DIRS.INFO The most relevant business & tech news

Court Orders Subway Franchise Owners to Pay Workers Nearly $1M - and to Sell or Close Their StoresA federal court ordered the owners of 14 Subway locations north of San Francisco to pay employees nearly $1 million in damages and back pay — and also to sell or shut their businesses, with any sale proceeds going to the Labor Department

Organizations: Pay Workers, Labor Locations: San Francisco

REUTERS/Arnd Wiegmann//File Photo Acquire Licensing RightsSept 28 (Reuters) - A New York state judge on Thursday rejected a bid by Uber Technologies Inc (UBER.N), DoorDash Inc and Grubhub Inc to block New York City's novel law setting a minimum wage for app-based delivery workers. The law will require companies to pay delivery workers $17.96 an hour, which will rise to nearly $20 in April 2025. App-based delivery workers are usually treated as independent contractors rather than company employees, so general minimum wage laws do not apply to them. They say city officials based the minimum wage law based on flawed studies and statistics. The companies allege the city's surveys of delivery workers were biased and designed to elicit responses that would justify a minimum wage.

Persons: Arnd, Nicholas Moyne, Moyne, Uber, Daniel Wiessner, Chris Reese, Aurora Ellis Organizations: REUTERS, Uber Technologies, DoorDash Inc, Grubhub Inc, New York, Companies, New York City Department of Consumer and Worker, Thomson Locations: Davos, Switzerland, York, Moyne, United States, Albany , New York

☆ US Treasury: homes must be 'zero energy ready' to get full tax credit
▼ + stars: | 2023-09-28 | by ( ) www.reuters.com time to read: +2 min

A bronze seal for the Department of the Treasury is shown at the U.S. Treasury building in Washington, U.S., January 20, 2023. The "45L" tax credit for energy efficient homes acquired from 2023 through 2032 ranges from $500 to $5,000 per dwelling, with the homes meeting lesser Energy Star efficient appliance standards qualifying for the low end, and those meeting Department of Energy Zero Energy Ready Home requirements qualifying for the maximum. To meet the Zero Energy Ready Home requirements, the dwellings must meet certain requirements for insulation, duct work, appliances and other features that make it "so energy efficient that a renewable energy system could offset most or all the home's annual energy use," according to the Department of Energy. The homes must be certified by third parties to verify that they meet the requirements, the Treasury said. For homes acquired before 2023, the credit amount is $1,000 or $2,000 depending on the standards met.

Persons: Kevin Lamarque, David Lawder, Marguerita Choy Organizations: Department of, U.S . Treasury, REUTERS, Rights, U.S, Treasury, Internal Revenue Services, Energy, of Energy, Zero, Department of Energy, Thomson Locations: Washington , U.S

Tipton, an appointee of Republican former President Donald Trump, blocked the Biden administration from enforcing the $15 minimum wage in Texas, Louisiana and Mississippi, states that last year filed a lawsuit challenging the executive order. The minimum wage under federal law is $7.25 an hour, though many states set higher minimums. Four states and several cities have a minimum wage of at least $15. Only Congress can set minimum wages and adopt other employment policies unless it specifically grants those powers to federal agencies, Tipton wrote. In January, a federal judge in Arizona dismissed a similar challenge to Biden's executive order by five other Republican-led states.

Persons: Joe Biden, Evelyn Hockstein, Drew Tipton, Donald Trump, Biden, Tipton, Lynn Fitch, Daniel Wiessner, Will Dunham, Alexia Garamfalvi Organizations: Moffett Federal, REUTERS, District, Democratic, Republican, U.S, Supreme, Thomson Locations: Mountain View , California, U.S, Texas, Victoria, Tipton, Texas , Louisiana, Mississippi, Arizona, Albany , New York

☆ The UAW's strike strategy pits the Detroit 3 against each other — and leaves room for longer walkouts
▼ + stars: | 2023-09-22 | by ( Nora Naughton | ) www.businessinsider.com time to read: +5 min

Ford, GM, and Stellantis have expressed displeasure with the strategy. After Furman's messages leaked Thursday night, the Detroit car companies expressed their displeasure with the union's strategy. Ford and Stellantis called the messages "disappointing" and "disturbing," while GM said the message "calls into question who is actually in charge of UAW strategy." The idea was met with skepticism by many, who said that an all-out strike would quickly drain the UAW's strike resources. That leaves plenty in the union's $825 million strike fund as the work stoppage expands Friday.

