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For a second day in a row, inclement weather has cancelled numerous appropriation committee meetings that had been scheduled for today at the General Assembly. Legislators, like most of us, are waiting it out at home until temperatures can rise and clear away the icy patches on bridges and roadways.

With a few extra hours on their hands, House and Senate members may want to use this down time to read the latest report on incentives and economic development from the NC Justice Center.

Allan Freyer, the author of Picking Losers: Why the Majority of NC’s Incentive Programs End in Failure, explains that more than half of all firms receiving incentive awards from the state’s Job Development Investment Grant (JDIG) program have failed to live up to their promises of job creation, investment, or wages.

Click below to hear Freyer discuss his new report. To read the complete findings for yourself,  click here.

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Mandy Locke

Mandy Locke

Looking to learn about an issue — any issue — on which the North Carolina General Assembly might actually pursue a moderately progressive course in 2015? If so, you should definitely plan on attending this Wednesday’s Crucial Conversation luncheon with Raleigh News & Observer reporter Mandy Locke: “Fraud in the workplace: How numerous North Carolina employers are cheating their competitors and stealing from employees and taxpayers (and what should be done about it).”

Locke will discuss the ongoing multimillion dollar crime spree in North Carolina in which “wage theft” and “worker misclassification” by dishonest employers are both robbing workers (and state tax coffers) of millions and millions of dollars. Please join us as we explore this huge and poorly understood problem and how state lawmakers and regulators might properly address it.

Locke will be joined by Raleigh businessman Doug Burton, President and Owner of Whitman Masonry and one of the numerous North Carolina employers who treats his workers fairly, plays by the rules and is regularly disadvantaged as a result of the state’s lax law enforcement in this area and Bill Rowe, General Counsel and Director of Advocacy at the North Carolina Justice Center, who will discuss possible legislative and law enforcement solutions.

When: Wednesday, January 28th, at noon — Box lunches will be available at 11:45 a.m.

Where: Center for Community Leadership Training Room at the Junior League of Raleigh Building, 711 Hillsborough St. (At the corner of Hillsborough and St. Mary’s streets)

Space is limited – preregistration required.

Cost: $10, admission includes a box lunch.

Click here to register

Questions?? Contact Rob Schofield at 919-861-2065 or rob@ncpolicywatch.com

Commentary

Please join us next week for a special NC Policy Watch Crucial Conversation luncheon —

“Fraud in the workplace: How numerous North Carolina employers are cheating their competitors and stealing from employees and taxpayers (and what should be done about it)”

Click here to register

There’s a multimillion dollar crime spree underway in North Carolina. Unfortunately, save for the efforts of a few intrepid journalists and lawyers, it’s a problem that’s mostly being ignored and swept under the rug. The issue is wage theft and the “misclassification” of workers by employers. As Raleigh’s News & Observer reported in a special report last fall entitled “Contract to Cheat”:

“Employers treat many of these laborers as independent contractors. It’s a tactic that costs taxpayers billions of dollars each year. Yet when it comes to public projects, government regulators have done nearly nothing about it, even when the proof is easy to get.

The workers don’t have protections. The companies don’t withhold taxes. The regulators don’t seem to care.”

Mandy Locke

Please join us as we explore this huge and poorly understood problem and how state lawmakers and regulators might properly address it with the lead author of the “Contract to Cheat” series, investigative reporter Mandy Locke.

Since joining the N&O in 2004, Locke has written extensively about the legal system, child welfare and hospital disputes. Her investigative work has been honored nationally by the Michael Kelly Award and the Gerald Loeb Award for business reporting.

Locke will be joined by Raleigh businessman Doug Burton, President and Owner of Whitman Masonry. Burton is one of the numerous North Carolina employers who treats his workers fairly, plays by the rules and is regularly disadvantaged as a result of the state’s lax law enforcement in this area.

When: Wednesday, January 28th, at noon — Box lunches will be available at 11:45 a.m.

Where: Center for Community Leadership Training Room at the Junior League of Raleigh Building, 711 Hillsborough St. (At the corner of Hillsborough and St. Mary’s streets)

Space is limited – preregistration required.

Cost: $10, admission includes a box lunch.

Click here to register

Questions?? Contact Rob Schofield at 919-861-2065 or rob@ncpolicywatch.com

Commentary

Cherie Berry 2It simply shouldn’t take a four-year herculean effort by an extraordinarily dedicated lawyer in order for a handful of average workers to get paid an honest day’s wage for an honest day’s work. Unfortunately, as this story by reporter Mandy Locke in this morning’s edition of Raleigh’s News & Observer makes clear, it does take such an effort these days in North Carolina where the state’s absurdly low-energy Labor/Elevator Commissioner Cherie Berry continues muddle along, doing as little as possible to protect the workers of our state.

As Locke reports:

“Every few months for nearly four years, Katharine Woomer-Deters had lugged a box full of records three blocks from her office to the Wake County courthouse. Inside it: all the proof and power she should have needed to force a Raleigh contractor to pay wages he owed to seven workers for labor in 2010.

Woomer-Deters and her employer, the N.C. Justice Center, have devoted tens of thousands of dollars worth of time and energy trying to get Robert Charleton Miller, owner of Raleigh construction company NC Contracting Inc., to pay the $14,000 he owed.

Finally, on Thursday, Woomer-Deters got what she needed: a payment from Miller. He signed an agreement to pay monthly until his debt is settled. He made his first installment Thursday.

It took the threat of jail and a stern judge to push Miller toward the settlement.”

And, of course, this latest development is just the latest in a scandalously long trail of cases in which employers across North Carolina have been failing to pay workers the wages and benefits to which they are entitled. As Locke reported last fall in her five-part “Contact to Cheat” investigation: “North Carolina is losing $467 million in annual tax revenue from the practice within the construction industry alone.”

Unfortunately, state Labor Commissioner Berry — the constitutional officer charged with protecting the workers of our state from such predations — continues to snooze away through her fourth full term in office, out of sight and out of mind. There’s no word yet on whether Berry intends to seek a fifth term in 2016, but if her somnambulant performance in office over the past decade and a half is any indication, she’ll probably mail in her decision.

Commentary

Cherie Berry 2It’s no secret that North Carolina state Labor Commissioner Cherie Berry has been doing the bidding of the state’s employer community for years. If there’s an important issue impacting the well-being of the state’s workers, you can always rest assured that Berry will either be: a) defending/making excuses  for employers or b) AWOL.

This latter description aptly summarizes Berry’s performance (or rather lack thereof) when it comes to the issue so thoroughly described in a recent series of Raleigh’s News & Observer: “Contract the cheat.”

Saturday’s editorial in the N&O neatly summarized the issue and Berry’s ongoing dereliction of her duties: Read More