Thursday, June 17, 2010

Posts for June 17, 2010

CONSUMER PRICES FALL FOR SECOND STRAIGHT MONTH

June 17, 2010 – Today in Manufacturing.net
Labor Department said Consumer Price Index, the government's most closely watched inflation barometer, dropped 0.2 percent in May, following a 0.1 percent dip in April ... continue

CURRENT ACCOUNT DEFICIT INCREASES TO $109 BILLION

June 17, 2010 – Today in Manufacturing.net
U.S. trade deficit rose in the first quarter to the highest point in more than a year as rising global oil prices and a rebounding economy pushed up imports sharply ... continue


DRILLING MORATORIUM WILL COST AMERICAN JOBS
June 17, 2010 – NAM Capital Briefing

Although the Administration has stated it will work quickly to reopen some exploration and development of offshore oil and natural gas, the drilling moratorium already is having profound consequences for small and medium-sized manufacturers.

The moratorium immediately shut down 33 deepwater rigs in the Gulf of Mexico, including 22 near Louisiana. According to the Louisiana Department of Economic Development, this action could cost 3,000 to 6,000 Louisiana jobs in the next two to three weeks and potentially 20,000 by the end of next year. Estimates show lost wages per month from direct and indirect jobs are $165 million to $330 million, respectively, and the idle offshore service vessels used by the 33 platforms represent $1 million in lost revenue per day.


The moratorium has resulted in uncertainty and economic instability throughout the region. As it continues, manufacturers who make and supply the equipment, services and materials needed by the drilling platforms can expect additional economic losses. Thousands – if not hundreds of thousands – of jobs could be lost. These are good paying jobs that contribute to the Gulf region's economy.

The NAM is urging the Administration to lift the drilling moratorium and help get these Americans back to work.

Contact your member of Congress and tell them to continue to allow access to domestic energy to ensure a reliable, stable and low cost energy supply for U.S. manufacturers. For more information on taking action, contact NAM Vice President of Energy and Resources Policy Keith McCoy at kmccoy@nam.org or (202) 637-3175.


FEDERAL LABOR BOARD EXPLORES ELECTRONIC UNION VOTING
June 17, 2010 – NAM Capital Briefing

The National Labor Relations Board (NLRB) has published a request for information for “electronic voting services.” The Agency’s request states that it is looking for solutions “that support mail, telephone, web-based and/or on-site electronic voting” and indicates that the Agency is interested in performing union representation elections through devices that can be used remotely – which is much different from the current process of NLRB-supervised elections that typically take place at work sites through manual ballots. Efforts to perform union representation elections remotely via the web or telephone call into question the integrity of the current election process and undermine safeguards to protect employees’ ability to freely determine union representation. Such a system could create an electronic version of “card check” by exposing employees to intimidation and coercion in the election process. The NAM will continue to respond to efforts by executive agencies to implement the goals of the jobs-killing Employee Free Choice Act.


HEALTH CARE REFORM UPDATE
June 17, 2010 – NAM Capital Briefing

Interim final regulations clarifying which plans will be considered "grandfathered" under the new health care law have been released. Among other mandates, the regulation would limit grandfathered plans’ options for annual limits, benefits plans and cost sharing. The NAM plans to comment on the regulations.


HIGH COURT OVERRULES LABOR RELATIONS BOARD
June 17, 2010

More than 500 decisions by the leading federal agency that referees disputes between labor and management will have to be reopened after the Supreme Court ruled Thursday that the five-member board had operated illegally when its membership dwindled to two.

The high court, in a 5-4 ruling in which the court's leading liberal — retiring Justice John Paul Stevens — sided with the court's four most conservative members, said the law does not allow the National Labor Relations Board to operate while it is short-staffed because of political arguments.

"If Congress had intended to authorize two members alone to act for the Board on an ongoing basis, it could have said so in straightforward language," Stevens said. "Congress instead imposed the requirement that the Board delegate authority to no fewer than three members, and that it have three participating members to constitute a quorum."

