The time for credit card security reform is now – National Consumers League

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During the busiest shopping time of the year – the period between Thanksgiving and Christmas – Target, one of America’s largest retailers, suffered the second biggest data breach in U.S. history as 40 million credit and debit cards were compromised. 

Americans assume that when they shop their personal financial information will be kept private and away from identity thieves. Unfortunately, that is not always the case evidenced by the more than 4,000 data breaches that have been reported since 2005, an average of more than one a day over the last nine years.

Consumer advocates hope that the scale of the Target data breach will serve as the impetus for much needed credit card security reform. The time for change is now. Although consumer’s financial information will never be 100% secure, there are things that can be done. Retailers can use advanced encryption technology and more secure firewalls. Credit card companies can encourage the use of “Chip and PIN” technology in their credit cards. Our politicians can pass legislation establishing a national data breach notification standard and urge the Obama Administration to explore incentives and penalties to encourage private sector businesses to better protect consumer data. These changes will not happen without pressure from consumers.

This week, a group of Democratic Senators requested that the Senate banking Committee hold hearings to examine cybersecurity practices. The letter, written by Senators Robert Menendez (D-NJ), Mark Warner (D-VA), and Charles Schumer (D-NY) stated, “We believe it would be valuable for the Committee to examine whether market participants are taking all appropriate actions to safeguard consumer data and protect against fraud, identity theft, and other harmful consequences, and whether we need stronger industry-wide cybersecurity standards.”

Changing and improving security standards will inevitably cost time and money. No one wants to foot the bill for needed innovations. Our lawmakers must capitalize on the current consumer awareness of the need for better cybersecurity and hold a congressional hearing to determine how businesses can better protect consumer data.

Consumer group applauds trio of Senators for requesting Congressional hearing to examine data security standards – National Consumers League

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January 3, 2014

Contact: Ben Klein, NCL Communications, (202) 835-3323, benk@nclnet.org

Washington, DC – The National Consumers League (NCL), the nation’s pioneering consumer advocacy organization, is applauding a trio of Senators who are asking for a hearing on the nation’s data security standards. In the aftermath of the recent Target data security breach affecting 40 million credit and debit cards, Senators Robert Menendez (D-NJ), Mark Warner (D-VA), and Charles Schumer (D-NY) have signed a letter requesting that the Senate Banking Committee hold a hearing “as soon as reasonably possible.”

“It is time that Congress examine our data security standards and determine how business can better protect consumers’ financial information,” said Sally Greenberg, NCL Executive Director. “When our personal information is compromised, not only does it have the potential to cost the consumer significant time and money, but it also threatens our confidence in the security practices of the companies with whom we share our information. There is more that businesses can and should be doing to ensure our sensitive information is protected. Congress can be very helpful in pressing for a far stronger set of policies to protect private consumer financial data.”

The Senators were prompted to pen the letter to Sen. Tim Johnson (D-SD), Chairman of the Senate Committee on Banking, Housing, and Urban Affairs, by the Target data breach, which took place at the height of the busiest shopping time of 2013, between Thanksgiving and Christmas.

In early December, just a few days before news about the Target data breach emerged, NCL released a white paper discussing the impact of data breaches on consumer vulnerability to fraud and the resulting loss of trust in the online economy. The NCL white paper included a number of policy recommendations to better protect consumers’ data including calling for a national data breach notification standard and urging the Obama Administration to explore incentives and penalties to encourage private sector businesses to better protect consumer data.

NCL’s letter to Sen. Johnson urges Congress to take a closer look at the problem and corresponding solutions at a hearing. Federal agencies like the Federal Trade Commission, cyber security experts and advocacy groups of NCL can offer concrete proposals to better protect consumer data.

To read the letter, click here.

To read the white paper, click here.

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About the National Consumers League

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.

Some sweet tips for a new diet in 2014 – National Consumers League

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kelseyThe new year almost inevitably brings dieting difficulties for many of us, but many people realize that a diet isn’t always the best approach to losing weight and keeping it off. Changing your eating and exercise habits can have lifelong effects on your health, but doing so is more easily said than done. It can be a struggle, especially at the end of the day when you feel like you have eaten so healthfully and you just need a little something sweet.

It’s important to remember at these times that small indulgences are necessary for a balanced diet—so you don’t find yourself binging after too much deprivation.

Try getting your sweet fix in with some of these healthier options:

Banana and peanut butter: A great option because of the decadent texture. Make sure to not go overboard with this because it still has a lot of sugar in it but it also has a lot of redeeming nutrients like protein and potassium.

