Sally Greenberg, NCL CEO, receives HerMANA award

/in , , /by

September 26, 2024

Media contact: National Consumers League – Melody Merin, melodym@nclnet.org, 202-207-2831

WASHINGTON, DC – National Consumers League CEO Sally Greenberg was awarded the prestigious HerMANA award by MANA at the AT&T Forum on September 26 in Washington, DC. MANA is a national Latina grassroots membership organization founded in 1974 with a mission to strengthen Latinas through mentoring, education, and advocacy. It is one of the leading Latina voices on many of the key issues in the public sphere, with a focus on education, health and well-being, financial literacy, equal and civil rights, and immigration reform.

Greenberg was honored in recognition of her commitment to inclusivity and advocacy on behalf of consumers. NCL has been in a long-term partnership with MANA particularly in the areas of health equity and financial health.

Past HerMANA awardees include FCC Chairwoman, The Honorable Jessica Rosenworcel; Rosa Rosales, former National President of the League of the United Latin American Citizens; Congresswoman Nanette Barragan, Chair of the Congressional Hispanic Caucus; Bonnie Erbe of PBS’ To the Contrary; Maria Cardona of the Dewey Square Group, and many others.

###

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 urges Congress to strengthen consumer protections against aviation cyber incidents

/in , , , /by

September 18, 2024

Media contact: National Consumers League – Melody Merin, melodym@nclnet.org, 202-207-2831

WASHINGTON, DC – Today, NCL Vice President John Breyault testified before the U.S. Senate Committee on Commerce, Science, & Transportation. The hearing examined cybersecurity threats to the air travel industry and the impacts that these disruptions have on passengers. The Committee’s inquiry follows recent disruptive events in air travel stemming from digital vulnerabilities, such as last month’s cyberattack on Seattle-Tacoma International Airport and the mass outage attributed to a CrowdStrike update in July.  

“When cybersecurity incidents occur in the airline industry, consumers are often the ones who suffer most,” stated Breyault. “Flights are delayed or canceled, personal information is compromised, and families can find themselves stranded for days without recourse.” 

Despite the surge in digital threats targeting the aviation sector, key safeguards remain absent. In his testimony, Breyault urged Congress to take steps to reduce the risk of cyber incidents and to mitigate the harm to passengers when such mishaps occur. 

Specifically, NCL advocated for Congress to: 

  • Establish comprehensive data security standards to provide a baseline of protection for the data consumers routinely share when flying; 
  • Enact legal protections against hacking, fraud, and theft for the billions of dollars in airline rewards that consumers earn, store, and redeem each year; and 
  • Codify the U.S. Department of Transportation’s authority to implement delay compensation requirements for airlines, minimizing out-of-pocket costs for passengers needing food, drink, lodging, and alternative transportation during a flight disruption. 

Breyault’s full written testimony to the Senate Commerce Committee can be found here. 

More information on NCL’s recent work to protect the flying public can be found below. 

The Senate hearing can be viewed here.

###

 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 on DOT action in Alaska-Hawaiian merger review

/in , , , , /by

September 17, 2024

Media contact: National Consumers League – Melody Merin, melodym@nclnet.org, 202-207-2831

WASHINGTON, DC – The National Consumers League (NCL), America’s pioneering consumer and worker advocacy organization, today applauded the United States Department of Transportation’s (DOT) historic agreement with Alaska Airlines and Hawaiian Airlines to place enforceable public interest conditions on the merger. NCL has long called for DOT to exercise its authority more forcefully to police airline industry mergers.   

The following statement is attributable to John Breyault, National Consumer League Vice President of Public Policy, Telecommunications, and Fraud: 

 “After decades of unchecked mergers, four airlines together control over two-thirds of U.S. domestic air travel. Today’s action puts the airline industry on notice that under the Biden-Harris Administration, its days of scrutiny-free consolidation are over. Consumer protection agencies like the Federal Communications Commission have long used their merger review authority to place pro-consumer and pro-competition conditions on mergers. We welcome DOT taking steps to safeguard the frequent flyer miles that Alaska’s and Hawaiian’s rewards program members have built up. And we applaud DOT for ensuring that this merger does not endanger the critical air service that rural communities in Alaska and Hawaii depend on. We look forward to DOT continuing to use all the tools in its regulatory toolbox to protect and promote competition and fairness in the air travel marketplace.” 

