Consumer group praises re-introduction of Arbitration Fairness Act – National Consumers League

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May 9, 2013

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

Washington, DC—The National Consumers League (NCL), America’s pioneering consumer and worker advocacy group, applauds Sen. Al Franken (D-Minn.) for reintroducing the Arbitration Fairness Act, H.R. 1844. Forced arbitration is an increasingly common practice that strips American consumers and employees of their right to a fair trial, should they be harmed from a product or while at work.

“Too many consumers and employees unknowingly sign contracts that contain forced arbitration clauses buried deep in fine print,” said Sally Greenberg, NCL Executive Director. “These hidden agreements effectively protect big companies from being sued by shutting off consumers’ and workers’ access to the courthouse.”

In January of 2013, NCL joined with other consumer groups to issue a manifesto urging the Obama Administration and Congress to re-examine consumer protection laws. The groups asked that consumers be released from mandatory binding arbitration clauses in consumer contracts that do not allow for alternative forms of dispute resolution or judicial review. 

Consumers who sign arbitration clauses are prevented from being able to sue a company in court, but rather are directed to a private arbitration firm that is often chosen and paid for by the business. Forced arbitration not only takes away consumers’ right to a trial, but it also bars them from class-action suits, a vital tool for consumers and workers to band together and seek justice.

Defending consumers’ access to the courts has been a long-time goal of the League. In 2008, NCL, along with six other consumer and public interest groups, called on the Obama Administration and Congress to enact legislation that would restore an unbiased and open justice system that remedies harms and holds wrongdoers accountable. In 2011, NCL praised the introduction of the Arbitration Fairness Act (S. 987 and H.R. 1873), which would eliminate forced arbitration clauses in employment, consumer, and civil rights cases, and which would effectively override the Supreme Court’s decision in AT&T v. Concepcion.

“Having a dispute settled by an arbitration firm is like suing someone in a court when you know the judge has been paid off by the defendant,” said Greenberg. “The Arbitration Fairness Act would restore American’s right to a fair trial and deprive big companies of their get-out-of-jail-free-card and we urge the Senate to vote to pass quickly.”

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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.

Greenberg remarks at United Mine Workers of America rally in St. Louis – National Consumers League

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April 29, 2013

My name is Sally Greenberg, and I am the Executive Director of the National Consumers League.

NCL is a consumer and worker advocacy organization that has been fighting for fair labor standards since 1899! Our founder, Florence Kelley, wrote and implemented the country’s first minimum wage laws, maximum hours laws and her pioneering work was instrumental in getting our nation’s children out of factories and mines. NCL’s early leadership advocated for national health insurance and social security benefits for retirees.

Today, we stand with the United Mine Workers of America to show our support and solidarity for the 22,500 people affected by this egregious and outrageous example of corporate greed. No one has done more to build this nation or worked harder by the sweat of their brow or given more lives than our nation’s coal miners! The loyalty and camaraderie demonstrated here today is remarkable and uplifting! We are HONORED to be among you today!

NCL represents both workers AND consumers. Consumers have an inherent sense of fairness, especially about hard won bargained for healthcare and retirement benefits. Together we will fight to ensure that this abuse of workers and abuse of power will not be a roadmap for any other company to follow!

The industry made promises to thousands of workers. NCL stands with those women and men and every working family to demand our voices are heard and those promises are kept!! This issue that not only affects coal miners but every single worker in this country. Fairness at Patriot represents Fairness for all!

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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.

National Consumers League statement on inmate telephone rates – National Consumers League

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April 26, 2013

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

Washington, DC—The National Consumers League (NCL) today reiterated its support for a cap on inmate calling rates. In reply comments filed recently with the Federal Communications Commission, NCL called on the Commission to set a benchmark Inmate Calling Service rate cap of $0.07 per minute with no per-call fees or other ancillary fees or taxes for all private, public, state, county and local correctional and detention facilities. In this effort, NCL joins with important allies like the Campaign for Prison Phone Justice and Verizon in calling on the FCC to create an environment where inmates can more easily stay in touch with their families.