Greek yogurt and frozen berries: A fast and easy dessert, frozen berries are easier to keep on hand for when you need something sweet, and the Greek yogurt is a super food with plenty of lean protein.

Pomegranate seeds and dark chocolate: The pomegranate seeds are a challenge to separate from the rest of the fruit but it can be fun and satisfying to take your time eating them. A little bit of dark chocolate balances the pomegranate seeds out and provides antioxidants.

Apples and honey: Another traditional sweet snack, honey has antibacterial properties and you know what they say about having an apple a day.

Popcorn: Popcorn can be a slippery slope with outrageous amounts of sodium and fat when things go awry. However, I maintain that this can be a healthy, whole grain snack when it’s done right. Buying the kernels loose instead of pre-bagged allows you to make it yourself on the stove, giving you total control about the amount of butter, salt and flavors you add (no more fake butter!). If you want savory, go ahead and add Old Bay or other spices or seasoning (just watch the salt); if you’re looking for sweet, add sugar to the pot you’ll be popping it in for some homemade kettle corn.

Chocolate milk: Typically chocolate milk evokes memories of childhood, but it can actually be a satisfying dessert. It’s especially good as a post-workout snack, with the necessary sugars and protein that your body needs for recovery.

Wine: A great standby, wine can be the perfect dessert to wind down before bed as long as you don’t go overboard (no more than one glass). It might even lower your blood pressure and provide you with excellent antioxidants. Be careful though, alcohol can be known to stimulate appetites. If this describes you, it might be prudent to opt for a different dessert.

Tea or hot cocoa: Tea can be an excellent antioxidant filled option with virtually no calories (unless of course you take sugar and cream in your tea). If you are looking for something sweet, hot cocoa might fit the bill. It doesn’t have many nutritionally redeeming qualities, especially if you are making it with water not milk, but calorie-wise you aren’t doing much damage, and sometimes you just need something sweet.

So with these new tools to curb your nightly sweets craving, go forth and embrace the new year, knowing that a more healthful lifestyle isn’t out of reach.

This holiday season, a present for DC’s workers: Part 2 – National Consumers League

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Second in a two-part series examining the new worker protection bills just passed by DC City Council.

Earned Sick and Safe Leave Amendment Act of 2013 (*bill text) — extends protections to 20,000+ new workers and boosts enforcement to ensure that the hundreds of thousands of workers already covered are actually able to get the leave they earn under the law.

The bill as a whole will go into effect once funds for implementation are included in DC’s spring 2014 budget.

Covering Tipped Restaurant Workers

First and foremost, the bill extends paid sick days to tipped restaurant workers, who were carved out by an amendment when the original Accrued Sick and Safe Leave Act passed in 2008. The bill guarantees that these workers will receive their normal base wage or the full minimum wage (currently $8.25) for each hour of leave they use, whichever is higher. They will accrue one hour of paid leave for every 43 hours worked, up to five days per year.

No More Year of Waiting for Leave

Current law allows employers to wait a whole year before letting their employees accrue even a single sick day. The bill would guarantee that workers in all industries can start earning sick days from their first day on the job and could start using them after 90 days and would close a loophole where workers could be fired and then rehired in order to cancel their accrued leave. Especially in high turnover industries like child-care, cleaning, security, construction, and restaurants, these changes are huge victories.

Real Enforcement Mechanisms

The bill includes some of the best enforcement mechanisms in the country for any paid leave bill. Employees who are denied paid sick days will get to choose between filing an administrative claim with the DC Office of Wage-Hour or suing in court. Either way, in addition to any lost pay for the days they took off, they would be owed $500 in damages for each day they were forced to work instead of taking leave they had earned, interest for pay owed, reinstatement if they were fired or demoted for taking leave, and attorneys fees and court costs to help enable them to bring a claim.

Workers will have three years to file a claim and longer if their employer failed to post the required notice of paid sick leave rights. Businesses will be required to keep records of hours worked and leave accrued for at least that long and, if they fail to keep required records, employees’ testimony about the failure to be paid leave will be presumed true. The District government will also be able to assess enforcement costs and $1000 or higher civil penalties for violations as well as suspend business licenses until the violations are cured.

To encourage employees to come forward and speak out about violations, the bill includes strong retaliation protections not only when workers file official complaints, but also when they advocate for their rights directly to their supervisor, share information during an investigation, or share information about the right to sick leave with their co-workers.

