NCL letter to House opposing anti-Lifeline bill – National Consumers League

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June 21, 2016

The Honorable Paul D. Ryan
Speaker of the House
United States House of Representatives
H-232, The Capitol
Washington, D.C. 20515

The Honorable Nancy Pelosi
Democratic Leader
United States House of Representatives
H-204, The Capitol
Washington, D.C. 20515

 

RE: National Consumers League opposition to H.R. 5525, the “End Taxpayer Funded Cell Phones Act of 2016

Dear Speaker Ryan and Leader Pelosi:

On behalf of the National Consumers League,[1] I am writing today to share our concerns regarding H.R. 5525, the End Taxpayer Funded Cell Phones Act of 2016,” which is scheduled for a vote in the House of Representatives today. The bill, sponsored by Representative Austin Scott, would  undermine the ability of the Federal Communications Commission’s Lifeline low-income subsidy program to meet the needs of millions of low-income consumers to access affordable broadband service. We know that the Internet has dramatically enhanced our society, but has also widened the opportunity gap between those who have broadband and those who do not in key areas such as employment, education and healthcare access. At a time when the Lifeline program is undergoing significant modernization, now is not the time to arbitrarily constrain its budget and prevent it from supporting mobile voice and broadband service. We therefore urge you and your colleagues in the U.S. House of Representatives to oppose this bill.

Organizations from across the consumer, public interest and civil rights communities support the transition of Lifeline to supporting broadband. NCL agrees; we recognize that supporting access to the Internet for low-income consumers is critical to addressing the persistent wage, education and opportunity gaps that exist in our society. As we noted in our filing to the FCC, employers and government agencies are increasingly shifting their application processes for essential benefits programs online to an effort to efficiency. Lack of access to broadband makes it harder for low-income consumers and their families to stay in touch with job opportunities, family support networks and educational institutions.

Government at all levels has historically supported programs that help low-income consumers access to critical infrastructure like water, electricity and telephone service. Broadband Internet access should be no different. 

We urge you to oppose any effort to constrain the FCC’s goal of providing affordable broadband service to millions of low-income consumers. We welcome the opportunity to discuss this issue with you in more detail. Thank you for your time and consideration.

Respectfully, 

John Breyault
Vice President, Public Policy, Telecommunications and Fraud National Consumers League
Phone: (202) 207-2819
Email: johnb@nclnet.org

cc: Members of the U.S. House of Representatives

[1] The National Consumers League, founded in 1899, is the nation’s pioneering consumer organization.  Our non-profit 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 calls on CPSC for safer table saw standards – National Consumers League

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June 15, 2016

Contact: NCL Communications, Cindy Hoang, cindyh@nclnet.org, (202) 207-2832

Washington, DC—Today the nation’s pioneering consumer advocacy organization is calling on the Consumer Product Safety Commission (CPSC) for the implementation of a requirement that table saws sold in the United States be equipped with technology to prevent serious injuries. Citing CPSC’s own data that indicates Americans suffer 40,000 emergency room-treated table saw injuries every year—about 4,000 of which are amputations—the National Consumers League (NCL) reiterated concerns it first raised before the Commission more than five years ago.

“Tens of thousands of people suffer similar injuries every year working on table saws that are more dangerous than they need to be,” said Karin Bolte, NCL director of health policy, who spoke before the Commission today. “The CPSC has the power to put an end to these unnecessary tragedies. But it must move quickly because every day brings 10 more avoidable amputations.”

In 2003, a petition was filed with the CPSC asking the agency to enact a requirement that every table saw sold in the U.S. be equipped with “active injury mitigation” (AIM) technology that would prevent serious injuries and amputations by stopping the moving saw blade when it comes in contact with, or in close proximity to, human flesh. AIM technology has been proven to virtually eliminate serious injuries resulting from contact with a spinning table saw blade.

