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NCL statement on Trump Administration’s finalization of Short-Term Plan rule – National Consumers League

August 1, 2018

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) is deeply disappointed by the finalization of the Short-Term Limited Duration Insurance (STLDI) Plan rule, which allows the sale of short-term health insurance plans that do not comply with the requirements of the Affordable Care Act.

The following statement may be attributed to Sally Greenberg, NCL executive director:

“The ‘short-term plan’ final rule will allow insurers to offer junk insurance policies to millions of consumers that fail to meet their healthcare needs. Short-term plans exclude coverage for critically important healthcare services; vary premium rates by gender, health status, and age; and put individuals and families at significant financial risk from unpaid medical bills.

In addition, allowing the expansion of these types of plans for periods up to 364 days (and renewal for up to 3 years) undermines the individual market by pulling healthy individuals away and leaving an older, sicker risk pool behind. As a result of this rule, we fear that many who rely on comprehensive coverage – including women, older adults, and people with chronic conditions – will be left without affordable, comprehensive coverage options.”  

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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 https://nclnet.org.

NCL’s statement on Trump Administration’s proposed rule on Title X – National Consumers League

August 1, 2018

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

Washington, DC—In response to the Trump Administration’s proposed rule on the Title X health care program, the National Consumers League (NCL) has issued the following statement, which may be attributed to Sally Greenberg, NCL executive director:

As a long-time supporter of the Title X Family Planning Program, the National Consumers League (NCL) has significant concerns about the Trump Administration’s Title X “Compliance with Statutory Program Requirements” proposed rule, that would restrict the ability of millions of patients to obtain contraception and preventative care. The proposed rule would also make it significantly more difficult for physicians to explain reproductive health care options, such as family planning services.

NCL strongly believes that the Title X Family Planning Program is integral in providing women and teenagers with reproductive and preventive healthcare services across the United States. In fact, Title X centers have helped to prevent 1 million unintended pregnancies each year. These centers are important because they provide a wide range of preventive healthcare services, such as: wellness exams, birth control, contraception education, and lifesaving cervical and breast cancer screenings.

If HHS implements the proposed rule, there will be extremely detrimental effects on patients in regions of the United States with limited access to health care, as well as economically distressed adults and teenagers without health insurance. If implemented, the proposed rule would seriously restrict the ability of clinicians to explain contraceptive and reproductive healthcare options to their patients. Healthcare education and information is key in order for consumers to make informed choices.

Furthermore, NCL is very concerned about the implications of this proposed rule when it comes to the millions of patients that use Title X services. This proposed rule could result in 40 percent of patients that currently visit Title X centers losing their healthcare services.

NCL urges HHS to analyze all the possible effects that this proposed rule could have on vulnerable populations in the United States before making such sweeping changes to the Title X health care program.

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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 https://nclnet.org.

NCL Statement on FDA Importation Work Group – National Consumers League

July 30, 2018

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

Washington, DC—In response to the recent request by Health and Human Services Secretary Alex Azar that the Food and Drug Administration (FDA) establish a working group to examine the possibility of importing prescription drugs, the National Consumers League has issued the following statement, which may be attributed to Sally Greenberg, NCL executive director:

While the National Consumers League (NCL) supports the Food and Drug Administration’s (FDA) goal of ensuring patient access to medically necessary drugs that are in shortage, we have significant concerns about allowing importation to address this challenge.

NCL believes that allowing importation could put patient health and safety at risk and lead us down a dangerous path. Every head of Health and Human Services and the FDA for the last 18 years has refused to certify the safety of drug importation. NCL fears that authorizing importation, even under limited circumstances to address drug shortages, would expose consumers to unknown risks and undermine the security of the U.S. pharmaceutical supply chain.

Furthermore, NCL is concerned that allowing importation will open the U.S. market to a flood of counterfeit and/or substandard drugs. Counterfeit medications made with deadly ingredients have been found in over 40 states across America, posing a significant public health threat. Allowing importation will only serve to exacerbate the challenge of preventing counterfeit drugs from reaching American patients.

Rather than considering importation, NCL encourages FDA to pursue other strategies to ensure the availability of multiple FDA-approved and marketed versions of medically necessary drugs.

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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 https://nclnet.org.