###

 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 among one of many organizations expressing concern for the growing catalytic converter theft problem

/in , , , , , , , , , /by

August 29, 2024

Media contact: National Consumers League – Melody Merin, melodym@nclnet.org, 202-207-2831

WASHINGTON, DC – Today, the National Consumers League (NCL), along with many other organizations representing a cross-section of industry and interested stakeholders, signed a letter to the chairs of both the Committee on Armed Services and the Committee on Commerce, Science, and Transportation expressing their strong support of an amendment to combat the growing national problem of catalytic converter theft. Catalytic converters are being stolen at increasingly high rates because they contain valuable metals, such as rhodium, platinum, and palladium.

NCL’s CEO Sally Greenberg recently shared her own catalytic converter theft experience in this blog post.

The letter to the committees can be found here.

###

 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.

Food fight: NCL lauds VP Harris’s push for fair grocery pricing amidst corporate greed

/in , , , , , , , , /by

August 23, 2024

Media contact: National Consumers League – Melody Merin, melodym@nclnet.org, 202-207-2831

WASHINGTON, DC – The National Consumers League (NCL), with a 125-year history of advocating for transparency and fairness in the food marketplace, praises Vice President Kamala Harris’s focus on price gouging within the grocery industry. While critics have argued that banning price gouging is a campaign ploy and economic gibberish, NCL has long witnessed the numerous ways corporations can deceive and overcharge consumers. Harris’s plan tackles the abuses within the grocery industry head-on.

For too long, American consumers have been exploited by deceptive corporate practices that erode purchasing power and trust. Without guidelines and accountability, these practices will continue unchecked. Harris’s call to action is a shot across the bow, a powerful reminder to corporations that the Biden-Harris (and potentially a Harris-Walz) Administration is committed to addressing kitchen-table issues, like rising grocery costs.

This is not a new issue, nor is it the only issue leading to higher consumer prices at the supermarket check-out line. Price gouging, particularly during emergencies or disasters, is already regulated in thirty-seven states, with enforcement entrusted to state attorneys general. Harris’s plan would expand these protections, putting the Federal Trade Commission in charge of preventing unfair pricing tactics.

In February 2024, U.S. Representative Jan Schakowsky and U.S. Senator Elizabeth Warren reintroduced the Price Gouging Prevention Act of 2024 to combat corporate price gouging citing American families’ financial struggles amid rising grocery costs and corporate profits.  Expanding the FTC’s authority, as outlined in the Price Gouging Prevention Act, would not be considered price fixing. Rather, the proposed legislation empowers regulatory agencies to enforce fair pricing practices, protect consumers from unjustified price hikes, and promote a competitive and transparent market without interfering with lawful price setting by businesses.

Equally egregious to price gouging is the practice of shrinkflation, where companies reduce product sizes or contents while maintaining or increasing prices. The Shrinkflation Prevention Act, introduced by Senator Bob Casey and supported by the NCL, is a crucial measure to protect consumers from this form of corporate exploitation. Surveys confirm that 73% of consumers are concerned about shrinkflation, and 79% feel cheated.

Another betrayal of consumers is the lack of, or hidden, unit pricing. Unit pricing is a cornerstone of consumer purchasing, providing the cost per pound, quart, liter, or another unit of weight or volume. Unit pricing is a vital tool for budget-conscious consumers. Currently, only nineteen states and the District of Columbia have enacted unit pricing laws or regulations, according to the National Institute of Standards and Technology, leaving consumers in other states without the essential information needed to make informed purchasing decisions.

A lack of competition within the grocery industry also negatively impacts consumers. The recent FTC action to block Kroger Company’s $24.6 billion acquisition of Albertsons Companies, Inc. illustrates the negative impact of reduced competition.  The merger of these two grocery giants, who together own 5,000 stores across forty-eight states, would reduce competition, drive up prices, lower food quality, and degrade customer service. NCL believes that competition benefits consumers, ensuring they receive quality products at fair prices.

Corporate greed almost certainly plays a role in rising grocery prices. One analysis found that over half of the increase (53.9%) in prices in the nonfinancial corporate sector (i.e., companies that produce goods and services) during the height of the COVID pandemic – could be attributed to bigger profit margins. Since the pandemic, mark-ups have remained “extremely elevated relative to historic norms.” Other analyses have found similar results, with corporate profits driving 53% of inflation.