In 2010, after the CPSC had not moved forward on a table saw standard in seven years, NCL wrote a letter urging the Commission to take “speedy action” on table saw safety. NCL’s Greenberg also worked with table saw victims from across the country on a public education campaign highlighting the need for a table saw safety regulation. Following NCL’s campaign, in 2011, the Commission voted unanimously to begin the rulemaking process for a table saw safety standard.  

“Every year the CPSC fails to act is another year in which tens of thousands of avoidable injuries occur,” said Bolte. “NCL has a simple message today: CPSC must act with urgency to finally adopt a mandatory safety standard with Active Injury Mitigation technology and thereby put an end to the devastating injuries caused by table saws.”

Read the full testimony here (PDF).

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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 testimony to FDA on OTC monograph user fees – National Consumers League

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June 10, 2016

Contact: NCL Communications, Cindy Hoang, cindyh@nclnet.org, (202) 207-2832

Washington, DC–The National Consumers League (NCL) commends FDA for holding this public meeting to gather stakeholder feedback on proposed OTC Monograph User Fees. My name is Sally Greenberg, Executive Director of NCL. Founded in 1899, the National Consumers League has long been concerned with ensuring the safety of foods and drugs. Among NCL’s top priorities are ensuring the safety, effectiveness, and appropriate use of both prescription and over-the-counter (OTC) drugs, and medication adherence, which we’ve helped advance through our Script Your Future Campaign.

The FDA’s Federal Register notice states that in the OTC market, there are approximately 800 active ingredients for more than 1,400 different therapeutic uses. In addition, about $32 billion in OTC medicines were sold in the US last year, according to the Consumer Healthcare Products Association, up 4.5 percent from 2010. For the more than 240 million Americans who use OTC medicines every year, these drugs undoubtedly play a vital role in keeping consumers healthy and helping them to feel better when they’re sick.

However, it appears that with the burgeoning OTC marketplace, the FDA is seriously under-resourced, with only 18 full-time employees (FTEs) assigned to oversee the entire OTC market. This is the same number of FTEs it takes to review one novel prescription drug application. 

While the FDA has made determinations about the safety and efficacy of the active ingredients in thousands of products through the OTC monograph review process, there are still many pending monographs for which the ingredients have not been determined to be GRASE – generally recognized as safe and effective for their intended uses.

FDA estimates that at the current funding level, it would take decades to review and finalize the spectrum of OTC drug monographs that are currently in non-final status. The agency is asking for additional resources to finalize pending OTC monographs and address safety issues faster and more efficiently. Finalizing FDA review of these ingredients, as well as devoting additional resources to expeditiously modify labels for new safety concerns, would better serve the public. In addition, a user fee program could benefit both consumers and industry by allowing for more timely review of innovations and new ingredients, ultimately leading to the availability of new and improved OTC options. For these reasons, NCL agrees that it makes sense to create a pathway for the FDA to have additional resources to manage this growing number of OTC products.

With regard to the implementation of OTC user fees, NCL recognizes that the ingredient-based OTC monograph review process may not lend itself to user fee assessment. FDA should consider implementing set user fees such as product and establishment fees that would generate a steady, predictable source of funds for the agency.

That said, we do have a few concerns if the agency moves forward with this proposal. First, we would like to ensure that the FDA take care not to impose burdensome fees on newer or smaller innovative firms that may find it difficult to absorb the fees. Perhaps a tiered fee system should be contemplated for such companies. Secondly, we are mindful of the concerns expressed by some that because industry pays the user fees, industry thereby controls the agency’s agenda and process. We urge the FDA to make it abundantly clear that it will act independent of industry influence and always work to advance the public’s access to safe and effective OTC products.

As for performance goals as part of an OTC user fee program, NCL would like to see FDA commit to initiating a certain number of OTC monograph finalizations per year and recommend the publication of an annual report on progress in addressing the OTC monograph backlog, including highlighting the approval of new and innovative treatments.