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

“Having a loved one incarcerated already places severe strain on families. Being hit with the double whammy of extremely high calling rates to communicate with that loved one only exacerbates that strain. We applaud the FCC for considering this important issue and urge the Commission to institute common-sense rate caps that will allow inmates and their families to affordably stay in touch.”

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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.

Florida takes 2013 national LifeSmarts title – National Consumers League

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April 23, 2013

Contact: Carol McKay, (724) 799-5392, carolm@nclnet.org

Atlanta, GA—The student team from Paxon School for Advanced Studies in Jacksonville, FL was crowned national LifeSmarts champions in Atlanta on Tuesday, April 23. After a tough final match against the second-place team from Barrington High School in Rhode Island, the teens from the Florida outscored their opponents and did it with great sportsmanship. Teams from Tennessee and Pennsylvania placed third.

“We are so proud of these students from the sunshine state, who represented their state program with class and pride,” said LifeSmarts Program Director Lisa Hertzberg. “They played hard and demonstrated their consumer smarts throughout the four-day event. They are true LifeSmarts champions.”

LifeSmarts is a program run by the Washington, DC-based National Consumers League (NCL), the nation’s oldest consumer advocate. It competitively tests high school students’ knowledge of consumer awareness, with subjects including personal finance, health and safety, consumer rights and responsibility, technology, and the environment.

Teens from each of the 38 state champion teams represented at nationals competed as individuals, and the top five scorers received $500 scholarships from NCL. This year’s winners were:

  • Environment: Jack Caljouw, MA
  • Personal Finance: Steven Cotter, FL
  • Health and Safety: Isaac Mades, WI
  • Consumer Rights and Responsibilities: Gates Palissery, PA
  • Technology: Ryan Jerue, RI

“NCL’s LifeSmarts program is allowing us to rear a generation of consumer-savvy teenagers who often outsmart their parents on issues related to avoiding fraud, credit and debt, and complicated health care decisions,” said NCL Executive Director Sally Greenberg. In the 19 years that LifeSmarts has been educating high school and middle school teens on consumer issues, it has grown dramatically, with more than 3 million consumer questions at www.lifesmarts.org in the online competition during the 2012-2013 academic year.

For team photos, event schedules, grid standings, and more, log on to www.facebook.com/LifeSmarts

All winners at the national LifeSmarts Competition received valuable prizes donated by sponsors to the National Consumers League, including scholarships, savings bonds, gift cards, and more. To learn more about the program, contact NCL’s Lisa Hertzberg at 202-835-3323. For a complete listing of this year’s prizes, visit www.lifesmarts.org.

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About LifeSmarts and the National Consumers League

LifeSmarts is a program of the National Consumers League. State coordinators run the programs on a volunteer basis. For more information, visit: www.lifesmarts.org, email lifesmarts@nclnet.org , or call the National Consumers League’s communications department at 202-835-3323. 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.

Final four LifeSmarts teams determined in Atlanta: TN, RI, PA, FL to face off for the title 4/23 – National Consumers League

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April 22, 2013

Contact: Carol McKay, (724) 799-5392, carolm@nclnet.org

Atlanta, GA — Just in time for April’s Financial Literacy Month, the National Consumers League (NCL) has announced the four semifinalist champion teams that have reached the final playoffs in the 2013 National LifeSmarts Championship, taking place in Atlanta, GA, at the Hyatt Regency Atlanta. LifeSmarts (www.lifesmarts.org) is NCL’s 19-year-old program that educates teens and tweens on real-world financial and consumer literacy issues. Former Representative George “Buddy” Darden will help the National Consumers League crown the 2013 national champion team on Tuesday, April 23 at 12 noon EDT.

LifeSmarts is a competitive educational program, in which teams of students begin competing online. Top-scorers progress to state competitions, and state champion teams meet each April to compete in the National LifeSmarts Championship. For a complete list of state champions, visit www.lifesmarts.org.

