Posts Tagged ‘occupational licensure’

July 29 roundup

  • Former NYT Peking correspondent Richard Bernstein, who now co-owns two nail salons, challenges Times blockbuster on prevalence of labor exploitation at NYC salons [New York Review of Books, Elizabeth Nolan Brown and followup, Times rebuttal. More: Bernstein rejoinder]
  • More details on how studios used Mississippi attorney general’s office as cut-out against Google [Mike Masnick, TechDirt, earlier here and here, more on AG Jim Hood]
  • Of course licensing laws “are only there to protect consumers and are enforced in a totally neutral way that has nothing to do with viewpoints or political pull (lol).” [Coyote on Boston mayor’s “not welcome in our town” message to Donald Trump]
  • Speaking of Donald Trump, would his lawyer threaten litigation to intimidate reporter Tim Mak? Only in a totally classy way [Daily Beast, S.E. Cupp/New York Daily News (Cohen, 2011: “I’m going to come at you, grab you by the neck and I’m not going to let you go until I’m finished”), earlier from the vaults on Trump’s use of litigation]
  • Things class-action lawyers sue over: “Beggin’ Strips Don’t Have Enough Bacon” [Reuters, New York Post]
  • As Lois Lerner targeting scandal drags on, time for Congress to impeach IRS officials? [Mike Rappaport, Liberty and Law]
  • Welcome to AFFH-land: Bharara, on behalf of feds, says Westchester County should pay for not squeezing Chappaqua hard enough to approve housing project [Journal-News, earlier here and here]

July 8 roundup

A battle plan against “regressive regulation”

In a new Cato white paper, Brink Lindsey considers the possibilities of assembling a political coalition aimed at trimming at least some kinds of excessive regulation [Arnold Kling, Coyote]:

Despite today’s polarized political atmosphere, it is possible to construct an ambitious and highly promising agenda of pro-growth policy reform that can command support across the ideological spectrum. Such an agenda would focus on policies whose primary effect is to inflate the incomes and wealth of the rich, the powerful, and the well-established by shielding them from market competition. A convenient label for these policies is “regressive regulation” — regulatory barriers to entry and competition that work to redistribute income and wealth up the socioeconomic scale. This paper identifies four major examples of regressive regulation: excessive monopoly privileges granted under copyright and patent law; restrictions on high-skilled immigration; protection of incumbent service providers under occupational licensing; and artificial scarcity created by land-use regulation.

Occupational licensure pays off for the licensed

No wonder incumbent members of the occupation or profession are willing to lobby so hard for it [Morris Kleiner, Cato via Arnold Kling]:

Our empirical analysis finds that after controlling for observable heterogeneity, including occupational status, those with a license earn higher pay, are more likely to be employed, and have a higher probability of receiving retirement and pension plan offers. According to our estimates, where governmental licensing is required for the job it raises hourly wages by about 8.4 percent.

Miss child support payment, go to jail

And good luck making those payments once you’ve lost your job or license. The Walter Scott shooting in South Carolina has focused belated attention on the “deadbeat-dad” rules crafted variously to please budget hawks, women’s rights advocates, and conservatives, which in practice can pile hopelessly large obligations on low-earning fathers, enforced in some states not only by jailing but also by deprivation of drivers’ and occupational licenses instrumental in earning a living. I’ve got more at Cato at Liberty, following up on New York Times coverage.

Colorado yoga teacher training

“It’s fairly stunning that the chief regulator at the state’s Division of Private Occupational Schools is a part-time instructor for a chain of yoga studios at the time she is advocating for more regulation of yoga teacher-training studios that are essentially the chain’s competitors.” But with occupational licensure, conflict of interest comes with the territory, and this Colorado episode is no exception [Denver Post editorial]

