Roosevelt Institute defining ‘blueprint’ for college reformers – National Consumers League

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By Sally Greenberg, NCL Executive Director

This weekend I had the honor of speaking to the Roosevelt Institute Campus Network (RICN) at its Midwest meeting on the Northwestern Campus in the Chicago suburb of Evanston. The RICN is an organization of progressive college students – “millenials” – an exciting generation of young people with a social reform agenda. RICN’s publication “Blueprint for the Millenial America” is a wonderful recitation of the issues that are important to this group of young activists – economic and racial justice, LGBT equality, college affordability, green jobs, environmental protection, access to quality health care for all Americans, and a path to legal immigration for those seeking opportunity in the United States.

I joined a list of speakers that included Gillian Sorenson of the United Nations Foundation talking about the U.S. policy on international human rights and the hope and expectation that the United States would live up to the highest standards of human rights (though it has too often not done so in the past), Congresswoman Jan Schakowsky (D-IL), whose district includes Northwestern University, fresh off the plane from the brinksmanship of the House leadership who at the last minute struck to avert a government shutdown. Also speaking were Damon Silvers of the AFL-CIO, who is always an insightful thinker and great speaker. I reminded students that NCL’s Florence Kelley met and inspired her greatest protégé when speaking on a college campus – Mt. Holyoke – where Frances Perkins heard about the work of the National Consumers League and joined the organization out of college.

And then we had a chance to learn from the students – we heard from group at the Northwestern Campus for cafeteria workers.

The Northwestern Living Wage Campaign is a well organized, well researched and coordinated effort to ensure that the huge multi million dollar food services like Sedexo and Aramark are paying their workforce a living wage. The campaign defines a living wage as “an hourly wage standard that takes into account the local cost of housing, health care and other expenses necessary to support a family.” I predict they will win the day at the campus, despite opposition from the NU college president Morton Schapiro, who himself makes over a million dollars, the students said. Even the student newspaper editorial page (shame on them!) opposed the NLWC. But the justice of their cause – the 1,300 student names they’ve gotten on their petition – shows the odds are in their favor.

Thanks to the RICN for pulling these diverse voices together for the Midwestern conference. These are the progressive students of the future and NCL looks forward to a long and productive relationship with them.

 

Cost of legal representation too high for many – National Consumers League

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By NCL Executive Director Sally Greenberg

As often happens when I’m trying to get out of the office, my phone rang on a recent late Friday afternoon. On the line was a woman who described her difficult circumstances. She and her husband inherited his mother’s condo after she died. They live in Alabama, and the condo is in South Carolina. They are both unemployed and can’t pay the condo fees and the condominium association won’t let them off the hook. I asked her whether she’s considered hiring a lawyer to take on her case

“If we can’t pay the condo fees, then we sure can’t afford a lawyer,” she told me. I suggested she call the South Carolina Attorney General’s office. “We already did that,” she told me. “They said they couldn’t help.”  She had tried everything. And my heart went out to her. I suggested she make a pact with the condo association that she’ll put the condo on the market and pay the fees out of the money from the sale.

The condo association wouldn’t accept that compromise either. I have a lot of friends in the legal profession in law schools and cities around the country, including South Carolina. I can usually think of someone who can offer advice, if not actual help, so I asked her to send me an email. But her circumstances reminded me that the average person in need of legal services usually cannot afford to pay the hefty prices too many lawyers charge. Recent articles in the Wall Street Journal show some superstar lawyers fees topping $1,000 an hour and making well over $5 million per year.

No one expects the average person to pay that kind of hourly fee, but nevertheless, when the top rung is getting ridiculous fees like this, it creates fee creep among more average attorney fees. We need a system that provides far more access to affordable civil legal services to average people, the way the criminal justice system provides representation to those accused of committing a crime.

Smart computing – National Consumers League

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By Jacob Markey, Summer 2010 LifeSmarts intern

In just a few weeks, LifeSmarts teams from across the country will travel to Hollywood to compete for the 2011 LifeSmarts National Championship. They will get the chance to put their knowledge to the test, while also enjoying the city, meeting some great new people, and having a ton of fun.

Like other readers of the Savvy Consumer Blog, they would be wise to review this month’s LifeSmarts post on Technology. As I mentioned back in December, there are many safety concerns consumers should keep in mind online to keep their personal information private online to better avoid identity theft. With more consumers going online to buy goods, conduct online banking, or read the news, identity theft is a persistent problem for consumers.

