June10

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RI ARA

Affiliated with the Rhode Island AFL-CIO “Fighting for the future of our members.” “NOW, more than ever!!!” Publication 2018 Issue 23 Published in house by the RI ARA

June 10, 2018 E-Newsletter

All Rights Reserved RI ARA 2018©

Social Security’s Finances Remain Strong

Rich Fiesta

Making Prescription Drugs More Affordable Would Give Medicare a Boost

The following statement was issued by Richard Fiesta, Executive Director of the Alliance for Retired Americans, regarding the Trustees reports issued today on the Social Security and Medicare Trust Funds: “Social Security remains strong and able to meet its obligations well into the future. The 2018 Social Security Trustees report found that Social Security will be able to cover all

payouts and expenses until 2034. This is unchanged from last year. Given Social Security’s efficiency and near universality, the clear solution to the nation’s looming retirement income crisis is to increase Social Security’s modest benefits. “Social Security becomes a more important part of millions of American families’ retirement plans every year. We call on our elected leaders to safeguard and expand Social Security benefits, provide a more accurate formula for cost-of-living adjustments, and lift the cap on earnings for the wealthiest Americans. “The Medicare Trust Fund for hospital care now has sufficient

funds to cover its obligations until 2026, three years sooner than projected last year. Congress and the Administration should act now to make changes that will strengthen the program for the future while reducing costs to retirees, such as reining in the prices of prescription drugs. There is no reason that Americans should continue to pay the highest prices in the world for their medications. “Sixty-six percent of voters are more likely to back candidates who support expanding and increasing Social Security benefits, compared to only 18% who are less likely. “In addition, Congress should

sop preventing the Social Security Administration from spending just a few tenths of a percent more of its surplus on administration, so that it can restore the hours of field offices and open new locations. Since 10,000 Americans are turning age 65 every day and disability backlogs are shamefully high, this is a necessary change from current policy. “Americans have earned their Social Security and Medicare benefits through a lifetime of hard work. We can support the next generations as they retire if we the take the appropriate steps to sustain them.”

The Supreme Court majority is quietly barring workers from having their day in court Above all the Roberts Court is strongly pro-business. The court recently demonstrated that again when it closed the courthouse doors to the ability of many workers to sue for wage theft, harassment, and discrimination. In Epic Systems v. Lewis, the court in a 5-4 decision ruled that an employer may lawfully require its employees to agree, as a condition of employment, to take all employment-related disputes to arbitration on an individual basis and to waive their right to participate in a class action suit or class arbitration. The case involved an effort by workers to file a class action suit against an employer for violating the federal minimum wage law. The employer sought to dismiss the case because it had insisted as a condition of employment that the employees waive their ability

to go to court or be part of a class action; any dispute had to be resolved out of court in an arbitration. This should be an easy case. The National Labor Relations Act, a federal law adopted in 1938, protects a right for employees to engage in “concerted activities for the purpose of . . . mutual aid or protection.” As Justice Ruth Ginsburg explained in her dissent: “By joining hands in litigation, workers can spread the costs of litigation and reduce the risk of employer retaliation.” But Justice Neil Gorsuch, joined by the conservative justices – John Roberts, Anthony Kennedy, Clarence Thomas, and Samuel Alito – rejected this and said that the arbitration clause in the employment contract that was insisted upon by employers had

to be enforced and the workers could not go to court or even have a class action in arbitration. The Supreme Court invoked the Federal Arbitration Act, a law adopted in 1925, which provides that arbitration clauses in contracts shall be enforced. There are many serious flaws with the majority’s reasoning. To begin with, the Federal Arbitration Act never was meant to apply to employment contracts. In fact, the law explicitly states “but nothing herein contained shall apply to contracts of employment of seamen, railroad employees, or any other class of workers engaged in foreign or interstate commerce.” Moreover, there is a wellestablished principle of statutory interpretation that says that a later statute should be seen as

modifying an earlier one. Yet, the court gave the 1925 federal law precedence over one adopted in 1938. There also is a principle that great deference should be given to the statutory interpretation of federal agencies. For 75 years, the National Labor Relations Board always said that the right to engage in concerted activity includes a right to be part of class action suits and that employers cannot insist on arbitration as a condition for employment. Justice Gorsuch’s majority opinion began with a false premise. In his first sentence he asked, “Should employers and employees be allowed to agree that any disputes between them will be resolved through one-onone arbitration?” ...Read More

Rhode Island Alliance for Retired Americans, Inc. • 94 Cleveland Street • North Providence, RI • 02904-3525 • 401-480-8381 riarajap@hotmail.com • http://www.facebook.com/groups/354516807278/


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