United ending domestic change fees is welcome news and a challenge to the industry

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Media contact: National Consumers League – Carol McKay, carolm@nclnet.org, (412) 945-3242 or Taun Sterling, tauns@nclnet.org, (202) 207-2832

Washington, DC—The National Consumers League (NCL), America’s pioneering consumer and worker advocacy organization, applauds United Airlines for its decision to permanently remove its $200 domestic change fee. The move comes after more than a decade of complaints by travelers and advocacy by consumer organizations like NCL who have urged the industry, the Department of Transportation, and Congress to rein in excessive, anti-competitive fees.

The following statement is attributable to National Consumers League Executive Director Sally Greenberg:

“We thank United Airlines for this bold policy change. United’s announcement is a victory for basic fairness in the air travel marketplace. The flying public has been beleaguered by hefty fees for everyday acts like changing an airline ticket, checking baggage, or reserving a particular seat on the plane. This comes at a critical time, as millions struggle financially due to the COVID-19 pandemic. United’s decision to end domestic change fees—and we take them at its word when it describes the change as permanent—is welcome news for airline passengers.

We also want to extend our thanks to fellow advocacy groups  and pro-consumer Members of Congress like Sen. Ed Markey (D-MA), Sen. Richard Blumenthal (D-CT) and Rep. Steve Cohen who have fought for consumers in Congress by championing the FAIR Fees Act. This common-sense bill would require airlines’ add-on fees to be proportional to their actual cost.

United Airlines should be applauded for listening and responding to consumer advocates.  NCL has long argued that change fees are an unnecessary and unfair money grab by the airlines, as it costs practically nothing to change a traveler’s reservation when the unexpected happens. We sincerely hope that other members of the airline industry, particularly the other two legacy carriers—American and Delta—will follow suit. Failing to do so will put them at risk of losing even more passengers to companies like United and Southwest that do right by their customers. NCL will continue to push for common-sense legislation that requires all airlines to resist using their considerable market power to gouge consumers on fees and penalties.”

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About the National Consumers League (NCL)

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

Compromised access to the USPS could result in worsened health outcomes

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Media contact: National Consumers League – Carol McKay, carolm@nclnet.org, (412) 945-3242 or Taun Sterling, tauns@nclnet.org, (202) 207-2832

Washington, DC—The National Consumers League (NCL), the nation’s pioneering consumer advocacy organization, is today expressing concern about recent cuts to funding for the United States Postal Service (USPS) and the impact this has on consumers’ access to critical lifesaving medications.

The USPS has already suffered setbacks due to deteriorating financial conditions, and most recently the significant delays caused by the COVID-19 pandemic. The vulnerable agency is now caught in the middle of political strife as the President ponders withholding funding for the USPS in upcoming COVID-19 relief legislation, in order to impede mail-in voting. The USPS is an essential service, and consumers rely on these services daily to pay their rent, receive wages and Social Security checks, and most importantly, receive prescription medications via mail-order pharmacies.

These developments have grave ramifications for older Americans, and particularly veterans, of whom 80 percent receive their medications through mail-order pharmacies, 90 percent of which are delivered via the USPS. The Department of Veterans Affairs (VA) proprietary mail-order pharmacy system, the Consolidated Mail Outpatient Pharmacy (CMOP), consists of a group of seven automated hub pharmacies. The CMOP processes nearly 500,000 prescriptions daily, and ships packages to more than 330,000 veterans each working day.

The VA has stated that changes in the USPS have delayed medication deliveries by 25 percent in the last year, and has experienced an influx of mail-order prescriptions as entry to VA facilities have been limited to curb the spread of COVID-19. Veterans in rural or remote areas often rely exclusively on mail-order prescriptions, and as older Americans are cautioned to quarantine and social distance throughout the pandemic, ensuring timely access to medication is ever more imperative. The VA is currently rushing to mitigate potential delays by temporarily converting its deliveries from USPS to UPS 2nd Day Air or FedEx. Additionally, the VA will set up a specialized USPS code, to help prioritize veteran prescription deliveries.