Here are some helpful tips to ensure that you have a safer experience online:

  • Know that the site you are buying from is safe and reliable. Be thorough and review a person’s or online store’s background information: Check the person’s online ratings to see if others give the seller positive or negative reviews; see if the business is accredited with the Better Business Bureau in their state; make sure the site is secure if you are paying with your credit card. By taking these types of actions, you will decrease the likelihood that you will do business with a person looking to scam you.
  • Watch the actions you take when using an unsecured wireless network at places like cafes, hotels, and airports. Computer thieves can snoop on unsecured connections to steal your personal information and exploit it if they acquire it. It is recommended that you abstain from reviewing banking and other sensitive information when using an unsecured wireless network. If you need to work on confidential information, it is better to choose a secured wired connection or an encrypted wireless connection that requires a password.

Teens must be aware that there is much to watch out for on the Internet. Even Web sites that look harmless may contain dangerous information. If you have any concerns about these types of issues, ask your parents for advice.

Identity theft and computer issues remain a problem. Following smart Internet browsing will help decrease the likelihood that your computer will become infected, your personal information stolen, and losing a ton of money.

NCL marks anniversary of Upper Big Branch Mine tragedy that killed 29 workers – National Consumers League

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April 5, 2011

Contact: NCL Communications, (202) 835-3323, media@nclnet.org

Washington, DC–On this, the one-year anniversary of the terrible and tragic explosion in the Upper Big Branch (UBB) Mine in West Virginia, which killed 29 workers, the National Consumer League (NCL) is calling upon Congress to enact the Mine Safety and Health Act. This bill was introduced last year as HR 5663 and contains many important provisions that have yet to be enacted by Congress.

HR 5663 would close loopholes that allow mine owners to delay addressing egregious safety problems. No longer will they be able to file multiple appeals after their mines have been closed or federal officials have issued fines. Today, dangerous mines, like the UBB Mine, continue to operate. UBB’s explosion resulted in the totally preventable deaths of 29 West Virginia miners. Many of these men knew there were safety problems in the mine but were afraid to speak up for fear of losing their jobs. NCL and the DC Triangle Fire 100th Anniversary planning committee invited one miner who survived the UBB mine disaster, Stanley “Goose” Stewart, to speak on March 21st at a symposium on Capitol Hill. Stewart spoke eloquently about the danger that he and others knew they confronted at UBB.

Today, miners who recognize safety problems are afraid to speak up. The Mine Safety and Health Act will protect whistleblowers who seek to help federal officials identify problem mines. The legislation will protect workers who refuse to go to work in unsafe conditions and ensure that workers receive full pay if they believe that it is too dangerous to go into the mines. Going to work should not cost an employee his or her life.

The bill also increases civil and criminal penalties for violations of safety standards. The death of an employee, currently only a misdemeanor, would be changed to a felony and would extend to any responsible party, including a corporate officer. With increased fines and imprisonment, reckless behavior by mine owners would have stern consequences.

The Mine Safety and Health Act would allow the Mine Safety and Health Administration (MSHA) to assign a “pattern of recurring noncompliance or accident” status to repeat offenders and give the agency stronger enforcement powers, empowering officials to prosecute dangerous and irresponsible mine operators and employers who carelessly endanger the health and safety of their employees

As we mourn the loss of these hardworking miners and stand in solidarity with their fellow miners and their families, the best way to ensure they did not die in vain is for Congress to move forward quickly to enactthe Mine Safety and Health Act.

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About the National Consumers League

The National Consumers League, founded in 1899, is America’s pioneer consumer organization; its mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad.

Think twice about tax refund ‘quickies’ – National Consumers League

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Why you should avoid the tempting offer of an instant tax refund: while not technically a scam, refund anticipation loans (known as RAL’s in industry jargon and often advertised as “rapid refund” loans) are used to get cash to consumers in as little as 24-48 hours after a return is filed.

What is generally not well disclosed to consumers is that such “refunds” are actually loans from the tax preparer, often with hefty fees and even heftier interest rates (149 percent in some cases!). And, for consumers whose tax refunds are unexpectedly withheld from the government, they are still obligated to repay the loan, at the exorbitant interest rate. Such loans are often targeted at low-income and immigrant communities, preying on unfamiliarity with the tax system.

McClatchy Newspapers report that, in recent months, a number of big-name tax preparers, including H&R Block, have stopped offering RALs because their banking partners have been forced to back out by federal regulators. But about 7.2 million U.S. taxpayers used RALs in 2009, paying about $606 million in loan fees, plus an additional $58 million in add-on charges, according to a recent study issued jointly by the National Consumer Law Center and the Consumer Federation of America.

Fewer consumers are falling for the promises of an RAL, thankfully, but the offer of more quickly getting your tax refund – especially when times are tight – is still appealing to many consumers. Avoid the need for an RAL – do your taxes early, and monitor and adjust the taxes that are withheld from each paycheck throughout the year so you can avoid loaning Uncle Sam money you could be making better use of.

