Leadership

Unemployment Compensation Reform Kicked to Next General Assembly

OMA has spent much of the year fighting for substantive reforms that would lead to solvency in Ohio’s unemployment compensation trust fund before the next recession.  As the lame duck session of the 131st General Assembly wound down, it became clear that the timing for an overhaul was not right, but an important employer penalty provision was removed.

As a placeholder to pick up this important economic issue for Ohio, OMA and like-minded business groups signed a letter of intent to negotiate in good faith in the early part of the 132nd General Assembly for meaningful solvency legislation.

In the meantime, an amendment to SB 235 was added that takes some baby steps to improve system solvency.  If implemented, these provisions would take effect in 2018: 1) two year freeze on benefits, 2) two year increase in taxable wage base from $9,000 to $9,500, and 3) most importantly, the elimination of the current penalty provision allowing that if Ohio borrows funds from the federal government to cover future unemployment compensation liabilities, all employers are subject to an immediate contribution rate increase.

Parties agreed to an April 1, 2017 deadline to work out a final solvency plan.  Labor and business have also agreed to foot the costs of an actuary to analyze proposals arising from further negotiations.

As we’ve said before: stay tuned.  Thank you to members who made time to write and call your state representatives and senators.   12/8/2016

OMA Strongly Opposes Gun Bill

OMA went on the record with Speaker Rosenberger and Senate President Faber to express great concern with amendments to Sub. Senate Bill 199.   The objectionable provisions revise Ohio’s anti-discrimination laws and create a new protected class, namely concealed carry licensees who possess a concealed carry weapon in a motor vehicle on an employer’s property.

Private employers generally ban employees from possessing weapons on their premises, including weapons kept in motor vehicles.  This bill takes away a private property owner’s right to regulate the presence of weapons on its property and ensure a safe workplace for its employees.

These new amendments go far beyond the bill’s original intent, which appears to have been to allow military personnel to have the same rights and protections as concealed carry owners without having to go through the concealed carry application/training  process.

This bill (at time of this publication) would add an entirely new protected class, essentially equating the right to carry a concealed weapon in a vehicle on an employer’s premises with race, age, sex, etc.  Here’s a good analysis from OMA counsel, Bricker & Eckler.  12/8/2016

Manufacture of Baby Products Banned

The Ohio House of Representatives this week completed legislation intended to reduce infant mortality by approving Senate Bill 332, 87-7.  The bipartisan legislation makes numerous law changes including outlawing the manufacture of certain baby products.  The ban applies to the manufacture of baby pads and related products, but establishes a precedent to ban the manufacture of other products deemed unsafe.  The OMA took issue with the provision, asking legislators to remove the manufacturing prohibition.

In our letter to the committee chair, OMA’s Ryan Augsburger said, “Manufacturers are supportive of childhood safety; however when product safety limitations justify regulation of the manufacture, a uniform federal regulation is always preferable to a patchwork of state laws that can disadvantage states.”

An emotionally charged issue, lawmakers ultimately declined to remove the manufacturing ban before sending the bill to the House floor.

OMA staff recognizes Andrew Hackman of the Juvenile Products Manufacturers Association who testified repeatedly on behalf of manufacturers’ interests.  12/8/2016

OMA Urges Support to Prevent Unsafe Used Tire Installation

Members of the Ohio Senate Government Oversight & Reform Committee heard proponent testimony this week on Senate Bill 336, including this testimony from the OMA.  The legislation, jointly sponsored by Senators Cliff Hite (R–Findlay) and Frank LaRose (R–Akron), revises Ohio’s deceptive trade practices act to strengthen civil and criminal penalties related to the installation of unsafe used tires.

The bill is supported by rubber and tire manufacturers.  12/8/2016

Ohioans Want Infrastructure Investment

The OMA partnered with the National Association of Manufacturers (NAM) this week to announce findings from a recent poll among registered voters in what are key battleground states to gauge the strength of support for infrastructure development.  Not surprisingly, the survey finds overwhelming bipartisan support for all forms of infrastructure development.