Persons: Stellantis, Shawn Fain, Fain, Ford, Jonah Furman, didn't Organizations: UAW, Ford, GM, Service, United Auto Workers, Detroit, The Detroit News, Twitter, Detroit News, Deutsche Bank Locations: Wall, Silicon, Detroit, Michigan , Ohio, Missouri

☆ I.R.S. Freezes Pandemic-Era Tax Credit Amid Fraud Fears
▼ + stars: | 2023-09-14 | by ( Alan Rappeport | More About Alan Rappeport | ) www.nytimes.com time to read: +1 min

“We are deeply concerned that this program is not operating in the way it was intended,” Daniel Werfel, the I.R.S. “We believe you should see only a trickle of employee retention claims coming in. Among them was the Employee Retention Credit, a tax benefit that was created as part of the initial $2 trillion pandemic relief legislation. said on Thursday that it had already paid out about $230 billion in refunds associated with the tax credit and that it had a backlog of 600,000 claims. Mr. Werfel said that 15 percent of the 3.6 million claims for the credit that the I.R.S.

Persons: ” Daniel Werfel, “, Werfel Organizations: Congressional, Office Locations: Washington

Associated Press calculations show projected incentives will rise by more than $290 million from the $1.8 billion deal originally announced last year. The deal calls for Hyundai and battery maker LG Energy Solution to invest $7.6 billion in the Georgia plant and hire 8,500 workers by the end of 2031. It’s the largest economic development deal in Georgia history, and comes with the largest incentive package. If Hyundai didn't owe that much state corporate income tax, Georgia would instead give the company personal income taxes collected from Hyundai workers. The deal requires Hyundai to pay back a portion of the incentives if the company falls below 80% of promised investment or employment.

Persons: Pat Wilson, Wilson, Jobs, Jeff Amy Organizations: Hyundai Motor Group, South Korean, Associated Press, Hyundai, LG, Economic, Local, U.S Locations: SAVANNAH, Ga, Georgia, Ellabell, Savannah, Bryan County, U.S, United States, North America, Atlanta

☆ Australia government to introduce bill barring 'wage theft' on Monday
▼ + stars: | 2023-09-03 | by ( Kirsty Needham | ) www.reuters.com time to read: +1 min

SYDNEY, Sept 3 (Reuters) - Australia's Labor government will introduce legislation to close "loopholes" in workplace law, a move opposed by employer groups fearing higher costs, when parliament returns on Monday. Workplace Minister Tony Burke said on Sunday he would introduce the bill making it a criminal offence to deliberately underpay workers, with a maximum penalty of 10 years in jail and a maximum fine of A$7.8 million ($5.0 million). Penalties would not apply to employers who make honest mistakes, Burke said in a statement. Burke said in a speech last week that in addition to criminalising "wage theft", the bill would make it easier for casual workers to gain permanent roles, scrutinise the use of labour hire firms to undercut minimum pay rates, and introduce minimum standards for "gig economy" workers, including in food delivery and rideshare apps. ($1 = 1.5504 Australian dollars)Reporting by Kirsty Needham; Editing by William MallardOur Standards: The Thomson Reuters Trust Principles.

Persons: Tony Burke, Burke, Jennifer Westacott, Kirsty Needham, William Mallard Organizations: Australia's Labor, Australian Broadcasting Corporation, Business, of Australia, Sky News, Australian Chamber of Commerce, Industry, Thomson

Seoul, South Korea CNN —As South Korea struggles to get young people interested in marriage and kids, authorities are trying a new tack: importing foreign workers to carry some of the household burden. The plan will expand the number of industries and companies eligible to employ foreign workers, as South Korea faces an aging population, shrinking workforce and labor shortages in various sectors. South Korea has long struggled with chronic labor shortages in the manufacturing and agricultural sectors, Reuters reported. Some politicians have previously urged the government to import foreign workers to help alleviate the burdens on young couples and parents. Singapore’s migrant worker system is just as controversial for employing cheap foreign labor to sustain one of the world’s richest countries.