State child labor laws under attack – National Consumers League

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A century ago, the National Consumers League helped write and enact the first child labor laws in states across the country. Today, advocates are dismayed at efforts in two states to roll back protections for working youth.

The League was formed in 1899 and co-chairs the Child Labor Coalition (CLC) the 28-member coalition (www.stopchildlabor.org), that works to maintain and improve standards and protections for children working both in the United States and abroad.

In February, Missouri Republican State Senator Jane Cunningham introduced legislation, SB 222, that would all but repeal the child labor law in the state of Missouri, eliminating the prohibition on employment of children under age 14.

The Missouri legislation:

• removes the restrictions on the maxium number of hours and time of day during which a child may work;

• repeals the requirement that a child ages 14 or 15 obtain a work certificate or work permit in order to be employed;

• allows children under 16 to work in any capacity in a motel, resort, or hotel where sleeping accommodations are furnished; and,

• removes the authority of the director of the Division of Labor Standards to inspect employers who employ children and to require them to keep certain records for children they employ. It also repeals the presumption that the presence of a child in a workplace is evidence of employment.

Recently Maine has joined Missouri as states considering changes to child labor law. Proposed legislation in Maine—now under consideration in the state Senate—would extend hours for teen workers, allowing them to work 24 hours a week during the school year—instead of the current 20—and allowing them to work till 11:00 p.m. instead of the current 10:00 p.m.

A second law under consideration by the Maine legislature would eliminate any cap on the number of hours a 16-year-old may work on a school day. The bill, introduced by Representative David Burns (R – Whiting), would abolish minimum wage protections for high school students under 20 – limiting their income to just $5.25 per hour in the first six months.

The Missouri House has just approved a new budget that would terminate all of the state’s investigators who look into child labor and minimum wage complaints. In 2010, those investigators discovered more than $450,000 violations of child labor laws in Missouri and recovered more than $700,000 for workers from minimum and prevailing wage violations.

“Labor crusader Florence Kelley would be rolling over in her grave,” said NCL’s Sally Greenberg. “This is a new low. There are important historical reasons for the enactment of these basic protections for our young workers. And when they are enforced, these laws do the job, which is to punish those who hire underage workers or pay them a low wage or ask them to do dangerous jobs. These laws work but they must be enforced. Without the threat of investigations into violations of the law, there will be flagrant violations and young workers run the risk of suffering injury or even death on the job.”

NCL believes that Americans support the bedrock principle that children should not be exploited economically, that we need to ensure that our children are treated fairly and allowed to flourish in school.

Missouri, Maine declare ‘open season’ on young workers; NCL decries attacks on child labor protections – National Consumers League

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April 1, 2011

Contact: NCL Communications, (202) 835-3323, media@nclnet.org

Washington, DC—The National Consumers League (NCL), the organization that helped write and enact the first child labor laws in states around the country a century ago is calling for an end to the “open season on young workers.” The League, which was formed in 1899 and co-chairs the Child Labor Coalition (CLC) in Washington DC, is crying foul in reaction to legislation in both Maine and Missouri to unravel hard-fought child labor protections.

“The Maine legislature is moving quickly to gut labor protections for youth workers and the Missouri House has just approved a new budget that would terminate ALL of the state’s investigators who look into child labor and minimum wage complaints,” said Sally Greenberg, NCL Executive Director and Co-chair of the CLC. “In 2010, those investigators discovered more than $450,000 violations of child labor laws in Missouri and recovered more than $700,000 for workers from minimum and prevailing wage violations. So these investigators are extremely important for enforcing the law.”

In Missouri this February, Senate Republican Jane Cunningham introduced a bill, SB 222, that would eliminate the prohibition on employment of children under age 14.

“Labor crusader Florence Kelley would be rolling over in her grave,” said NCL’s Greenberg. “This is a new low. There are important historical reasons for the enactment of these basic protections for our young workers. And when they are enforced, these laws do the job, which is to punish those who hire underage workers or pay them a low wage or ask them to do dangerous jobs. These laws work but they must be enforced. Without the threat of investigations into violations of the law, there will be flagrant violations and young workers run the risk of suffering injury or even death on the job.”

The Missouri legislation:

  • removes the restrictions on the maxium number of hours and time of day during which a child may work;
  • repeals the requirement that a child ages 14 or 15 obtain a work certificate or work permit in order to be employed;
  • allows children under 16 to work in any capacity in a motel, resort, or hotel where sleeping accommodations are furnished; and,
  • removes the authority of the director of the Division of Labor Standards to inspect employers who employ children and to require them to keep certain records for children they employ. It also repeals the presumption that the presence of a child in a workplace is evidence of employment.

