A bill in the Connecticut House of Representatives would allow the state to effectively nullify worker-employer agreements designed to prevent lawsuits and let state officials bestow some monetary awards on unions.
The legislation, sponsored by State Representative Michael Winkler (D-Vernon), would evade what it refers to as “forced arbitration agreements” and “allow employees to sue employers on behalf of the state after having waived their personal rights to sue.”
Winkler’s proposal received a hearing last week before the Joint Committee on Labor and Public Employees where it awaits a vote by members. Along with labor organizations, the Connecticut Trial Lawyers Association (CTLA) is a major backer of the bill.
“This bill would permit whistleblowers to enforce fines for violations of labor and discrimination laws,” the CTLA wrote to the committee. “Currently, our state department and Labor and Human Rights Commission have very few resources to investigate and enforce labor and discrimination laws. This permits unscrupulous employers to ignore wage, health, safety, family leave and discrimination laws with relative impunity. There is little incentive for employers to comply with the law because there is virtually no risk of enforcement.”
Opponents of the proposal have called it a prospective “gravy train” for labor unions. This owes to a provision stipulating that 25 percent of any financial judgement against an employer would be paid into a “community outreach and workplace account” for “outreach, education and technical assistance pertaining to employee rights in the workplace.”
The bill explicitly names labor organizations as possible recipients of these payments. Meanwhile, whistleblowers against alleged corporate malfeasance would merely get a fifth of the monetary awards.
In a policy brief on Friday, Meghan Portfolio of the center-right Yankee Institute opposed the measure, worrying it is too likely to spur unwarranted litigation by pro-union forces.
“This approach would give unions a financial incentive to file as many claims as possible against businesses for violations of labor and discrimination laws, and doesn’t appear to carry a penalty for initiating frivolous or unsubstantiated actions,” she wrote.
Portfolio furthermore lamented that the legislation eschews competitive bidding, instead permitting the Connecticut Department of Labor to determine what organizations benefit financially from the proceeds of a legal judgement. She also condemned the bill for failing to require oversight to ensure that the accounts receiving funds meaningfully aid workers.
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Bradley Vasoli is managing editor of The Connecticut Star. Follow Brad on Twitter at @BVasoli. Email tips to [email protected].
Photo “Michael Winkler” by State Representative Michael Winkler and photo “Connecticut State Capital” by GPA Photo Archive CC BY 2.0.
