The Trump administration wants to let bosses keep their workers’ tips

The Trump administration has kept its promise to let companies do business with less government oversight. From the Environmental Protection Agency to the Department of Health and Human Services, the administration has rolled back rules on oil companies, banks, and health insurance companies.

Trump’s efforts could soon reach your neighborhood restaurant, barbershop, and nail salon. One of the administration’s major deregulation efforts is currently underway at the Department of Labor — and if implemented, it could potentially hurt millions of American workers who get tips as part of their jobs.

The agency is considering a new rule that would give employers unprecedented control over what to do with a worker’s gratuities. The rule, which the agency proposed in December, would repeal an Obama-era regulation that made official what had been the common view for decades: that tips are the sole property of the workers who earn them. It would essentially allow employers to use their workers’ tips for tip-pooling arrangements, provided their workers make the minimum wage.

If the new rule is finalized, it would be a boon to the restaurant industry, which has been fighting for years to control how servers’ tips are distributed.

“This is a major departure from how the DOL has always interpreted the law,” said Judith Conti, the federal advocacy coordinator for the National Employment Law Project. “It sets policy for all tipped workers: parking attendants, car washers, airport valets, taxi drivers, hotel bellhops.”

The rule would have an immediate effect in at least six states, including Arizona and Nevada, where employers are required to pay the full minimum wage to all tipped workers. (Under federal law, the minimum wage for tipped workers is only $2.13; the full minimum wage is $7.25.)

But even states that don’t require the full minimum wage for tipped workers will be affected. Workers who earn the full minimum wage but still count on tips to supplement their pay — such as barbers and nail technicians — could see their take-home pay affected. (According to one estimate, there are 4.3 million tipped workers in the US.)

The rule would also create an incentive for some restaurant owners in those states to pay servers the full $7.25 hourly minimum wage. That might sound like good news for servers who make only the tipped-worker minimum wage of $2.13 per hour — but if those workers normally make enough tips to push their pay above $7.25, the new rule would allow their employers to take any tips they earn above minimum wage, effectively lowering their take-home pay. Including tips, the average hourly wage for restaurant servers in the United States was $11.73 in 2016.

The new rule would allow restaurant owners to do two things in particular. First, it would let employers collect the servers’ tips into a pool that would be shared with back-of-the-house workers — dishwashers, cooks, etc. — who have to be paid the regular minimum wage and aren’t typically tipped. Restaurant owners say that back-of-the-house workers should get a share of the tips because they contribute to a customer’s overall experience, but labor rights groups and servers argue that restaurant owners should just pay those workers better, instead of using servers’ tips to subsidize their pay.

But the second way employers could use the tips goes even further than expanding this type of tip pooling. The rule lists examples of how else employers could use a worker’s gratuities: to renovate their restaurants, lower menu prices, or hire more workers. In other words, it allows restaurant owners to keep the tips for themselves.

The proposal immediately triggered outrage among restaurant servers and labor rights groups, who flooded the Department of Labor with thousands of comments.

The Economic Policy Institute, a left-leaning think tank, estimates that the rule would likely transfer about $5.8 billion in tips each year from workers to their bosses — about 16.1 percent of all their tips. Labor Secretary Alexander Acosta reportedly tried to hide an internal analysis showing that the rule could take $640 million from workers (an initial analysis showed it would actually take billions of dollars), according to a Bloomberg investigation. Now the agency’s inspector general is investigating the allegations.

“It’s really, really troubling,” said Sharon Block, a law professor at Harvard who worked at the Department of Labor under the Obama administration and who helped develop the Obama-era rule clarifying that tips were the property of the workers who earned them. “This is no small thing for people who really can’t afford to be subsidizing their employers.”

Despite the backlash, the Department of Labor is still considering implementing the new rule. A spokesperson for the department said the agency is currently in the process of reviewing more than 375,000 public comments it received.

[Vox]

White House staffer left email passwords on official stationery at bus stop

A White House staffer left the password to his encrypted email account at a bus stop in Washington, D.C., according to a new report.

Ryan McAvoy left his ProtonMail passwords and email address on a piece of White House stationery at a bus stop near the White House, The Intercept reported Saturday.

