October 3, 2024

As Infrastructure Bill Inches Forth, a Rocky, Slow Path Awaits in the House

The situation has rankled Representative Peter A. DeFazio of Oregon, the chairman of the Transportation and Infrastructure Committee. Mr. DeFazio spent months shepherding the House infrastructure bill, which includes more substantial climate policy and more than 1,400 home-district projects, known as earmarks, from lawmakers in both parties.

“The bill in the Senate was written behind closed doors, and you know, that’s probably not going to be the best product,” Mr. DeFazio said on CNN on Monday. “Most of the people who wrote the bill are not senior people on the committees of jurisdiction who know a lot about transportation, or perhaps a number of them are resistant to the idea that we should deal with climate change.”

Pressed on whether he would ultimately block passage of the final product, Mr. DeFazio conceded that the $3.5 trillion reconciliation package “could fix a lot of the problems in this bill.”

“I’ve had that conversation with the White House — that’s possible,” he said. “So if we see major changes and things that are mitigated by the reconciliation bill, OK, then maybe we could move this.”

White House officials said they have remained in touch with House Democrats’ tensions. Mr. Biden has dispatched cabinet officials to meet with several of them, including Pete Buttigieg, the transportation secretary, who traveled to Oregon to laud Mr. DeFazio’s work on infrastructure.

“We’re in close touch with the president’s colleagues in the House, who he deeply respects and values as core partners in delivering on generational infrastructure progress,” said Andrew Bates, a White House spokesman. In recent days, the White House has pointedly shared polls and articles that show widespread support for the bipartisan plan and highlight substantial funding for climate resilience.

Senate Democrats, for their part, have vowed to remain united as they trudge through a marathon of votes to finish both the bipartisan infrastructure bill and the budget blueprint before leaving Washington for their August recess.

Article source: https://www.nytimes.com/2021/08/04/us/politics/infrastructure-bill.html

Administration Seeks to Blunt Effects From End of Eviction Moratorium

Kyle Webster, who works for one of the largest affordable housing groups in Pittsburgh, braced himself for a busy weekend, but was unprepared for the volume of phone calls that his office got from panicked, angry and confused tenants wanting to quickly expedite their aid applications — 1,200 of them.

“It’s overwhelming, and, to be honest, we don’t know if we can actually call all of those people back,” said Mr. Webster, whose organization, ACTION-Housing, manages about 1,500 units in Allegheny County, Pa.

The most striking difference between conversations with tenants before the moratorium lapsed and now is the length of each phone call, Mr. Webster said: In the past, people would rush off the line — now, they linger for a half-hour or more, repeatedly asking lawyers for assurance their families will not be thrown out on the street.

Landlords have long argued that eviction moratoriums violate their property rights, and deny them their most effective mechanism for dealing with problematic tenants. Last week, the country’s biggest trade group for residential landlords, the National Apartment Association, sued the federal government, claiming that the freeze cost owners around $27 billion not covered by existing aid programs.

On Monday, administration officials made clear that they could do only so much, blaming sluggish implementation at the state level for the fact that the $47 billion Emergency Rental Assistance program has disbursed only $3 billion — just 7 percent of the total.

Article source: https://www.nytimes.com/2021/08/02/us/politics/administration-seeks-to-blunt-effects-from-end-of-eviction-moratorium.html

Amazon Faces Wider Fight Over Labor Practices

Perhaps the most prominent voice in this discussion is the more than one-million-member International Brotherhood of Teamsters, which approved a resolution at its convention in June committing the union to “supply all resources necessary” to organize workers at the company and help them win a union contract.

The Teamsters argue that holding union votes at individual work sites is typically futile at a company like Amazon, because labor law allows employers to wage aggressive anti-union campaigns, and because high turnover means union supporters often leave the company before they have a chance to vote.

Instead, the Teamsters favor a combination of tactics like strikes, protests and boycotts that pressure the company to come to the bargaining table and negotiate a contract covering wages, benefits and working conditions. While the union hasn’t laid out its tactics in detail, it recently organized walkouts involving drivers and dockworkers at a port in Southern California to protest the drivers’ treatment there.

They hope to enlist the help of workers at other companies, sympathetic consumers and even local businesses threatened by a giant like Amazon, partly to mitigate the challenges presented by high employee turnover.

“Building our relationships within the community itself is the way to deal with that,” Randy Korgan, a Teamsters official from Southern California who is the union’s national director for Amazon, said in a recent interview. “We could have filed for an election in a number of places in the last more than a year, gotten into that process, but we realize that the election process has its shortcomings.”