Weekly grocery bills are higher than before COVID-19, and while many factors contribute to this—including supply chain disruptions, pandemic recovery, and interest rates—the bottom line is that consumers are paying more and getting less. The U.S. Department of Agriculture reports that Americans now spend about 11% of their income on food, the highest level in 30 years. Although food prices are expected to rise by 1% this year, consumers are still reeling from last year’s 5% increase.

More work needs to be done at the federal level to understand why inflation rates and the rise in food prices are out of sync. However, one thing is clear: empowering the FTC and state attorneys general to hold companies accountable is a step in the right direction.

The notion that the market will self-correct is not just naive—it is dangerous. Without strong regulatory action, companies will continue to prioritize profits over people, especially in essential sectors like groceries, where families cannot afford price hikes or size reductions. NCL lauds Vice President Harris for taking a stand against corporate greed.

It’s time to put an end to these deceptive practices and ensure that every American has access to affordable, transparent, and fair food pricing. Vice President Harris’s plan is a bold and necessary step toward achieving that goal.

###

 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.

PBMs are driving the increase in out-of-pocket healthcare costs for consumers, says NCL

/in , , , , , , , , , , /by

July 23, 2024

Media contact: National Consumers League – Melody Merin, melodym@nclnet.org, 202-207-2831

WASHINGTON, DC – The National Consumers League (NCL) today submitted a letter to both the Republican and Democratic chairs of the House Committee on Oversight and Accountability expressing concerns about pharmacy benefit managers (PBMs) driving the increase in out-of-pocket healthcare costs for American consumers. The letter was submitted just as the committee was conducting a hearing with top executives from Express Scripts, CVS Caremark, and Optum Rx.

The following statement is attributable to NCL’s Chief Executive Officer Sally Greenberg:

“We are concerned that these anti-consumer practices are putting the profits of insurance companies and their PBMs before patients, local pharmacies, employers, and state governments. Congress has an opportunity to review these corporate practices and work to ensure a reduced market power, thus minimizing the incentives for PBMs to steer patients towards higher-priced medicines, claim higher and higher rebates to fatten their bottom line, and ultimately driving independent pharmacies out of business.”

The full letter can be accessed here.

###

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.

Washington Nationals red cap for News and Highlights Featured Content - Copy (1)

NCL sues Washington Nationals over junk fees not disclosed in advertised prices

/in , , , , , , , , /by

July 17, 2024

Media contact: National Consumers League – Lisa McDonald, lisam@nclnet.org, 202-207-2829

WASHINGTON, DC – Today, the National Consumers League (NCL) announced that it has sued the Washington Nationals on behalf of a class of affected consumers in the District of Columbia and beyond for violations of the D.C. Consumer Protection Procedures Act in connection with Nationals’ single-game ticket sales practices.

Consumers are entitled to truthful information from merchants, including information about prices. According to NCL’s complaint, the Nationals advertised deceptively low prices for their tickets by failing to disclose mandatory “ticket processing” fees that could increase ticket prices by more than 25%. The complaint explains that tickets the Nationals advertised on their website as “starting at $9” actually cost $11.25 once the mandatory “ticket processing fee” was added, and that in reality, the Nationals never intended to sell those tickets “starting at $9” on their official website.

Concealing fees of this sort – commonly known as “junk fees” – until late in the transaction is a misleading practice known as “drip pricing,” which frustrates and harms consumers, according to the complaint.

NCL’s complaint alleges that this has been a practice for the Nationals for years, and that these ticketing practices are misleading – and illegal under D.C. law. The D.C. Consumer Protection Procedures Act (CPPA), D.C. Code § 28-3901 et seq., provides a robust set of protections for consumers.  Among other things, it protects the basic right not to be misled about the price of goods and services being offered for sale.

“It’s disappointing that ticket sellers like the Nationals hide the real price of their tickets from consumers until so late in the process,” said Sally Greenberg, NCL’s chief executive officer. “The junk fees attached to the Nationals’ tickets are wrong, and they’re illegal.  We hope this lawsuit brings some much-needed reforms to the ticketing industry to help protect consumers from these abusive practices.”

NCL’s lawsuit seeks damages on behalf of the class of consumers as well as other relief.

Read the full complaint here.

###

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.