Persons: ”, They’ll, Seoul’s, –, Housekeepers, Indonesia – Organizations: South Korea CNN, Authorities, Reuters, Ministry, Employment, Labor, Hong Locations: Seoul, South Korea, South, Korea, Hong Kong, Singapore, birthrate, Korean, “, Philippines, Indonesia

☆ Union alleges GM, Stellantis not bargaining in good faith
▼ + stars: | 2023-08-31 | by ( Chris Isidore | ) edition.cnn.com time to read: +5 min

The complaint accuses the automakers of not bargaining in good faith by not providing any response to the union’s economic demands at the bargaining table. Both GM and Stellantis, which makes vehicles under the Jeep, Ram, Dodge and Chrysler brands, deny the union’s charge that they are not bargaining in good faith. “We have been hyper-focused on negotiating directly and in good faith with the UAW and are making progress. It said it would pay workers far more than employees at the nonunion US auto plants operated by Tesla and foreign automakers. There are 145,000 UAW members at the nation’s three unionized automakers.

Persons: Shawn Fain, ” Fain, Todd Vachon, there’s, ”, Vachon, “ It’s, “ Stellantis, Fain’s, Fain, ” Gerald Johnson, ” Johnson, “, Ford Organizations: New, New York CNN — United Auto Workers, General Motors, Motors, Stellantis, CNN, Facebook, YouTube, National Labor Relations Board, Rutgers University, “, Jeep, Dodge, Chrysler, UAW, Ford, Tesla, GM Locations: New York

☆ Take Five: Farewell to a bruising August
▼ + stars: | 2023-08-25 | by ( ) www.reuters.com time to read: +5 min

Traders work on the floor of the New York Stock Exchange (NYSE) in New York City, U.S., April 14, 2023. Other data such as consumer confidence, the state of manufacturing, and inflation, with the latest personal consumption expenditures index is also due. Line chart with data from Refinitiv Datstreamn shows U.S. unemployment rate and federal funds target rate from January 2021 to July 2023. Yet Thursday's flash euro area August inflation number, which follows releases from some member states, could be the decider. The world's most populous country is already concerned about the threat to production of several basic commodities, including rice and sugar.

Persons: Brendan McDermid, Lewis Krauskopf, Kevin Buckland, Nigel Hunt, Dhara, payrolls, Bundesbank, buybacks, Xi Jinping, Karin Strohecker, Sharon Singleton Organizations: New York Stock Exchange, REUTERS, Treasury, Federal Reserve, ECB, Reuters, Nino, Climate, Thomson Locations: New York City, U.S, China, Lewis, New York, Tokyo, Amsterdam, London, Jackson Hole , Wyoming, Indonesia, Thailand

☆ NY Fed finds record wage expectations in July consumer survey
▼ + stars: | 2023-08-21 | by ( Michael S. Derby | ) www.reuters.com time to read: +3 min

People walk by the Federal Reserve Bank of New York in the financial district of New York City, U.S., June 14, 2023. Meanwhile, respondents to the bank’s Survey of Consumer Expectations said that the lowest wage they’d accept to take a job also jumped, hitting a record $78,645, from $72,873 a year ago. The survey said that survey respondents said that in July the average wage offered for a full-time job was $69,475 versus $60,764 in July 2022. The jump in compensation, actual and expected, came even as poll respondents saw some softening around the edges of the job market. The New York Fed reports on labor market expectations quarterly as part of a data series best known for tracking the expected path of inflation and household financial situations.

Persons: Shannon Stapleton, they’re, there’s, they’d, “, Michael S, Chizu Organizations: Federal Reserve Bank of New, REUTERS, bank’s Survey, Consumer Expectations, New York Fed, Cleveland Fed, Thomson Locations: Federal Reserve Bank of New York, New York City, U.S, Jackson Hole , Wyoming

☆ Extreme heat is holding the economy back. Don't expect federal legislation to help any time soon.
▼ + stars: | 2023-08-04 | by ( Noah Sheidlower | ) www.businessinsider.com time to read: +8 min

There are no federal regulations protecting workers in extreme heat. Biden announced plans to protect workers last week with more enforcement of heat-safety violations. "I urge the administration to move quickly to create this national heat standard to protect workers on the job. Last year, business groups sued Oregon over extreme heat worker protection rules, arguing the state overstepped its statutory authority in requiring employers to pay workers during breaks. However, some experts believe that investments to protect workers, such as rearranging shifts or changing uniform colors, pay off since workers can be more productive in the longer run.

