Olympia Business Watch

AWB joins ceremony honoring fallen workers

A solemn ceremony in Tumwater Tuesday honored the 66 people who died in Washington last year on the job or from workplace injuries or illness. AWB joined Gov. Jay Inslee and representatives of organized labor in pledging to keep improving workplace safety until there comes a year when no one dies on the job.

Speaking to the families and friends of those who went to work and never came home, Inslee said the state honors their loss. "You need to know we embrace you today," Inslee said, noting that he has personally felt the loss of a family member -- a cousin who died while working for the King County Sheriff's Office.

AWB President Don Brunell reads the names of some of the 66 people who died from workplace injuries last year, including Christopher Rudolph, 30, a marketing director for Stevens Pass. Rudolph died in a Jan. 17  avalanche.

The governor called for a renewed culture of safety. He thanked the business community for its work in making workplaces safer. "We're not perfect yet," Inslee said. "We're ahead of the curve, but we have work to do."

This was the 20th annual memorial for those who died on the job. AWB President Don Brunell, who attended Washington's first such ceremony in 1993, noted that his upcoming retirement means this will be his last. As he addressed a packed room at L&I headquarters, he offered condolences to the families of those who died. 

"At the end of the day, we want a safer workplace where people come home every night to their loved ones," Brunell said. His own father, a volunteer firefighter, nearly died after being hit with a live wire during a call in Montana, Brunell said, adding that recent events have shown that even school teachers can be in the line of fire. 

Jeff Johnson, president of the Washington State Labor Council, told the crowd that every worker's compensation claim is a missed opportunity for injury prevention and said we all have "a moral obligation to make work as safe as it can possibly be."

Four members of the Washington State Patrol in formal blue uniforms -- one with a ceremonial sword -- honored the workers who died. Bagpipers played "Amazing Grace" as firefighters from Tumwater rang a silver bell in honor of those who died.

L&I Director Joel Sacks said the ceremony is a reminder that we can never take workplace safety for granted. Sacks noted that Washington's ceremony is unusual in that it includes wide represenatation -- from labor, business and government. 

"Each and every day we have to recommit ourselves to preventing workplace safety," Sacks said.

Brunell: Grassroots momentum growing for immigration reform

Train of copper ore cars leaving the mines in Butte, Mont. for the smelter at Anaconda. Photo: Library of Congress/Russell Lee

AWB President Don Brunell, writing about the growing momentum for immigration reform, describes his own family's experience decades ago as immigrants from England, France, Ireland and Germany settling in Montana to mine copper.

"Without the foreign miners, the copper mines would not have thrived, and the descendants of those miners would not have gone on to become doctors, engineers, teachers, electricians, shop owners and civic leaders," Brunell writes.

Today, immigrants are playing a major role in Washington's economy, particularly in agriculture where immigrant workers often take jobs that citizen's won't.

That's one reason why Brunell went to Yakima last week to sign the Washington Compact, a set of guidelines that a coalition of community, faith, business and law enforcement groups want Congress to consider as lawmakers take up the issue of immigration reform.

Previous attempts to reform the system have failed, Brunell noted. And questions remain for Congress and President Obama to answer about how, exactly, it would work.

"But they need to buckle down and act this year," Brunell writes.

#awbday13 rewind: issue panel videos

Thanks to all who took time out of their busy schedules to attend AWB's 2013 Legislative Day Wednesday in Olympia.

We were grateful to have the support of TVW, Washington state's very own public affairs television network, at this event. Their team joined us for two issue panels and the governor's luncheon keynote remarks. We also blogged these sessions, plus others throughout the day, so if you missed out on the trip to Olympia, you can get caught up on things online.

Transportation Panel (blog post here)

 

Tax & Fiscal Panel (blog post here)

 

Gov. Inslee Remarks to 2013 Better Workplace Awards Luncheon (blog post here)

 Other issue area panels (video not available):

• Legislative Leadership (blog post)
• Employment Law Panel (blog post)

Is workers' comp reform an endgame bargaining chip?

Don't rule it out.

That's coming from three legisaltors who should know: Sen. Steve Conway, D-Tacoma, Rep. Mike Sells, D-Everett and Rep. Mike Manweller, R-Ellensburg. The trio of lawmakers who serve on the Commerce and Labor committees in the Senate and House all conceeded today the very real possibility that key workers' reform bills may not be dealt with until the very end of session this year.Their remarks were delivered during the final policy panel of today's AWB Legislative Day in Olympia.

The panel was sponsored by Littler in Seattle and moderated by Littler's Doug Smith, chair of the AWB Employment Law Committee. (The chairwoman of the Senate Commerce & Labor Committee, Sen. Janea Holmquist Newbry, R-Moses Lake, was invited to attend but did not participate due to other legislative commitments.)

Sells, chair of the House committee, has seen many a legislative session come and go and understands the machinations of the legislative process as well as anyone.

"Workers' compensation reform will always come up and be an issue," said Sells. "I think transportation is a bigger issue this session. We need to be looking at higher education -- if we don't have trained workers, if we don't have strong middle class families, if we don't look at education funding, doing some of this other stuff is almost cosmetic," he said.

Mandatory paid sick leave bill would hurt business and workers

Representatives from businesses large and small spoke out Tuesday against a proposal that would make Washington just the second state in the country to require employers to provide workers with paid sick leave.

For small employers with narrow profit margins, Senate Bill 6229 would add signficantly to the cost of doing business, forcing some to eliminate other worker benefits -- such as health insurance -- to make up the difference.

For large businesses, even those that already provide workers with paid sick leave, the bill would be an administrative burden and could conflict with existing labor contracts.

For example, Boeing's recent landmark agreement with the Machinist's union does not include an include a waiver for the proposed state law, meaning the contract and the state law would be at odds, Carolyn Ladd, a Boeing attorney, told members of the Senate Labor, Commerce & Consumer Protection Committee.

Proponents of the bill said it's needed to make sure that sick people don't report for work at restaurants and elsewhere, spreading disease.

But business owners said there are already ways to accommodate sick workers and protect public health without adding an expensive state mandate.

Brunell: Boeing's prospects are bright ... for now

Amid all the bad economic news of late, Boeing has supplied some welcome good news, AWB President Don Brunell writes in his weekly column.

The company has completed flights tests of its long-delayed 787 Dreamliner, and despite the delays the 787 remains in strong demand. Boeing Commercial Airplanes Chief Jim Albaugh says there are 830 orders for the 787 from 52 customers, and the plane is sold out through 2019.

Boeing is adding workers and Arun Raha, the state's chief economist, expects hiring to continue for the next couple of years.