We commend the FDA for soliciting the views of the many stakeholders who will be affected by this program and particularly appreciate giving consumer organizations the opportunity to share our views. We look forward to working with the FDA and with the OTC industry, as appropriate, to design a balanced and fair user fee program for OTC 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 www.nclnet.org.

National Consumers League statement on Myspace data breach – National Consumers League

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June 7, 2016

Contact: NCL Communications, Cindy Hoang, cindyh@nclnet.org, (202) 207-2832

Washington, DC—In the wake of a reportedly record-setting breach of 360 million accounts at Myspace, the National Consumers League is advising current and former users of the social networking site to change the passwords on sensitive accounts, particularly if they reused their Myspace account credentials across multiple websites. NCL is also advising Myspace users to remain vigilant for possible phishing attacks in the coming weeks.

The following statement is attributable to John Breyault, NCL vice president of public policy, telecommunications, and fraud:

“The Myspace data breach is possibly the largest password breach in history and comes directly on the heels of a large data breach at LinkedIn where 167 million account credentials were compromised. In the coming weeks, consumers should be on the lookout for phishing emails which are typically utilized by hackers in the aftermath of data breaches. These emails may bear the official Myspace logo, and will lure individuals  to fake websites to collect further personal data in the hopes of stealing their identity, or will direct users to click on virus laden links by posing as a breach notification email.”

“The recent slew of data breaches highlights the continued necessity for Congressional action to keep consumers’ data safe. NCL continues to urge Congress to pass long-stalled legislation that creates a floor of protections for consumers and require organizations to notify data breach victims as soon as a breach occurs so that consumers can take the necessary steps to protect their identity.” 

To safeguard their data, NCL recommends that consumers take steps to protect themselves including:

  1. Do not reuse passwords across different websites.  Reusing passwords allows hackers access to several accounts should one account be compromised by a data breach.
  2. If old accounts at websites like Myspace are no longer being used, it is advisable to delete them. To learn how to delete a Myspace account, click here.
  3. Opt-in to multi-factor authentication whenever possible. TwoFactorAuth.org is a good resource for finding out which services offer multi-factor authentication to their users.
  4. Use strong, tough to break passwords. Strong passwords are longer and utilize both uppercase and lowercase letters as well as numbers.

NCL’s flagship consumer fraud education website, Fraud.org, features a “Latest Breaches” section, a resource where consumers can find dependable information about particular breaches, including links to official information from the breached entities and tips to protect sensitive data after a breach. Check it out 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.

Rising drug costs attract seniors to illegal online pharmacies: ASOP Global, CSIP, and NCL join forces to keep older Americans safe – National Consumers League

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June 6, 2016

Contact: ECI Communications, Caren Kagan Evans, caren_kaganevans@ecicommunications.com, 301-998-6114, 301-467-6337 (cell), or ECI Communications, Rachel Evans, rachel.evans@ecicommunications.com, 301-998-6114, 301-467-6167 (cell), or NCL Communications, Cindy Hoang, cindyh@nclnet.org, (202) 207-2832

Washington, DC—With an estimated 49.5% growth of the U.S. senior population by 2030 and out-of-pocket prescription drug costs for Medicare beneficiaries skyrocketing*, the Alliance for Safe Online Pharmacies (ASOP Global), Center for Safe Internet Pharmacies (CSIP) and National Consumers League (NCL) are joining forces to educate seniors and their caregivers about the health and financial risks associated with buying prescription medicines from illegal or rogue online pharmacies.

“10,000 people turn 65 years of age every day in the U.S.,” explained ASOP Global Executive Director Libby Baney. “Escalating costs for hundreds of drugs prescribed to treat chronic conditions not necessarily covered fully by Medicare make it more likely that seniors, who often are living on fixed incomes, will turn to the Internet to look for less expensive options. For twelve specialty drugs used to treat cancer, rheumatoid arthritis, multiple sclerosis and Hepatitis C, Medicare Part D enrollees face at least $4,000 and as much as nearly $12,000 in annual out-of-pocket costs in 2016 for one drug alone,” she added.

