Tuesday, January 27, 2015

Informational Briefing Testimony for Wage Standards before the House Labor and Public Employment Committee

Wage Standards Division LBR 152


 OVERVIEW

The Wage Standards Division (“Division”) protects Hawaii’s workers  by administering and enforcing six different labor laws related to wages in the Hawai‘i Revised Statutes (HRS). The laws operate to keep young workers safe in the workplace (Child Labor Law, Chapter 390, HRS); ensure employees are paid their wages due, (Wage and Hour Law, Chapter 387, HRS; Payment of Wages and Other Compensation, Chapter 388, HRS; Wages and Hours of Employees on Public Works, Chapter104, HRS) and provide job protection when family members need care or an employee is fired or discriminated against because of a lie detector test, a workers compensation injury, or taking an on-site drug test. (Hawaii Family Leave Law, Chapter 398, HRS, Employment Practices Law, Part II – Lie Detector Test and Part III – Unlawful Suspension or Discharge.)

SIGNIFICANT EVENTS

·         The general-funded Division remains without a full staff contributing to a backlog of 341 cases that translates to more than a two year back-log of work.
·         A significant shift in the case work in the Division is away from serving a higher number of low income workers to serving more laborers and mechanics working on public works jobs.  The average claim has tripled from $973 to $3,176 per employee, and the number of employees served annually has decreased from 574 to 231 since 2009.
 
·         Two pending appeals, one at the ICA, (BCI Coca Cola Bottling Co. Inc. v DLIR, ICA CAAP 14-1135), by the DLIR from the Circuit Court reversal of DLIR’s finding of a wrongful termination due to a workers compensation injury, and one at the Circuit Court (Pacific Isles Equipment Rental, Inc. v DLIR, 1CC12-1-3053) determining the standard for state of mind on falsification of records under the Chapter 104 law for suspension,  have the potential to change processes in the Division.  We are proceeding status quo until their resolution.
 
SUCCESSES 
 
In the area of Workforce Management, the Division focused on making Hawaii a more compliant arena for wage related issues.

The Compliance Branch resolved 435 complaints including issuing 4 Notice of Violations to contractors on public works projects who had violated the prevailing wage law under Chapter 104, HRS, and ordered 3-year suspensions of 2 contractors for falsification of certified payrolls.  A full list of suspended contractors is available on WSD website. 

The Compliance Branch identified $646,329 back wages found due for 231 workers. Penalties due to the State were $41,170 and penalties due to claimants totaled $44,404. The Hearings Branch disposed of 65 unlawful termination claims and resolved two Chapter 104 appeals.

The Intake and Certification Branch (ICB) took in 587 complaints against employers that were referred to either the Hearings Branch or Compliance Branch.

The ICB also issued 10,298 child labor permits, including 89 variances and addendums required for productions like “Hawaii Five-0”, and other commercial productions that included minors under age 16 working outside the hours permitted by law.  All outreach to the child labor audience of working minors, parents and employers of minors was accomplished via the WSD Facebook page Hawaii Teens at Work.

The Division responded to 9481 inquiries and used the blog Inside Wage Standards Division and DLIR as a resource to supplement education and outreach.


BUDGET
 
The Division has requested funds for several years to restore the lost positions over the years from the initial reduction in force in 2009, combined with retirements of which positions were never replaced.  This has left the Division without a properly structured team, ie office assistants without supervisors, single member branches and offices (Intake and Certification Branch, Hearings Branch, and Technical Services and Support Office), which we have also asked for funds to re-organize.  Finally, the work load in Maui has become increased to a point that justifies an additional Labor Law Enforcement Specialist.  Wage Standards had presented an additional budget request 7 Labor Law Enforcement Specialists and for the re-organization of the Division at a cost of $384,474 and an additional operating budget of $7,200 for a total of 24 positions at annual cost of $1,485,00 for the Division.


No comments:

Post a Comment

This is a limited public forum that serves as an official community page for the Wage Standards Division, Department of Labor and Industrial Relations to share information about the work of the Wage Standards Division and related issues to the people of Hawaii and our friends outside of Hawaii.

We welcome your comment on our topic or post, but please comment with “Aloha” since this page is family friendly. Please take personal responsibility for and be respectful in your comments.


If your comment is deleted per the provisions below, you have the option of sending your comment by sending an email that does not violate any laws, or by sending a hardcopy version of your comment to the following address:



Recipient Pamela Martin
Mailing address 830 Punchbowl St., Honolulu, HI 96813

email address: Pamela.b.martin@hawaii.gov



RE: Deletion of Comments.

We will delete a comment, content, or expression (“comment”) that disrupts, disturbs, impedes, is contrary to, is inappropriate for, or interferes with function of and ability of this limited public forum to fulfill its purpose, such as a comment that is:


■Off-topic;


■Profane or sexually explicit;


■Using an offensive term that targets a specific individual(s) or groups, including a term based on race, religion, gender, or sexual orientation;


■Invasive of a person's privacy;


■A commercial solicitation or advertisement, a chain letter, or a pyramid scheme;


■Containing personal information such as a driver license number, a social security number, and other information protected by law;


■Disclosing any detail about an ongoing investigation or court or administrative proceeding that could prejudice the process or interfere with the rights or claims of a person or entity;


■Part of or is a repetitive post copied and pasted by multiple users;


■Spam or could constitute spam; and


■Speech for which content-based restrictions are permitted, including incitement, obscenity, defamation, speech integral to criminal conduct, so-called “fighting words,” child pornography, fraud, true threats, and speech presenting some grave and imminent threat the Government has the power to prevent.



This page is subject to amendment or modification at any time.



Thank you for taking the time to read this page.