So, thing are looking up -- but all that could change, Brunell says.

He cites the National Labor Relations Board claims against Boeing over its decision to build a second production line right-to-work South Carolina, and competition from manufacturers in China, Brazil and Canada -- in addition to rival Airbus -- as notable challenges facing Boeing.

"To survive in this aggressive global marketplace, Boeing needs certainty and stability at home, with its workforce and with government regulators," Brunell writes. "Without it, Boeing's future prospects are uncertain."

 

Brunell: Under siege from the unchecked federal bureaucracy

Partisan wrangling has brought gridlock to Congress, but federal bureaucrats are finding ways to implement President Obama's programs without congressional approval, AWB President Don Brunell writes in his weekly column.

One example is the National Labor Relations Board, which is carrying out organized labor's agenda after Congress failed to approve union-backed "card check legislation.

Another example is the Environmental Protection Agency, which is systematically implementing its own version of cap-and-trade after the Senate rejected the president's plan.

The end-run around Congress by federal bureaucrats is costing taxpayers and employers trillions of dollars and adding to the national debt, which now stands at $14.3 trillion.

Congress needs to wake up, and regardless of party affiliation, take back control of the legislative branch of government, Brunell writes. "Congress sets policy and federal agencies enforce it -- at least that's how our separation of powers is supposed to work."

Supreme Court: No Job Protection for Medical Marijuana Patient

Yesterday, the Washington Supreme Court issued a long-awaited decision in a case asking whether an employee may be fired for medical marijuana use under the state law authorizing qualifying patients to use the drug.

Employee Jane Roe, suing under a psuedonynm, was fired from Teletech, a Colorado-based call-center company with a location in Bremerton, after failing a drug test.  She failed the test because she used medical marijuana with a doctor's referral under the state's Medical Use of Marijuana Act (MUMA), passed by the voters in 1998.  

After her termination, Roe sued, claiming MUMA implicitly protects an employee's off-site use of medical marijuana, and that her termination was a wrongful discharge in violation of public policy supporting medical marijuana use.  Roe's suit was strongly supported by the American Civil Liberties Union.  Teletech was represented by AWB board member Stoel Rives LLP.

In an 8-1 decision written by the newest member of the court, Justice Charles Wiggins, the Supreme Court flatly rejected both contentions.  Analyzing the statute, the court reasoned that while it allows a defense against criminal prosecution for marijuana possession, nothing in the plain language or obvious intent of the law suggests employers would face legal liability for refusing to accommodate marijuana use by employees.

A break in the logjam on workers' comp - vote coming today

It's not perfect. It's less than what employers wanted.

But it's progress, at long last.

Gov. Chris Gregoire and the leaders of the four legislative caucuses struck a deal Sunday that is expected to bring significant savings to the state's troubled workers' compensation system.

Details of the agreement, including the exact bill language, were unclear late Sunday, but the deal was expected to stave off double-digit workers' comp premium hikes next year for the vast majority of Washington employers.

"It's not the full reform we were seeking," said Kris Tefft, AWB's general counsel and government affairs director for workers' compensation. "This package is much less than what we wanted, but it's more than what we have now. It's a true compromise."

Organized labor, which has fought workers' comp reform for years, denounced the deal as "atrocious" and "absolutely astounding." But House Speaker Frank Chopp, who had been standing firm with labor, called the agreement a "fair deal for everyone," including injured workers.

When asked about labor's opposition, Gregoire said it's normal for some groups to express concern whenever there is change. "This is a fair package," she said. "Their interests were discussed."

Brunell: NLRB decision on Boeing plant is a dangerous precedent

During the 2008 presidential campaign, candidate Barack Obama promised organized labor that he would support their agenda. Now that he's failed to get the agenda through Congress, Obama has turned to regulation, AWB President Don Brunell writes in his weekly column.

The latest evidence of that is the National Labor Relations Board's move to shut down Boeing's non-union South Carolina production facility. The board, a supposedly neutral body that is in fact stacked with former union lawyers, claims that Boeing chose to locate a plant there out of "anti-union amicus" and that the decision violates federal law.

In truth, the move to South Carolina was a reasonable business decision that has created mor than 1,000 jobs and generated roughly $2 billion worth of investments, Brunell writes. And Boeing still has a strong presence in the Puget Sound, where its workers are among the best paid in America.

"Allowing the government or unions to dictate investment decisions and plant locations is a ery bad precedent to set," Brunell writes, "whether it be Congress, the president or regulators like the NLRB."

Wash. rates poorly in new report on state labor markets

Washington ranks among the worst states in the country in a new report that summarizes the overall level of state labor and employment regulations.

Relatively high labor costs -- including the nation's highest minimum wage, and very high unemployment and workers' compensation costs -- are partly responsible for the state's Tier III ranking in the new report from the U.S. Chamber of Commerce.

Other factors cited in the report, titled The Impact of State Employment Policies on Job Growth (pdf), include numerous labor and employment mandates that exceed federal standards, and one of the highest rates of private-sector unionization in the country.

Only Hawaii, New York and Nevada have a higher percentage of private-sector union members, according to the report. Washington's private-sector unionization rate is 12.6 percent; the state's public-sector unionization rate is 56.8 percent.

Brunell: Tax incentives bring value

Periodic reviews of tax incentives make sense to ensure they're cost-effective and justifiable, AWB President Don Brunell writes in his weekly column.

But wholesale attacks on incentives like the one launched recently by the United Food and Commercial Workers union create more heat than light.

For example, the UFCW members circulated a petition in Olympia suggesting that taxing cosmetic surgery and private aircraft could save the state's Basic Health Plan. But the numbers don't add up, and the notion that the Legislature is going to determine which products or services are frivilous in the eyes of the state is a slippery slope, Brunell says.

Why not slap a surcharge on high heels? Or low-slung pants? How about riding lawnmowers? Or maybe haircuts?

Tax incentives have come under attack before, and the lessens about what happens when they're cut are clear, Brunell says. And their benefits are well-documented.

Lawmakers should proceed with caution.

 

TVW examines growing push for workers' comp reform

Last night on "The Impact,"TVW's Jessica Gao tackled the complicated topic of workers' compensation reform. It's shaping up to be a major issue for lawmakers this year.

The program features a discussion with state Reps. Cary Condotta, R-East Wenatchee, and Timm Ormsby, D-Spokane, lawmakers with differing views on the subject. The set-up includes AWB's Kris Tefft disabusing the notion that allowing injured workers to enter into voluntary settlement agreements with the state -- a key provision of Engrossed Senate Bill 5566 -- puts them at risk of losing benefits.