A recent review of more than 11,000 websites selling prescription medications online to U.S. consumers found approximately 96% do not comply with U.S. laws and 50% of medicines sold online are fake or counterfeit.  They contain little or no active ingredients and/or dangerous and often deadly poisons, including floor wax, mercury, concrete, chalk, boric acid, road tar, paint or anti-freeze. Interpol estimates that counterfeit medicines are responsible for up to one million deaths annually worldwide.

“Our research shows that lower prices and convenience of shopping online are the two biggest factors driving consumers to the Internet, making older Americans easy targets for illegal online drug sellers offering ‘too good to be true’ discounts for fake or unapproved versions of the lifesaving medicines they depend on,” said Marjorie Clifton, executive director of the Center for Safe Internet Pharmacies. “The criminal networks who develop fake websites have become very savvy in creating sites that are difficult to detect by even the most sophisticated consumers and law enforcement. This is why it is imperative that consumers are informed and our organizations are working together to do everything they can to shut down illegitimate sites.”

The majority of older Americans own a computer, smartphone or tablet and almost 60% of older Americans use the Internet on a regular basis.  Financial scams aimed at seniors, including counterfeit medicines sold online, are so prevalent that they are now considered “the crime of the 21st century” by the National Council on Aging.

“In addition to the health risks associated with buying prescription medicines online, the threat is further exacerbated by the fact that unknowing seniors provide these criminals with personal and credit card information, putting them at risk for fraud and identity theft,” said Sally Greenberg, executive director of the National Consumers League.

* In a 2016 AARP report, the average cost for a year’s supply of the 622 prescription medicines most widely used by people over the age of 65 doubled between 2007 and 2013 to more than $11,000 – almost half of the median income for Medicare beneficiaries. 

How to stay safe online

To stay safe seniors and their caregivers should avoid websites that: (1) do not require a valid prescription; (2) sell prescription medications simply by completing an online questionnaire; (3) offer drastically discounted prices; (4) do not have a licensed pharmacist available for consultation; (5) do not display a physical street address; (6) offer to ship prescriptions from other countries to the U.S.; and (7) are not verified by the National Association of State Boards of Pharmacy (NABP).

Consumers are encouraged to buy from sites ending in .pharmacy (e.g., “www.340B.pharmacy), which are verified by NABP.  In addition, online pharmacies that display the VIPPS (Verified Internet Pharmacy Practice Sites) Seal have successfully undergone NABP’s rigorous screening process.

For more information about illegal online pharmacies and counterfeit medicines, consumers should visit www.XtheRisk.com.  For help paying for prescriptions, seniors or caregivers should contact Needy Meds or the Partnership for Prescription Assistance.

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About the Alliance for Safe Online Pharmacies (ASOP Global)

Founded in 2009, the Alliance for Safe Online Pharmacies is an international 501(c)(4) social welfare organization dedicated to protecting patient safety globally and ensuring access to safe and legitimate online pharmacies in accordance with applicable laws.

About the Center for Safe Internet Pharmacies (CSIP)

The Center for Safe Internet Pharmacies (CSIP) is a non-profit organization founded in 2011 and represents the technology sector and Internet intermediaries.  CSIP’s mission is to promote best practices in the technology and commerce industries and educate consumers about safe shopping online.

About the National Consumers League (NCL)

The National Consumers League (NCL) has been representing consumers and workers on marketplace and workplace issues since 1899. One of NCL’s long-term projects is the Fraud Center (www.fraud.org), which was launched in 1992 to give consumers the information they need to avoid becoming victims of telemarketing and Internet fraud.