Allowing two members to run the agency because Congress and the White House can't agree on new members would be letting the board "create a tail that would not only wag the dog, but would continue to wag after the dog has died," Stevens said.

The decision means that more than 500 of employee-employer cases decided by the NLRB while its membership had dropped to two must now be reopened by the board, which currently has four members.


June 17, 2010 - Manufacturing Economy Daily

WREX-TV Rockford, Illinois, (6/16) carried a brief report on its website about Clinkenbeard, a local company that said it conducted a "robotic machining feasibility study" that showed "using robotics dramatically reduces the time it takes to make parts" by eliminating the tooling process. Such a shortcut, according to the company, "reduces the time it takes to make military parts from 6 to 12 months, down 6 to 12 days."

LEADING INDICATORS EDGE UP IN MAY

June 17, 2010 – Late Wire from Manufacturing.net
The Conference Board says its gauge of future economic activity rose 0.4 percent in May, signaling slow growth in the U.S. economy in the summer and fall ... continue


NAM LEADS FORCEFUL BUSINESS COMMUNITY ADVOCACY ON CHINA IPR PROBLEMS
June 17, 2010 – NAM Capital Briefing

NAM Senior Director of International Business Policy Shaun Donnelly delivered strong testimony to the U.S. International Trade Commission on June 15 on manufacturers’ concerns over Intellectual Property Rights (IPR) problems in China. Calling China “ground zero for international product counterfeiting and piracy,” Donnelly also emphasized the need for the U.S. government to increase hands-on assistance to companies, especially small and medium-sized manufacturers (SMMs), confronting serious IPR problems in and from China. The NAM statement also emphasized the importance of strong U.S. government action to confront China’s recently-announced and highly-discriminatory “indigenous innovation” policy, which, if implemented as advertised, would eliminate U.S. manufacturers’ access to key parts of China’s huge government procurement market.


NAM TELLS EXPORTERS TO ADVOCATE FOR RESOURCES AND POLICY
June 17, 2010 – NAM Capital Briefing

NAM Vice President of International Economic Affairs Frank Vargo and Director of International Commercial Affairs Pat Mears spoke to leadership of the National District Export Council (DEC) on June 14 about manufacturers’ role in U.S. exports and NAM priorities for export promotion services, trade finance and policy to support export growth. Vargo told members of the DEC National Steering Committee that without stepped-up efforts by the U.S. government to open new markets and assist U.S. companies in finding customers, it will be very difficult to meet the President’s goal of doubling exports in five years. The NAM is working on a series of papers to the Administration on what manufacturers believe is needed to meet that goal.


NAM TESTIFIES AT PUBLIC HEARING ON PROPOSED EMISSIONS LIMITS FOR BOILERS
June 17, 2010 – NAM Capital Briefing

On June 15, the NAM testified at a public hearing regarding the Environmental Protection Agency’s (EPA) proposed rule that would impose stricter emissions standards on industrial boilers (boiler MACT rule). The proposed rule has the potential to impact NAM members across all industrial sectors. The NAM stated that its members’ overriding concern is that the proposed rule would impose additional compliance costs on manufacturers, hindering their ability to add jobs. The NAM also urged the EPA to rely on more flexible “work practice standards” in lieu of emissions limits for all gas-fired boilers. The NAM, working with the Air Quality Task Force, is in the process of developing formal comments on the proposal. The EPA is expected to finalize the rule by the end of the year.
NEW CLAIMS FOR JOBLESS BENEFITS UP SHARPLY
June 17, 2010 – Today in Manufacturing.net
Labor Department said initial claims for jobless benefits rose by 12,000 to a seasonally adjusted 472,000, the highest level in a month ... continue
SENATOR CALLS FOR NEW APPROACH ON CLIMATE BILL
June 17, 2010 – Today in Manufacturing.net
Sen. Richard Lugar wants a bipartisan climate change bill that reflects nation's 'economic realities' and does not include new carbon-based fuel taxes sought by Democratic leaders ... continue
TAX EXTENDERS BILL TO BE AMENDED?
June 17, 2010 - NAM