"It's  proven technique around the country," Tefft said, noting that 44 states currently allow such agreements. "Should Washington become the 45th, this bill would provide more worker protection than any of the other 44 out there. But the over-arching worker protection in this proposal is that it's voluntary."

Check out the set-up here, including the counter-argument from Washington State Labor Council President Jeff Johnson that injured workers are not in a position to make the best decision for themselves.

The full program is here:

Fun with Photoshop? The case of the vanishing business lobbyist

We know he was there. He's got the pen to prove it.

But judging solely by the photo published on the Washington State Labor Council website, one would never know that AWB's Kris Tefft attended the governor's bill-signing ceremony Monday for Senate Bill 5801.

The legislation represents a small part of the workers' compensation reform that the business community is hoping to see this year, but it's as far as the labor unions want to go.

Could it be that this ideological gulf is the reason Tefft does not appear in the labor photo?

Consider the evidence: Tefft is clearly visible (at least to his close friends and family) in a photo published on the Washington State Wire website. This despite the fact that he's standing in the back row behind several other folks.

And yet his smiling mug is nowhere to be found in a similar photo published on the labor website.

Brunell: There's no money

Rather than stand at the barricades fending off change, as they have been in Wisconsin, public-sector unions should be using their experience and talents to make government more affordable, AWB President Don Brunell writes in his weekly column.

The confrontation between Wisconsin Gov. Scott Walker and state employees focused the nation's attention on government unions. Unlike the unions that formed in the 1920s and '30s to fight for better working conditions and wages, today's public-sector unions are largely suburban and white collar.

Studies show that public employees earn higher pay and benefits than private workers in 41 of 50 states. What's more, they are major funders of the "bosses" they end up negotiating contracts with.

The problem now, Brunell says, is that there is no more money. Business as usual is not an option. It's time to work for a solution that works for both the private and public employees.

Say what you want, but safety comes first

They say actions speak louder than words. You be the judge.

On Tuesday, about 100 representatives of the United Food and Commercial Workers Union flooded the front lobby of our office here in Olympia. Carrying signs -- and small children -- the union's members blocked the main entrance and exit for our building, creating an instant safety hazard for our staff and those visiting the AWB office in an apparent protest over legislative cuts. During this time, phones went unanswered as the workplace was disrupted by people who claimed they wanted a dialogue  -- but only brought one bullhorn to the party.

AWB President Don Brunell patiently listened to the crowd, received their challenge and flyers, but was denied a chance to respond to them and their concerns.

In his own (private) building.

So Brunell penned this letter back to UFCW President David Schmitz, which was sent via e-mail and FedEx yesterday. In it, Brunell outlined his concerns about the manner in which the union's members conducted themselves: 

The safety of the people who work at AWB and of building visitors is paramount. Unlike many organizations today, we actually have people answering our telephones and in the reception area. Our safety protocol includes asking visitors to sign in so we know who is in the building in case of an emergency evacuation. So when Mr. Williamson led your members through the door, exceeding capacity for the lobby and with small children in tow — effectively blocking the main entrance and exit — we viewed it as a safety issue. I hope you can understand our immediate concern for the safety of the people who work and visit the Association of Washington Business. That is the reason we immediately notified the Olympia Police Department.

In his letter, Brunell goes on to address each of the points brought forward by the group, including the group's call for revocation of tax exemptions to offset cuts to the Basic Health Plan. As Brunell notes in his letter, AWB has always supported a legislative review of all tax incentives. AWB also has a long record of supporting workplace safety, worker safety and was a partner in this year's early unemployment insurance deal signed by the governor earlier this month.

Ironically, UFCW workers showed little concern for workplace safety on Tuesday for their members or our staff.

Moreover, Brunell and staff at AWB have worked openly and in a civil manner with all labor groups, including Labor Council Presidents Larry Kenney, Rick Bender and Jeff Johnson, their leadership and representatives. Wrote Brunell, "It is our hope that we establish the same way to talk and, hopefully, resolve differences."

Labor unions in this state have a long history of organizing rallies and marches. That’s fine when they’re conducted on the Capitol steps or some other piece of public property. But AWB is a private office building. 

Since the group's concerns are legislative, Brunell wrote, it would be better for the group to focus its efforts on the Legislature.

"America is built on freedom of speech, worship and belief," Brunell wrote. "Its secret to success is the ability of its people to discuss issues and find solutions." 

Amen to that.

Employers want to block workplace harassers

AWB's Kris Tefft testifies in support of SB 5552

When an individual becomes the target of threats or harassment, he or she can go to court and ask a judge for a temporary protection order requiring the alleged perpetrator stay away.

When the target of such threats is a company, it's not as simple. Washington law currently does not allow employers to petition courts for protection orders against disgruntled ex-employees or others who threaten and harass their workers

A pair of bills introduced this week propose to change that.

Senate Bill 5552 and House Bill 1591 would give employers essentially the same ability to seek temporary protection orders that individuals currently have, with some safeguards built in to protect victims of domestic violence.

Kris Tefft, AWB's general counsel and government affairs director, called it a modest amendment to the state's existing law that is unfortunately needed because of the increase in workplace violence across the country.

At least 10 other states already allow employers to obtain temporary protection orders, and others are considering it, Tefft told the Senate's Committee on Labor, Commerce and Consumer Protection.

Gov. Gregoire's Keynote Remarks at AWB's 2011 Legislative Day

(Recorded: Feb. 03, 2011) Gov. Chris Gregoire’s keynote remarks at AWB's annual Legislative Day luncheon. Topics include unemployment insurance, workers' compensation, state employee pensions and education.

Livestream: Environmental Issues Panel

Video chat rooms at Ustream

Livestream: Budget & Tax Panel

Video chat rooms at Ustream

Workers' comp takes the spotlight in Olympia

Washington's employers gave decidedly mixed reviews Tuesday to Senate Bill 5566, the governor's plan to reform the state's troubled workers' compensation system and a key component of her job growth and economic development initiative.

The good: A proposed medical provider network to treat injured workers, if done right, could be extremely effective, Darren McCallon, vice president of finance for Tacoma's TrueBlue Inc., told lawmakers in the Senate Labor, Commerce and Consumer Protection Committee.

The bad: A 30 percent increase in permanent partial disability awards. Even though it's intended to lower the cost of pensions in the long run, raising the costs now in hopes of putting off pensions later isn't a good gamble, McCallon said.

The missing: The ability to enter into voluntary settlements with injured workers younger than retirement age, something that exists in 44 other states but is lacking from the bill.

