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New Data Privacy Bill Raises Concerns
New legislation, called the American Privacy Rights Act of 2024 (APRA), aims to establish a comprehensive national framework for consumer data privacy and security.
The bill, introduced by a bipartisan, bicameral team—Senate Commerce Committee Chairman Cantwell (D-WA) and House Energy and Commerce Committee Ranking Member McMorris Rodgers (R-WA)—would establish national consumer data privacy rights and set standards for data security for qualifying organizations.
Where we stand: The NRA continues to be in favor of a reasonable data privacy bill that would preempt the existing patchwork of state laws, but APRA contains several poison pills.
- Specifically, the bill would threaten a restaurant’s ability to maintain loyalty programs and reach its customers through targeted advertising.
- Additionally, the bill does not go far enough to ensure this federal law would preempt state laws, and it unfortunately includes a private right of action as a key enforcement mechanism.
What’s next: The legislation is being referred to by some as a “discussion draft,” and its path forward in this Congress is uncertain. However, the NRA will continue to work with like-minded trade organizations and stakeholders on Capitol Hill to convey concerns with the bill and educate members on its potential impact.
US DOL Issues Final Rule to Clarify Rights to Employee Representation During OSHA Inspections
The U.S. Department of Labor today published a final rule clarifying the rights of employees to authorize a representative to accompany an Occupational Safety and Health Administration compliance officer during an inspection of their workplace.
The Occupational Safety and Health Act gives the employer and employees the right to authorize a representative to accompany OSHA officials during a workplace inspection. The final rule clarifies that, consistent with the law, workers may authorize another employee to serve as their representative or select a non-employee. For a non-employee representative to accompany the compliance officer in a workplace, they must be reasonably necessary to conduct an effective and thorough inspection.
The rule is effective on May 31, 2024. Learn more.
Independent Contractor or Employee? 2024 Final Rule Goes into Effect
On March 11, a Department of Labor (DOL) rule dictating how employers should determine whether their employees qualify as independent contractors took effect. The 2024 Final Rule, which DOL issued Jan. 10, rescinds and replaces the Trump administration’s more streamlined worker classification while returning to the “totality of the circumstances” standard.
Dive deeper: Under this rule, DOL returns to a 6-factor test, with no one factor presumed to carry more weight than another. This new standard undermines clarity and predictability for businesses. In addition, the complexity of the new rule will likely require operators to consult with qualified legal counsel. The rule’s ambiguity could also lead to inconsistent classifications and increased litigation risks.
Key takeaway: The rule is expected to make it more difficult for companies to categorize workers as independent contractors, rather than employees. However, platforms in the gig economy, such as app-based rideshare and delivery services, do not expect the new rule to alter the classification of their drivers.
Why it matters: The distinction between employee and independent contractor determines whether the individual is entitled to the federal minimum wage and overtime.
What’s next: The Association supports H.J. Res 116 and S.J. Res 63, resolutions to repeal DOL’s final Independent Contractor rule through the Congressional Review Act. Earlier this month, the Association joined a coalition of organizations in sending a letter to Congress in support of this effort. The Association also supports the Employee Rights Act, which would streamline the definition of "employee" across federal law.
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