Senate Finance Committee Chairman Max Baucus released this afternoon a revised substitute amendment to the tax extenders bill H.R. 4213 that is pending now on the Senate floor. A Summary of amendment changes can be found by clicking here. Changes in this new version address provisions affecting S corporations and carried interest. A vote on this amendment might occur as early as June 17, or June 18, as the Senate Democrats work to complete final action this week on the bill.
Please forward your comments, questions and concerns to:
Dorothy Coleman: dcoleman@nam.org, 202-637-3077
Monica McGuire: mmcguire@nam.org, 202-637-3076
Dena Battle: dbattle@nam.org, 202-637-3079
UAW AIMS TO WIN BACK CONCESSIONS
June 17, 2010 – Late Wire from Manufacturing.net
New president of the United Auto Workers says the union must organize nonunion workers in order to win back concessions to companies during the recession ... continue
UTAH CLUSTER ACCELERATION STRATEGY AIMS TO GROW UTAH'S $5.4 BILLION AEROSPACE AND DEFENSE INDUSTRY
June 17, 2010 – UB Daily

The Utah System of Higher Education (USHE), the Department of Workforce Services (DWS), the Governor’s Office of Economic Development (GOED) and Grow Utah Ventures released the Utah Cluster Acceleration Partnership (UCAP) strategy to grow Utah’s $5.4 billion aerospace and defense industry. This acceleration strategy culminates more than six months of intensive work convened by Weber State University involving leaders from Utah's aerospace and defense industry, academia and economic development.
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WORKPLACE SAFETY AND HEALTH EMPHASIS INITIATIVE INDUSTRIAL MACHINE GUARDING AND CONTROL OF HAZARDOUS ENERGY (LOTO)
June 17, 2010 - Utah Labor Commission

Machinery is used in many operations and by many employees in Utah. According to the Bureau of Labor Statistics, in the United States workers who operate and maintain machinery suffer over 18,000 amputations, lacerations, crushing injuries, abrasions, and over 800 deaths per year. Amputation is one of the most severe and crippling types of injuries in the workplace, and often results in permanent disability.

The Labor Commission is taking proactive steps to decrease, and ultimately eliminate, accidents resulting in amputations and other serious disabling injuries, through compliance inspections and evaluation of industries where machine-related accidents are prevalent. Commencing in June
2010, establishments included in this initiative and which have experienced a total injury rate above the 2008 and 2009 Bureau of Labor Statistics state average rates for their specific industry, may be evaluated and considered for a compliance comprehensive inspection during this emphasis initiative.

A comprehensive inspection is a substantially complete and thorough inspection of all potentially hazardous areas of the establishment. This type of inspection is also known as a "Wall to Wall" inspection. The industry groups (North American Industrial Classification System-NAICS) included in this initiative are:

311xx - Food manufacturing, state average total rate 6.8
314xx - Textile mills, state average total rate 4.2
321xx - Wood products manufacturing, state average total rate 7.8
322xx - Paper manufacturing, state average total rate 4.0
326xx - Plastic and rubber manufacturing, state average total rate 6.4
333xx - Machine manufacturing, state average total rate 5.8
337xx – Furniture manufacturing, state average total rate 6.7

“This initiative is important because amputations can and do occur when machinery is not adequately guarded when in use or locked-out during maintenance procedures. Not only do these types of injuries affect the worker, they also have a tremendous impact on the worker’s family and the community. We remain committed to the safety and health of Utah's workers,” states Louis Silva, Director of Utah OSHA.

For more information, visit the Utah OSHA website at www.uosh.utah.gov or contact Eldon
Tryon, UOSH Compliance Manager at 80I.530.690I.

Additionally, the Utah Labor Commission OSHA Consultation Program is a cooperative effort available at no charge to small businesses in high hazard industries. For assistance with workplace safety and health, small business owners may contact the OSHA Consultation Program Manager at 801.530.6868.

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