Oregon reformed workers' comp, why can't we?

Gov. Chris Gregoire recently announced plans to reform Washington's workers' compensation system, but unfortunately there seems to be little support for the most effective solutions, which are opposed by union leaders and trial lawyers, AWB President Don Brunell writes in his weekly column.

Washington's workplaces are safer than ever, and yet State Auditor Brian Sonntag reports that the system is unsustainable and needs huge increases to remain solvent, Brunell writes.

What's the problem?

One of the problems is that too many claims remain open for too long. And one reason for that is that Washington, unlike 44 other states, does not allow voluntary settlement agreements.

Another one is that Washington, unlike most states, does not have standards that expressly link workers' comp benefits for occupational diseases to the job.

Real reform works, Brunell writes. Oregon reformed its workers' comp system 20 years ago and premiums there have not increased since 1990. In fact, premiums have decreased 13 percent since 2006 when benefits have increased.

That's one model. AWB's Kris Tefft offered ideas to the House Labor & Workforce Development Committee this week, as well. You can watch his testimony on TVW below.

The problem is clear, and the solutions are known. The question, Brunell says, is whether our Legislature has the political will and courage to act.

AWB Institute: Manufacturing and Distribution Summit (Part Two)(Video)

Greg Weeks, Ph.D. (Director of Labor Market & Economic Analysis, Employment Security Department)

AWB Institute: Manufacturing and Distribution Summit (Part One)(Video)

This is the first of two one-day summits from the Association of Washington Business Institute and McGladrey. It is taking place at AWB's offices in Olympia. Tomorrow's event is in Lynnwood (you can still register). Topics include:

• An industry and U.S. economy outlook
• The impact of global activity on profitability
• Cost management
• Demand for "green" products and processes
• What employee skills manufacturing and wholesale distribution companies are seeking and where they're recruiting

Speakers

Tom Murphy, executive vice president of manufacturing and wholesale distribution, McGladrey: Murphy is a 25-year veteran in the industry and national practice leader. He shares his views on the latest industry trends, and reviews highlights from an annual survey conducted by McGladrey this spring.

Greg Weeks, labor market and economic analysis director, Washington State Employment Security Department: Weeks provides insight into the Washington economy and an out industry outlook from a workforce perspective.

Does President Obama really care about employers?

A representative of President Obama's recently attended a meeting of state manufacturers association presidents and tried to enlist the group's help in persuading companies to invest some of the $1.8 trillion they're holding in reserves, AWB President Don Brunell writes in his weekly column.

The group shares the president's goal, but it wasn't jumping on board, Brunell writes.

The sentiment was that uncertainty about higher taxes, increasing regulations, health-care reform costs, cap-and-trade regulation and lopsided pro-union policies have many employers and investors sitting on the sidelines.

"The Obama representative sincerely promised to take our concerns back to the White House," he writes. "Did any of us believe it would make a dent in the president's thinking?

"Heck no! That's the problem."

Employers fully expect Congress to come back in a lame duck session after the November elections and jam through anti-business legislation, Brunell says.

"It seems today that in the president's haste to set historic political landmarks, such as Obamacare, the impacts of those policies on employers are disregarded, even in the midst of a severe recession."

Check out the full column.

And watch the video below for a portion of an interivew with AFL-CIO President Richard Trumka in which he confidently predicts the return of card check legislation before the end of the year.

Brunell: Protecting the sacred cow

Facing a $3 billion budget gap next year, Gov. Chris Gregoire recently announced a renewed initiative to streamline state government and vowed, "There will be no sacred cows," AWB President Don Brunell writes in his weekly column.

Surprisingly, Gregoire suggested privatizing the state's scandal-laden ferry system, Brunell writes.

But the governor's idea of privatizing the ferry system -- or any other state service -- cannot be to shift them to private companies and shackle those companies with the same costly restrictions and union work rules that bloat the cost of state government.

"That's not reform, it's just relocation," he writes.

The recent experience with the West Seattle Water Taxi is a case in point.

"Unless and until the governor and state legislators truly put everything on the table -- including public employee contracts -- there will be no real reform," Brunell writes.

Read the full column here.

Brunell: Voters Can Reset Government This Fall

It's time for the state get out of government-owned monopolies that the private markets can better serve, AWB President Don Brunell writes in his weekly column.

"With state government billions of dollars in the red, it’s time to prioritize state spending on only the most essential services. Few can argue with a straight face that selling Johnnie Walker Scotch is an essential role of state government," Brunell writes.

Provided that these initiatives can get enough signatures, voters will get the chance to vote on two initiatives that will privatize two long-held government monopolies this fall. Initiative 1100 would end the monopoly on the retail sales of hard liquor. Initiative 1082 would end the state's monopoly on workers' compensation insurance.

"Washington residents won’t stand for another $800 million tax increase if state lawmakers refuse to pare back government spending," Brunell writes. "Instead of battling to hold onto state monopolies on liquor sales and workers’ comp, the state should focus on public safety, education and assistance for the truly needy."

Read the full column here.

Surprise! New rest break requirement in federal health care law

House Speaker Nancy Pelosi wasn't kidding when she said "[w]e have to pass the bill so you can find out what is in it." Tucked away among the various new tax provisions and insurance industry regulations is an important, but seemingly unrelated, new employment law.  Covered employers will want to take note, and take steps to ensure compliance. 

Section 4207 of the Patient Protection and Affordable Care Act amends the Fair Labor Standards Act to require employers provide rest breaks and facilities for nursing mothers to express breast milk.  The new provision reads:

(1) An employer shall provide--
   `(A) a reasonable break time for an employee to express breast milk for her nursing child for 1 year after the child's birth each time such employee has need to express the milk; and
  `(B) a place, other than a bathroom, that is shielded from view and free from intrusion from coworkers and the public, which may be used by an employee to express breast milk.
    `(2) An employer shall not be required to compensate an employee receiving reasonable break time under paragraph (1) for any work time spent for such purpose.
    `(3) An employer that employs less than 50 employees shall not be subject to the requirements of this subsection, if such requirements would impose an undue hardship by causing the employer significant difficulty or expense when considered in relation to the size, financial resources, nature, or structure of the employer's business.
    `(4) Nothing in this subsection shall preempt a State law that provides greater protections to employees than the protections provided for under this subsection.'.

Note that smaller businesses, with fewer than 50 employees, are not as such exempted from the provision.  Such an employer may still be covered unless it can demonstrate an "undue hardship" complying with the law. 

Seattle Times is right: Gag rule needs to stay out of state budget

The Seattle Times noticed.

