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Subject:	July 31 -- BNA, Inc. Daily Labor Report

______________________________

DAILY LABOR REPORT
Highlights & Table of Contents
July 31, 2001
______________________________

ISSN 1522-5968

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HIGHLIGHTS
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MISSOURI COURT STRIKES DOWN ST. LOUIS LIVING WAGE ORDINANCE

In what may be the first judicial decision overturning a
living wage law, the Missouri Circuit Court strikes down a
living wage ordinance approved by voters in St. Louis last
year ("Missouri Hotel and Motel Ass'n v. St. Louis, "Mo.
Cir. Ct., No. 004-02638, 7/18/01). Finding that several
portions of the ordinance are illegal or "unconstitutionally
vague," Judge Dierker permanently enjoins the city from
implementing or enforcing the ordinance.

Dierker finds that the ordinance conflicts with a state
minimum wage statute by attempting to apply living wage
standards to contractors, subcontractors, and lessees of
grantholders "regardless of whether they derive any benefit
from the [C]ity" in the form of financial assistance,
regardless of whether they play a role in the economic
development contemplated by the assistance, and without
regard to time. The ordinance, approved by voters in August
2000, required city contractors, their subcontractors,
leaseholders, and companies receiving tax breaks or
assistance from the city to pay their employees a living
wage starting at $8.67 an hour with health care benefits or
$9.92 an hour without health care benefits. . . . Page AA-1,
Text E-1

http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n3c7h2_

http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n2d1h2_


COURT SAYS LOWER JOB RATING'S TIE TO BONUS PROVIDES BASIS
FOR BIAS SUIT

An analyst for the Department of Veterans Affairs may
proceed with her claim that the federal agency violated
Title VII of the 1964 Civil Rights Act by discriminatorily
giving her an "excellent" performance rating rather than an
"outstanding" rating, which resulted in a lower bonus, the
D.C. Circuit rules ("Russell v. Principi,  "D.C. Cir.,  No.
00-5172,  7/27/01).

Reversing summary judgment for the department in the reverse
discrimination lawsuit brought by Lisa K. Russell, the court
rejects the department's argument that Russell's case was
shut down by the appeals court's 1999 ruling in "Brown v.
Brody" that poor performance evaluations were not
necessarily adverse job actions. Here, the court finds, the
performance evaluation could be considered an adverse job
action because it was directly tied to Russell's job bonus.
. . . Page A-1

http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n3y0b1_


CHAO PROMISES REVIEW OF YOUTH OPPORTUNITY GRANTS

Labor Secretary Elaine Chao says the Labor Department will
review job training programs that are funded annually
through DOL's Youth Opportunity Grants before authorizing a
third round of funding in 2002. Speaking before the National
Urban League, Chao says that during her review she will look
for a "serious educational component to these programs, not
just dead-end diversions to make people feel better."

In June, DOL gave $202 million in youth opportunity grants
to 35 communities for job training and education programs
targeted at youths who run the greatest risk of permanent
joblessness. The grants are the second installment of a
five-year, $1.375 billion effort.

Chao also highlights a recent partnership formed in June
between DOL and the Education Department. Under a memorandum
of understanding signed by Chao and Education Secretary
Paige, DOL will take primary responsibility for the core
programs involved in the initiative--the Job Corps program
and the One-Stop Career Center system--while the Education
Department will provide guidance on adult math and reading
skills and explore high school degree options. . . . Page
A-8

http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n4a3c7_


AK STEEL, STEELWORKERS SET TO RESUME TALKS TO RESOLVE
TWO-YEAR DISPUTE

Although allegations of inappropriate conduct continue,
representatives of the United Steelworkers and AK Steel
agree to meet at the bargaining table Aug. 2, looking to
resolve a labor dispute at the company's Mansfield, Ohio,
plant before its second anniversary.

About 620 workers represented by USW Local 169 were locked
out of the plant Sept. 1, 1999, when the most recent
contract expired. AK Steel, which acquired the plant from
Armco later that month, has continued to operate the plant
with management employees and replacement workers.