Persons: Biden, Marc Freedman, Algernon Austin, Joe Biden, Bernie Sanders, haven't, Austin Organizations: Service, United States Chamber of Commerce, New York Times, OSHA, Center for Economic, Policy Research, Research, Labor Department, National Oceanic, Atmospheric Administration, Department of, Democratic, Occupational Safety, Health Administration, Safety, UPS, Asuncion Valdivia Heat, American Farm Bureau Federation, National Demolition Association Locations: Wall, Silicon, California , Colorado, Washington, America, Oregon, Texas, California , Michigan, Georgia, Asuncion Valdivia

☆ Ford’s EV losses climb but overall profits rise
▼ + stars: | 2023-07-27 | by ( Chris Isidore | ) edition.cnn.com time to read: +6 min

Automotive revenue rose 12% to $42.4 billion, $2 billion more than forecasts. And those losses are going to rise, at least in the short term. In response, other automakers, including Ford, have responded with EV price cuts of their own. The current contract between the UAW and the “Big Three” unionized US automakers — Ford, General Motors and Stellantis — expires on Sept. 14. “When it comes to building in America and partnering with UAW, Ford stands out from all the other automakers, and most other major industrial companies,” he said.

Persons: Ford, EVs, Tesla, Jim Farley, ”, Farley, “, John Lawler, —, Sean Fain, Fain, ” Fain Organizations: New, New York CNN, Refinitiv, Ford, Ford Blue, Ford Pro, United Auto Workers, UAW, — Ford, General Motors, SK, GM, EV, Blue Locations: New York, America, EVs, Korean, American

☆ Businesses are scrambling for tips right now because they don't want to raise wages in case of a recession
▼ + stars: | 2023-07-26 | by ( Juliana Kaplan | ) www.businessinsider.com time to read: +4 min

Firms don't want to raise wages because they're worried about a recession, so you pay workers instead. Get the inside scoop on today’s biggest stories in business, from Wall Street to Silicon Valley — delivered daily. And now, businesses are trying to avoid making the larger wages those tips have augmented their responsibility, as the economy cools. Jonathan Morduch — a professor of public policy and economics at New York University — told the Wall Street Journal that as businesses prepare for a potential recession, "they don't want to lock into higher wages." "Businesses are happy to let workers earn more from tips, especially when there's no pressure to raise the tipped minimum," Morduch told the Wall Street Journal.

Persons: you've, they're, It's, Scheherezade Rehman, Jonathan Morduch —, New York University —, Andy Kiersz, Jacob Zinkula, Laurence Kotlikoff, what's, Morduch Organizations: Service, George Washington University, Wall Street, New York University, Boston University Locations: Wall, Silicon

☆ Americans' wages are finally outpacing inflation. But could it last?
▼ + stars: | 2023-07-16 | by ( Alicia Wallace | ) edition.cnn.com time to read: +5 min

For more than two years, persistent and pervasive inflation has taken big bites out of Americans’ paychecks. Annual real weekly wages were up 0.6% last month, a rate that’s a tick below the 0.7% gain seen in February 2020. June also marked the second consecutive month of year-over-year real hourly wage growth — the first back-to-back months of gains since early 2021. Fears of a dreaded “wage-price spiral” — when rising wages and prices feed into each other — have made a bogeyman out of wage growth. And finally, supply-side inflation has drastically cooled to the point where annual inflation is practically flat — which, ideally, gives firms more wiggle room to pay workers, she said.

Persons: hasn’t, ’, That’s, ”, William Ferguson, Gertrude B, Austin, it’s, Alex Pelle, “, Sung Won Sohn, Ben Bernanke, ” Pelle, Julia Pollak, they’ve Organizations: Minneapolis CNN, Bureau of Labor Statistics, Grinnell College, stoke, Mizuho Securities, Loyola Marymount University, SS, San Francisco Fed, BLS Locations: Minneapolis, Iowa

☆ Other countries don't have an issue with 'tipflation.' Here's how much people tip around the world
▼ + stars: | 2023-07-12 | by ( Jessica Dickler | ) www.cnbc.com time to read: +1 min

In part, that's because tips make up a larger part of workers' pay in the U.S., particularly in industries like entertainment, food service, and leisure and hospitality. In fact, in some of those jobs, workers make less than minimum wage because they are considered "tipped employees." (Some states are now increasing the hourly minimum wage for tipped employees or eliminated tipping wages altogether.) This applies primarily to restaurant workers, although other employees who receive more than $30 a month in tips may qualify. For these workers, tips can boost wages by about 25%, according to data from payroll platform Gusto.