Chaotic evacuation of American Airlines Flight 2045 shows urgent need for updated evacuation standards and minimum seat sizes

/in , , , , , , /by

July 17, 2024

Media contact: National Consumers League – Melody Merin, melodym@nclnet.org, 202-207-2831

WASHINGTON, DC – The evacuation of American Airlines Flight 2045 on July 12 at the San Francisco International Airport appears to have taken significantly longer to complete than the federal standard of 90 seconds. While only minor injuries have been reported, delays in the evacuation created an unacceptable risk of major injuries or death for the passengers and crew on board.

Such chaotic scenes again highlight the urgent need for the Federal Aviation Administration (FAA) to update its emergency evacuation standards to reflect the modern flying environment.

The lengthy American Airlines evacuation was not an anomaly; evacuations over the past decade have consistently exceeded the FAA’s 90-second standard. Evacuation standards were last updated in 2005 and over the intervening 19 years, the in-cabin environment has evolved substantially. Despite these changes, the FAA has rejected or failed to act on 27 recommendations from the FAA Emergency Evacuation Standards Advisory Rulemaking Committee or those of the U.S. Department of Transportation’s own Inspector General. 

As a result, the American Economic Liberties Project, Consumer Action, Consumer Federation of America, FlyersRights, the National Consumers League, Travelers United, and U.S. PIRG are calling on the FAA to urgently address its antiquated safety regulations by:

Updating outdated evacuation standards. Current standards do not reflect the modern cabin environment and do not account for passengers of all ages and body types, record-high passenger load factors, the proliferation of personal electronic devices, the increased amount of carry-on baggage, or the cramped seating conditions of modern aircraft.

Establishing minimum passenger seat sizes. Despite receiving two mandates from Congress and over 26,100 public comments on the issue, the FAA still has not set minimum dimensions for airplane seats. The consistent shrinking of passenger seating has allowed carriers to increase the number of passengers in the aircraft without also increasing the number of exits. Additionally, the cramped seating poses a physical impediment to quick evacuation of the aircraft. 

“The FAA has the ability to reduce the risk of the chaos like what unfolded on Flight 2045,” said John Breyault, National Consumers League vice president of Public Policy, Telecommunications, and Fraud. “Passenger safety and a profitable airline industry are not mutually exclusive. For too long, however, the agency has allowed the airline industry’s concerns about its bottom line to stand in the way of creating standards that lead to a safer cabin environment. That has to stop.”

“The FAA is long overdue in updating its emergency evacuation training and procedures,” said William J. McGee, senior fellow for Aviation & Travel at American Economic Liberties Project. “In recent years we’ve gotten very lucky, as numerous potentially deadly evacuations far exceeded the FAA’s own 90-second timeline. It’s time to rely on proven standards rather than luck.”

“This serves as another example of why the FAA must look at this issue with the importance it deserves,” said Teresa Murray, consumer watchdog director, U.S. PIRG. “The recent evacuation tests relied on ‘able-bodied adult subjects under 60,’ the FAA acknowledged in 2022. We all know this doesn’t reflect modern travel — planes filled with children, senior citizens, people with disabilities and people who are heavy. This issue must be prioritized before we have a tragedy.”

“Emergency landings and emergency evacuations occur several hundred times annually often due to smoke or fire in the cabin. The latest incident showed confusion and panic after a fire erupted in the rear of the plane,” said FlyersRights President Paul Hudson. “Needed improvements were recommended unanimously by the FAA Emergency Evacuation Advisory Rulemaking Committee in 2020. But it is up to FAA Administrator Whitaker to take action, without further delay.”

“This terrifying event is a stark reminder to the FAA to move forward with updated, safer evacuation standards and seating dimensions that reflect current air travel conditions,” said Erin Witte, director of consumer protection at Consumer Federation of America. “We urge the FAA to take the opportunity provided by Congress in the Reauthorization Act to publicly commit to addressing these issues.”

###

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 statement on FTC interim report on PBMs

/in , , , , , , , , , /by

July 10, 2024

Media contact: National Consumers League – Melody Merin, melodym@nclnet.org, 202-207-2831

WASHINGTON, DC – The National Consumers League (NCL) today applauds the Federal Trade Commission’s (FTC) interim staff report on prescription drug middlemen, pharmacy benefit managers (PBMs). The report details how PBMs profit at the expense of patients, inflating drug costs and squeezing Main Street pharmacies.

The following statement is attributable to NCL’s Robin Strongin, Senior Director of Health Policy:

“The FTC’s continued investigation into PBMs, and this latest report, shows promising momentum in addressing the high out-of-pocket costs of medicines consumers face. Countless investigations such as this, as well as news coverage, patient stories, and pharmacy closures across the country, prove again and again that PBMs are doing more harm than good. As the report shows, the vertical integration of PBMs has allowed them to rake in profits at the expense of patients and independent pharmacies.