The VA has advised patients to request refills for their medications at least 10 days before their treatment course ends, to ensure timely delivery of medications. Disruptions in medication deliveries caused by a lack of funding to the USPS could drastically impact overall health outcomes and medication adherence. As the country navigates the COVID-19 pandemic, it is crucial that our most vulnerable have timely and adequate access to the medications they need to maintain their health and avert potential progression of disease.

The National Consumers League stands with the United States Postal Service workers, as they tirelessly work to provide essential services during these challenging times. We call on Congress to hold the Administration accountable to ensure that consumers maintain access to the essential USPS services on which they depend.

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About the National Consumers League (NCL)

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

Consumers for Safe CBD is working to protect, educate Americans

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As America’s premier consumer advocacy organization, with a rich history of fighting to make the marketplace fair, safe, and healthy for consumers, NCL is hard at work on the most important issues in food and drug safety and to collaborate on improving consumer education.

In recent years, NCL has been observing the CBD, or cannabidiol, marketplace exploding, with products lining shelves of grocery stores, specialty shops—even gas stations. Products were appearing to make many claims or hint at miracle cures, and most consumers had no idea how or whether the products were being regulated. Who is making sure these tinctures, oils, gummies, and lotions are safe, and do they do what they claim?

This is why last year, NCL joined forces with the Consumer Federation of America and the Community Anti-Drug Coalitions of America, to create a national campaign called Consumers for Safe CBD.

NCL had identified a serious need for greater education among consumers about CBD, and that’s why Consumers for Safe CBD was created. Consumers for Safe CBD aims to help educate the public about the risks related to untested, unapproved CBD products on the market, champion the rights of consumers, and call on the U.S. Food and Drug Administration (FDA) and industry to do better to ensure safety and promote a pathway for new products through clinically tested scientific research.

“Cannabidiol, commonly referred to as CBD, is being used in a growing number of consumer products and is illegally sold in stores and on the Internet,” said NCL Executive Director Sally Greenberg. “We’re working to educate consumers and ensure accurate labeling, clear guidelines, and further research to protect against unknown and known risks of CBD products.”

NCL and its partners continue to raise awareness among consumers, policymakers, and regulators about the health risks associated with the unregulated CBD marketplace, in particular with the unproven health claims and often inaccurate labeling of products on the market today. Beyond the known health risks associated with unregulated CBD, there are a number of unscrupulous marketing tactics that prey on unsuspecting consumers. This includes false and dangerous claims that CBD has medical benefits that can prevent and stop the spread of the COVID-19.

By warning consumers about these false claims, participating in media interviews and publishing op-eds across the country, highlighting important research and reports, and sending letters to several retailers, state Attorneys General and Members of Congress, the campaign is working to protect consumers across the country from unapproved and potentially dangerous CBD products.

“We need to better understand the potential health benefits of CBD, but this can only be accomplished through clinical testing and scientifically validated methodologies,” said Greenberg. “We need the FDA to step up for consumers and for the public health.”

The time for action is now. CLICK HERE for more information about the Consumers for Safe CBD effort.

Everything’s canceled. Now what?

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The COVID-19 pandemic upended the daily rhythms for hundreds of millions of consumers, seemingly overnight. Airlines cancelled more than 90 percent of their flights. Gyms and health clubs closed en masse. Tens of thousands of concerts, Broadway shows, and sporting events have been cancelled or postponed indefinitely. What do all these businesses have in common?

They all take money from consumers in advance for services (e.g., flight, concerts, yoga classes) to be provided at some point in the future. For consumers, this meant that they have hundreds or even thousands of dollars tied up for services that cannot be provided due to COVID-related lockdowns.

While many businesses have done the right thing and refunded consumers, many have not. For example, many airlines have made obtaining refunds for canceled flights difficult even though Department of Transportation regulations require prompt refunds in the event a flight is cancelled. Big ticketing companies like Ticketmaster have given ticket-holders mixed messages on whether and how they can obtain refunds. And many gyms continue to collect membership fees even though they are closed to the public.

“There is no question that businesses are struggling with unprecedented difficulties due to the COVID-19 pandemic,” said John Breyault, NCL vice president of public policy, telecommunications, and fraud. “The airlines that are unable to fly still must maintain their airplanes and pay their employees. Ticketing companies facing canceled events are often at the mercy of promoters, artists, and sports leagues. But the needs of these businesses must be weighed against the needs of consumers, tens of millions of whom are newly jobless and struggling to make ends meet.”