Persons: Owen Franken, Jaime Peters, it's, Lynn, Luke Pardue Organizations: Maryville Locations: Europe, U.S

☆ You shouldn't feel obligated to tip when ordering a coffee or takeout, says Shake Shack founder
▼ + stars: | 2023-07-08 | by ( Haley Tenore | ) www.businessinsider.com time to read: +2 min

Shake Shack's founder told CNBC that customers shouldn't feel obligated to tip on takeout orders. Last year, Shake Shack added the option to tip at all its locations. More restaurants are prompting customers to tip during payment, causing confusion and frustration. Meyer said customers shouldn't feel obliged to tip when ordering takeout or coffee from a restaurant. Meyer founded Union Square Hospitality Group, and while the group doesn't oversee Shake Shack, it does manage many restaurants in New York City.

Persons: Shack, Danny Meyer, Meyer, Joe Biden Organizations: CNBC, Service, Square Hospitality Group, US Department of Labor Locations: Wall, Silicon, New York City

☆ Doordash, Grubhub and Uber sue New York City over minimum wage law
▼ + stars: | 2023-07-06 | by ( Samantha Delouya | ) edition.cnn.com time to read: +3 min

CNN —Food delivery platforms DoorDash, Grubhub and Uber Eats are challenging in court New York City’s new minimum wage law for app food delivery workers. All three companies sued the city, maintaining that the law would hurt delivery workers more than help them. In a statement to CNN, DoorDash called the law “bad policy,” though it said it was not opposed to a minimum wage for delivery workers. According to a news release from New York City, food delivery workers currently make $7.09 per hour, on average. There are more than 60,000 food delivery workers working in the city, according to the local government.

Persons: Grubhub, Uber, —, DoorDash, Eric Adams, ”, Josh Gold, Uber’s, “ Organizations: CNN, New York, Uber, New York City Department of Consumer, New York City Locations: New, New York, New York City

☆ A DoorDash delivery worker was fired after cursing at a woman who gave a $5 tip on a $20 order
▼ + stars: | 2023-07-05 | by ( Sawdah Bhaimiya | ) www.businessinsider.com time to read: +2 min

A DoorDash driver was fired after he cursed at a woman for tipping $5 on a $20 order. "It's a nice house for a $5 tip," the driver said, in a now-viral TikTok video of the incident. Purciful clarified in the comment section that she contacted DoorDash and the driver has since been fired. In another post of the same clip, Purciful asked: "So how much should I be tipping for a $20 pie??" Purciful received an outpouring of support from comments across her posts with one person saying: "5$ is a great tip.

Persons: it's, —, Lacey Purciful, Purciful, DoorDash, Insider's Alex Bitter Organizations: Service

☆ Los Angeles Hotel Workers Go on Strike
▼ + stars: | 2023-07-02 | by ( Jill Cowan | Kurtis Lee | ) www.nytimes.com time to read: +3 min

Dockworkers disrupted operations for weeks at the colossal ports of Los Angeles and Long Beach until they reached a tentative deal in June. “I think people are understanding those issues in a much more palpable way.”The hotel workers’ strike comes just as the summer tourism season ramps up, and labor leaders say they are hoping to capitalize on that momentum. Last year, tourism in the city reached its highest levels since the coronavirus pandemic, according to the Los Angeles Tourism and Convention Board. But for many workers like Diana Rios-Sanchez, who works as a housekeeping supervisor at the InterContinental Los Angeles Downtown, the pay has not helped to keep up with inflation. On Thursday, the Westin Bonaventure Hotel & Suites, a large hotel in downtown Los Angeles, announced that it had staved off a walkout of its workers with a contract deal.