“That said, we also recognize that this interim report and its findings don’t go far enough. It’s well past time to examine and address the overall corporatization of health care, including the vertical integration of the industry. In the current set-up, the biggest winners are the health insurance corporations that own PBMs, doctors, pharmacies and more. The biggest losers? Consumers.

“While NCL is encouraged that the FTC is working to hold PBMs accountable, we also encourage the need for meaningful reform that helps and doesn’t harm consumers.”

The full report can be accessed here.

###

 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’s Child Labor Coalition praises the Biden Administration’s proposed rule to protect indoor and outdoor workers from extreme heat

/in , , , , , , , , /by

July 3, 2024

Media contact: National Consumers League – Melody Merin, melodym@nclnet.org, 202-207-2831

WASHINGTON, DC – The Child Labor Coalition (CLC) strongly supports the Biden Administration’s proposed rule to protect indoor and outdoor workers from extreme heat. The U.S. Department of Labor announced the rule on July 2. The CLC is chaired by the National Consumers League (NCL) and has 37 organizational members, including numerous farmworker organizations and nonprofits. Both the CLC and NCL are members of the national Heat Stress Network, organized by Public Citizen.

Read the full proposed rule.

While the proposed rule does not recommend age-specific guidelines for child or teen workers, they would benefit greatly from OSHA-mandated heat-related safety protections. Extreme heat can lead to heat stroke, injuries, illnesses, and even death.

Exemptions to U.S. child labor law allow children in agriculture to work at age 12, and, in some cases, even younger, and those exemptions allow them to work unlimited hours, when school is not in session.

Reid Maki, director of child labor advocacy at the Child Labor Coalition, emphasizes the dire conditions faced by outdoor workers: “Farm workers perform physical labor in high heats without the benefit of shade. They work long hours under the hot sun with temperatures well exceeding 90 degrees, sometimes over 100 degrees without a break. They risk passing out, heat stroke, and death. We are most worried about children and teens. There is no doubt that putting rules in place will save lives.”

“President Biden and Acting Secretary of Labor Julie Su have taken an important first step,” says Maki. “The proposed rule provides a pivotal opportunity to have a national conversation and develop comprehensive OSHA regulations to protect workers across many industries. We strongly urge the Department to add specific protections for children working in agriculture. We know that children are at increased risk of heat illness.”

The Protect Indoor and Outdoor Workers from Extreme Heat rule proposes several critical measures to address worker safety:

  1. Heat Risk Evaluation: Employers would be required to evaluate heat risks and develop comprehensive plans to mitigate these risks, especially when temperatures exceed 90 degrees.
  2. Rest Breaks and Hydration: Mandatory rest breaks and access to drinking water are key components to ensure workers stay safe and hydrated.
  3. Acclimatization Protocol: Employers must develop protocols to help new employees or those returning from vacation or sick leave adjust to the heat during their first week back.
  4. Heat Illness and Emergency Response Plan: This includes appointing individuals to implement heat emergency procedures, instructions for transporting affected employees to emergency medical facilities, and procedures for responding to signs of heat-related illness or heat stroke.

The proposed rule extends to indoor work environments as well, ensuring that workers in hot indoor settings are also protected. However, the proposed rule specifically excludes professions such as firefighters and emergency response teams.

Employers would also be required to provide training, implement procedures to respond to heat-related illnesses and take immediate action to assist workers experiencing symptoms of heat emergencies.

Summer heatwaves are upon us, and while many of us retreat to air-conditioned spaces, countless workers endure the blistering sun and soaring temperatures. For those laboring in the fields, on construction sites, and in other outdoor environments, extreme heat can be deadly. Record-breaking temperatures across the United States create life-and-death situations for outdoor workers, and each year, thousands of workers suffer from heat-related illnesses and hundreds die.

Whether working indoors or outdoors in high heat, the signs and symptoms of heat-related illness are the same and include weakness, dizziness, headaches, nausea, fevers, overheating, and muscle cramps. According to the Mayo Clinic, workers are encouraged to exercise caution when temperatures are between 80 and 90 degrees (Fahrenheit) and extreme caution when they are between 90-103 degrees. Temperatures higher than that are considered dangerous.

###

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 nclnet.org.