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Union representation in the construction industry slipped to 13.7 percent (850,000 workers) in 2012, a decline from 14.9 percent (928,000 workers) in 2011 and equal to the percentage in 2010, the Bureau of Labor Statistics (BLS) reports.  Union membership in the industry dropped from 14 percent (874,000 workers) in 2011 to 13.2 percent (820,000 workers) in 2012.  Total employment in construction fell from 6.244 million workers to 6.205 million.

Things are looking up, according to Rocco Davis of the Laborers’ International Union of North America (“LiUNA”) in a March 6 address during 51���� of America’s Annual Convention in Palm Springs, CA.  Davis, who serves LiUNA as Vice President, Special Assistant to the General President, and Pacific Southwest Regional Manager, expressed optimism about the industry and about labor relations.

This week, the Obama administration stated it would petition the Supreme Court to review the recent U.S. Court of Appeals for the D.C. Circuit decision, Noel Canning v. NLRB, a key case (of several separate cases) challenging the validity of three “recess appointments” President Obama made to the National Labor Relations Board in January 2012.   The D.C. court ruled that the appointments were “constitutionally invalid” because the Senate was actually not in recess when the appointments were made.  Accordingly, the five-member Board lacked a quorum when it decided the underlying legal issues affecting employer Noel Canning.   

On March 5, the U.S. House Education and Workforce’s Subcommittee on Heath, Employment, Labor and Pensions held a hearing titled, “Challenges Facing Multi-employer Pension Plans: Reviewing the Latest Findings by PBGC and GAO.”  Harold Force, president of Force Construction Co. in Columbus, Ind., testified on behalf of 51���� of America and was the sole employer witness.  The Hearing focused on recent reports from the Pension Benefit Guaranty Corporation (PBGC) and preliminary findings of a General Accountability Office (GAO) report on the status of multi-employer pension plans. Mr. Force gave an employer perspective of plans with funding deficiencies and on the need to reform the system before it is too late.

On March 8, the U.S. Citizenship and Immigration Services (USCIS) published a revised Form I-9, the Employment Eligibility Verification form. The new form, which expires on March 31, 2016, is available for immediate use by employers; however, employers who need time to make changes to their current business processes to incorporate the use of the new form may continue to use other previously accepted versions of the form until May 7, 2013. After May 7, all employers must use the revised Form I-9 for each new employee hired in the United States.

Today, the U.S. House Education and the Workforce Subcommittee on Workforce Protections held a hearing on "Examining the Role of Lower-Skilled Guest Worker Programs in Today's Economy". The hearing is the latest in a series by the House to review different components of immigration reform. Today’s hearing highlighted the current visa programs and the necessary components for a new, more successful program in future legislation. Due to the unique nature of the construction industry, 51���� has been working with other construction groups to ensure the discussion regarding a future lower-skilled visa program would work for the industry.

On Feb. 27, the Internal Revenue Service (IRS) announced the expansion of its Voluntary Classification Settlement Program (VCSP), which allows eligible employers the opportunity to participate in a low-cost option for correcting the status of misclassified workers from independent contractors to employees for future tax years.  The program requires a payment of just over one percent of the wages paid to the reclassified worker for the past year with no interest, penalties, or risk of a future audit related to the workers in question for any prior years.  While this option may seem enticing to employers, it does not come without risks.  The program offers employers a safe harbor from further penalties by the IRS, but it does not provide a safe harbor from investigation or penalties by other government agencies.  Details regarding the program’s modifications can be found on the IRS website.

On Feb. 26, the U.S. Department of Labor’s Office of Federal Contract Compliance Programs (OFCCP) announced that effective Feb. 28, 2013, there are significant changes in how the OFCCP addresses compensation in compliance audits and enforcement proceedings.  These changes effectively open virtually every federal contractor’s actions, policies and practices that affect compensation to scrutiny, review and possible challenge by OFCCP.

On Feb. 6, the U.S. Department of Labor’s Wage and Hour Division (WHD) celebrated the 20th anniversary of the Family and Medical Leave Act (FMLA) by issuing new regulations along with an updated poster and forms.  The regulations cover leave related to members or veterans of the military as well as the disclosure of genetic information obtained by employers for FMLA purposes.  FMLA covered employers are required to begin using the new forms and poster no later than March 8, 2013.  The poster must be displayed in a conspicuous location where employees and applicants can see it, including locations where there are no employees eligible for FMLA.  

The chief executive officer of the Associated General Contractors of America, Stephen E. Sandherr, issued the following statement in response to the release of the National Coordinating Committee for Multiemployer Plans Retirement Security Review Commission’s proposed plan for preserving, remediating and innovating multiemployer retirement plans: “The Commission’s plan represents a pragmatic, reasonable and – most importantly for taxpayers – self-sufficient approach to preserving and protecting nearly half a trillion dollars worth of multiemployer retirement plans."