“And now comes word that the new Missouri budget has eliminated all the investigators who look into child labor and minimum wage complaints,” said Reid Maki, coordinator of the CLC and NCL’s Director of Corporate Social Responsibility and Fair Labor Standards. “This is madness. A state must not abdicate its responsibility to protect children from abusive child labor. This is like expecting people to obey the traffic laws after you’ve announced you won’t be enforcing them.

“Missouri’s Senator Cunningham is portraying these changes as common sense and innocuous amendments to current law, but they are really a full-frontal assault on child labor protections,” said Maki.

The proposed legislation in Maine—now under consideration in the state Senate—would also extend hours for teen workers, allowing them to work 24 hours a week during the school year—instead of the current 20—and allowing them to work till 11:00 p.m. instead of the current 10:00 p.m.

“There is substantial research suggesting that 20 hours is the maximum amount a teenager can work without having negative academic and social impacts at school,” said Maki. “Many teens are already sleep-deprived and this legislation means they would also be at greater risk of late-night driving fatalities and workplace violence.”

A second law under consideration by the Maine legislature would eliminate any cap on the number of hours a 16-year-old may work on a school day. The bill, introduced by Representative David Burns (R – Whiting), would abolish minimum wage protections for high school students under 20 – limiting their income to just $5.25 per hour in the first six months.

“Americans support the bedrock principle that children should not be exploited economically. We need to ensure that our children are treated fairly and allowed to flourish in school. Their future—and our future—depends upon it,” noted Greenberg. “NCL and other organizations fought for decades to achieve the protections that exist today for young workers. We cannot and should not roll back the clock.”

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About the National Consumers League

The National Consumers League, founded in 1899, is America’s pioneer consumer organization; its mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. NCL was led by anti-child labor crusader Florence Kelley, who served as Executive Secretary for 33 years. Kelley drafted and helped to enact many of the child labor laws in the United States. NCL currently co-chairs the 28-member Child Labor Coalition (www.stopchildlabor.org), which works to maintain and improve standards and protections for children working both in the United States and abroad. For more information, visit www.nclnet.org.

 

Don’t be fooled by scammers this April – National Consumers League

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Ah, April Fool’s Day- the one day a year we tip our hats to tricks, pranks, and general old tom foolery; where we tie a dollar to fishing line and snicker as passerby chase after the errant bill. But there is big difference between the innocent dollar gag and the popular technique, among scammers and fraudsters, of holding out the false promise of money or winnings in order steal unsuspecting victims’ personal information and rob them of their hard-earned cash.

Scams come in many forms, so consumers should be sure to be on the lookout for them. Some of the more common variants include:

  • Phishing Scams – The victim receives an email, fax or phone call, purportedly from the Internal Revenue Service (IRS), lottery or sweepstakes agent, asking for personal information necessary to process a tax refund or lottery and sweepstakes winnings, depending on who the fraudster is impersonating. Consumers who fall victims lose their personal information, which the scammer can use to commit identity theft or drain a bank account (if a bank account number is provided to the scammer). Consumers should avoid giving any personal information out when they receive such calls and not click on links in such emails, even if they have an IRS or Publishers Clearing House logo (phishers are experts at making “official-looking” emails).The reality is that the IRS, state taxation authorities, and lottery/sweepstakes agents will never contact consumers in this way to obtain additional information. For more information on IRS phishing scams, visit the agency’s official site.
  • Fake check scams—in which fraudsters lure in their victims with phony mystery shopper jobs or sweepstakes “winnings,” asking their victims to cash realistic-looking checks and wire a portion of the proceeds back to the scammer before the check bounces—continue to be the most frequently-reported scam to NCL’s Fraud Center, making up 29 percent of all complaints.
  • Business opportunity/scholarship scams—the victim is promised unrealistic or “guaranteed” profits in return for a significant up-front investment in a business – such as magazine stands, vending machines, or Internet kiosks. Though the profits almost never materialize, the victim still loses their initial fee and the scammer disappears.  In a scholarship or educational grant scam, the victim pays a fee to the scammer in return for promises of a “guaranteed” scholarship award or generous financial aid package, which never come to fruition.

Be smart! Don’t give out any personal information online, over the phone, or by mail unless you are absolutely sure where your information is going. Consumers who believe that they’ve been the victim of tax scams can file a complaint with NCL’s Fraud Center by using our online complaint form. These complaints are shared with more than 90 federal, state and local law enforcement and consumer protection agencies in the U.S. and Canada. To view the Fraud Center’s Top Scams of 2011 report click here.