary of Labor and Workforce Development Joanne Goldstein recently spoke out in favor of legislation that would require employers to allow workers to earn seven paid sick days a year.  Secretary Goldstein called the proposal a "basic right" that would enhance workplace productivity and rejected claims that sick leave should be left up to individual employers.  Supporters of the bill (H 1398 / S 930) say it would save employers money by reducing turnover, increasing workplace productivity and slowing the spread of contagious disease in the workplace.        

Small MA Banks Lend Big During Recession

The MA Bankers Association (MBA) claims they kept right on lending during the global recession and helped many small businesses get through difficult times.  A new study shows that, while total volume of small business lending in MA declined during 2008 and 2009, community banks actually increased their small business loan activity.  "Community banks more than made up for any cutback from the larger lender in MA" said Dan Forte, President of MBA.  The study shows that community banks boosted small business lending by 5.3% in 2008 and 6.7% in 2009.  Brian Gottlob, the study's author, stated that many small businesses reconnected with local banks during the recession.  State Treasurer Steve Grossman has rolled out his "Moving Money" project that will deposit $100 million in state deposits into community banks.     

Poll Shows 55% Support for Casinos

A poll of 1200 MA residents released by the Center for Policy Analysis at UMass Dartmouth shows 55% of the respondents in favor of three "destination resort casinos".  23% were opposed and 22% were undecided.  This comes at a time when the MA House and Senate a struggling with efforts to revisit expanded gaming legislation.       

PLA and Davis Bacon Debate Rages

Building Trades and Trade Associations are lending to debates on Project Labor Agreements (PLA) and the Davis Bacon Act.  The Government Accountability Office (GAO) published a report showing that Dept of Labor (DOL) wage surveys result in either very high or very low area prevailing wages.  The Associated General Contractors stated that this confirmed their complaint that the system is broken.  SMACNA urged the DOL to increase the number of surveys, increase their frequency and update old surveys.  The Building Trades made similar comments.  ABC has yet to comment on the report.  Meanwhile, the Building Trades and ABC continue to debate the benefits of PLAs. ABC has published a report that contradicts any merits that the Building Trades associate with a PLA.  The Building Trades stated they will continue to support the measure.   

DOL to Visit RI and CT Jobsites

The Hartford CT District Office of the Dept of Labor (DOL) has launched an initiative to eliminate wage violations at Rhode Island and Connecticut construction projects.  As part of this initiative the DOL Wage and Hour Division (WHD) will investigate general contractors and subcontractors working on large construction projects in both states.  The WHD states they will map the employment relationships among the layers of contractors to identify patterns of minimum wage, overtime and recordkeeping violations.