The final four teams are:

  • Pennsylvania’s Dallas High School in Dallas
  • Tennessee’s Coffee County 4-H
  • Rhode Island’s Barrington High School from Barrington
  • Florida’s Paxon School for Advanced Studies from Jacksonville

The 2013 National LifeSmarts Champion and other winning teams will walk away with prizes and scholarships. In addition to placing as a team, individual students have the opportunity to compete for scholarships for demonstrating knowledge in specific program topic areas. The top eight placing teams and top five individuals are recognized. NCL thanks the sponsors who make our program possible, including Visa, Western Union, American Century, Investments Foundation, Google, CBM Credit Education Foundation, Inc., UL, McNeil Consumer Healthcare, Bridgestone Retail Operations, Experian, Toyota Financial Services, and American Express.

Consumer-savvy teens representing 38 states competed at this year’s national event. Throughout the 2012-2013 program year, more than 15,000 teens competed online for a chance to represent their states at the 2013 National LifeSmarts Championship. Players answered more than 3 million consumer questions in the online competition.

MEDIA AVAILABILITY

The LifeSmarts program will be honored by an appearance by George “Buddy” Darden, who will address the state champions at the Awards Luncheon, Tuesday, 4/23 at 12 noon. Consumer advocate and NCL Executive Director Sally Greenberg will also be available for media interviews.

When: April 23, 2013

Where: Hyatt Regency Atlanta

Final match: Tuesday, April 23, 10:45 a.m. EDT

Awards Ceremony: 12 p.m. – 1:30 p.m. EDT

Follow the competition online

Parents and teachers can follow the action at facebook.com/lifesmarts.

The semi-final and final competition matches will be streamed live atwww.lifesmarts.org:

Tuesday, April 23, 2012

Semi-finals: 9 am EDT Pennsylvania
 vs. Rhode Island and Florida vs. Tennessee

Finals: 10:45 am EDT

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About the National Consumers League and LifeSmarts

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.

LifeSmarts is a program of the National Consumers League. State coordinators run the programs on a volunteer basis. For more information, visit: www.lifesmarts.org, email lifesmarts@nclnet.org or call the National Consumers League’s communications department at 202-835-3323.

Greenberg: Consumers need an FCC Chair on their side – National Consumers League

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April 18, 2013

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

Washington, DC—As the Obama Administration considers whom to nominate as the next chair of the Federal Communications Commission, NCL is urging the White House to nominate a chair with deep experience in public interest advocacy.

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

“Any consumer who has opened their mobile phone or cable bill in recent years understands the importance of having an FCC chair that is on their side. While the Obama Administration will undoubtedly consider a number of worthy candidates, we believe that the next FCC chair should have significant experience in public interest advocacy.”

“Washington is filled with lobbyists who have deep backgrounds in telecommunications and technology policy. They play an important role in helping the Commission address the often complex issues that it faces on a daily basis. That said, the FCC’s mission is to defend the public interest, not corporate bottom lines. Having someone at the top of the agency’s leadership who comes out of the public interest community will ensure that the FCC’s decisions reflect that critical responsibility.”

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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.

NCL concerned over proposed poultry reform – National Consumers League

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April 9, 2013

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, today expressed disappointment with the Obama Administration’s apparent plans to move forward with the implementation of poultry slaughter reform.

“Consumer and worker advocates have been working tirelessly to halt the implementation of this program,” said Executive Director Sally Greenberg.  “The changes USDA has proposed would put both workers and consumers at risk.”

In January of 2012, USDA proposed changes to poultry slaughter. While historically, inspection duties have been carried out by government inspectors, the new model would transfer some of these responsibilities to plant employees; these are workers who may be vulnerable to employer intimidation and lack the level of training government inspectors possess.  In addition, plants adopting the new model would be allowed to increase the speed of inspection to 175 birds per minute, a rate of one bird every third of a second.  The proposal has been sitting at USDA for several months after vocal opposition from both advocates and members of Congress, but the President’s new budget–released yesterday–includes projected savings from the implementation of this program.