National Consumers League applauds the Department of Justice for bringing phone scam perpetrators to justice – National Consumers League

July 24, 2018

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, today commended the U.S. Department of Justice (DOJ) for its crackdown on impersonation scams targeting vulnerable Americans. Last week, following their arrest in 2017, 24 perpetrators of a phone scam in which fraudsters extorted money from victims by impersonating IRS agents, or employees of the U.S. Citizenship and Immigration Services were sentenced to up to 20 years in prison. The following statement is attributable to James Perry, Customer Services Coordinator and John Breyault, Vice President, Public Policy, Telecommunications, and Fraud, both of the National Consumers League:

“Imposter scams consistently rank amongst the most prevalent scams reported to NCL’s Fraud.org campaign. Last year alone, Americans lost a whopping $327 million to scammers who were impersonating individuals or government agencies. With the DOJ’s announcement that they have ended a massive operation that extorted hundreds of millions of dollars from vulnerable consumers, Americans can feel a little bit safer from a threatening phone call from a scammer. While we applaud the DOJ for this hard-won victory, we must all continue working hard to both educate consumers about this scam and redouble our efforts to put other perpetrators of this scam behind bars.”

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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 https://nclnet.org.

National Consumers League statement on Supreme Court’s 5-4 ruling in Janus v. AFSCME – National Consumers League

June 27, 2018

Media contact: National Consumers League – Carol McKay, carolm@nclnet.org, (412) 945-3242

Washington, DC–The National Consumers League (NCL), the nation’s pioneering consumer and worker advocacy group, has announced its disappointment in today’s narrow 5-4 anti-worker and anti-union ruling by the U.S. Supreme Court in Janus v. AFSCME, in which the Court ruled that unions cannot collect “fair share fees” from workers who have not joined the union but receive the benefits of organizing.

The following statement is attributable to Sally Greenberg, NCL Executive Director:

Janus v. AFSCME is the unfortunate capstone of a decades-long assault on working Americans who choose to collectively stand up to improve their workplaces and their communities and is the result of a right-leaning court that favors business interests over workers.

The potential harm caused by this decision is great and will not only be felt by union members. Millions of individual consumers who rely on government services will feel the consequences of this decision as public servants choose to leave in search of better opportunities and as the ones who remain face greater workplace insecurity.  

The Supreme Court today sided against working families. We call upon Congress to step in to correct this injustice. Powerful lobbyists may have won today, but in the end working Americans understand the importance of joining together to create better working conditions. While this decision is disappointing, we will continue to fight alongside our labor allies for a fair and just workplace and marketplace.

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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 https://nclnet.org.

Leading consumer organizations decry ‘mutual fund industry giveaway’ by SEC – National Consumers League

June 6, 2018

Contact: Consumer Action’s Linda Sherry (202) 544-3088, NCL’s Sally Greenberg (202) 207-2830

Washington, DC–Despite overwhelming opposition to abandoning the default paper format delivery method for mutual fund disclosures, the Securities and Exchange Commission (SEC) yesterday voted behind closed doors to ignore investor sentiment and allow funds, as of Jan. 1, 2021, to deliver shareholder reports online, with a paper notice of online availability sent by mail. The adoption of Rule 30e3 flips the current process on its head—investors who already have chosen to receive paper mutual fund reports will now have to take the trouble to reach out to funds to request that paper versions (continue to) be mailed to them.

The National Consumers League (NCL) and Consumer Action have worked for more than two years to ensure that the delivery of paper fund disclosures wasn’t flipped. The organizations have filed comments opposing Rule 30e3, spoken at SEC Investment Advisory Committee meetings, and urged investors to press for the paper default. They were expecting to hear a public discussion of the rule at the SEC’s public meeting on June 5, before it was pulled from the agenda the evening before and circulated for written consent from the commissioners in lieu of a meeting.

Sally Greenberg, executive director of the National Consumers League, said: “We are very disappointed in the 4-1 vote—taken behind closed doors—from the SEC to make it more difficult for mutual fund investors who want paper documents to get fund disclosures delivered in paper; an SEC survey in 2011 found that one-third of consumers say they prefer paper copies of their mutual fund reports. The mutual fund industry trade association estimated in 2016 that this will save investors $2 billion in printing and mail costs over 10 years. The winners are clearly the companies, the losers are those consumers who need or want access to paper versions of fund disclosures and will have to know to sign up for paper delivery. We are disappointed the SEC didn’t take into account the extensive evidence that the change is likely to reduce investor readership of key disclosures.”

Linda Sherry, director of Consumer Action’s DC office, said: “More than 90 percent of the comments submitted to the SEC in 2016 opposed the idea to make electronic delivery the default delivery method for shareholder reports. Despite the concerns raised, which included lack of access to the internet by vulnerable populations, exposure to online fraud and difficulty of reading reports on mobile devices, the SEC chose to vote on its proposal before the public was able to read it.”