USW representative Tony Montana says the scheduled talks
will mark the second meeting in a month. Negotiations
between the union and AK Steel resumed July 12 after a
six-month bargaining hiatus.  Neither side would comment on
the substance or tenor of their talks. Original negotiations
broke down largely over the issue of mandatory overtime,
Montana says. . . . Page A-5

http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n3z3r6_


PLAINTIFF AWARDED NOMINAL DAMAGES MIGHT RECEIVE ATTORNEYS'
FEES

A race discrimination plaintiff who recovered only nominal
damages of a dollar on his harassment claim may nevertheless
be entitled to attorneys' fees, provided he meets the
criteria set out in a 1992 U.S. Supreme Court opinion, the
Tenth Circuit rules ("Barber v. Williamson, " 10th Cir., No.
00-5015, 7/2/01).

A federal magistrate judge grants plaintiff Lenard Barber's
request for attorneys' fees after a jury found in Barber's
favor on his hostile environment racial harassment claim
under Title VII of the 1964 Civil Rights Act. The jury,
however, rejected Barber's additional claims of
discriminatory termination and retaliatory discharge. It
also finds that Barber "suffered no damages" from the
racially hostile work environment, awarding $1 as a
vindication of the plaintiff's Title VII rights.

In awarding attorneys' fees to Barber, the federal
magistrate cites the "general rule" under Title VII that
attorneys' fees are to be awarded to "prevailing parties"
absent "circumstances that would make such an award unjust"
as well as Justice Sandra Day O'Connor's concurring opinion
in "Farrar v. Hobby".

On remand, the district court should reconsider its
attorneys' fee award to Barber in light of the Tenth
Circuit's clarification of the O'Connor criteria, the
magistrate concludes. . . . Page A-3

http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n2a9x5_


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TODAY'S EVENTS
______________

PERSONAL INCOME: June data on personal income and outlays
released, 8:30 a.m., Commerce Department.

________________

ALSO IN THE NEWS
________________


NAFTA: The standoff in the Senate over the fiscal year 2002
transportation spending bill continues with senators unable
to compromise on provisions that would put restrictions on
Mexican trucks traveling in the United States. Senate
Majority Leader Daschle expects another vote on a motion to
proceed with the bill. . . . Page A-4

http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n3z5r2_

SAFETY & HEALTH: The number of employers requesting
consultation visits fell by more than 2,500 between fiscal
year 1998 and 1999 in states that operate their own worker
safety programs, according to a recent report issued by the
Occupational Safety and Health State Plan Association. . . .
Page A-7

http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n4a6y1_

FLSA: Sen. Specter (R-Pa.) and Rep. Pitts (R-Pa.) introduce
legislation to amend the Fair Labor Standards Act to allow
workers as young as 14 to work in Amish sawmills. Amish
leaders argue that these workers should be free to work in
the operations because the Amish religion provides formal
schooling only through the eighth grade, after which youths
enter apprenticeships to learn a trade.. . . Page A-2

http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n3u7y8_


____

TEXT
____

MINIMUM WAGE: Decision of the Missouri Circuit Court in
Missouri Hotel and Motel Ass'n v. City of St. Louis. . . .
Page E-1

http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n2d1h2_


_________________

TABLE OF CONTENTS
_________________

LEADING THE NEWS

MINIMUM WAGE
   In what may be the first judicial decision overturning a
   living wage law, a Missouri state court strikes down a
   living wage ordinance approved by voters in St. Louis
   last year  . . . Page AA-1,  Text E-1
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n3c7h2_

   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n2d1h2_


____

NEWS
____

EMPLOYMENT
   Sens. Thurmond (R-S.C.) and Hatch (R-Utah) introduce bill
   (S. 1228) that would authorize pilot projects under which
   private companies could use federal inmates to produce
   items otherwise being made by foreign labor . . . Page
   A-8
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n3p8j3_