“We are disappointed that the Administration has chosen to move forward with this irresponsible proposal which would endanger public health, especially after such vocal opposition from labor, consumers, and many others,” said Greenberg, “NCL has serious questions about the safety of workers and the food they produce under this scheme, none of which have been adequately answered. While judicious spending is essential, creating savings by sacrificing worker and food safety is not the answer. ”

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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.

NCL calls on the FDA to investigate misleading labeling on Martin’s ‘100% Whole Wheat Potato Bread’ – National Consumers League

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April 9, 2013

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

Washington, DC—The National Consumers League (NCL) today sent a letter to Dr. Margaret Hamburg, Commissioner of the Food and Drug Administration (FDA), requesting that the agency review the misleading product name on Martin’s “100% Whole Wheat Potato Bread,” manufactured by Martin’s Famous Pastry Shoppe, Inc.

“This product name is confusing and misleading to consumers, not to mention an oxymoron,” said NCL Executive Director Sally Greenberg. “Martin’s 100% Whole Wheat Potato Bread’ contains potato flour in addition to whole wheat flour and, therefore, should not be called 100 percent whole wheat. Whole wheat bread must be prepared in accordance with ingredient requirements set forth in FDA regulations And those regulations require that the only flour that can be used is whole wheat flour.”

Greenberg further stated that “while it is laudable that the primary ingredient in Martin’s ‘100% Whole Wheat Potato Bread’ is whole wheat flour, the 100 percent whole wheat designation is certainly misleading.” She urged the FDA to require the product label to state “potato bread made with whole wheat” whenever the name of the bread appears on the product label.

Government agencies and scientific communities have been widely promoting the consumption of whole grains, and manufacturers have responded by marketing a large variety of products with labels highlighting the presence of whole grains. FDA became so concerned about the proliferation of claims that may be misleading to consumers, that in 2011 it sought permission to conduct a study about consumer perceptions of whole grain claims.

“The wide array of whole wheat claims in the bread aisle is overwhelming to consumers trying to decide which breads are the healthiest,” said Greenberg. “All products making whole wheat or whole grain claims should be required to specify clearly and accurately the percentage of whole grains. We call on FDA to ensure that Martin’s no longer represents its product as ‘100% whole wheat.’”

Read the full letter 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.

Consumer group applauds Perez appointment to DOL – National Consumers League

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March 18, 2013

Contact: Carol McKay, NCL Communications, carolm@nclnet.org, (412) 945-3242

Washington, DC—The National Consumers League, America’s pioneering consumer organization, applauds President Obama’s nomination of Tom Perez to serve as Labor Secretary. Perez is a longtime champion of civil rights and spent his career advocating for working families. Perez currently serves as head of the Civil Rights Division at the Department of Justice but had previously served as labor secretary for the state of Maryland. Perez is an advocate of immigration reform, as well, sitting on the board of Casa de Maryland, a group that provides day labor centers. Perez is himself the son of Dominican immigrants. NCL’s Board of Directors recently adopted policy in support of immigration reform because immigrants are so often exploited both as consumers and workers.

The position of Secretary of Labor is critically important in overseeing the health and safety of workers through OSHA, protections provided by the Department’s the Wage and Hour Division, and ensuring there are sufficient inspectors to uncover violations of laws and regulations on child labor. The Secretary of Labor also uses the bully pulpit to highlight rights and protections afforded to workers, and encourages cooperation and collaboration between unions and management. NCL has recognized the important work of Secretaries of labor by given the organization’s Trumpeter Award to several former secretaries, including Robert Reich and Hilda Solis.

“NCL welcomes the nomination of Tom Perez, a champion of working people, to the position of Secretary of Labor and we look forward to working with him on a host of issues, including preventing exploitation of all children and teens who work, and especially farmworker children, and protecting particularly low income workers from wage theft abuses,” said NCL Executive Director Sally Greenberg.