Currently (and for close to 20 years) investors have the option of requesting e-delivery. Some estimates say as many as half of all mutual fund investors have chosen e-delivery already. Those who have chosen to keep paper delivery will, under the new rule, be bothered to act to ensure paper reports keep coming. The new measure is an example of “negative consent—or “passive consent”—which means failure to take action is interpreted as agreement. This method of notification is know to decrease consumer participation and likely will reduce investor readership of important disclosures about fund performance, costs and makeup.

While the rule offers the switch to e-delivery as an “optional” method for delivering shareholder reports, it is highly unlikely that the mutual fund industry will choose to leave the status quo of paper statement delivery.

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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 https://nclnet.org.

About Consumer Action

Consumer Action has been a champion of underrepresented consumers nationwide since 1971. A non-profit 501(c)(3) organization, Consumer Action focuses on consumer education that empowers low- and moderate-income and limited-English-speaking consumers to financially prosper. It also advocates for consumers in the media and before lawmakers to advance consumer rights and promote industry-wide change.

 

 

National Consumers League: Supreme Court ruling in Epic Systems v. Lewis et al a ‘disaster for workers’ – National Consumers League

May 21, 2018

Contact: NCL Communications, Carol McKay, carolm@nclnet.org, (202) 207-2831

Washington, DC—In a controversial 5-4 decision, the U.S. Supreme Court today sided against workers and with powerful corporations. In Epic Systems v. Lewis et al., the high court today said it is okay for companies to require workers to sign forced arbitration clauses as a condition of employment. These clauses have the effect of nullifying the rights of workers to band together in class action suits when a company engages in systemic wrongdoing or breaks the law. Because the right to bring charges into a public court is waived by signing these clauses, allegations end up behind closed doors in secret proceedings where companies overwhelmingly win.

“This is a gift to America’s corporations and a disaster for workers,” said NCL Executive Director Sally Greenberg. “Allowing companies to break the law and not have to worry about being held accountable creates a toxic work environment where wrongdoing runs rampant. We’ve seen it at Fox News, where Roger Ailes and Bill O’Reilly sexually harassed female employees for decades and hid behind forced arbitration clauses. We’ve see it, too, at Sterling Jewelers, parent company to Jared and Kay Jewelers, which required employees to sign forced arbitration clauses and where more than 250 women allege rampant sexual harassment.”

Protecting corporate wrongdoing, whether it’s wage theft, discrimination, or sexual harassment, is bad policy and as history has proven, is ultimately bad for business. Companies like Microsoft understand that. “The silencing of people’s voices has clearly had an impact in perpetuating sexual harassment,” Brad Smith, Microsoft’s president and chief legal officer told the New York Times last year.

In an op-ed article in the New York Times in October 2017, Gretchen Carlson, who was sexually harassed at Fox News when she was a reporter, wrote that “reforming arbitration laws is key to stopping sexual harassment.” As Carlson recently stated, “If a woman’s being sexually harassed in the workplace and she has an arbitration clause, she’s screwed.”  

Few workers are able to take on their employer by themselves and risk termination, abuse, or worse. Few workers can afford to spend thousands of dollars to pursue an individual case. Collective and class actions exist for this very reason; so that regular people can pool their claims and get a lawyer to pursue their case.

An estimated 60.1 million workers in America – 56 percent of private-sector nonunion employees – have been subject to forced arbitration clauses, and of those, nearly one in three (30 percent) have lost the right to challenge wrongdoing through collective legal actions. If it is not already in place, today’s decision will mean that becomes standard employer practice. Sadly, with this decision the Supreme Court in Epic Systems v. Lewis et al. has given corporations the right to further tilt the legal system to their favor.

A spirited and lengthy dissent in Epic Systems, written by Justice Ruth Bader Ginsburg and joined by Justices Sotomayor, Kagan, and Breyer, called the decision “egregiously wrong,” a “destructive result,” and said, “the inevitable result of today’s decision will be the underenforcement of federal and state statutes designed to advance the well-being of vulnerable workers.”

“We agree with Justice Ginsburg and her colleagues,” said NCL’s Greenberg. “Now we must demand from Congress a legislative solution that restores the fundamental right of workers – including women fighting sexual harassment – to band together.”

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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 https://nclnet.org.

NCL welcomes calorie count law going into effect today – National Consumers League

May 7, 2018

Contact: NCL Communications, Carol McKay, carolm@nclnet.org, (202) 207-2831

Washington, DC – The National Consumers League welcomes the implementation of an overdue FDA rule on calorie counts on restaurant menus which takes effect today. Consumers will now receive the information they both need and want when making food choices at restaurants and other food retail establishments.

Last year, the National Consumers League and the Center for Science in the Public Interest, represented jointly by EarthJustice, initiated legal proceedings in federal court to ensure the FDA implemented the menu labeling rule in a timely manner.