The union believes that it can pull a variety of political levers to help put the company on the defensive. Mr. Korgan cited a recent vote by the City Council in Fort Wayne, Ind., denying Amazon a tax abatement after a local Teamsters official spoke out against it, and a vote by the City Council in Arvada, Colo., to reject a more than 100,000-square-foot Amazon delivery station. While the Arvada vote centered on traffic concerns, Teamsters played a role in drumming up opposition.

In California, the Teamsters have joined forces with the Los Angeles County Federation of Labor and the Warehouse Worker Resource Center, an advocacy group, to back a bill that would require certain employers to disclose the often opaque productivity quotas applied to workers, which they can be disciplined or fired for failing to meet. The legislative language makes it clear that Amazon is the main target.

Article source: https://www.nytimes.com/2021/08/04/business/economy/amazon-faces-wider-fight-over-labor-practices.html

Big Economic Challenges Await Biden and the Fed This Fall

Mr. Powell said at his news conference last week that “we’re some way away from having had substantial further progress toward the maximum employment goal.”

“I would want to see some strong job numbers,” he added.

In the text of a speech on Friday, Lael Brainard, an influential Fed governor, said she wanted to see September economic data to assess whether the labor market was strong enough for the Fed to begin dialing back support, which suggests she would not favor signaling a start to the slowdown until later this fall. But her colleague Christopher J. Waller said in a CNBC interview on Monday that he would probably prefer to begin pulling back bond purchases quickly, if jobs data hold up, perhaps as soon as October.

Increases in interest rates — the Fed’s more traditional, and more potent, tool — remain farther away. Most Fed officials in June projected that they would not lift their federal funds rate until 2023 at earliest, because they would like the labor market to return to full strength first.

How rapidly the economy can achieve that goal is an open question. Employers regularly complain about the enhanced benefits, but even they have sent mixed messages on whether those are the main driver keeping labor at bay.

“Many contacts were optimistic that labor availability would improve in the fall as schools restart and enhanced unemployment benefits end,” the Atlanta Fed’s qualitative report on business conditions found in June. “However, there were several who do not expect labor supply to improve for six to nine months.”

Peter Ganong, an economist at the University of Chicago, said that if the pattern that he and his fellow researchers had seen in employment data held, he would not expect a wave of workers to jump back into jobs just because supplemental benefits expired.

“So far, we see small employment differences even when vaccines are becoming available,” he said. Mr. Ganong and his co-authors compared the job-finding rates of people whose wages were more fully replaced by supplemental benefits and people whose wages were less fully replaced. They found small and relatively steady differences, even as the economy reopened.

Article source: https://www.nytimes.com/2021/08/03/business/economy/Biden-Federal-Reserve-economic-challenges.html

Lack of Foreign Workers Has Seasonal Businesses Scrambling

Mr. Doyle spent nearly $30,000 advertising for workers as far away as Nevada and got no response, he said. For the last year, he has had a 20-foot trailer parked outside his office, emblazoned with a sign proclaiming: “NOW HIRING. WALK-INS WELCOME.”

“I had two people drop in all year,” he said.

Higher wages could encourage more American-born workers to apply to these jobs, said Muzaffar Chishti, director of the Migration Policy Institute at the New York University Law School. But he argues that in every labor market, there are difficult, unpleasant, low-paid jobs with no opportunity for advancement — like agricultural work or meatpacking — that are considered less desirable both for economic and for cultural reasons.

Some of the attitudes toward jobs, particularly in the service sectors, are changing, he said, but “we haven’t quite understood yet the impact of pandemic.”

Temporary guest workers have also gotten entangled in broader and more bitter arguments over immigration. There is a widespread misconception, Mr. Chishti said, that all foreign workers are eager to settle in the United States.

“A lot of workers don’t necessarily want to come and live here forever,” he said. “They want to work legally and travel back and forth. Their life in Mexico, for example, may be better than life in a U.S. city.”

In the meantime, employers are struggling. Small resort towns often depend on international seasonal workers because their population isn’t sufficient to fill all of the suddenly available slots at hotels, restaurants, ice cream shops or ski slopes that serve the hordes of tourists who appear and then vanish.

Article source: https://www.nytimes.com/2021/08/02/business/economy/seasonal-foreign-guest-workers.html

Eviction Moratorium Set to Lapse as Biden Aid Effort Falters

A crash effort followed, led by Gene Sperling, who was appointed in March to oversee Mr. Biden’s pandemic relief efforts, including emergency rental assistance programs created by coronavirus aid laws enacted in 2020 and 2021.