“The Senate should move quickly to confirm this qualified nominee. We look forward to working with Perez to further build and protect the rights that are so integral to maintaining a vibrant American workforce,” 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 www.nclnet.org.

Payroll fraud costing workers, government – National Consumers League

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March 13, 2013

Contact: Carol McKay, NCL Communications (724) 799-5392, carolm@nclnet.org

Washington, DC–When an employer misclassifies an employee as an independent contractor, everyone suffers, from workers to taxpayers. By skirting their responsibility to pay taxes, employers pass a heavy tax burden onto workers. Additionally, workers lose crucial employment protections such as minimum wage, paid overtime, workers compensation, and unemployment insurance.

Today, the National Consumers League hosted a Senate briefing on Capitol Hill, featuring a panel of worker advocates, state agency staff, and industry experts to unveil new survey findings about consumers’ awareness of payroll fraud. The survey, conducted by ORC International and commissioned by the National Consumers League, found that most consumers are unaware of the existence of employee misclassification, but are near-unanimously opposed to the negative consequences misclassification creates for workers and tax payers.

“Honest businesses, employees, communities, states, and the federal government are all affected by payroll fraud, which is on the rise in states all across the country,” said Sally Greenberg, Executive Director of the National Consumers League (NCL), America’s pioneering consumer and worker advocacy organization.

A 2009 report by the United States Government Accountability Office (GAO) estimated that payroll fraud decreased federal revenues by $2.72 billion in 2006. Certain industries including construction, real estate, home care, trucking, and janitorial services have disproportionally high rates of misclassification. These rates continue to rise according to numerous state studies. In California, for example, the number of unreported employees identified by the Economic Development Department increased by a third between 2006 and 2008. More recent studies are needed to understand the full effect of payroll fraud on federal revenues.

“Many consumers do not know how serious and widespread cases of misclassification are in the workplace. Once we educate people about this issue, however, nearly everyone agrees that employers are benefitting at the expense of hard working Americans. People lose valuable worker protections such as paid overtime and worker’s compensation, leaving them vulnerable and without any job security,” said Michell McIntyre, Project Director for NCL’s Special Project on Wage Theft.

Survey Highlights

Awareness of “employee misclassification” is low, described to respondents as “a form of payroll fraud in which an employer intentionally classifies workers as ‘independent contractors’ instead of ‘employees’ in order to deprive workers of their workplace protections and defraud state and federal treasuries out of income taxes”.

Two in three Americans (65%) have not heard of employee misclassification.

  • Awareness of this term is substantially lower among females, 71% of whom have not heard of it versus 59% of males.
  • Lack of awareness decreases with education:  72% of those with a high school education or less have never heard of the term, compared to 63% of respondents with some college education and 55% of college graduates.

Once familiarized with the concept of “employee misclassification,” respondents expressed strong views against it, including support for punishment of the companies that engage in this practice.

  • Nine in ten consumers (90%) “strongly agree” or “agree” that it is important that companies do not misclassify workers as independent contractors in order to prevent workers from receiving minimum wage and paid overtime.
  • Agreement is higher among women, with 93% agreeing with the statement versus 87% of men.

According to 93% of Americans who express agreement, companies that intentionally misclassify workers as independent contractors in order to dodge paying minimum wage, overtime, workers compensation and taxes should be fined or punished.

  • Once again, females are more inclined to say they “strongly agree” or “agree” with fines or punishment (95% vs. 90% males).

Nearly all consumers (96%) are in agreement that workers should be clearly informed in writing that they have been classified as independent contractors at the beginning of employment.

  • Agreement is universally high among all demographic subgroups.

See NCL’s full survey and results.

Methodology

These results are based on 1,024 telephone interviews among a random sample of US adults 18 years old and older. Interviews were conducted over the period December 13-16, 2012, utilizing both landline and cell telephones. Results among total sample have an error margin of +/- 3%. Interviewing was conducted on behalf of National Consumers League using ORC International’s CARAVAN® survey.

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.