It is for this reason that NCL has been actively pressuring airlines and ticketing companies to promptly provide consumers with full refunds for cancelled and postponed flights and live events. NCL experts have contributed to dozens of newspaper, television, and radio interviews raising awareness about this problem and communicating the outrage they are hearing daily
from consumers.

“What consumers are being asked to do, essentially, is give airlines, ticketing giants, and other businesses long-term no-interest loans with no expectation for when the service they paid for will be provided,” said Breyault. “At a time when millions of families are wondering where the next mortgage or rent payment is going to come from, we can’t let unscrupulous businesses get away with that.”

In addition to raising alarm in the press, NCL has endorsed consumer protection legislation like the Cash Refunds for Coronavirus Cancellations Act of 2020. That bill, proposed by consumer champions like Senators Ed Markey, Richard Blumenthal, and Elizabeth Warren, would require airlines to refund the more than $10 billion on consumers’ money they are holding on to from cancelled flight reservations. NCL is also a long-time supporter of the Better Oversight of Secondary Sales and Accountability in Concert Ticketing Act of 2019 (BOSS ACT). That bill, introduced by Congressmen Bill Pascrell and Frank Pallone and Senator Blumenthal would require that any refunds provided for cancelled or postponed events include all ancillary fees paid.

With the return to a pre-COVID “normal” still far away, and new outbreaks expected in the fall, it is likely that consumers will continue to encounter difficulties receiving refunds for some time. NCL will continue to be on the front lines to make sure that consumers are not left holding the bag when big businesses cannot hold up their end of the bargain.

Price gouging a threat to consumers in new economy

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In past natural and man-made disasters, whether in the aftermath of Hurricane Katrina or the 2008-09 financial crisis, opportunistic bad actors have sought to squeeze every last penny from desperate consumers. Unfortunately, the COVID-19 crisis seems to be a little different in this respect.

In the earliest days of pandemic panic, reports of overpriced goods were widespread; products were flying off of shelves, and those that remained were often dramatically marked up. NCL learned of $10 milk, $100+ dollar masks, and outrageous prices on toilet paper. Two Tennessee brothers who stockpiled 17,700 bottles of hand sanitizer with the intent to sell them at a mark-
up online earned instant national notoriety.

“Like moths to the flame, profiteers cannot resist the allure of easy money. In this time of national emergency, it should perhaps come as little surprise that those who wish to make a quick buck off the desperation of consumers are finding few obstacles in their way,” said NCL Executive Director Sally Greenberg.

This spring, price gouging proved to be an immediate threat to consumers across the nation, as unscrupulous sellers increased pricing online and in-person of essentials ranging from personal protective equipment, hand sanitizer, disinfectant products, and even toilet paper and paper towels.

According to the National Law Review, “in normal times, there would be nothing problematic about a seller’s unilateral decision to increase its prices in response to higher consumer demand. However, with emergency declarations in most—if not all—states, such price increases may lead to hefty civil fines and even imprisonment under state laws prohibiting price gouging.”

Indeed, price gouging in times of crisis is illegal in most states. For example, Maryland’s anti-gouging statute prohibits raising the price of many consumer goods and services that increase the seller’s profit by more than 10 percent while the COVID-19 emergency, declared by Governor Larry Hogan, is in effect. California has a similar statute, punishable by up to a year in jail and a $10,000 fine.

“While state laws are important, enforcement alone won’t solve this problem,” said Greenberg. “Reputable businesses must also play their part to keep price gouging off their shelves. We are encouraged when we see sellers committing to stomping out price gouging, such as Amazon’s announcement in April of a ‘zero tolerance’ policy against it.”

In practice, Amazon’s policy means the company is working to remove price gougers from its marketplace, forwarding reports of price gouging to law enforcement, and making it clear to their sellers that price gouging is not allowed. Amazon has removed more than half a million products and suspended thousands of seller accounts in the United States since its commitment to stopping price gougers in its ecommerce platform.

