U.S. Senators Introduce MSCI-Supported Employee Rights Bill

On March 23, U.S. Sens. Mike Crapo (R-Idaho) and Tim Scott (R-South Carolina) introduced the Employee Rights Act of 2022, a bill that would update and modernize the Employee Rights Act to protect independent contractors, franchisees, entrepreneurs, and anyone seeking flexible work options. MSCI and more than 60 other business trade organizations have endorsed this legislation.

“It is imperative any policies reduce barriers to entry and encourage job creation, not coerce gig workers or small businesses into job-killing union agreements,” Sen. Crapo said.

The bill would:

• Make it is easier for would-be entrepreneurs to create and run their own businesses;
• Allow companies to extend benefits to independent contractors without requiring those workers to abandon their flexibility;
• Provide necessary structural reforms to U.S. labor laws to address issues that have long been ignored;
• Guarantee a majority of all employees have a right to a secret paper ballot election, which prevents pressuring an employer to deny a secret ballot election;
• Require labor unions to receive opt-in permission from each member to use his or her union dues for purposes other than collective bargaining;
• Change the majority level in certification of union elections from a majority of present voters to a majority of all affected employees;
• Give employees the right to opt out of having their personal information shared with a union during an organizing campaign; and more.

In a letter of support, MSCI and its colleagues said the bill protects workers against harassment, retaliation, and threats of violence; guarantees workers will have the freedom to choose if their membership dues should be spent on political activity; and “ensures workers who want to be self-employed can work freely and independently by clarifying and safeguarding independent contractor status in law.”

Read more about the legislation here.