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Senate Grinds Away on $1 Trillion Infrastructure Bill

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The vote on a $1 trillion bipartisan infrastructure package could be held “in a matter of days,” Senate Democratic leader Chuck Schumer said Sunday. But first, senators still need to finish writing the vast legislation, the Associated Press reported. Schumer opened the rare Sunday session by saying that the text of the bill would be released “imminently.” To be called the Infrastructure Investment and Jobs Act, it is swelling to 2,700 pages. But as glitches were caught and changes made, the start-and-stop day was turning into an evening Senate session. Two of the negotiators said yesterday morning that action could come soon. Senators and staff have been laboring behind the scenes for days to write what is certain to be a massive piece of legislation and a key part of President Joe Biden’s agenda. It calls for $550 billion in new spending over five years above projected federal levels, what could be one the more substantial expenditures on the nation’s roads, bridges, waterworks, broadband and the electric grid in years.

Bipartisan Breakthrough Clears Way for Action on Infrastructure Deal

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The Senate voted on Wednesday to take up a $1 trillion bipartisan infrastructure bill that would make far-reaching investments in the nation’s public works system, as Republicans joined Democrats in clearing the way for action on a crucial piece of President Biden’s agenda, the New York Times reported. The 67-to-32 vote, which included 17 Republicans in favor, came just hours after centrist senators in both parties and the White House reached a long-sought compromise on the bill, which would provide about $550 billion in new federal money for roads, bridges, rail, transit, water and other physical infrastructure programs. Among those in support of moving forward was Senator Mitch McConnell (R-Ky.). McConnell’s backing signaled that his party was — at least for now — open to teaming with Democrats to enact the plan. The deal still faces several challenges to becoming law, including being turned into formal legislative text and clearing final votes in the closely divided Senate and House. If enacted, the measure would be the largest infusion of federal money into the public works system in more than a decade. The compromise, which was still being written on Wednesday, includes $110 billion for roads, bridges and major projects; $66 billion for passenger and freight rail; $39 billion for public transit; $65 billion for broadband; $17 billion for ports and waterways; and $46 billion to help states and cities prepare for droughts, wildfires, flooding and other consequences of climate change, according to a White House official who detailed it on the condition of anonymity.

States That Cut Unemployment Early Aren’t Seeing a Hiring Boom, But Who Gets Hired Is Changing

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The 20 Republican-led states that reduced unemployment benefits in June did not see an immediate spike in overall hiring, but early evidence suggests something did change: The teen hiring boom slowed in those states, and workers 25 and older returned to work more quickly, the Washington Post reported. A new analysis by payroll processor Gusto, conducted for The Washington Post, found that small restaurants and hospitality businesses in states such as Missouri, which ended the extra unemployment benefits early, saw a jump in hiring of workers over age 25. The uptick in hiring of older workers was roughly offset by the slower hiring of teens in these states. In contrast, restaurants and hospitality businesses in states such as Kansas, where the full benefits remain, have been hiring a lot more teenagers who are less experienced and less likely to qualify for unemployment aid. There’s a growing trend in help wanted ads of lowering the age and experience requirements, especially in the hospitality sector, according to QuickHire, a recruiting firm in Wichita. At 715, a restaurant based in Lawrence, Kansas, the youngest employee is 15, and the owner, Katrina Weiss, has many teens working as hostesses, assistant servers and table bussers. Weiss said she has been inundated with applications from teens this summer, but few from workers in their 20s or 30s.

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Senators Try to Finalize Deal on Infrastructure Package

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Lawmakers pushed to finalize an infrastructure agreement Sunday, but said they were still struggling to resolve a dispute over how much to increase public-transit funding, a snag that could delay their goal of advancing the bill in a Senate vote early this week, the Wall Street Journal reported. GOP senators had blocked efforts by Democrats to begin consideration of the roughly $1 trillion infrastructure bill on Wednesday, saying that too much of the package remained unresolved. Lawmakers in a bipartisan group crafting the legislation said late last week that they hoped to finish in time to reverse that outcome in a second vote in the next few days. Sen. Rob Portman (R-Ohio), the lead GOP negotiator of the bipartisan group, said Sunday on ABC that negotiators were “about 90% of the way there” in reaching an agreement, but were still battling over how much money to direct to public transit. Democrats have pushed to include a larger share of transit funding. The transit-funding dispute threatened to extend the already-delayed timeline for the infrastructure bill. A group of 11 Republican senators wrote to Senate Majority Leader Chuck Schumer (D., N.Y.) last week, saying they would vote to start debate on the bill, provided that the major issues are resolved and its official cost has been estimated. If all Democrats also support the legislation, that would allow it to clear the 60-vote threshold.