Mr. Sperling, working with officials in the Treasury Department, moved to loosen application requirements and increase coordination among the state governments, legal aid lawyers, housing court officials and local nonprofits with expertise in mediating landlord-tenant disputes.

In June, 290,000 tenants received $1.5 billion in pandemic relief, according to Treasury Department statistics released last week. To date, about 600,000 tenants have been helped under the program.

But administration officials concede the improvements have not progressed quickly enough. Over the past week, Mr. Sperling; Brian Deese, the director of the National Economic Council; Susan Rice, Mr. Biden’s top domestic policy adviser; and Ms. Rice’s deputy on housing policy, Erika C. Poethig, made a late plea for Mr. Biden to extend the freeze, according to two people familiar with the situation who spoke on the condition of anonymity to describe internal deliberations.

Dana Remus, the White House counsel, expressed concerns that an extension was not a legally available option, and other officials suggested it could prompt the Supreme Court to strike down the administration’s broad use of public health laws to justify a range of federal policies, and their view prevailed, the officials said.

In a statement Friday evening, Mr. Biden sought to put the onus on local officials to provide housing aid, saying “there can be no excuse for any state or locality not accelerating funds to landlords and tenants.”

“Every state and local government must get these funds out to ensure we prevent every eviction we can,” he added.

Article source: https://www.nytimes.com/2021/07/31/us/politics/eviction-moratorium-biden-housing-aid.html

The Fed’s Favorite Price Index Rose 4 Percent. What Comes Next?

Michael Patrick, a chef and restaurateur in Memphis, has had to raise pay for cooks and dishwashers to entice them to return to his upscale Southern food restaurant, Rizzo’s by Michael Patrick. His food costs have risen, too, because supply-chain issues have made it hard to get chicken and other key ingredients. So he has responded by raising menu prices twice in recent months. So far, his customers aren’t complaining.

“People aren’t even blinking,” he said. “Not one person has said to me, ‘I can’t believe you raised your price on meatloaf two dollars.’”

But Mr. Patrick is concerned about the effects of the Delta variant. Both he and his customers have learned to navigate pandemic life, he said, so he is confident he will be able to maintain sales. But if the resurgence of the virus leads to more shutdowns at meat-processing plants and other food producers, that could pose a bigger challenge.

“Canola oil, beef, chicken — it’s all going up because the supplies just weren’t there,” he said. “Hopefully, at the end of the day, these variants don’t cause a lot of these companies to close their doors again.”

It will matter for workers how quickly today’s robust price gains fade. Higher prices are taking a bite out of workers’ paychecks. Income after taxes fell 0.5 percent June, accounting for the impact of inflation. Over the past year, inflation has more than offset a modest rise in after-tax income.

The data released Friday showed that core inflation, which strips out volatile food and fuel prices and can give a cleaner reading on price trends, picked up by 3.5 percent in June from a year earlier, for the highest annual reading in 30 years.

The headline index climbed 0.5 percent from May to June, slightly less than the 0.6 percent that economists in a Bloomberg survey had expected.

Article source: https://www.nytimes.com/2021/07/30/business/economy/pce-inflation-federal-reserve.html

How Biden Got the Infrastructure Deal Trump Couldn’t

As Mr. Biden pushed toward a deal in recent weeks with a group of Republican and Democratic negotiators in the Senate — including Senator Mitt Romney, Republican of Utah, a longtime foil of Mr. Trump’s — the former president blasted out news releases, urging his party to walk away.

“Hard to believe our Senate Republicans are dealing with the radical left Democrats in making a so-called bipartisan bill on ‘infrastructure,’ with our negotiators headed up by super RINO Mitt Romney,” Mr. Trump wrote in a Wednesday statement, referring to the Utah senator with the acronym for Republican in name only. “This will be a victory for the Biden administration and Democrats, and will be heavily used in the 2022 election. It is a loser for the U.S.A., a terrible deal, and makes the Republicans look weak, foolish and dumb.”

Soon after, the agreement moved forward in the Senate. Seventeen Republicans voted to take it up, including the Republican leader, Mitch McConnell of Kentucky, who has taken pains to distance himself from Mr. Trump in recent months. It was not clear whether the minority leader, who has previously said he was “100 percent focused” on stopping Mr. Biden’s agenda, would ultimately support the bill.

Still, Mr. Biden — who once brokered deals with Mr. McConnell — was personally invested in pursuing a compromise, administration officials said, calling upon his experience as a deal-maker in the Senate.

