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January 30, 2012

AIADA Submits Comments to USTR on Trans-Pacific Partnership Agreement
The Office of the United States Trade Representative (USTR) requested comments last week concerning Japan’s expressed interest in joining negotiations for the proposed Trans-Pacific Partnership trade agreement (TPP). AIADA along with groups from other industries submitted statements in support of Japan joining TPP negotiations.

Also last week, the USTR Ron Kirk said Japan is making progress on improving the business environment and expanding market access of U.S. goods and services. The USTR said Japan has agreed to address U.S. concerns on intellectual property and automobiles. To read USTR Ron Kirk’s remarks click HERE.

The next round of negotiations for TPP will be held from March 1-9 in Australia.

Even though Japan’s Prime Minister Noda is interested in joining TPP negotiations, Noda is receiving much pushback from various members of the Democratic Party of Japan (DPJ). Many of DPJ members submitted their resignations from the party and launched a new party called Kizuna with plans to counter Noda to join TPP.

Click HERE to read AIADA’s comments to USTR.

Labor Update: NLRB Ambush Election Rule

As expected, the National Labor Relations Board (NLRB) rushed to adopt their final rule amending the election case procedures or what is known as the Ambush Election Rule before NLRB Member Craig Becker’s appointment ended on December 31st. In the NLRB’s view, the change to the election case procedures rule reduces unnecessary litigation and delays. The rule was published in the Federal Register on December 22nd and will take effect on April 30th of this year.

What is in place to stop this potentially damaging rule from going into effect? Immediately after the rule was adopted, the U.S. Chamber of Commerce and the Coalition for a Democratic Workplace filed a suit in federal court to block the NLRB’s unfair rule. The suit was filed on the grounds that in violates the National Labor Relations Act, the Administrative Procedures Act and the Regulatory Flexibility Act and free speech.

The same week the rule was adopted, Senator Mike Enzi (R-WY), Ranking Member of the Senate Health, Education, Labor and Pensions (HELP) Committee announced his intention to challenge the rule under the Congressional Review Act (CRA). This law allows the house or Senate to introduce a joint resolution of disapproval to prevent an agency from enforcing a rule. The joint resolution will likely face a defeat in the Senate and more than likely the President would veto the measure.

AIADA is actively supporting congressional efforts to stop what is being put in place by the NLRB.

Recess Appointments Lead to Controversy

The new Ambush Election Rule is not the only news coming out of the NLRB. President Obama made recess appointments to the NLRB and the Consumer Financial Protection Bureau (CFPB) while the Senate was not actually in recess. The appointments included three new members to the NLRB: Sharon Block, Terence Flynn and Richard Griffin. With all five seats filled, the NLRB is once again operating at full power. President Obama also appointed Richard Cordray as the director of the newly-created CFPB.

What is a recess appointment? The Constitution requires Senate confirmation of federal offices but a president can by-pass that by making the appointment during a Senate recess period. Most presidents typically take this route if it looks very unlikely the nominee will garner the 60 votes needed to beat a filibuster. The argument that the nomination of Cordray to the CFPB and the three members of the NLRB on January 4th are unlawful is because the Senate stayed in session by holding brief pro-forma meetings every three days during the holiday break.

As soon as the appointment of Richard Cordray to the CFPB was announced, Senator Mitch McConnell (R-KY) made the following statement, “This recess appointment represents a sharp departure from a long-standing precedent that has limited the President to recess appointments only when the Senate is in recess of 10 days or longer. Breaking from this precedent lands this appointee in uncertain legal territory, threatens the confirmation process and fundamentally endangers the Congress’s role in providing a check on the excesses of the executive branch.”

The Coalition for a Democratic Workplace filed a motion that will seek to block the unconstitutional recess appointments to the NLRB by President Obama and hold the administration accountable. The motion reads that the three people appointed to the NLRB by avoiding the nomination process are not to be recognized as members.

Ranking Member of the Senate Judiciary Committee Senator Charles Grassley (R-IA) said he would continue talks on an appropriate reaction to the recess appointments. The Senate Banking Committee will hold a hearing on the CFPB this week and have asked Director Richard Cordray to testify.

The House Judiciary Chairman, Congressman Lamar Smith (R-TX), asked Attorney General Eric Holder to show the documents that would reveal the role the Justice Department played in assessing the legality of the appointments on January 4th. The House Judiciary Committee plans to hold a hearing on the matter on February 15th.

This Week in Congress

The House and Senate will be in session.

 

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