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Analysis: U.S. Manufacturers Take a Double Hit from Labor and Materials

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Calder Brothers Corp. is under pressure to raise wages after rivals lured away some of its workers. With willing workers in short supply across the United States and companies frantically vying for them, Calder knows his firm cannot hold off pay increases. At the same time, however, soaring prices for the raw materials used in the asphalt paving machines his company builds have left it with no wiggle room. American manufacturers of all sizes are grappling with the strongest inflationary pressure in three decades following a relentless rise in raw-materials prices in the past 13 months, Reuters reported. Harley-Davidson Inc. said last week it would impose an average pricing surcharge of 2% from July 1 on select models sold in the United States to mitigate the cost pressure, which shaved off 5 percentage points from its profit in the latest quarter. Yet the motorcycle maker expects earnings to suffer in the second half of the year. Higher commodity prices are eating into corporate budgets, making it tougher for manufacturers to compete in a tight labor market. American manufacturers have long complained about labor shortages. But until this April, wage gains for production workers failed to keep pace with the overall trend in the economy. This year, the U.S. labor supply has been further limited by a combination of enhanced jobless benefits, lingering concern about returning to work, childcare issues and pandemic-related retirements as well as career changes. The number of job openings at manufacturers is at the highest level in two decades, according to data from the U.S. Labor Department. Adding to the challenge, more workers are quitting their jobs than at any time in at least two decades. Meanwhile, a booming economy has sparked a competitive frenzy as manufacturers are now jostling for workers with companies like McDonald's Corp. and Amazon.com Inc., which are offering higher wages as well as signing bonuses. As a result, employee wages are projected to rise over the next 12 months at the fastest pace in two decades, according to a survey by the National Association of Manufacturers.

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Companies Claim There’s a Labor Shortage. Their Solution? Prisoners

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Some employers around the U.S. are responding to perceived worker shortages in their industries by pursuing cheap sources of labor, such as people currently or formerly in prison, The Guardian reported. During a recent industry conference, a Waste Management Services executive discussed hiring immigrants to fill commercial driver’s license positions, and other executives suggested using prison or work release programs to address perceived labor shortages in the sanitation, waste and recycling industry. Campaigners say the move would be exploitative and reflects a refusal to simply raise wages to attract employees. “The talk about immigrant labor, prison labor, it’s all about exploitation, nothing else,” said Chuck Stiles, director of the Teamsters solid waste and recycling division, which represents about 32,000 workers in the private waste industry. “There is no driver shortage. There is a huge wage and benefits shortage that these waste companies refuse to give up anything on the bottom line.” Stiles said several prison work release programs targeted by the waste industry fail to provide decent wages and benefits in an industry where workers face significant safety risks, poor weather conditions, long hours and scarce time off for holidays. Employers and industry groups have claimed labor shortages were stifling recovery from the COVID-19 pandemic, with the U.S. Chamber of Commerce and Republican governors blaming unemployment benefits. Some 26 states have canceled federal extended unemployment benefits early, though economists have noted the available jobs recovery data shows there is no economy-wide labor shortage.
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Hundreds of Frito-Lay Workers on Strike in Topeka, Citing Forced Overtime and 84-Hour Workweeks

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Hundreds of striking Frito-Lay workers in Kansas are calling on one of the nation’s biggest snack makers to put an end to forced overtime and 84-hour workweeks brought on by a pandemic-era surge in demand, The Washington Post reported. Workers at the Topeka plant have been pushed to the brink as the factory revved up operations during the pandemic according to the Bakery, Confectionery, Tobacco Workers and Grain Millers Local 218. Many of the factory’s more than 800 workers are working seven days a week and up to 12 hours per shift, with just eight hours between clocking in and clocking out. Frito-Lay said it is “committed to providing a safe and fair workplace” and that the offer it made Local 218 “addresses the concerns” that have been raised about the Topeka facility. Under the proposed contract, workers would receive a 4 percent wage increase over the next two years and the workweek would be capped at 60 hours. “We believe the strike unnecessarily puts our employees at risk of economic hardship, and we are focused on resolving this matter as expeditiously and fairly as possible,” the statement said. “While we work to resolve the strike, we remain focused on continuing to run the operations of the plant in Topeka and set a contingency plan to ensure employee safety.” It also said 300 of the plant’s 850 employees are still reporting for work.
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Connecticut Diocese Files for Bankruptcy Amid Abuse Claims

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A Roman Catholic diocese in Connecticut filed for federal bankruptcy protection on Thursday to resolve dozens of lawsuits alleging the abuse of teenage students in the 1990s at the former Academy at Mount Saint John School, a residential treatment center for troubled youth in Deep River, the Associated Press reported. Documents filed by the Diocese of Norwich, which oversaw the residential facility, indicate it has $50 million to $100 million in estimated liabilities owed to 50 to 99 creditors. To date, nearly 60 former residents of the school have sued the diocese and a former bishop for damages, exceeding the diocese's current financial ability to pay, according a statement issued by the diocese. According to the filing, the diocese has $10 million to $50 million in assets. The diocese’s parishes, cemeteries, schools and religious orders are not part of the chapter 11 filing, which is not expected to have a direct impact on the day-to-day operations of those entities or the employment status, salaries and benefits of the diocese's employees or retirees, the bishop said.

U.S. Factory Output Dips 0.1% in June on Auto Chip Shortage

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U.S. factory output slid last month as a shortage of computer chips disrupted auto production, the Associated Press reported. Manufacturing production dipped 0.1% in June — third drop in five months, the Federal Reserve reported Thursday. Overall, industrial production — including output at factories, mines and utilities — rose 0.4% last month after increasing 0.7% in May. Industrial output is up 9.8% from a year earlier. The chip shortage pushed production of cars, trucks and auto parts down 6.6% in June. Excluding autos, industrial production rose 0.4% last month. Utility output climbed 2.7% in June as Americans cranked up the air conditioning to battle a heat wave across much of the country. Mining output rose 1.4% on an uptick in oil and gas production.

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