Labor and employment roundup

  • Jury convicts Ironworkers Local 401 boss in union violence case [Philadelphia Inquirer, CBS Philly, earlier here, etc. on Quaker meetinghouse arson and other crimes] Pennsylvania lawmaker proposes to end unions’ exemption from laws defining crimes of harassment, stalking, threatening [York Dispatch; more on exemption of unions from these laws]
  • Emergent regime under federal law: if you’ve ever offered light duty to a disabled worker or returning injured worker, you’d better offer it to pregnant worker too [Jon Hyman]
  • Everything you know about company towns is wrong [Alex Tabarrok]
  • “The EEOC issues you’ll want to keep an eye on in 2015″ [Littler Mendelson via Tim Gould, HR Morning]
  • Sued if you do: employers struggle to navigate between government rules encouraging, penalizing hiring of applicants with criminal records [WSJ, paywall] “Watch Your Back: The Growing Threat of FCRA Background Check Class Actions” [Gregory Snell, Foley & Lardner]
  • “Nearly 30 Percent of Workers in the U.S. Need a License to Perform Their Job: It Is Time to Examine Occupational Licensing Practices” [Melissa S. Kearney, Brad Hershbein and David Boddy, Brookings via John Cochrane]
  • “The Effect of Mandatory Sick Leave Policies: Reviewing the Evidence” [Max Nelsen] “Popularity of Obama’s paid sick leave proposal depends on workers not realizing it ultimately comes out of their paychecks.” [James Sherk]

Cato online forum, “Reviving Economic Growth”

The panel is packed with big names and many of them offer suggestions with a law or regulation angle, including Philip K. Howard (“Radically Simplify Law”), Derek Khanna (rethink patent and copyright law; related, Ramesh Ponnuru), Morris Kleiner (reform occupational licensure; related, Steven Teles), Arnold Kling (“Sidestep the FCC and the FDA”), Robert Litan (admit more high-skill immigrants and reform employment of teachers; similarly on immigration, Alex Nowrasteh), Adam Thierer (emphasize “permissionless innovation”), and Peter Van Doren (relax zoning so to ease movement of workers to high-wage cities).

Regulating consumers by way of regulating producers

An observation from John Goodman via David Henderson:

Almost all government restrictions on our freedom are indirect. They are imposed on us by way of some business. In fact, laws that directly restrict the freedom of the individual are rare and almost always controversial….

But the vast majority of government encroachments on your freedom of action come about through laws that constrain an employer or a seller – without much controversy. …

After proceeding through examples from workplace safety regulation, liquor control, medical device regulation, occupational licensure, and other areas, Goodman adds:

Let’s take one more example from the health care field. The Obama administration is about to impose new regulations affecting home health care workers. They must receive minimum wages and overtime pay. But as far as I can tell, this rule applies only to workers who are employed by agencies and not to workers who are directly hired by an elderly or disabled patient. No matter how they are employed, the economic effects will be the same – a blow to the seniors and people with disabilities. In one case the effects would be visible; in the other they would be invisible. It’s hard to avoid the conclusion that if there were no agencies in home health care, there would be no new regulations.

The growth of the firm may be inevitable, desirable, or both for separate reasons, but it also makes regulation more feasible by generating an entity more suitable for bearing the regulatory harness. Incidentally, is blocking the Obama home health carer overtime regulations a high priority for the incoming Republican Congress, and if not, why not?

Labor and employment roundup

  • Operator of Jimmy John’s sandwich shops asked low-level employees to sign a noncompete. What would be the point? [Bainbridge, Hyman]
  • GOP Congress might take aim at a range of current union and NLRB practices including political dues spending without member opt-out [Sean Higgins, Washington Examiner]
  • Reminder: turning union activity into a protected category under the Civil Rights Act is one of the very worst ideas around [George Leef, earlier on Ellison-Lewis proposal here and here]
  • Scrutiny of occupational licensure intensifies [Ira Stoll]
  • “House Committee Examines EEOC Transparency and Accountability Legislation” [On Labor]
  • “The Dawn of ‘Micro-Unions': A Scary Proposition for Employers” [John G. Kruchko, Kevin B. McCoy, Ford Harrison, earlier here, etc.]
  • Immigrant status and national origin discrimination: “DOJ Brings Issue of Hiring Documentation to Forefront” [Daniel Schwartz]