Illinois low wage laborers working their way into poverty!

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Nigel Horn
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1 The Problem of Wage Theft and Other Workplace Abuses Illinois low wage laborers working their way into poverty! Chicago Workers Collaborative Latino Union of Chicago Centro de Trabajadores Unidos Working Hands Legal Clinic

2 Injuries on the Job Impact on Latino Workers Fatal and serious injuries on the job: Rate is twice as high for Latino workers; 2/3 of fatal injuries to Latinos happened to foreign born immigrants; 10 out of 10,000 Latino workers were seriously injured on the job, double that of whites and blacks. Source: Illinois Governor s Panel on Latino Workplace Injuries and Fatalities (2005)

3 Injuries on the Job Causes of Disparate Impact Governor s Panel found injured Latino workers were: Clustered in low skilled, and often dangerous jobs; Often work multiple jobs, which can lead to fatigue and errors. Face cultural and language barriers at the worksite; Fear retaliation for making a workers comp claim; More often day or temporary laborers; Source: Illinois Governor s Panel on Latino Workplace Injuries and Fatalities (2005)

4 Wage Theft Violations for Illinois Low Wage Workers Source: Unregulated Work in Chicago, Center for Urban and Economic Development, University of Illinois Chicago, 2010.

5 Wage Theft in Illinois In Chicagoland area: The Bottom Line Estimated nearly 150,000 low wage workers in suffer wage theft in a given week; Estimated $7.3 million in stolen wages each week; Foreign born workers 1 ½times more likely to experience wage theft than U.S. born worker; Source: Unregulated Work in Chicago, Center for Urban and Economic Development, University of Illinois Chicago, 2010.

6 Other Workplace Issues for Immigrant Workers Undocumented workers suffer a wage penalty: Male workers earned 22% less than male counterparts; Female workers earned 36% less than male counterparts; In rare instance undocumented workers have retirement plan, often lose when end job. Source: Chicago s Undocumented Immigrants, Center for Urban and Economic Development, University of Illinois Chicago, 2002.

7 How do wage theft and other employment abuses happen When wage theft and other illegal workplace abuses are permitted to continue, it stops being a crime and becomes a business model.

8 How do wage theft and other employment abuses happen Increased use of day and temporary labor;

9 The Day and Temporary Labor Industry 500,000 Illinoisans go out each day as day and temporary laborers; 70% of day or temporary laborers in Illinois are recent immigrants; Concentrated in construction and light industry; Source: Chicago s Undocumented Immigrants, Center for Urban and Economic Development, University of Illinois Chicago, 2002.

10 Day Labor Evasive employers Cash economy De facto misclassification No employment benefits No unemployment insurance No workers comp insurance

11 Temporary Staffing Incentives: Reduce labor costs: Minimum wage jobs; No health insurance/benefits; Avoid liability for abusive/unlawful workplace conditions

12 Abuses in temporary staffing industry hurt different communities

13 How is wage theft and other employment abuses done Draining assets of distressed companies in bankruptcy

How is wage theft and other employment abuses done "When the Duraco company started stealing our earned wages, we lost everything. My house was foreclosed on.

14 How is wage theft and other employment abuses done "When the Duraco company started stealing our earned wages, we lost everything. My house was foreclosed on. I heard from some of my co-workers that they re literally living out of their cars now. Kim Cambra of Duraco Products, Inc./Just Pay Leader, testifying before the Illinois House of Representatives Labor Committee.

15 Impact on low income workers is real!

16 Impact on low income workers is real!

17 Enforcement System in Illinois Was Not Working

18 Illinois Just Pay For All Who Are We Centro de Trabajadores Unidos Latino Union of Chicago Chicago Workers Collaborative Working Hands Legal Clinic

19 Illinois Just Pay For All

20 Outcome of Just Pay Campaigns Comprehensive reforms of Illinois workplace protection laws: Strongest protections for temporary staffing workers in the nation, including Joint 3 rd party client company liability; Temp worker can enforce her own rights directly; Strong anti retaliation language included complaining to a community center.

21 Illinois temporary staffing law has largely cleaned up unlawful abuses

22 Outcome of Just Pay Campaigns Comprehensive reform of wage theft enforcement law: Creation of a new law prohibiting misclassification of employees as independent contractors Small claims courts reform.

23 Outcome of Just Pay Campaigns Workers Comp: Greater penalties for no work comp insurance; Fund for injured workers at uninsured employers; Fighting legal attempts to bar coverage for undocumented workers

24 Outcome of Just Pay Campaigns Workers Comp: Greater penalties for no work comp insurance; Fund for injured workers at uninsured employers; Fighting legal attempts to bar coverage for undocumented workers

25 Outcome of Just Pay Campaigns Immigrant Worker Rights: Project with Legal Assistance Foundation of Chicago Immigrant Rights Project and Equal Justice Fellow to take advantage of U Visas for victims of workplace crimes. US US DOL DOL TO TO CERTIFY CERTIFY U-VISAS U-VISAS Washington, DC Labor Secretary Hilda Solis announced today that the Washington, DC Labor Secretary Hilda Solis announced today that the U.S. Dept. of Labor will begin certifying U nonimmigrant status visas (U U.S. Dept. of Labor will begin certifying U nonimmigrant status visas (U visas) as early as this summer. The DOL's announcement marks a great step visas) as early as this summer. The DOL's announcement marks a great step forward in the protection of vulnerable immigrant workers. NILC looks forward in the protection of vulnerable immigrant workers. NILC looks forward to working with DOL on drafting the implementing protocol to forward to working with DOL on drafting the implementing protocol to ensure that the most common criminal activities workers are subjected to ensure that the most common criminal activities workers are subjected to qualify for certification. qualify for certification. Created by the Victims of Trafficking and Violence Prevention Act of 2000 Created by the Victims of Trafficking and Violence Prevention Act of 2000 (TVPA), U visas are an important means to combat workplace (TVPA), U visas are an important means to combat workplace exploitation. The visa allows victims of certain crimes who have suffered exploitation. The visa allows victims of certain crimes who have suffered physical or emotional abuse, and who are willing to cooperate with physical or emotional abuse, and who are willing to cooperate with authorities, the ability to remain in the United States for up to four years authorities, the ability to remain in the United States for up to four years and the possibility to apply for permanent residence. Recognizing that and the possibility to apply for permanent residence. Recognizing that unscrupulous employers often target immigrant workers for retaliation or unscrupulous employers often target immigrant workers for retaliation or abuse, advocates nationwide have pushed for DOL's certification of U visas abuse, advocates nationwide have pushed for DOL's certification of U visas since the legislation's passage. since the legislation's passage. "DOL's announcement is extremely important, as there are an increasing "DOL's announcement is extremely important, as there are an increasing number of egregious situations where employers commit state and federal number of egregious situations where employers commit state and federal crimes that fall under the agency's jurisdiction," said Tyler Moran, policy crimes that fall under the agency's jurisdiction," said Tyler Moran, policy director for the National Immigration Law Center. "We now look to director for the National Immigration Law Center. "We now look to Congress to provide DOL with additional tools to enforce the law by Congress to provide DOL with additional tools to enforce the law by supporting expansion of U visas to the many immigrant workers who supporting expansion of U visas to the many immigrant workers who experience egregious violations of civil labor and employment laws experience egregious violations of civil labor and employment laws including wage theft." including wage theft."

26 Illinois Just Pay For All

Broken Laws, Workers. etaliation orkers comp. and Labor Laws in America s Cities

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