Someone reportedly found the piece of paper and turned it over to The Intercept, which said that it confirmed its authenticity. The aide, who works as a staff assistant in the White House, did not return The Intercept’s requests for comment.

House Intelligence Committee Democrats said Wednesday they are interested in filing a subpoena to see how Trump campaign officials used WhatsApp, a messaging service.

Democrats said they want to see how how senior White House adviser Jared Kushner and other campaign employees are using the messaging app and others such as iMessage, Facebook Messenger, Signal, Slack, Instagram and Snapchat on the encrypted networks.

The committee may consider adding ProtonMail to that list, The Intercept reported.

Last September, it was reported that six members of Trump’s administration used private email addresses while conducting government business.

President Trump and Republicans had attacked former Democratic candidate Hillary Clinton over her use of a private email server while serving as secretary of State, calling it reckless.

Democrats on the Intelligence panel released a memo on Wednesday to lay out their responsibilities in the Trump-Russia investigation, which Republican members have said is wrapping up. Democrats, meanwhile, have pledged to continue their investigation.

[The Hill]

Trump nominee to lead migrant agency shared Clinton, DNC conspiracies

President Trump’s pick to lead a United Nations migrant relief organization made hundreds of comments pushing conspiracy theories about Islam and Democrats, according to a CNN investigation published Thursday.

Ken Isaacs, the Trump administration’s choice to lead the UN’s International Organization for Migration, has faced additional scrutiny after CNN uncovered old social media posts where he appeared to equate all Muslims with terrorists.

On Thursday, CNN published a new trove of past comments.

CNN found that Isaacs also shared conspiracy theories about the Clintons and about the death of Democratic National Committee staffer Seth Rich.

In the summer of 2016, Isaacs tweeted that Switzerland should consider building a wall in the Alps to keep refugees from crossing the border, and responded to a terrorist attack in Nice, France, by saying Islam “is not peaceful.”

Last August, he retweeted a user who claimed climate change is a “big hoax,” and wrote that scientists “can’t predict path of a visible storm yet but certain of manmade climate change.”

Isaacs previously apologized after CNN uncovered his initial comments about Muslims, saying his social media use was “careless.”

He declined to comment on Thursday’s story, and the State Department pointed to a past statement of support for his nomination.

If confirmed, Isaacs will lead the International Organization for Migration, which oversees the use of roughly $1 billion in migrant aid across the world.

[The Hill]

Trump Threatens Joe Biden, Saying He ‘Would Go Down Fast and Hard’ if They Fought

President Trump threatened former Vice President Joseph R. Biden Jr. on Thursday, saying in a tweet that Mr. Biden “would go down fast and hard” if the two men ever physically fought. Mr. Trump was responding to Mr. Biden’s comments on Tuesday about how, if he was in high school, Mr. Biden would “beat the hell” out of Mr. Trump for disrespecting women.

Mr. Biden, speaking at a University of Miami rally to combat sexual assault, said, “A guy who ended up becoming our national leader said, ‘I can grab a woman anywhere and she likes it,’ ” referring to an Access Hollywood audio recording in which Mr. Trump is heard boasting about kissing and groping women without their consent. Mr. Biden said when he was asked if he would like to debate Mr. Trump, he said, “If we were in high school, I’d take him behind the gym and beat the hell out of him.”

The back-and-forth blustering between two men in their 70s comes a day after Mr. Trump criticized two of his predecessors, Presidents Barack Obama and George W. Bush, for not being able to improve relations with Russia. And Mr. Trump is facing revived sexual misconduct accusations after a New York state judge ruled that a defamation lawsuit from a woman who has said Mr. Trump made unwanted sexual advances could go forward.

Mr. Biden, who has been a longtime advocate for anti-sexual assault policies, has been on the road lately, campaigning for Democrats.

Earlier this month, he campaigned for a Democrat in western Pennsylvania who won a special congressional election in a district that had previously been considered Trump country. Mr. Trump campaigned for the Republican candidate who lost. Democrats see the loss as an indicator of a potential wave of Democratic wins in the upcoming midterm elections.

There has been talk of a possible 2020 presidential run, which could pit Mr. Biden, 75, directly against Mr. Trump, 71.

