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America August 15, 2023 3 mins read

U.S. Department of Labor Under Fire for Alleged Rulemaking Oversights

America ı By Rihem Akkouche

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U.S Department of Labor

In a move reminiscent of David challenging Goliath, top Republican officials on the House Committee on Education and the Workforce have thrown down the gauntlet, accusing the U.S Department of Labor of flouting a pivotal law.

This law, the Regulatory Flexibility Act, mandates agencies to gauge the repercussions of rulemaking on small businesses.

It's as if a referee overlooked a foul in the heat of a game, altering the entire course of the match.

U.S Department of Labor: The Accusers and Their Claims

Chairwoman Virginia Foxx (NC) and Workforce Protections Subcommittee Chair Kevin Kiley (CA) have co-authored a charged letter to acting Labor Secretary Julie Su, calling out the department's alleged dereliction.

The duo's central claim? That the Wage and Hour Division has sidestepped critical rulemaking protocols.

Their allegations are far from vacuous, backed by findings of "significant noncompliance" from the U.S. Small Business Administration's Office of Advocacy—a watchdog that doesn't bark without reason.

 The Rulemaking Quagmire

Digging deeper into the proverbial rabbit hole, the letter spotlights four wage rules from the Biden era:

  1. An uplift in the minimum wage for federal contract workers.
  2. Adjustments to independent contractor statuses.
  3. Regulations surrounding tipped wages.
  4. The rejigging of prevailing wage calculations under the Davis-Bacon Act.

While some rules, like the ones about minimum wage and tipped wages, have been cemented but face legal challenges, others like the Davis-Bacon Act rule have freshly seen the light of day.

The landscape is further muddled with the Regulatory Flexibility Act claim, previously appearing in a lawsuit filed by agriculture groups against the DOL, being pushed to the background.

It's akin to a complex chess match where multiple strategies are in play, but the endgame is far from clear.

 Adding More Fuel to the Fire

To thicken the plot, a review orchestrated by the National Federation of Independent Business Small Business Legal Center unearthed 28 incidents where federal agencies seemed to give the Regulatory Flexibility Act the cold shoulder.

The startling revelation? The Department of Labor was the alleged culprit in a whopping 18% of these cases.

Both Foxx and Kiley have not shied away from voicing their concerns about Su's acting role and her nomination for labor secretary, further straining the narrative.

U.S Department of Labor: The Aftermath

While the letter's reverberations are bound to echo through the corridors of power, it remains mum about Su's nomination, which has garnered support and opposition in nearly equal measure.

As this whirlwind tale unfolds, a representative from the U.S. Department of Labor remains silent, keeping all in suspense.

The stakes are high, and the next move in this political chess match is eagerly anticipated. Will the U.S Department of Labor make its move, or will the challengers stand their ground? Only time will tell.

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Rihem Akkouche

Rihem Akkouche is a passionate journalist dedicated to shedding light on compelling stories, sparking conversations, and fostering a more informed world.

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