We wondered last week if lawmakers in the House thought no one would notice that they quietly slipped a pared-down version of last year's controversial worker privacy/gag rule bill into the Senate operating budget.

Specifically, the language would prohibit providers of long-term care or services who receive state funding from using the money to "assist, promote, or deter union organization."

The Seattle Times picked up on it, and came out strongly against the idea today in an editorial.

On the surface, it appears to be a small step. "Compared to the whole economy, long-term homes are not large," the Times writes.

But the paper notes that the principle is the same, and the editorial quotes AWB's Kris Tefft: "We view this provision as a crossing of the Rubicon."

House sneaks union gag rule into Senate budget

It was the hottest issue of the 2009 session.

And it's made a triumphant return in the closing days of the 2010 regular session. 

We're talking, of course, about the worker privacy issue -- the rule barring employers from requiring employees to attend meetings, listen, respond to or participate in any communication related to political, labor or religious matters. It was the labor community's top priority for the 2009 session, and it all came to a screeching halt with one errant e-mail last March.

Well, it's back, in a skinnied-down version. In the rush to move the supplemental operating budget along, lawmakers in the House quietly inserted language restricting employers or service providers who receive DSHS funding.

Students of the 2009 Legislature may recall that Gov. Gregoire, Senate Majority Leader Lisa Brown, D-Spokane, and House Speaker Frank Chopp, D-Seattle, collectively agreed to shelve legislation last session after an e-mail linked action on the bills to campaign contributions. Union representatives, outraged over the death of their bills, vowed revenge at the polls with the establishment of their DIMEPAC (Don't Invest in More Excuses Political Action Committee).

Flash forward to today and, specifically, to the 2010 Senate operating budget. Upon reviewing the  proposal, AWB General Counsel Kris Tefft observed the insertion of the gag rule language in a substitute version offered by the House. He outlined his concerns in this memo to top members of the Senate Ways & Means Committee. Writes Tefft: 

Notably, these provisions were not proposed by the Senate in the original or substitute form of SB 6444, but rather, inserted by the House in its striking amendment. Specifically, at sections 205 and 206 (pp. 73 and 81-82 respectively) of SB 6444, the following language is inserted:

No employer, provider, or entity receiving state funds to provide long-term care services or services to the developmentally disabled may use these funds to assist, promote, or deter union organization.

The inclusion of such language is invalid, Tefft notes, under a recent U.S. Supreme Court decision in United States Chamber of Commerce v. Brown. The Court invalidated a California statute that prohibited private employers from receiving state program funds of more than $10,000 in any program year from using the money to "assist, promote or deter union organizing."

Yet, there it is. And while it is a much narrower version of the worker privacy bills proposed last year -- the clause specifically refers to providers who receive state funds for long-term care services or services for people with developmental disabilities -- it opens the door. Thirty-one words. Almost four lines of text.  

Did they think no one would notice?

News of Great Recovery tempered by jobs data

Today's announcement by the Bureau of Labor Statistics that job losses in this recession are now at or near record levels surely tempers news of the Great Recovery.

According to today's report, 5.2 percent of jobs have been lost in the U.S. since the start of the recession (December 2007). Here in Washington state, we've lost 4.3 percent of total jobs, putting us in about the middle of the pack (28th), comparatively speaking. You can view the full rankings here.

Arizona showed the greatest decline, becoming the first state to have lost 10 percent of its total jobs to the recession -- a feat that has only occurred once in the past four recessions according to the Economic Policy Institute. And Michigan, reeling from the loss of manufacturing jobs, is ranked second, having lost 9.8 percent of its jobs, followed by Nevada, also affected by the downturn in construction, having lost 8.5 percent. 

Around the West, Oregon lost 7.7 percent, Idaho is down 6.6 percent and California is off by 6.5 percent, ranking them sixth, seventh and eighth respectively. Unemployment rates were still on the rise in 24 states last month and 15 states (seven in the South), had double-digit rates of joblessness.

Only Alaska (+0.6 percent), Washington, D.C. (+0.6 percent) and North Dakota (+1.4 percent) showed job growth. 

The Daily News nails it on need for workers' comp reform

On its Sunday editorial page, the Longview Daily News hit the nail on the head about the need for workers' comp reform in Washington:

Local businesses and their employees are about to get hit with significant tax bill just when they can least afford it. Daily News business writer Erik Olson reported this month that workers’ compensation insurance rates are due to increase 7.6 percent at the first of next year. That’s the biggest increase since the eye-popping 29 percent rate hike in 2003 revived talk of making fundamental changes in this state-run insurance program.

Unfortunately, that talk produced no changes. The cost of workers’ comp continues its upward march in good economic times and bad, burdening Washington employers and employees and giving pause to businesses and industries that may be looking to move into the state.

The editorial considered the distressing effect of the rate hike on two local businesses:

Workers' Comp reform needs to be bipartisan

In old politics, like the old physics, every action seems to result in an equal and opposite reaction. 

So when Republican members of the Senate Labor committee took to the editorial pages of the Seattle Times a few weeks ago pointing out problems with our workers' comp system, decrying the announced 2010 tax hike, and pointing out paths toward reform, this predictably provoked an opposing op-ed yesterday from the chair of that committee, Sen. Jeanne Kohl-Welles, D-Seattle, as well as her House counterpart, Steve Conway, D-Tacoma.  

The gist of the Kohl-Welles/Conway op-ed:  We have a great workers' comp system, the envy of the country, and its recent problems are attributable not to the system but to the recession.  Businesses are just using the rate hike as a pretext to cut injured workers' benefits.  The Chairs framed their message as an "honest discussion" about workers' compensation.

The truth, as usual, is more complex.

Stein and Moore speak out at Washington Policy Center dinner

Ben Stein, the iconic actor who played the economics teacher in Ferris Bueller’s Day Off, is not shy about expressing his opinions. Stein, an author, economist, lawyer and former aide to President Richard Nixon, delivered a wide-ranging keynote address at the Washington Policy Center’s 2009 Annual Dinner Tuesday night in Seattle.

No admirer of the Obama administration's drive to expand the scope of government, Stein declared, "The Obama administration is about social control. People in the White House are control freaks. They want to control you."

On the current business climate: “If you build a new plant to manufacture paint, [the administration is] going to hit you so hard with [taxes] that you won’t know what hit you. If you build any kind of enterprise, they’re going to make your life miserable unless you hold down your head and hide.”

On the economy: “The money supply virtually doubled within a space of less than a year. Nothing like that’s happened before. It still hasn’t worked to restore the economy.”