Mr. Biden considered running in 2016, but decided not to because of the death of his son. At the time, Mr. Trump said he thought Mr. Biden made the right choice for his family and that he would rather run against Hillary Clinton.

Mr. Trump has previously tweeted about Mr. Biden while he was vice president, commenting on Mr. Biden’s gaffes. In 2012, Mr. Trump said he felt sorry for Mr. Biden’s communications team.

[The New York Times]

Trump properties collect more than $271,000 in a single month from GOP donors

The Republican National Committee spent a little more than $271,000 last month at properties owned by President Trump, new campaign filings show.

Most of the money — $205,021 — went to Trump National Doral in Miami, for “venue rental and catering,” according to the party’s monthly report filed Tuesday night with the Federal Election Commission.

The Republican National Committee’s February spending is on top of the $1.1 million that Trump’s campaign and other Republican political committees and candidates reported spending at his properties during his first year in office. Although Trump relinquished management of his real-estate empire when he became president last year, he did not give up his ownership. As a result, using political donors’ money to host events at Trump properties helps boost the president’s personal bottom line.

Tuesday’s filing makes clear that the RNC has plenty of money to spend.

The committee raised $12.8 million in February, bringing its total fundraising to $157.7 million for the election cycle. The record-breaking haul has helped the party build a voter-outreach operation that’s already active in 25 states, according to party chairwoman Ronna McDaniel.

The party started March with $42.4 million in cash reserves, a dramatic improvement from the $10 million the RNC had in reserves at this point in the 2014 midterm elections.

By contrast, the Democratic National Committee has total receipts of $80.7 million so far in the 2018 election cycle. The Democrats started the March with nearly $10.1 million remaining in the bank, but the DNC has more than $6 million in debts, including a $1.7 million loan it secured last month.

[USA Today]

Trump touts $1.6B for wall funding, blasts ‘Dem giveaways’

President Trump marked the $1.3 trillion budget agreement Wednesday night by touting funding for a wall on the southern border while blasting “Dem giveaways.”

“Got $1.6 Billion to start Wall on Southern Border, rest will be forthcoming,” Trump tweeted.

Most importantly, got $700 Billion to rebuild our Military, $716 Billion next year…most ever. Had to waste money on Dem giveaways in order to take care of military pay increase and new equipment.”

Trump also added that, “Democrats refused to take care of DACA. Would have been so easy, but they just didn’t care. I had to fight for Military and start of Wall.”

The Trump administration ended DACA — Deferred Action for Childhood Arrivals — last year. The program protected nearly 800,000 young undocumented immigrants brought to the US as children from deportation.

[New York Post]

Reality

From Daily Kos.

Donald Trump is trying to sell the spending bill as a victory for his precious border wall. As is so often the case, he’s lying and the real question is whether he’s lying more to himself or more to the rest of us. Trump tweeted that “Got $1.6 Billion to start Wall on Southern Border, rest will be forthcoming.” In reality:

… Democrats pointed out that only $641 million of that money is designated for 33 miles of “new fencing or levees” ― specifically not a concrete wall. The rest of the money is for repairing or replacing existing fencing or border security technology.

Not just Democrats, though:

“Are we going to continue to fund sanctuary cities? Are we going to continue to fund Planned Parenthood? Are we going to continue to raise the debt to levels that quite frankly are unsustainable and bankrupt our country?” [House Freedom Caucus Chair Mark Meadows] said. “There is really no wall funding. People will try to spin it as there is wall funding, but the [$1.6 billion] has been in there for some time.”

Saudi Arabia’s crown prince reportedly bragged about having Jared Kushner ‘in his pocket’ after being told classified information meant for Trump

Jared Kushner reportedly discussed classified information obtained from the President’s Daily Brief with Saudi Arabia’s Crown Prince Mohammed Bin Salman, who bragged that he had Kushner “in his pocket,” according to a report by The Intercept.

Presidential son-in-law-turned-advisor Jared Kushner reportedly had a penchant for reading President Donald Trump’s daily brief, a highly sensitive intelligence update that is only meant to be seen by the president and his top advisers, before being stripped of his top security clearance and access to the daily brief in February.

Before losing his security access, Kushner was particularly interested about information on the Middle East, the Intercept reported, citing several former White House and US government officials.