Public Education

Finally, the bill provides for a public education campaign to ensure workers and employers know about the new law and how to comply with it.

*Links are no longer active as the original sources have removed the content, sometimes due to federal website changes or restructurings.

This holiday season, a present for DC’s workers: Part 1 – National Consumers League

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By Michell K. McIntyre, Outreach Director, Labor and Worker Rights

First in a two-part series examining the new worker protection bills just passed by DC City Council. Congratulations to all DC workers and to the advocates who helped push the Washington, DC City Council to unanimously pass the Fair Minimum Wage Act of 2013 and the Earned Sick and Safe Leave Amendment Act of 2013 on Tuesday, December 17th without allowing the bills to be weakened by industry-sponsored amendments. 

Minimum Wage Amendment Act of 2013 (click here for bill text) The bill increases the minimum wage, which is currently $8.25, to $11.50 in three steps:

  • $9.50 on July 1, 2014
  • $10.50 on July 1, 2015
  • $11.50 on July 1, 2016

Just as importantly, starting on July 1, 2017 and every July 1 thereafter, the bill requires that the minimum wage be increased to reflect changes in the cost of living, as measured by the Consumer Price Index in the Washington, DC area. This will stop the real value of the minimum wage from declining over time, which is a big reason why there are numerous fights to raise it. This is a huge win for workers, and an issue that has received tremendous public attention—and support—in recent months. Hooray for this minimum wage victory! What About Tipped Workers? Although the bill does not raise the base minimum wage for tipped restaurant workers (which stands at a miserable $2.77 an hour and hopefully will be raised with other legislation), it does require that employers of tipped workers verify and certify every quarter that all of their employees do end up making at least the full minimum wage through a combination of their base wages and tips actually received. This will hopefully reduce one form of wage theft, which is common in the restaurant industry, where employees are not compensated when their tips are short for the week and don’t make up the difference between $2.77 and the full minimum wage.

Cleaning up antibacterial soap – National Consumers League

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92_ayannaBy Ayanna Johnson, Health Policy Associate Last week, FDA released a proposed ruling to require additional evidence that antibacterial soap is more effective at preventing illness or infection, than washing with plain soap and water. Consumers use antibacterial products daily in soaps, body washes, and other health care products.  FDA wants to ensure that with long-term exposure to the chemicals in antibacterial soap the benefits outweigh the risks.

New data suggests that certain ingredients in antibacterial soap, like triclosan, might contribute to bacterial resistance to antibiotics or have hormonal effects that are concerning to FDA. Bacterial resistance is a serious problem that impacts everyone. If certain bacteria become resistant to the medicines we use to treat them, public health and safety can be threatened. This all is a bit concerning since we use antibacterial or antimicrobial products frequently.

Working with the Environmental Protection Agency, FDA is requesting that manufacturers provide additional evidence from studies demonstrating the effects and risks of these products.  This proposed ruling only impacts consumer antibacterial soaps and body washes that are used with water; it does not affect hand sanitizers, hand wipes or antibacterial soap used in hospitals or other health care settings.

During this cold and flu season, it is important to wash your hands to keep you and your family safe from germs and illness. And plain soap and water works just fine. Remember when washing your hands to rub them together with soap and water for at least 10-15 seconds and rinse. If you don’t have soap or water around, use an alcohol based hand sanitizer. Here are some other commonly asked questions about antibacterial soap. As always if you have questions you should first talk to your health care provider. How do I know if my soap is “antibacterial?” If you are wondering if a product you use is antibacterial, check the drug facts label or the ingredients. Antibacterial soaps contain special chemicals used to prevent bacterial contamination, like triclosan. Triclosan is the chemical under question by the FDA. What is bacterial resistance? Doctors have noticed that some bacteria are getting tougher to kill. The usual antibiotic drugs don’t seem to work as well – or work at all. Such bacteria are said to be resistant.

Bacterial resistance makes an infection much harder to treat. Higher doses or stronger drugs may be required. In extreme cases, bacterial resistance can be fatal. Need More information. Visit the FDA And don’t forget, your health is in your CLEAN hands!

Shoppers deserve trust and security from our biggest retailers – National Consumers League

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By John Breyault, Vice President of Public Policy, Telecommunications and Fraud Imagine that you’re the CEO of Target today. As one of the 25 most admired companies in the world, consumers’ trust in your brand is paramount to your success. Over the past week you’ve learned that your company is the victim of one of the largest retail data breaches in U.S. history. Cyber thieves compromised 40 million consumers’ credit and debit cards. To add insult to injury, the breach happened during the height of the holiday shopping season – the most important month in your company’s calendar.