On health care: “Somewhere between 70 percent and 80 percent of all people are happy with their health care. Take the poorest people in this country and give them money to buy health insurance. Don’t screw up everyone else’s relationship with his doctor and hospital.”

"The end goal is to maintain our freedom," said Stein as he concluded his speech.

Prior to Stein’s address, Stephen Moore, the Wall Street Journal’s senior economic writer and the former president of the Club for Growth, kicked off the evening with a well-received speech of his own.

"I really believe that the next eight weeks are the most crucial weeks in our country at any time that we've seen in 30 years," warned Moore. "We face the health care bill, the cap-and-trade bill, the union card check issue and a huge budget."

Among Moore’s observations: “Everything that we have done in the last year in Washington, [D.C.,] to deal with our economic crisis is exactly the wrong thing. We were promised 3 million jobs, but we’ve lost 3.5 million jobs since the stimulus.”

Moore believes it would have been preferable to have suspended the income tax during the recession, thus creating more jobs, and calls for an 18 percent flat tax with no deductions coupled with an immediate 20 percent cut in every federal agency.

On health care, Moore calls for medical malpractice reform, Health Savings Accounts and allowing individuals to purchase insurance across state lines.

"This generation has a great cause," concluded Moore. "We need to be able to say that we were the generation that saved America from socialism."

For more on the dinner, visit http://www.washingtonpolicy.org/

Gov. Gregoire talks workers' comp reform at aerospace summit

One of the more persistent criticisms (here, here, here, and our own, here) of Governor Gregoire's "business case" for Boeing to build a second 787 assembly line in Washington was the initial failure to address our state's uncompetitive workers' compensation system. 

Boeing, like the business community generally, has made workers' comp reform a top priority -- and that was before word of a $117 million tax increase in 2010 for employers and workers insured by the state that will only partially cover a $270 million increase in system costs next year.  

Anyway, the message apparently got through.  According to Jerry Cornfield of the Everett Herald today, "Gov. Chris Gregoire put workers compensation reform on her 2010 legislative agenda."  

Gregoire appeal to business: Plan ahead for H1N1 flu

The good news is that the H1N1 flu virus has a remained a mild disease, Gov. Chris Gregoire said in a recent letter to the state's business community.

Even so, it could have a large impact on the state's workforce because of its apparent targeting of children and young adults.

Business leaders should review their plans now to make sure they are prepared to keep their doors open in case a large number of workers fall ill or stay home to care for sick children.

The letter includes a list of questions businesses should be asking themselves, including:

• Review your businesses continuity plan. Have you identified critical functions? Do you have staff trained to carry out those functions?
• Have you evaluated your workforce? How many workers have children who could be affected by the virus or related school closures?
• Do you have flexible leave policies?
• Do your suppliers and vendors have contingency plans? Have you developed alternative ways to operate with a reduced staff?

Gregoire recently hosted a summit on the H1N1 flu, also known as the swine flu. AWB, the business liaison to the state's Emergency Management Division, participated in the summit.

A survey conducted by AWB of its members prior to the summit showed that most respondents (70 percent) believe they have adequate personnel, sick leave and flex-time policies to cover employee absences, at least in the first few weeks of an outbreak.

But a majority of them (58 percent) said they do not have backup suppliers ready to assist if needed.

Survey responses are available here.

For more information, visit the Department of Health.

Related blog posts:

Note to bosses: Please don't require a doctor's note for flu-sick workers

What businesses must do now to prepare for fall swine flu

Everett Herald: Governor should pursue workers' comp reform

In the context of an editorial calling for continued improvement in the "business case" for Boeing to keep and grow jobs in Washington, the Everett Herald had this to say:

One business-climate improvement the governor should be pushing is workers’ compensation reform. Recent good news about the state’s business environment — Washington recently was ranked by Forbes magazine as the second best state in which to do business, up from third a year ago — coincided with the announcement of a 7.6 percent increase in workers’ comp premiums by the state Department of Labor and Industries. Especially in a recession, that’s a big hit to all industries. A report last spring by Deloitte Consulting said Washington’s workers’ comp rates put it at a competitive disadvantage in attracting aerospace employers.

The governor’s report to Boeing doesn’t get into workers’ comp reform. It should have. Pushing for moderate reforms, like establishing an option for settling injured workers’ claims so they aren’t left open for decades, would be a sensible way to benefit all employers and encourage job creation.

We totally agree.  Allowing injured workers the flexible option of settling a claim is a routine and uncontroversial component of the workers' comp systems of 44 other states and one of the most effective tools in addressing cases that would otherwise stay in the system way too long.  A moderate reform, and one that the Governor and Legislature should be pushing for.

Washington's minimum wage not going up next year

News is out today that Washington's highest-in-the-nation minimum wage is not going up next year.  It will stay at $8.55.

By initiative passed in 1998, the state minimum wage is tied to an annual rate of inflation -- and inflation is actually down nearly 2 percent.

So why isn't the minimum wage going down 2 percent, reasonable minds might wonder?

I addressed that question back in August, when word came out that Colorado's similar minimum wage law was actually decreasing that state's minimum wage. 

Bottom line, some mild statutory ambiguity notwithstanding, the labor interests than passed the initiative appear to have drafted it as a one-way ratchet.

Could reforming lawsuit abuse help curb workers' comp costs?

Our state's workers' compensation system was created in 1911 as a kind of tort reform.  Workers injured on the job receive defined medical and wage loss benefits regardless of fault, and employers receive immunity from lawsuits for on-the-job injuries.  It's a system that in theory is designed to avoid litigation, providing "sure and certain" relief to injured workers without the need for attorney representation and adversarial judicial processes.

A century later, we know it hasn't always worked out that way.  Representing workers' comp claimants is a lucrative cottage industry in the legal profession, with its own powerful lobbying and political arm, and increased attorney involvement and adversarial delay in the resolution of claims is one of the lesser examined cost drivers weighing down the system.

Boeing: Workers' Comp, UI costs too high in Washington

Today's Everett Herald story on the Governor's report to Boeing corporate leadership on location of the second 787 line contains some relevant information about the workers' comp developments we've been covering.

Boeing said it appreciated the thoroughness of the report but emphasized that it still views workers compensation and unemployment insurance costs as too high.

“While Washington state has made progress, there is still work to do to deal with the high costs of doing business,” Boeing spokesman Bernard Choi said.

Snohomish County Executive Aardon Reardon makes a similar point:

. . . Reardon found the governor’s business case lacking. Instead, he would have liked to see it address issues — workers compensation, unemployment insurance and workforce training — that Boeing has raised repeatedly.