When Salman became the new heir to the throne in June last year, the daily brief reportedly began to focus on shifting political allegiances in Saudi Arabia, and named several Saudi royals who were opposed to the crown prince’s position.

Kushner then made a surprise trip to Riyadh in October, reportedly staying up until 4 a.m. with Salman to discuss strategy.

Several sources told the Intercept that following the meeting, Salman told close confidants that Kushner had spilled the names of the Saudi royals “disloyal” to the prince, although Kushner’s camp strongly denies the claim.

Salman reportedly told the United Arab Emirates’ Crown Prince Mohammed bin Zayed about the meeting with Kushner, bragging that he had Kushner “in his pocket,” sources told the Intercept.

Just a week after the meeting Salman began his large-scale corruption crackdown, which saw 200 officials arrested. According to the report, Saudi officials mentioned in the daily briefs were among those detained.

The “two princes” have forged a close bond

Kushner has built a close relationship with the Salman, setting the stage for close communication between the the US and Saudi Arabia.

Kushner and Salman began their friendship at a lunch meeting at the White House last year, according to the Washington Post, citing sources familiar with their relationship. The two have been tasked with leading negotiations on Israel-Palestine peace, and have consulted frequently in private phone calls over several months, according to the Post.

A source close to Kushner told CNN that Kushner’s relationship with the Saudi prince is more personal and close than other professional relationships between the US and world leaders, and that Kushner seeks to use that bond to deepen ties between the countries.

Kushner is said to be playing an important role in Salman’s visit to the US this week.

Kushner attended official meetings between the president and the Saudi delegation, and is scheduled in for several dinners with Salman and other US and Saudi officials.

[Business Insider]

Trump Goes After the ‘Crazed’ Media Over Russia Call, Defends His ‘Congratulations’ to Putin

President Trump this afternoon tweeted an attack on the media (again) over its “crazed” coverage of his call with Vladimir Putin.

“I called President Putin of Russia,” POTUS tweeted, “to congratulate him on his election victory (in past, Obama called him also). The Fake News Media is crazed because they wanted me to excoriate him. They are wrong! Getting along with Russia (and others) is a good thing, not a bad thing.”

Some Republicans were critical of Trump congratulating Putin as well––particularly John McCain––but the President is standing by his message and dinging the media for getting worked up about it.

Oh, and he wasn’t done:

“They can help solve problems with North Korea, Syria, Ukraine, ISIS, Iran and even the coming Arms Race,” he continued. “Bush tried to get along, but didn’t have the “smarts.” Obama and Clinton tried, but didn’t have the energy or chemistry (remember RESET). PEACE THROUGH STRENGTH!”

[Mediaite]

Trump’s national security advisers warned him not to congratulate Putin. He did it anyway.

President Trump did not follow specific warnings from his national security advisers when he congratulated Russian President Vladi­mir Putin Tuesday on his reelection, including a section in his briefing materials in all-capital letters stating “DO NOT CONGRATULATE,” according to officials familiar with the call.

Trump also chose not to heed talking points from aides instructing him to condemn Putin about the recent poisoning of a former Russian spy in the United Kingdom with a powerful nerve agent, a case that both the British and U.S. governments have blamed on Moscow.

The president’s conversation with Putin, which Trump called a “very good call,” prompted fresh criticism of his muted tone toward one of the United States’s biggest geopolitical rivals amid the ongoing special counsel investigation into Russia’s election interference and the Trump campaign’s contacts with Russian officials.

Although the Trump administration has taken a tougher stance toward Russia recently — including new sanctions last week on some entities for election meddling and cyber attacks — the president has declined to forcefully join London in denouncing Moscow for the poisoning of Sergie Skripal and his daughter Yulia in Salisbury this month. They remain critically ill.

Trump told reporters that he had offered his well wishes on Putin’s new six-year term during a conversation on a range of topics, including arms control and the security situations in Syria and North Korea. White House press secretary Sarah Huckabee Sanders told reporters that Skripal’s case was not discussed. Information on Syria and North Korea were also provided to the president in writing before the call, officials said.

“We’ll probably be meeting in the not-too-distant future,” Trump said of Putin, though Sanders emphasized that nothing was planned.

