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NECA Legislative Top Three 10/4/19: New Leadership Takes Hold at the Department of Labor

Oct 3, 2019

1. Department of Labor Secretary Scalia Hires Chief of Staff

As newly minted Secretary of Labor Eugene Scalia takes the helm at the Department of Labor (DOL), he has swiftly announced his new Chief of Staff, a current DOL deputy solicitor, Rachel Mondl. Mondl previously worked for Mr. Scalia as an associate at the law firm Gibson Dunn and spent time on the Hill with the House Education and Labor Committee.  They both come to the DOL at a time when scrutiny is high and major decisions must be made on a swift timeline. The labor community currently awaits final rules, implementation, and/or guidance on issues pertaining to overtime pay, joint employer liability, and industry recognized apprenticeship programs.

NECA’s Look Ahead: While Secretary Scalia and his new Chief of Staff have shown little indication as to what direction they will take regarding these regulations, there appears to be little slowing down at the Department of Labor. NECA will continue to advocate for our issues and work to better our contractors and their workers through positive relationships at the Department of Labor.

2. NECA Joins Coalition to Oppose TITLE Act

NECA joined a large coalition to send a letter to the U.S. Senate in opposition to S. 1889, the True Incorporation Transparency for Law Enforcement (TITLE) Act. This legislation would impose duplicative and problematic reporting burdens on small businesses in the United States. The legislation requires the Treasury Department to keep the beneficial ownership information (which includes the names, dates of birth, addresses, and driver’s license numbers or passport numbers of anyone with an ownership stake in the business) in a federal database for the life of the business plus five years and grants broad access to the information to federal, state, local, or tribal law enforcement agencies for virtually any reason through a simple request. The potential for improper disclosure or misuse of the private information increases as the number of people with access to the information increases.

NECA’s Look Ahead: The National Federation of Independent Business (NFIB) Research Center did an economic study on the cost of the House-passed version of this legislation, showing it would create an immense burden of paperwork, especially for those who are operating a small business as defined by the Small Business Association.

3. The Congressional Budget Office Releases Study on Tax Rates on Labor

The Congressional Budget Office conducted a study to examine the federal tax rates on labor income since 1962.  

NECA’s Look Ahead: The S-Corp Association, of which NECA is a member, wrote an in-depth analysis of the study and what it means for business owners.