While “it appears Washington is losing the competition to South Carolina, some (lawmakers) in Olympia still seem to think that everything is fine,” Reardon said.

Curiously the Governor's report did not mention workers' compensation at all, and its discussion of unemployment insurance focused on fund solvency rather than employer costs. 

L&I's 2010 rate hike: What's going on in other states?

L&I's explanation for its proposal of a 7.6 percent increase in workers' comp taxes next year is tied directly to the economy.  Three factors behind the rate increase the agency highlights: reduced investment returns, fewer premiums paid because of reduced work hours, and fewer jobs to which injured workers can return.

While true to a point, focusing on the economy deflects scrutiny from underlying cost trends that have proven durable through good times and bad -- such as average missed days from work, up over 38% since 2001, or the uncontrolled awarding of lifelong pensions -- up over 300% since 1996.   

Since Washington is not alone in decreased assets, premium income, and employment in this economy, it may be instructive to look at what some other states are doing with workers' compensation premiums.  Among states that have so far announced statewide average premiums for 2010:

• Oregon is decreasing rates 1.3 percent next year, marking four straight years of decrease and 20 years with no rate increase;
• Hawaii has filed for a 4.1 percent decrease next year, marking a 65 percent rate decrease over the last five years;
• Florida has filed for a 6.8 percent decrease next year for a cumulative 63.2 percent decrease in the last seven years, since major legislative reform was passed in 2003;
• West Virginia, recently converted with great success from a monopoly state fund like Washington's to a private system, has filed for a 6 percent decrease;
• Texas doesn't have a state rate, but its largest workers' comp insurer is returning $75 million in premium dividends to policy holders, returning $670 million over the last decade;
• Kentucky expects a 6 percent decrease in rates, with especially safe employers seeing a drop of almost 30 percent;
• North Carolina has filed for a 9.6 percent decrease; and
• Ohio, most like Washington in terms of its size and monopoly, has had rate reductions of 5 percent in 2008, 12 percent in 2009, and now has announced a 17 percent decrease for public employers for 2010.

I'm not cherry-picking, these are rate announcements just now starting to come out for 2010.  I'll be keeping track as more states announce 2010 rates -- up or down.  But it's notable how many states are decreasing rates, sometimes significantly, despite the economic turmoil we all find ourselves in.

Now, to be fair, one nearby state may experience a substantial rate increase.  California has filed for a 22.8 percent increase in 2010 and is experiencing many of the same dynamics as Washington (fewer claims, but higher costs).  However, California's rate proposal is also tied to two recent Appeals Board decisions related to permanent disability awards that have been widely criticized as dismantling key elements of California's landmark 2004 system reform.  It demonstrates the clear link between legislative reform and system costs.  If those decisions flip on appeal, the rate increase would go down.

In any event, as we've said before, California isn't the economic company we want to keep.

Bad times expose fatal flaws in Washington's workers' comp system

That's the topic of this week's syndicated column by AWB president Don Brunell, reflecting on last week's announcement of a proposed 7.6 percent average increase in workers' comp taxes next year.  From the column:

The encouraging news — if you can call it that — is that the rate increase could have been much steeper. In its announcement, L&I officials indicated that the high costs of our state’s workers’ comp system are expected to rise 19.4 percent next year.  

Still, the pain of any tax increase, particularly right now, is difficult for employers to absorb. Remember, workers’ comp rates just don’t apply to business and industry, they apply to any employer — hospital, school, college or local government — that buys its insurance from the state.

...

During good times, the program’s weaknesses were masked by income from investing the state workers’ comp fund. But in bad times, that investment income has vanished, exposing the system’s fatal flaws.

L&I's 2010 rate hike: Paying more to work

So observes the Wenatchee World, where editor Tracy Warner reflects on the proposed 2010 workers' comp tax increase.  He notes:

In a state that just saw its unemployment rate bubble up to 9.2 percent, where jobs are easily lost, where economic recovery is excruciatingly slow, you would think it would not be a good time for the state to increase its tax on employment.

It isn’t, but it will. . . .

Business says the system is costly for employers and employees, pays the most generous and long-lasting benefits in the country and can’t seem to keep its expenses under control. It is a rare state monopoly. Rates have risen three years in a row and 53 percent in a decade, even while the number of claims drops, even while premiums in neighboring states with private policy options are stable.

Exactly right.  And, you have to remember the agency's experts on Monday actually predicted workers' comp system costs to rise not by 7.6 percent next year but by 19.4 percent next year -- over a quarter billion dollars.  The difference between that and the lower rate proposal is based, in part, on the hope that employment will pick up and economic recovery will be brisk.  Indeed, we all hope so. 

But what happens if, as leading indicators suggest, it doesn't?  That's why legislative reform is necessary to address high costs leading to the 19.4 percent figure.

Will workers' comp rate hike lead to call for private option?

Richard S. Davis, coordinator of the Washington Alliance for a Competitive Economy, looks at that question in this morning's column, reflecting on Monday's announcement by the Department of Labor & Industries that workers comp taxes would go up by an average 7.6 percent, or $117 million, next year.

More on L&I's rate hike announcement

Austin Jenkins of the local NPR affiliate KUOW has filed another insightful piece on yesterday's announcement by the Department of Labor & Industries that, while the high costs of running the state's workers' compensation system are expected to rise by another 19.4 percent next year, the agency proposes an average 7.6 percent increase in 2010 with the difference covered by reserves. 

Calling a decision to raise the tax rate as high as the projected cost increase "politically untenable," Jenkins notes "Washington's business lobby is demanding reforms to the state's workers' compensation system": 

Originally Labor and Industries was talking about a 15 to 20 premium increase. That's because Washington's workers compensation fund has taken a billion dollar hit in the last year - due to higher costs and investment losses. But in the end, a double-digit increase during a down economy was politically untenable. So L&I is proposing a more modest 7-point-6 percent increase starting in January. Even so Kris Tefft with the Association of Washington Business says it's time to do something about the rising cost of taking care of injured workers.

Kris Tefft, AWB: "Probably the single most effective tool in other state's tool boxes for addressing long-term claims is offering the option of entering into a settlement agreement to give a lump sum or a structured annuity to an injured worker to resolve the claim."

The Washington State Labor Council strongly opposes that idea. But says it's open to discussing ways to rein-in costs. 

Notwithstanding labor's expected but unexplained opposition to an effective option -- option! -- like final settlement agreements, an uncontroversial part of the workers' comp systems of 44 other states, it is promising to see the powerful interest group now willing to talk about curbing costs.  It was not long ago the Labor Council was touting Washington's supposed "high benefits, low cost" system, a dichotomy heavily criticized then, and one that yesterday's rate announcement confirms is false.  