With every media story about the incident, each outraged consumer Facebook comment and critical tweet, that trust is eroded. It’s clear that Target is facing a public relations nightmare. How they react to this will determine how much faith consumers will continue to place in the brand. Unfortunately, the advice consumers are getting from the company so far is depressingly familiar: monitor your credit and debit card statements, keep an eye on your credit report and report irregularities promptly. This is the advice consumers hear after virtually every data breach. Are the increasing number of data breaches just something that consumers need to get used to?

In a recent article about the Target breach Mark Rasch, a former U.S. prosecutor of cybercrime said, “Most of these attacks are just a cost of doing business,” As advocates for consumers, we categorically reject the notion that the status quo is an acceptable outcome. We must not accept a marketplace where consumers are asked to make ever more data available to more entities but are stuck with the consequences when those entities fail to protect our data. We think that the government and private sector can and should do more to protect the vast amounts of sensitive data that they are collecting from consumers. This is not a new issue.

For decades, data security experts have discussed ideas about how to improve the situation. At its core, consumer and business data is the focus of a never-ending arms race between those that want to protect consumer data and those that want to steal it for fraudulent uses. Just as no bank can ever be 100% secure from a robbery, no data can ever be 100% secure from a breach. However, consumers should be able to rely on a certain basic level of data security. Unfortunately, that is exactly what we lack today. Shockingly, there is no one law in the U.S. that mandates the steps businesses should take to protect their customers’ data. Instead, consumers are reliant on precedents set by Federal Trade Commission enforcement actions.

Since 2000, the FTC – under it’s “unfair and deceptive acts or practices” authority — has brought nearly fifty data security cases against companies whose data security practices (or lack thereof) have put consumers at risk. However, that authority could be taken away if the FTC loses in two closely watched court cases. Should the FTC lose, consumers will be left without one of the most important watchdogs in this fight. Consumers should not be left to fend for themselves against the legions of sophisticated and organized data thieves. The Target breach, and the daily smaller breaches that go unreported should serve as a wake-up call for legislators and regulators that data security reform is urgently needed.

Flu vaccine misconceptions putting everyone at risk – National Consumers League

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According to federal health agency recommendations, nearly everyone over 6 months of age should get vaccinated for the flu. Unfortunately, many Americans are woefully misinformed about vaccines and choose not to take this simple step that could bolster their health. According to the CDC, between five percent and 20 percent of Americans get the flu every year, and an average of 200,000 are hospitalized annually from flu-related symptoms.

Many of those sicknesses and hospitalizations could be avoided if more people got vaccinated.

A recent survey commissioned by NCL uncovered some disturbing numbers about how few Americans get the flu vaccine and the reasons why they choose not to vaccinate. Some of the most notable findings.

  • One in five Americans say they have not received the flu vaccine because they do not believe the flu is a serious illness. The flu is a serious illness and results in deaths every year. While adults over 65, children under two, and people with serious medical conditions have the highest risk of suffering additional complications after getting the flu everyone can succumb to flu-related symptoms that result in hospitalization or death. From 2004-2008, 830 children died from flu-related complications, 43 percent of those children had no high-risk medical condition.
  • One in five parents do not get vaccinated because they fear the vaccine can give them the flu. According to the CDC, the flu vaccine CANNOT give you the flu. Medical professionals universally agree that the flu vaccination is safe and the best chance Americans have to avoid contracting the virus. The most likely side effects are soreness, redness, tenderness, or swelling where the shot was administered.
  • Of the Americans who do not get vaccinated, 45 percent cited their good health as a rationale for bypassing vaccination. Prior to 2010 the CDC recommended only young children, seniors, and people with serious medical conditions get vaccinated. In 2010, however, CDC changed their guidelines and now recommends that everyone, including Americans age 18-49 that are healthy, receive the vaccine annually.
  • Only 44 percent of parents say their children have been vaccinated. This number is too low. The NCL survey revealed that among parents, the flu ranks second only to meningitis as the disease parents are most worried their child may contract. Recently, New York City announced a new provision requiring children who attend preschool or day care to be vaccinated to avoid spreading the disease to others in close proximity.