ERISA
   Employee of Mount Sinai Medical Center can proceed with
   her claim that she unlawfully was denied the opportunity
   to participate in a pension plan when her employer failed
   to provide the summary plan description, a federal
   district court in New York rules . . . Page A-1
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n2t3r1_

   Former candy company executive's common law contract
   claim alleging that he was entitled to a year's salary as
   severance pay is preempted by ERISA, the Seventh Circuit
   rules . . . Page A-2
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n1h4d7_

FLSA
   Measure is introduced in the House and Senate to amend
   the Fair Labor Standards Act of 1938 to allow Amish
   workers and other workers as young as 14 to work in
   sawmills--work currently barred under the act . . . Page
   A-2
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n3u7y8_

LABOR DEPARTMENT
   Labor Secretary Chao says the Labor Department will
   review job training programs that are funded annually
   through DOL's Youth Opportunity Grants before authorizing
   a third round of funding in 2002 . . . Page A-8
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n4a3c7_

NAFTA
   Standoff in the Senate over the fiscal 2002
   transportation spending bill continues with senators
   still unable to compromise on restrictions for Mexican
   trucks traveling throughout the United States . . . Page
   A-4
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n3z5r2_

POLITICS
   Longtime critic of the National Education Association
   files a complaint claiming that the teachers' union
   violated tax law by failing to properly report its
   political spending . . . Page A-6
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n3z6k7_

RACE DISCRIMINATION
   Analyst for the Department of Veterans Affairs may
   proceed with her claim that the department violated Title
   VII of the 1964 Civil Rights Act by discriminatorily
   giving her an "excellent" performance rating rather than
   an "outstanding" rating, which resulted in a lower bonus,
   the D.C. Circuit rules . . . Page A-1
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n3y0b1_

   Race bias plaintiff who recovered only nominal damages of
   a dollar on his harassment claim nevertheless may be
   entitled to attorneys' fees, provided he meets the
   criteria set out in a 1992 U.S. Supreme Court opinion,
   the Tenth Circuit rules . . . Page A-3
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n2a9x5_

SAFETY & HEALTH
   Report finds that the number of employers requesting
   consultation visits fell by more than 2,500 from the 1998
   fiscal year to the 1999 fiscal year in states that
   operate their own worker safety programs . . . Page A-7
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n4a6y1_

STATE LAWS
   Oregon Gov. Kitzhaber (D) signs a bill (S.B. 485b) that
   addresses a state supreme court ruling earlier this year
   that found fault with the state's workers' compensation
   exclusive remedy provision . . . Page A-9
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n3x9r5_

STEEL
   Although allegations of inappropriate conduct continue
   between the United Steelworkers and AK Steel, the two
   sides will sit down at the bargaining table in an attempt
   to resolve a labor dispute at the company's Mansfield,
   Ohio, plant before its second anniversary . . . Page A-5
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n3z3r6_

   In preliminary determinations, the Commerce Department
   finds that imports of stainless steel bar from France,
   Germany, Italy, Korea, and the United Kingdom are being
   dumped in the United States . . . Page A-4
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n3y5w4_


____

TEXT
____

MINIMUM WAGE
   Decision of the Missouri Circuit Court in "Missouri Hotel
   and Motel Assn. v. St. Louis" . . . Page E-1
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n2d1h2_


______________

TABLE OF CASES
______________

Barber v. Williamson (10th Cir.) . . . Page A-3
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n2a9x5_

Missouri Hotel and Motel Ass'n v. St. Louis  (Mo. Cir. Ct.)
. . . Page AA-1,  Text E-1
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n3c7h2_

   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n2d1h2_

Russell v. Principi (D.C. Cir.) . . . Page A-1
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n3y0b1_

Simeon v. The Mount Sinai Medical Center (S.D.N.Y.) . . .
Page A-1
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n2t3r1_

Welles v. Brach & Brock Confections Inc. (7th Cir.) . . .
Page A-2
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4n1h4d7_

   __________
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