NCL issues warning to teens: Avoid these most dangerous summer jobs – National Consumers League

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June 3, 2016

Contact: NCL Communications, Cindy Hoang, cindyh@nclnet.org, (202) 207-2832

Washington, DC—As millions of American teenagers begin summer jobs this month, a national child labor watchdog group is issuing a warning to avoid this year’s most dangerous seasonal work. The National Consumers League (NCL), the country’s pioneering consumer and worker advocacy group, founded in 1899 to fight child labor, issued its annual report on the worst jobs for teens, with work in tobacco fields topping the list.

“Nearly 5,000 workers die on the job each year in the United States, an average of 13 workers a day. Tragically, some of those workers are teenagers,” said NCL Executive Director Sally Greenberg. “Summer jobs are a great American tradition, a wonderful learning and earning opportunity. But each teen worker death causes irreparable suffering and pain to the families, friends, and communities of these youth. Today we issue our annual warning to serve as a reminder to teens and parents that there are jobs that pose extreme risks to youth workers and should be avoided at all costs.”

Thousands of American children are hurt on the job each year, approximately one every 9 minutes, according to the Children’s Safety Network. In a typical year, 20-30 U.S. children will die on the job, although the statistics are generally trending in the right direction; 20 years ago, that number was 70+ per year. In 2012, 29 children died while working. In 2013, that number fell sharply to 14, according to the U.S. Department of Labor.

Unfortunately, progress isn’t always steady. The teen work death toll increased from 14 in 2013 to 21 in 2014—the latest year for which we have data. “We hope that the increase does not represent a trend,” said Greenberg.

The 2016 report names five job categories that present an above average risk of injury or fatality. It also provides practical advice for staying safe as well as tips for parents and employers to help make teen work safer.

NCL’s 2016 Five Most Dangerous Jobs for Teens 

  • Tobacco harvester
  • Agriculture: Harvesting crops and using machinery
  • Traveling youth sales crews
  • Construction and height work
  • Outside helper: Landscaping, grounds keeping and lawn service 

“Many teens lack the experience and sense of caution needed to protect themselves from dangerous conditions on the job,” said Reid Maki, director of child labor advocacy and report author. “In addition, they are often reluctant to challenge authority or  ask for safety information. Their judgment and ability to exercise caution is still developing. Parents should keep a close eye on the type of work their children perform and encourage kids to tell their employer, ‘I’m sorry, that seems dangerous.’”

NCL’s Five Most Dangerous Jobs for Teens encourages youth workers to say “no” when certain dangerous tasks are requested. NCL includes the following blacklist of jobs that involve any of the following tasks:

  • door-to-door sales, especially out of the youth’s neighborhood;
  • long-distance traveling away from parental supervision;
  • extensive driving or being driven;
  • driving forklifts, tractors, and other potentially dangerous vehicles;
  • the use of dangerous machinery;
  • the use of chemicals;
  • working in grain storage facilities; and
  • work on ladders or roofs or other work that involves heights where there is a risk of falling.

Recent on-the-job deaths of American teens

Over time, government agencies, NCL, and other youth advocates have tracked the categories of jobs that have proved most dangerous to teens, and NCL’s report is intended to make teens and their parents aware of those dangers. However, teens are injured and even killed working jobs that don’t fall into the most dangerous jobs categories.

  • Farmhand Heather Marie Barley, 17, of Buckley, Michigan, died suddenly while working on a hog farm in December 2015. Elevated levels of carbon monoxide and hydrogen cyanide were suspected to have come from a steam generator connected to a pressure washer.
  • On his first day on the job feeding tree limbs into a wood chipper, in December 2015, 19-year-old Mason Cox in Gastonia, North Carolina died instantly when his body was pulled into the chipper. His employer was so disturbed by the incident that he had a heart attack.
  • December 2015: 19-year-old Oscar Martin-Refugio was shot in the heart by robbers as he worked in a Bridgeport, Connecticut pizza shop. He died soon after.
  • Grant Thompson, 18, died from a snakebite while working in his parents’ pet shop in Austin, Texas in July 2015.
  • In October 2014, 18-year-old Jeremy McSpadden, Jr., of Spokane Valley, Washington was working as an actor at a Halloween haunted hayride when he died tragically after losing his footing and falling under the rear wheel of a bus.