The White House press office declined to comment on the briefing materials given to Trump. Two people familiar with the notecards acknowledged that they included instructions not to congratulate Putin. But a senior White House official emphasized that national security adviser H.R. McMaster did not mention the issue during a telephone briefing with the president, who was in the White House residence ahead of and during his conversation with Putin.

It was not clear whether Trump read the notes, administration officials said. Trump, who initiated the call, opened it with the congratulations for Putin, one person familiar with the conversation said.

The president’s tone drew a rebuke from Sen. John McCain (R-Ariz.), chairman of the Armed Services Committee, who wrote on Twitter: “An American president does not lead the Free World by congratulating dictators on winning sham elections. And by doing so with Vladimir Putin, President Trump insulted every Russian citizen who was denied the right to vote in a free and fair election.”

But Sen. Bob Corker (R-Tenn.), chairman of the Senate Foreign Relations Committee, appeared less concerned, noting Trump has also offered congratulations to other leaders of more totalitarian states. “I wouldn’t read much into it,” Corker said.

Putin’s latest consolidation of power came in what foreign policy analysts said was a rigged election in which he got 76 percent of the vote against several minor candidates. Some world leaders have hesitated to congratulate Putin, since his reelection occurred in an environment of state control of much of the news media and with his most prominent opponent barred from the ballot.

[Washington Post]

Notes, emails reveal Trump appointees’ war to end HHS teen pregnancy program

The Trump administration’s abrupt cancellation of a federal program to prevent teen pregnancy last year was directed by political appointees over the objections of career experts in the Department of Health and Human Services, which administers the program, according to internal notes and emails obtained by NBC News.

The trove shows three appointees with strict pro-abstinence beliefs — including Valerie Huber, the then-chief of staff for the department’s Office of the Assistant Secretary for Health — guided the process to end a program many medical professionals credit with helping to bring the nation’s teen pregnancy rate to an all-time low.

Prior to serving at HHS, Huber was the president of Ascend, an association that promotes abstinence until marriage as the best way to prevent teen pregnancy.

The $213 million Teen Pregnancy Prevention Program was aimed at helping teenagers understand how to avoid unwanted pregnancies. It had bipartisan support in Congress and trained more than 7,000 health professionals and supported 3,000 community-based organizations since its inception in 2010.

In the notes provided to NBC News, Evelyn Kappeler, who for eight years has led the Office of Adolescent Health, which administers the program, repeatedly expressed concerns about terminating the program, but appeared out of the decision-making loop and at one point was driven to tears.

In a July 17, 2017 note, she says she was admonished to “get in line” and told it was not her place to ask questions about the agency’s use of funds. In a July 28 note, Kappeler recalled she was “frustrated about the time this process is taking and the fact that (her staff) has not been part of the discussions.” She described being “so rattled” that “my reaction when I got on (sic) the phone was to cry.”

She and her staff “were not aware of the grant action until the last minute” — an apparent reference to the decision, it says.

Last month, Democracy Forward, a nonprofit law firm and advocacy group, sued the administration for unlawfully terminating the program after the agency took months to respond to its Freedom of Information Act request.

The group claims the newly obtained emails show that HHS violated the Administrative Procedure Act that bars arbitrary decision-making and that the political appointees thwarted the will of Congress.

“Now that we’ve seen these documents, there is no question to us why the Trump administration withheld” the emails, said Skye Perryman, the group’s lawyer. The decision to end the program “was made hastily, without a record of any reasoned decision making and under the influence of political appointees who have long opposed evidenced-based policy,” she said.

Parties suing over the action include the city of Baltimore and the Healthy Teen Network, which represents grantees across the country.

HHS has given different explanations about its decision to terminate the program, including claims that it was ineffective or that it did not conform to the president’s proposed budget. HHS did not respond to emails or answer questions about who was responsible for ending the program.

HHS spokesman Mark Vafiades directed NBC News to a fact sheet and announcement on the agency’s website. They state that 73 percent of the projects funded by the program “had no impact or had a negative impact on teen behavior, with some teens more likely to begin having sex, to engage in unprotected sex or to become pregnant.”

“The evidence stands in stark contrast to the promised results,” the statement says.

The story behind the program’s demise is one of a growing list of examples of the control Trump political appointees are exerting at federal agencies.