But the future health of the system requires more than talk.  That's why we called on the Governor and Legislature yesterday to act in January to reform the system, both for the immediate health of our economy and for the long-term sustainability of the workers' comp system itself.

L&I proposes 7.6 percent workers' comp rate hike

Earlier Monday the Department of Labor & Industries announced its intention to seek a 7.6 percent increase in workers' compensation rates for 2010, a $120 million tax increase split about 75-25 between Washington employers and employees.  The state had been bracing for as much as a 15-20 percent increase based on much-discussed preliminary figures released earlier this summer.

Although not mentioned in L&I's official news release or any of the brief press reports today (PSBJ, AP), what's important to notice is that L&I got its earlier forecast right: according to the agency's own experts, the cost of running the state's workers' comp system will increase by 19.4 percent -- or $270 million -- next year.  The rate proposal is lower, seeking about $120 million, because L&I has a savings account called the "contingency reserve" that can make up the $150 million difference. 

But this reserve account, depleted over the last year by an economic downturn mixed with poorly controlled claims costs -- to the tune of over $1 billion -- cannot last forever.  What's needed is systemic legislative reform to the cost drivers that make our system a national outlier -- like an average of 266 days off for injured workers who miss work; or a pension crisis that has created an unsustainable 300% increase this decade in the number of lifetime annuities awarded each year. 

As AWB's statement today makes clear, today's rate proposal underscores the need for the Governor and the Legislature to make some fundamental changes to our workers' comp system to help curb these costs.

Businesses Brace for Workers' Compensation Rate Hike

KPLU's Austin Jenkins filed this report yesterday on the potential for a significant hike in workers' comp rate increases.  As we noted earlier this morning, the rate proposal is now set for next Monday.

Just as the economy is bottoming out, Washington businesses are bracing for a major increase in workers' compensation premiums. These are the taxes companies pay to cover their employees in the event of an on-the-job injury. This week officials will meet in Olympia to discuss the rate hike.

n recent years Workers Comp rates in Washington have mostly held steady. Now Washington employers could get socked with a 15 to 20 percent rate hike in January. The Department of Labor and Industries blames more expensive claims and the fact the workers comp fund took a billion dollar beating in the stock market. L&I spokeswoman Tiffany Scheer acknowledges the bad timing.

Tiffany Scheer, WA Labor and Industries: "We totally understand that many businesses are struggling in this economy and we are right now doing all we can to ensure that the workers comp proposal is as a low as possible while still maintaining the solvency of the state fund."

L&I says it's unlikely the rate increase will be as high as 15 to 20 percent. The Association of Washington Business says the situation is further evidence of the need for workers compensation reform in Washington.

Workers' Comp Rate Announcement Set For Next Monday

The Department of Labor & Industries has rescheduled a meeting of the state Workers' Compensation Advisory Committee to share the proposed workers' comp tax rate for 2010.  A great deal of interest has followed the Department's earlier forecast in June that as much as a 15-20% increase may be necessary next year to offset rising costs at a time of declining revenue. 

The meeting, originally set for August 26th but then postponed first until today, and now postponed a second time, is announced to take place on Monday, September 21st at L&I headquarters in Tumwater.  The proposed tax rate will apparently be filed the next day under the agency's rulemaking authority.

Although L&I's actuaries may suggest a break-even rate for 2010 as high as previously forecast (or, possibly, higher), employers should not expect the proposed rate to necessarily match the indicated rate.  L&I is under a legal obligation to set rates that are the lowest necessary to maintain the solvency of the state funds and limit year-to-year fluctuations in rates.  Although the funds' contingency reserves have been hammered over the last year, some reserves may be available to mitigate the full impact of the expected tax hike. 

But even if the Department is able to temporarily use reserve money to reduce rates below the break-even point, as it has for much of this decade, the costs of providing benefits and claims administration will continue to rise without addressing some of the structural cost drivers in the system.  

Could Washington's Nation-Leading Minimum Wage Go Down Next Year?

Probably not.  But as news yesterday came out that the adjustable minimum wage rate in Colorado will likely go down with inflation next year (ably dilated in this blog post by the Washington Policy Center's Carl Gipson), one may wonder why our state's inflation-adjusted minimum wage rate wouldn't also go down if (and as) inflation indices trend downward.

Colorado's minimum wage law was adopted in 2006 as an amendment to the state constitution.  It states, in pertinent part, that Colorado's annual minimum wage "shall be adjusted annually for inflation, as measured by the Consumer Price Index used for Colorado." Note that an "adjustment" can go either up or down.

Washington's minimum wage law, by contrast, appears to be a one-way ratchet.  Our statute, adopted by initiative in 1998, says the Department of Labor & Industries shall "calculate an adjusted minimum wage rate to maintain employee purchasing power by increasing the current year's minimum wage rate by the rate of inflation."  Note the third verb: "increasing". 

I suppose an argument could be made that if the rate of inflation is negative, the adjusted rate should go down despite the word "increasing" -- after all, keeping the rate the same the following year because of negative inflation isn't "increasing" it either.  Courts in Washington have done stranger things with statutes. 

But I wouldn't hold my breath.

Friday Fun: The "Nose" Sniffs at Labor's DIMEPAC.

The "Nose," the Tacoma News Tribune's weekly snark-fest, finds something ungodly about Washington's newest political currency:

Washington labor unions have reason to be a bit cocky. Ours is the fourth-most-unionized state and boasts the highest minimum wage in America, to name just a few feathers in their union-label cap.

Now it seems their cockiness has mutated into a 20-megawatt god complex.

How else to explain the bravado surrounding the Washington State Labor Council and its new political action committee, known as the DIME PAC.

The outfit’s logo is a 10-cent piece. You have to pay close attention to see they replaced the words “In God We Trust” with “In Us We Trust.” 

At least they didn’t whack off the head of President Franklin Roosevelt in favor of Labor Council President Rick Bender.

God bless ’em for that.

DIME is short for “Don’t Invest in More Excuses.” It means to deliver a warning to the Democratic mucky mucks in Olympia and D.C.: Labor will henceforth be more choosy about showering campaign cash and endorsements on you.

But before the unions mint any more phony currency, they should wait and see if Boeing moves to South Carolina. If that dark day dawns, they might as well switch their symbol to a different coin.

The plugged nickel.

Ouch.  Of course, "not another 'plugged nickel' from labor until the Governor signs the 'Worker Privacy Act'" just wouldn't have the same ring to it.