In a joint statement with the NAM, OMA President Eric Burkland, said, “Buckeye State voters overwhelmingly support infrastructure investment because they know it will improve standards of living.  From pipeline infrastructure to get Utica Shale resources to market, to locks and dams along the Ohio River, to maritime and transportation infrastructure along Lake Erie, public and private investment in these areas will help get Ohioans working again and revitalize our manufacturing base for years to come.”  12/8/2016

Infrastructure Investment is Focus of Dec. 13 Warren Event

On Tuesday, December 13 the Youngstown/Warren Regional Chamber is hosting a breakfast meeting focused on accelerating our energy and transportation infrastructure.

A panel including Congressmen Tim Ryan and Bill Johnson as well as industry experts will look ahead to how the Trump administration and the next Congress can impact infrastructure.

The event is supported by the National Association of Manufacturers, the OMA, and the Ohio Oil and Gas Association.

Here are the details.  12/8/2016

Belden and Athos Elected to OMA Board

When it met this week, the OMA board of directors added two new directors.  Brad Belden, Vice President, Administrative Services, The Belden Brick Company, Canton, and Scot DeAthos, General Manager, AstraZeneca, West Chester, were elected to the volunteer board.

Belden is a familiar name among OMA members as he has served as volunteer chair of the OMA Energy Committee and OMA Energy Group.

DeAthos will represent Ohio’s pharmaceutical manufacturing industry on the board.  It is a goal of the OMA Nominating & Governance Committee, chaired by Dan French, Chairman of the Board & CEO, The French Oil Mill Machinery Co., to recruit directors from Ohio’s diverse geography and manufacturing sectors.  12/5/2016

Northeast Ohio Manufacturers: 10 Minutes, 25 Questions, Free Gift

MAGNET, the Manufacturing Advocacy and Growth Network, is urging Northeast Ohio manufacturers to participate in its landmark regional manufacturers’ survey which will measure your opinions about business conditions and other issues relevant to your ability to compete.

Results will be released in January, so you can see how your company matches up with the opinions of other Northeast Ohio manufacturers.

More reasons to engage:  At the end of the survey, you’ll be able to pick one of ten business books – delivered to you free!  And, survey sponsor, Wells Fargo Insurance, will donate $5 to Harvest for Hunger for every response collected.

Click here to start the survey now.  12/6/2016

UC Reforms Under Gun From Labor

Ohio’s insolvent unemployment compensation system received two shots of new life this week against the backdrop of labor outcries.  Representative Schuring (R-Canton) and Senator Peterson (R-Washington Court House) introduced new unemployment solvency companion legislation.

House Bill 620 and Senate Bill 374 are balanced approaches that better align benefits and contributions.  They are intended to build a balance in the state’s trust fund before the next recession.

These provisions to address solvency include: 1) freeze the maximum weekly benefit amounts, 2) increase the taxable wage base which employers pay and adjust the minimum safe level (MSL) tax rate, 3) establish a reasonable minimum safe level for the UI trust fund, 4) adjust the number of potential weeks of unemployment compensation, and 5) modernize Ohio’s dependency provision which provides benefits unequally for qualified unemployed workers.

The OMA’s Rob Brundrett provided proponent testimony for both House Bill 620 and Senate Bill 347, along with other allied business groups.  Both business groups and newspapers approve of the balanced and reasonable approach taken by Representative Schuring and Senator Peterson.

As time winds down on the legislative session, it is imperative that the legislature pass either of the bills.  Organized labor has mobilized to kill these bills in the final weeks of the General Assembly.

OMA members are urged to contact their senators and representatives right away to ensure that unemployment compensation solvency is addressed next week.  We make it easy.  Go to the OMA Manufacturing Advocacy Center and let your elected officials hear your voice.  12/1/2016

OMA Supports Protections Against Unsafe Used Tires

This week, the OMA joined forces with the Rubber Manufacturers Association to support House Bill 574 which imposes new legal restrictions against the installation of unsafe used tires.

“Industry leaders have identified a problem with too many unsafe used tires entering the stream of commerce, available for installation to a motoring public who may not be aware of their unsafe condition,” said the OMA’s Ryan Augsburger in proponent testimony.

In his testimony, Daniel Zielinsky of the Rubber Manufacturers Association said, “The installation of used tires is not subject to any regulations. HB 574 seeks to weed out those tires that every tire professional can and should know poses an unreasonable risk to motorist safety. Simply put, if you’re in the business of selling tires, you should know not to sell tires that match the conditions listed in this legislation.”  12/1/2016