Persons: Hugo Soto, Martinez, ”, “, Diana Rios, Sanchez, Ms, Rios, Grossman, Petersen, Anna Betts Organizations: Workers, Los Angeles City Council, Los Angeles Tourism, InterContinental, Downtown, housekeepers, Westin Bonaventure Hotel, Hotel Association of Los Locations: Southern California, Los Angeles, Long, Hollywood, InterContinental Los, El Sereno, California, Beverly Hills, Hotel Association of Los Angeles

New York CNN —The Small Business Administration distributed more than $200 billion in potentially fraudulent Covid-19 relief funds, according to a federal watchdog. At least 17% of the $1.2 trillion distributed by the SBA was wasted in fraud, the report found. Most of the fraud apparently happened through the EIDL funds, with the inspector general estimating more than $136 billion of fraudulent activity in that program. While the program successfully helped many companies pay workers during the pandemic, it was plagued by questionable lending and rampant fraud. To date, the agency has recovered nearly $30 billion in funds, according to the report.

Persons: Chris Steakhouse, Trump Organizations: New, New York CNN, Small Business Administration, SBA, Washington, PPP, Los Angeles Lakers Locations: New York

Companies Twitter Inc FollowJune 21 (Reuters) - Twitter Inc is facing a lawsuit claiming it failed to pay workers millions of dollars in promised bonuses, adding to a pile of court cases filed since Elon Musk acquired the social media company. Schobinger says that before and after Musk purchased Twitter last year, the company promised employees that they would receive 50% of their target bonuses for 2022. But those payments never materialized, according to the lawsuit, which accuses Twitter of breach of contract. Twitter in those cases is accused of failing to pay promised severance and targeting female employees and workers with disabilities for layoffs, among other claims. Many landlords, vendors and consultants have also sued Twitter over unpaid bills, some of which Musk inherited when he bought the company.

Persons: Elon Musk, Mark Schobinger, Schobinger, Musk, Shannon Liss, Riordan, Parag Agrawal, Daniel Wiessner, Alexia Garamfalvi, Conor Humphries Organizations: Twitter, Elon, X Corp, Thomson Locations: San Francisco federal, Delaware, Albany , New York

☆ A restaurant must pay workers $140,000 after allegedly hiring a fake priest to extract confessions of workers’ ‘sins’
▼ + stars: | 2023-06-20 | by ( Jordan Valinsky | ) edition.cnn.com time to read: +2 min

The Catholic Diocese of Sacramento confirmed that they found “no evidence of any connection” between the fake priest and their diocese. Garibaldi and three other restaurant owners and operators were ordered to pay $140,000 in back wages and damages to 35 employees. The restaurant will also have to pay $5,000 in civil penalties. Investigators also found that the restaurant denied employees overtime pay, managers were paid bonuses from the employee tip pool and some employees faced “adverse immigration consequences” for cooperating with investigators. “This employer’s despicable attempts to retaliate against employees were intended to silence workers, obstruct an investigation and prevent the recovery of unpaid wages,” Pilotin said.

Persons: Che Garibaldi, Taqueria Garibaldi, “, ”, Labor Marc Pilotin, Garibaldi, ” Pilotin Organizations: New, New York CNN, US Department of Labor, Labor, Catholic, Catholic News Agency Locations: New York, California, Taqueria, Sacramento, “, ”

☆ New York City announces minimum wage for app food delivery workers
▼ + stars: | 2023-06-11 | by ( Ramishah Maruf | ) edition.cnn.com time to read: +4 min

New York CNN —New York City on Sunday announced a new minimum pay-rate for app food delivery workers amid a rise in use of services like Uber Eats and DoorDash since the pandemic. The city says delivery apps will have flexibility in how they pay delivery workers the new minimum rate. “Our delivery workers have consistently delivered for us — now, we are delivering for them,” New York City Mayor Eric Adams said in a statement. Delivery workers also struggled to find spaces when it rained or access to restrooms. “People view delivery workers as dirty, smelly and taking up too much space,” said Joshua Wood, a member of Workers Justice Project told CNN in May.

Persons: Uber, ”, Eric Adams, there’s, Ligia Guallpa, DoorDash, it’s, “ Today’s, “, ” Uber, Josh Gold, Uber Eats, Joshua Wood, Adams Organizations: New, New York CNN — New, Sunday, York City, Worker’s, Euromonitor International, CNN, Workers Justice Project, ”, Department of Consumer and, Protection, Unidos Locations: New York, New York CNN — New York City, York, New York City

Search resuls for: "Pay Workers"

25 mentions found