To read the full report, click here (PDF).

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About the National Consumers League

The National Consumers League (NCL), 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. NCL chairs the Child Labor Coalition, which seeks to remove children from work that threatens their health or development. For more information, visit www.nclnet.org or www.stopchildlabor.org.

Consumer groups oppose H.R, 5230, demand real protection from pyramid schemes – National Consumers League

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June 2, 2016

Contact: NCL Communications, Cindy Hoang, cindyh@nclnet.org, (202) 207-2832

Washington, DC—The National Consumers League, and four national consumer groups, today called on members of the U.S. House of Representatives to oppose H.R. 5230, the Anti-Pyramid Promotional Scheme Act of 2016. The bill, which is currently pending before the House Energy and Commerce Committee, purports to strengthen consumer protections from fraudulent pyramid schemes. In reality, it would rob the Federal Trade Commission (FTC) of its ability to protect Americans from all but the most egregious forms of pyramid schemes.

The FTC has consistently stated that a critical difference between a legitimate multi-level marketing (MLM) business and a pyramid scheme is that an MLM succeeds primarily by retailing products and services. In contrast, an illegal pyramid scheme incentivizes recruitment over retail sales and induces participants to focus on recruiting distributors who typically must pay to join the business opportunity. This characterization has been developed and embraced by over 40 years of case law. Unfortunately, H.R. 5230 would remove this core tenet and instead provide numerous carve outs and exemptions for pyramid schemes masquerading as MLMs.

“Despite its positive name, H.R. 5230 undercuts the FTC’s ability to protect consumers from pyramid schemes disguised as legitimate direct sellers,” said John Breyault, NCL Vice President of Public Policy, Telecommunications and Fraud. “Consumers should not be put at risk by legislation designed to give a pass to all but the most blatant pyramid schemes.” 

The groups cited numerous ways that the bill would weaken current prohibitions on pyramid scheme activity, including: 

  • Relieving MLMs of the need to have actual customers outside the distributor network. This would allow MLM operators to simply sell distributors on the idea of joining an endless chain, instead of operating their own retail business.
  • Allowing an MLM parent company to profit off a churning base of recruits who, in an effort to qualify for rewards, are urged repeatedly to purchase directly from the parent company.
  • Eliminating anti-pyramiding safeguards that were put in place after the FTC’s landmark 1979 Amway decision. Those important consumer protections require companies that want to be regarded as legitimate MLMs ensure that sales by distributors are made primarily to customers outside of the distribution network.
  • Giving MLMs permission to engage in purchase and recruiting behaviors the courts have already identified as endemic to illegal pyramid schemes.

Signatories of the letter included Consumer Action, Consumer Federation of America, Consumer Watchdog, the National Consumers League and U.S. PIRG.

To read the full letter, 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.

NCL calls on FCC to require strong data security rules for Internet service providers – National Consumers League

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May 27, 2016

Contact: NCL Communications, Cindy Hoang, cindyh@nclnet.org, (202) 207-2832

Washington, DC—The National Consumers League (NCL), the nation’s pioneering consumer and worker advocacy organization, has submitted comments to the Federal Communications Commission (FCC) in response to the FCC’s broadband privacy notice of proposed rulemaking.

Should an internet service provider (ISP) data breach occur, the personal information of millions of consumers including their browsing history, could fall into the hands of hackers and identity thieves. Because of this risk, NCL has called for ISPs, and the third parties that they share their data with, to be subject to robust data security rules including:

  • Mandating that broadband internet access services (BIAS) providers implement high, minimum baseline data security measures such as multi-factor authentication;

  • Limiting the collection of consumers’ personal data, such as their browsing history; and

  • Mandatory breach notification to consumers should their data be compromised.