It is also part of a broader narrative about programs benefiting women and children becoming political targets under a president who insists he is an advocate for women’s rights and health. Under Trump, a mandate under the Affordable Care Act to cover contraceptive coverage has been rolled back, while Republicans in Congress have sought to defund Planned Parenthood and proposed budget cuts to Medicaid, which covers half of all births.

In July 2017, the Office of Adolescent Health notified 81 grantees including the University of New Mexico Health Sciences Center and Cuyahoga County, Ohio, that it would be discontinuing funding under the Obama-era program beginning this June, with some programs cut off immediately.

After the program’s 2010 inception, teen pregnancy and birth rates fell faster than ever. Health care experts say considerable research and money that has already been invested in the program will be wasted and the number of at-risk teens will increase.

The president of the American College of Obstetricians & Gynecologists and women’s health advocacy groups, such as Planned Parenthood, have expressed alarm.

Haywood L. Brown, president of ACOG, called the program “vital.” The administration’s decision, Brown said in a statement, is “highly unusual” and a “step backward for ensuring healthy moms and healthy babies.”

In an op-ed last year, Ron Haskins, previously a Republican co-chair of a bipartisan commission on evidence-based policy making established by House Speaker Paul Ryan, R-Wis., said that by ending the program, Trump has “exploded one of our most promising evidence-based programs.”

In a June 21 note by Kappeler, Steven Valentine, Huber’s deputy, is described as having “taken the lead” in reversing the program. Valentine directed Kappeler to halt the review process for the grants, the notes say.

Before coming to HHS, Valentine was a legislative assistant to Rep. Chris Smith, R-N.J., an outspoken abortion rights opponent. Valentine also worked for a short time at the Susan B. Anthony List, a political organization that supports candidates who oppose abortion rights.

Don Wright, a senior career official at HHS, stated in a July 28 email to Kappeler that he himself was only “tangentially” involved in the discussions about the program’s termination. But one set of notes documents him instructing skeptical career staff members on the appropriate behavior of civil servants. He later complained to Kappeler about “rolling of the eyes by some staff,” her notes say.

Weeks later, Wright was made acting secretary of the department.

Also according Kappeler’s notes, some staff “expressed concerns about being able to ask questions in this environment and the lack of engagement by policy staff directly with the program office.”

Kappeler’s memos “are quite revealing of the agency’s improper and unlawful decision making,” said Perryman, Democracy Forward’s lawyer.

“The documents also show HHS disregarded the views of experienced career employees including those of the director of the Office of Adolescent Health,” she said.

Another appointee involved in terminating the teen pregnancy program was Teresa Manning, an anti-abortion activist and Trump appointee who was in charge of the department’s family planning programs and who has publicly questioned the efficacy of several popular contraception methods. She was previously a lobbyist for the National Right to Life Committee and for the Family Research Council. In January, Manning abruptly resigned.

In November, HHS announced a $10 million research initiative to ensure “any sex education programs follow the science to improve youth health and well-being,” including “sexual risk avoidance.”

Despite their popularity in some conservative regions and school districts, abstinence-only programs have been shown not to work.

A June 2005 study conducted by Case Western Reserve University found that the sexual education programs that Huber ran in Ohio promoting abstinence-only education had “critical problems.” The study suggested the program conveyed “false and misleading information” about abortion, contraceptives and sexually transmitted infections and misrepresented “religious convictions as scientific fact.”

In King County, Washington — one of the parties in the suit challenging the program’s termination — grantees created a 15-lesson sex education curriculum known as Family Life and Sexual Health (FLASH).

The FLASH program educates students on options including abstinence, the use of birth control and the importance of consent before engaging in sexual activity. It is now used in 44 states and taught in every school district in King County, which has seen a 63 percent drop in teen pregnancies since 2008.

King County was granted $5 million to conduct the first scientific evaluation of the FLASH program, and now it is unable to complete the study. The $3 million already spent is now wasted taxpayer dollars, according to King County spokesman James Apa.

[NBC News]

Reality

Data shows clearly that abstinence-only education as a state policy is ineffective in preventing teenage pregnancy and may actually be contributing to the high teenage pregnancy rates in the U.S

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