“Biden and his team was willing to patiently work together with Republicans, and Trump and his team were not willing to do that with Democrats,” said Senator Tim Kaine, Democrat of Virginia. He added, “I give tremendous credit to the senators who’ve done this, but I will have to say, an ingredient that is necessary is a White House that really wants to do it, that will reach out across the aisle and will stay at the table.”

Mr. Biden also dispatched top legislative aides and members of his Cabinet to reach out to lawmakers in both parties. Senator Kevin Cramer, Republican of North Dakota, said he received repeated calls from Jennifer Granholm, the secretary of energy, and legislative staff members — “always very gently and respectfully” — to discuss the emerging deal and “take my temperature” before he voted to advance the measure.

Multiple senators said the president and his team spent hours with them in person on Capitol Hill and on the phone hashing out the details of the legislation, including thorny disagreements over how to finance billions of dollars in new spending.

Article source: https://www.nytimes.com/2021/07/29/business/economy/biden-infrastructure-deal.html

Who Discriminates in Hiring? A New Study Can Tell.

The Berkeley and Chicago researchers found that discrimination isn’t uniform across the corporate landscape. Some companies discriminate little, responding similarly to applications by Molly and Latifa. Others show a measurable bias.

All told, for every 1,000 applications received, the researchers found, white candidates got about 250 responses, compared with about 230 for Black candidates. But among one-fifth of companies, the average gap grew to 50 callbacks. Even allowing that some patterns of discrimination could be random, rather than the result of racism, they concluded that 23 companies from their selection were “very likely to be engaged in systemic discrimination against Black applicants.”

There are 13 companies in automotive retailing and services in the Fortune 500 list. Five are among the 10 most discriminatory companies on the researchers’ list. Of the companies very likely to discriminate based on race, according to the findings, eight are federal contractors, which are bound by particularly stringent anti-discrimination rules and could lose their government contracts as a consequence.

“Discriminatory behavior is clustered in particular firms,” the researchers wrote. “The identity of many of these firms can be deduced with high confidence.”

The researchers also identified some overall patterns. For starters, discriminating companies tend to be less profitable, a finding consistent with the proposition by Gary Becker, who first studied discrimination in the workplace in the 1950s, that it is costly for firms to discriminate against productive workers.

The study found no strong link between discrimination and geography: Applications for jobs in the South fared no worse than anywhere else. Retailers and restaurants and bars discriminate more than average. And employers with more centralized personnel operations handling job applications tend to discriminate less, suggesting that uniform rules and procedures across a company can help reduce racial biases.

An early precedent for the paper published this week is a 1978 study that sent pairs of fake applications with similar qualifications but different photos, showing a white or a Black applicant. Interestingly, that study found some evidence of “reverse” discrimination against white applicants.

Article source: https://www.nytimes.com/2021/07/29/business/economy/hiring-racial-discrimination.html

$1 Trillion Infrastructure Deal Scales Senate Hurdle With Bipartisan Vote

Democrats still must maneuver the bill through the evenly divided Senate, maintaining the support of all 50 Democrats and independents and at least 10 Republicans. That could take at least a week, particularly if Republicans opposed to it opt to slow the process. Should the measure clear the Senate, it would also have to pass the House, where some liberal Democrats have balked at the emerging details.

But Republicans who negotiated the deal urged their colleagues to support a measure they said would provide badly needed funding for infrastructure projects across the country.

“I am amazed that there are some who oppose this, just because they think that if you ever get anything done somehow it’s a sign of weakness,” said Senator Bill Cassidy, Republican of Louisiana.

Speaker Nancy Pelosi of California has repeatedly said she will not take up the bipartisan infrastructure bill in the House until the far more ambitious $3.5 trillion budget reconciliation bill passes the Senate.

Senator Kyrsten Sinema of Arizona, the lead Democratic negotiator of the infrastructure deal and a key moderate vote, issued a statement on Wednesday saying that she did not support a plan that costly, though she would not seek to block it. Those comments prompted multiple liberals in the House to threaten to reject the bipartisan agreement she helped negotiate, underscoring the fragility of the compromise.

“Good luck tanking your own party’s investment on childcare, climate action, and infrastructure while presuming you’ll survive a 3 vote House margin,” Representative Alexandria Ocasio-Cortez, Democrat of New York, wrote in a tweet. “Especially after choosing to exclude members of color from negotiations and calling that a ‘bipartisan accomplishment.’”

Reporting was contributed by Nicholas Fandos, Coral Davenport, Catie Edmondson and Lisa Friedman.

Article source: https://www.nytimes.com/2021/07/28/us/politics/senate-infrastructure-deal.html