ISPs are in a unique position in the Internet ecosystem. Due to the large amounts of consumer data that flows across their networks, there is a heightened risk to consumers should those networks be compromised in a data breach. NCL has long advocated for a comprehensive data security and breach notification law that covers all entities that collect, store and use consumers’ data. The FCC’s proposed rules are an important first step in that direction, requiring a key player in the Internet ecosystem to abide by strong data security and privacy rules.

“Given the sensitive nature of the data ISPs have access to and the growing number of data breaches affecting consumers, it is imperative that ISPs be required to do all they can to protect the privacy and security of their customers’ data,” stated John Breyault, NCL Vice President of Public Policy, Telecommunications and Fraud. “We commend the FCC for taking action to require that ISPs abide by strong and comprehensive data security and breach notifications rules.”

To read NCL’s full comments, 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.

National Consumers League statement on end of Verizon strike – National Consumers League

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May 28, 2016

Contact: Cindy Hoang, National Consumers League, cindyh@nclnet.org, (202) 207-2832 

Washington, DC–The National Consumers League today applauded the news that the 45-day work stoppage at Verizon has reached a successful conclusion. The following statement  is attributable to Sally Greenberg, executive director of NCL:

“The agreement in principle to resolve the concerns of striking workers from CWA and IBEW is an example of how business and labor can come together for mutual benefit.  Giving workers a seat at the table is in the best tradition of American commerce. Good jobs with good wages and benefits help working families do well, which benefits the overall economy. We applaud, in particular, the assistance of a talented and determined Secretary of Labor in helping the parties reach this important agreement.”

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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’s Breyault testifies in support of legislation to reform the rigged live event ticket industry – National Consumers League

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May 24, 2016

Contact: Cindy Hoang, National Consumers League, cindyh@nclnet.org, (202) 207-2832 

Washington, DC – The National Consumers League (NCL), the nation’s pioneering consumer and worker advocacy organization, today testified before the House Subcommittee on Commerce, Manufacturing and Trade in support of legislation to reform a live event ticketing marketplace that is rigged against fans.

Currently, less than half of available tickets go up for sale to the general public for a typical event. For example, less than 300,000 of Adele’s 750,000 available tickets from her 2016 North American Tour were made available to the general public. The majority of tickets are diverted to fanclubs, premium credit card holders, and the stars themselves, who often scalp their own tickets on the secondary market. Of the minority of tickets that ever make it to general sale, Ticketmaster has stated that 60 percent of those tickets may be purchased by sophisticated computer programs called “bots” that can electronically jump the line to buy hundreds or thousands of tickets in a matter of seconds. Those tickets are then resold through brokers at greatly inflated prices.

“The modern ticket-buying experience is too often an exercise in frustration for fans who want only to see their favorite artists or sports teams at a fair price,” said John Breyault, NCL’s vice president of public policy, telecommunications and fraud, who spoke at the hearing. “Due to a backdoor system of private sales, secret ticket diversions, rampant use of ticket-buying ‘bots’ and unscrupulous broker practices, the average music and sports fan falls victim to a rigged system. To address the broken ticket marketplace, Congressional action is sorely needed.”

NCL spoke in support of H.R. 5245, the Better Oversight of Secondary Sales and Accountability in Concert Ticketing Act of 2016 (“BOSS ACT”), introduced by Congressman Bill Pascrell (D-NJ). The BOSS ACT offers comprehensive solutions that will significantly improve fan ticket buying experiences. By requiring greater transparency in the primary ticketing market, prohibiting egregious broker practices like undisclosed speculative ticketing, and limiting the ability of connected insiders to divert tickets to the secondary market, the BOSS ACT would lead to critical structural reforms in the ticketing marketplace.

To access Breyault’s full testimony, 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.