Others are fighting against gouging in different ways. In May, in response to more than 500 complaints from residents about price gouging on essential goods, the Los Angeles County Department of Consumer and Business Affairs announced the launch of a mobile app to make it easier to report cases of price gouging and phony COVID-19 remedies.

“The overwhelming majority of sellers on sites like Amazon, eBay, and other online marketplaces are honest,” said Greenberg. “But these e-commerce marketplaces are where millions of consumers are going to find much-needed products. Particularly for consumers who are at high risk, these online services can be a lifeline, enabling them to stay home, avoid going out into public, and decreasing their chances of contracting the virus. We call on retailers to do the right thing during this terrible pandemic.”

Price gouging and usury and fraud, oh my!

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Ben Wiseman, director of the Office of Consumer Protection at the Office….

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NCL hails sweeping Supreme Court decision protecting LGBTQ employees

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June 19, 2020

Media contact: National Consumers League – Carol McKay, carolm@nclnet.org, (412) 945-3242 or Taun Sterling, tauns@nclnet.org, (202) 207-2832

Washington, DC—With a mission of protecting workers and consumers, the National Consumers League (NCL) applauds the Supreme Court’s landmark employment protection decision this week finding that employment discrimination on the basis of sexual orientation or gender identity is prohibited under federal civil rights law. This statement is attributable to Sally Greenberg, NCL’s executive director:

We are applauding this week’s landmark 6-3 Supreme Court decision finding that the law’s prohibition on sex discrimination in employment extends to those who identify as LGBT (lesbian, gay, bisexual, transgender). We commend and thank Justice Neil Gorsuch and his five fellow justices for concluding that ‘An employer who fires an individual for being homosexual or transgender fires that person for traits or actions it would not have questioned in members of a different sex. Sex plays a necessary and undisguisable role in the decision, exactly what Title VII forbids.’ NCL was founded to advocate for the rights of workers to receive decent pay, work in safe conditions and be free from discrimination in the workplace. This decision further extends these critical protections to the LGBT community.

Title VII of the 1964 Civil Rights Act prohibits discrimination in the workplace on the basis of race, religion, national origin and sex. We are pleased that the court found that “sex” is a distinct characteristic but inseparable from the concepts of sexual orientation and gender identity.

The decision is the most significant affirmation of LGBT rights in the United States since the 2015 Supreme Court decision that legalized same-sex marriage and the Court’s first decision addressing transgender civil rights.

Before the decision, LGBT job discrimination was still technically legal in much of the nation. Less than half the states have laws explicitly prohibiting workplace discrimination on the basis of sexual orientation or gender identity. An estimated 11 million Americans identify as LGBT, according to the Williams Institute.

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About the National Consumers League (NCL)

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

NCL applauds Supreme Court decision protecting DREAMERS

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June 18, 2020

Media contact: National Consumers League – Carol McKay, carolm@nclnet.org, (412) 945-3242 or Taun Sterling, tauns@nclnet.org, (202) 207-2832

Washington, DC—The National Consumers League (NCL) applauds the Supreme Court’s decision today to block the Trump Administration’s attempt to end the DACA (Deferred Action for Childhood Arrivals) program for so-called “DREAMERS”—young people who came to the United States as children with parents who were not documented citizens at the time. Millions of these young people grew up in the United States, but their citizenship status is precarious. Thus, under this Obama-era program established in 2012, DACA is critically important to protect these young people and give them a path to citizenship.

This statement is attributable to NCL Executive Director Sally Greenberg:

NCL applauds the 5-4 decision of the U.S. Supreme Court today blocking the Trump Administration’s efforts to undo the protections of DACA. Thousands of aspiring and promising young people who arrived in the United States as children of undocumented immigrants will not, as a result of this decision, lose critical protections DACA provides. Today we join with them in celebrating the Supreme Court’s decision to block Mr. Trump from undermining these essential protections. NCL’s long history of fighting for the rights of workers and consumers includes the rights of immigrants, who remain among the most vulnerable targets of workplace and marketplace abuses. They deserve the same protections that flow to all American citizens. NCL’s policy position on this issue was adopted in 2013.