This winter season, NCL urges you to get the flu vaccination. If you are unsure how to get vaccinated, call your health care provider’s office. To find out more information about the flu, visit CDC’s Web site. Click here to see the full results of NCL’s survey revealing American’s misconceptions of the flu vaccine. Here’s to a healthful winter season!

A push to cleanse America’s meat – National Consumers League

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kelsey By Kelsey Albright, Linda Golodner Food Safety & Nutrition Fellow A week ago, the U.S. Food and Drug Administration (FDA) released a ruling making clear its intent to reduce the amount of antibiotics in animal feed.  It is the first push in the Obama administration’s three-year strategy of reducing the unnecessary use of antibiotics, especially for growth promotion, in livestock and poultry.

The largest motivation for this proposal is to reduce the increasing number of antibiotic-resistant infections which kill thousands of Americans each year. FDA’s announcement included a final guidance which asks veterinary drug companies to voluntarily remove growth promoting claims from antibiotics that are most important in human medicine.  The other part of the announcement detailed the proposed rule that would require prescriptions from veterinarians for antibiotics currently sold over the counter and added to animal’s food and water.

Two of the largest veterinary drug companies, Zoetis and Elanco, have openly supported the proposed rule and either already comply or are planning to comply with the guidance recommending the removal of growth-promotion claims from labels.  However, many antibiotic activists are saying both the rule and the guidance are too weak to initiate real change. Despite harsh criticisms from politicians and invested organizations, I feel that FDA should be applauded for its efforts.  While these actions may not be as extreme as I, or any of my fellow nutrition advocates, would have liked, it is a step in the right direction on FDA’s behalf.  Progress doesn’t happen in one day, it takes time, it is a clock with ever moving interconnected gears that never stops ticking.  This rule is now one of those gears and I am glad to see if fall into rotation, hopefully opening more doors for stricter antibiotics regulation in the future.

NCL commends the DC City Council for its vote in favor of workers’ rights – National Consumers League

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December 17, 2013

Contact: NCL Communications, Ben Klein, (202) 835-3323, benk@nclnet.org

Washington, DC—Today, the National Consumers League (NCL), the nation’s pioneering consumer and worker advocacy organization, applauds the DC City Council for two unanimous votes that will boost workers’ pay and expand paid sick days to tipped workers.

“This is a great step, very welcome, and long overdue,” said Sally Greenberg, NCL Executive Director. “We’re hopeful that Mayor Gray will sign the bills into law and better the lives of workers across Washington, DC. NCL thanks every member of the DC City Council for standing up for those on the lowest rung of the income ladder. You each have shown strength and resolve to do the right thing in the face of industry opposition. The DC Council has set an exemplary standard for city and state legislators around the nation.”

The two approved measures will expand the city’s 2008 law on paid sick leave to include workers whose incomes rely on tips and increase the minimum wage in the District for all other workers from $8.25 to $11.50 per hour over a three-year period.

“Consumers have spoken very clearly in overwhelming support of tipped workers who serve them at dining establishments, for improving their wages, and providing them with paid sick leave,” Greenberg said. “It’s not just a matter of compassion; it’s a matter of public health and food safety. If the proposals are ultimately signed into law,thousands of tipped workers will have the freedom to stay home to recover when they are sick, instead of coming to work and potentially infecting coworkers and customers. This is especially critical now that cold and flu season is upon us.”

According to the DC Fiscal Policy Institute, the gap between high-income and low-income households in the District is the third-highest among the 50 largest cities, after Atlanta and Boston. The $3.25 increase in the minimum wage, which will raise the minimum wage to $11.50, will help lift some 51,000 workers, who now struggle to make ends meet, out of poverty.

The typical minimum-wage worker is 34 years old, supports a family, and works full time. The new wage floor would mean a full-time salary of $23,920 a year, which will lift a family of three to just above the poverty level. “This is still not enough money to cover basic expenses, but it is a vast improvement of the current minimum wage,” said Michell McIntyre, NCL’s Outreach Director, Labor & Worker Rights.

Although the new minimum wage bill does not raise the tipped minimum wage (currently $2.77 an hour), Councilmember Mary Cheh introduced a measure that would make the tipped minimum wage the same as the standard minimum wage.

“We look forward to seeing both bills signed into law and working with Councilmember Cheh on a tipped minimum wage bill,” said Greenberg.

These two bills now head to Mayor Vincent Gray’s desk. He can sign the bills into law, veto the bills, which would send them back to the City Council for a councilmember vote to override the veto, or he can choose to take no action and after a set amount of time the bills will become law. 

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About the National Consumers League

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.