NCL joins CSPI in welcoming this development and expresses appreciation for FDA Commissioner Scott Gottlieb‘s leadership in safeguarding consumers’ access to nutrition information. We look forward to working with the FDA to ensure that consumers are made fully aware of the benefits of increased knowledge and choice.

Caloric information will be mandatory on restaurant menus and menu boards, as well as food products in chain restaurants, supermarkets, convince stores, and movie theaters. will also now be required on most vending machines throughout the country, amounting to 5 to 6 million machines.

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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 https://nclnet.org.

NCL hails long-awaited federal backup camera automotive standard – National Consumers League

May 1, 2018

Contact: NCL Communications, Carol McKay, carolm@nclnet.org, (202) 207-2831

Washington, DC—The long-awaited requirement that all cars have rear backup cameras—a standard issued in 2014—went into effect today. The National Consumers League has issued the following statement, which may be attributed to Executive Director Sally Greenberg:

Although we were disappointed to have to wait until 2018, we welcome this safety breakthrough; consumers like and appreciate the myriad safety advantages that backup cameras provide. We are pleased that as of today, all newly-manufactured vehicles be will be equipped with a rearview backup camera.

We are particularly pleased that no longer will consumers need to pay for a rearview camera as an expensive option. These cameras improve rear visibility for drivers and will prevent needless deaths and injuries. The regulation advances the safety of everyone on the road, most importantly children, pedestrians, bicyclists, and pets. Backup camera requirements are part of a long list of safety requirements advocated for by consumers and safety groups, including airbags to protect occupants in a crash; electronic stability control (ESC); stronger roof crush requirements; and, ejection and side impact protection, among others. Safety standards mean that everyone, not just those who purchase luxury vehicles with built-in safety, is protected, from the buyer of the smallest and least expensive vehicle to the highest end. The cost of safety technologies quickly drops when they are made standard, so it’s a win-win: lives saved for less expense.

Among those who championed the original legislation mandating rear cameras were Senators Hillary Clinton (D-NY) and John Sununu (R-NH); Representatives Peter King (R-NY) and Jan Schakowsky (D-IL); the numerous Senate and House cosponsors; KidsAndCars.org led by Advocates’ Consumer Co-Chair Janette Fennell; Consumers Union, publisher of Consumer Reports, Advocates for Highway and Auto Safety, Public Citizen and numerous public health, consumer, and safety organizations. 

“We must thank those courageous families who suffered the unthinkable loss of their children in preventable backover incidents and pressed for government action. Enactment of the Cameron Gulbransen Kids Transportation Safety Act in 2008 (Pub. Law 110-189), mandating the U.S. DOT to issue a standard, was a testament to what can be accomplished with bipartisanship leadership and citizens activating to motivate change and save lives,” said Greenberg.

Every year on average more than 200 people are killed and over 12,000 more are injured in backover crashes, according to the U.S. DOT. Over half of those killed are children under age five or adults 70 or older (U.S. DOT). The Insurance Institute for Highway Safety (IIHS) has determined that rearview cameras have already reduced backing crashes by 17 percent, and for drivers 70 and older, backing crashes went down by 40 percent. Moreover, rearview cameras can be expected to prevent nearly one in six police-reported backing crashes.

“We celebrate all those who worked so hard for so many years to put this standard into place and applaud the National Highway Traffic Safety Administration for implementing the final rule,” said Greenberg.

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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 https://nclnet.org.

National Consumers League statement in opposition of closure of CFPH complaint database – National Consumers League

April 30, 2018

Contact: NCL Communications, Carol McKay, carolm@nclnet.org, (202) 207-2831

Washington, DC–In response to reports that Mick Mulvaney, Director of the Consumer Financial Protection Bureau, wants to close down the public database of consumer complaints, the NCL has issued the following statement:

We call on Director Mulvaney and the CFPB to maintain the transparency and access to useful information provided by this database. When consumers share their experiences with other consumers, companies listen and often fix the problems.

The database’s benefits are many, including:

  • Providing an incentive to companies address problems
  • Allowing consumers to choose which companies they wish to do business with
  • Allows the CFPB to spot patterns of behavior or abuse in the financial industry

Indeed, the Bureau’s investigation of Wells Fargo bank came as a result of a wave of complaints submitted to the CFPB database. The same is true for debt collectors, loan servicers, mortgage lenders and credit card companies.

CFPB’s database is popular with consumers and it makes the market work more efficiently. Shutting off access will hurt consumers and is short sighted. We call on Mr. Mulvaney to reconsider this policy decisions for the benefit of consumers and for the efficiency of the marketplace

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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 https://nclnet.org.