The Development, Relief, and Education for Alien Minors Act—the proposal to grant temporary conditional residency, with the right to work, to qualifying immigrants who entered the United States as minor—and, if they later satisfy further qualifications, they would attain permanent residency.  

DACA was introduced by President Barack Obama in 2012 and allows young people who were brought to the U.S. illegally as children to stay in the country and work without being deported on a two-year, renewable term. As of March 31, 2020, 640,000 people have active DACA status, and since 2012, more than 825,000 people have utilized the program. The 5-4 Supreme Court majority, written by Chief Justice John Roberts, determined that President Trump and DHS did not adequately consider the impact on the DACA recipients themselves and the potential hardships for the some 700,000 young immigrants brought to the U.S. illegally as children by their parents. 

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About the National Consumers League (NCL)

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

National Consumers League statement of support for Emergency Broadband Connectivity Fund

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May 12, 2020

Contact: National Consumers League – Carol McKay, carolm@nclnet.org, (412) 945-3242 or Taun Sterling, tauns@nclnet.org, (202) 207-2832

Washington, DC–Leaders in the U.S. House of Representatives today unveiled a new COVID-19 stimulus bill, the HEROES Act, that includes a new $50 per month subsidy ($75 per month for Tribal lands) to support access for low-income Americans to broadband. At time when the effects of the Digital Divide have never been more apparent, NCL is proud to support this effort.

The following statement is attributable to National Consumers League Executive Director Sally Greenberg:

“We have long known that affordability is a significant barrier to millions of American families who lack access to broadband. The COVID-19 pandemic, has highlighted as never before the societal costs of cutting off millions of families from the Internet. The inability to connect to distance learning, support networks and online government resources will make recovering from this pandemic even tougher for consumers who lack affordable access to broadband. It is for this reason that NCL strongly supports the proposed Emergency Broadband Connectivity Fund subsidy.”

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About the National Consumers League

The National Consumers League, founded in 1899, is America’s pioneering consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

Protecting consumers from COVID-19 Scams: A virtual panel event with Pennsylvania Attorney General Josh Shapiro and fraud experts

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May 8, 2020

Watch recording here


Contact: National Consumers League – Carol McKay, carolm@nclnet.org, (412) 945-3242 or Taun Sterling, tauns@nclnet.org, (202) 207-2832

Washington, DC –Washington, DC / Harrisburg, PA—Next Monday, May 11, the National Consumers League (NCL), America’s pioneering consumer and worker advocacy organization, will host a virtual fireside chat with Pennsylvania Attorney General Josh Shapiro and a panel of consumer protection experts on the growing threat of scams linked to the COVID-19 pandemic. The consumer watchdog organization aims to raise awareness in Pennsylvania about the risk of COVID-19 related fraud and arm consumers with information they can use to spot and avoid these scams.

Since the pandemic began, NCL, which operates the website Fraud.org, has seen an uptick in complaints about a variety of scams preying on increasingly vulnerable, financially strapped, and fearful consumers. Scammers running phishing schemes, stimulus check fraud, and even pet adoption scams have all been working overtime to use the COVID-19 pandemic as a way to defraud consumers. The experts at NCL forecast these scams will continue to increase and evolve and are eager to work with AG Shapiro to get the word out about how Pennsylvanians can protect themselves.

WHAT
Virtual “fireside chat” featuring Pennsylvania AG Josh Shapiro and NCL, followed by a panel discussion on resources and tips to avoid COVID-19 fraud and scams

WHEN
Monday, May 11, 2020
11:00 AM – 11:45 AM EDT

WHO
Pennsylvania Attorney General Josh Shapiro
John Breyault, Vice President, National Consumers League

Lorrie Cranor, Professor, Carnegie Mellon University
Mary Bach, Chair, AARP Pennsylvania Consumer Issues Task Force
Andrew Goode, Esq., Vice President, Metro Philadelphia Better Business Bureau

HOW TO WATCH
YouTube Live Link will be provided following registration via Eventbrite

*** Members of the media are welcome to attend but must RSVP to Carol McKay, National Consumers League, carolm@nclnet.org. If you are unable to attend, a recording of the interview and panel can be provided upon request after the event concludes ***

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About the National Consumers League

The National Consumers League, founded in 1899, is America’s pioneering consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.