Brian Dake

DWD Awarded $3 Million U.S. Department of Labor Grant for Job-Seeker IT upgrades

The Wisconsin Department of Workforce Development (DWD) has been awarded a $3 million grant from the U.S. Department of Labor to support its comprehensive upgrade and modernization of the Job Center of Wisconsin system and an internal case management system to better connect job seekers with employment opportunities.

The Comprehensive and Accessible Reemployment through Equitable Employment Recovery National Dislocated Worker grant will benefit workers affected by the COVID-19 pandemic and subsequent labor market disruption. DOL announced the availability of $43 million nationwide for the grant in June 2021, with a maximum award of $3 million.

The projects are expected to be implemented by late 2023. The work represents another major component of DWD’s comprehensive effort to improve service for customers – employers, job seekers, current employees and those experiencing disruption in their employment. In recent months, DWD also has introduced improvements to its virtual Job Center of Wisconsin, added a chatbot feature to help job seekers and employers connect, entered into a partnership with Google Cloud to expedite processing of unemployment insurance claims; and contracted with Flexion to overhaul its legacy Unemployment Insurance processing system.

Wisconsin Businesses Sue Biden Administration Over Vaccine-or-Test Mandate

Yesterday, the Wisconsin Institute for Law & Liberty (WILL) sued the Biden administration in federal court, on behalf of two Wisconsin businesses, challenging the Occupational Safety and Health Administration’s (OSHA) sweeping new vaccine-or-test mandate for businesses with 100 or more employees. OSHA’s emergency rule, issued November 4, requires businesses of a certain size to require proof of vaccination or regular COVID-19 tests for their employees. Companies that do not comply face penalties of over $13,000 per violation, or over $136,000 for a willful violation.

The lawsuit was filed in the Seventh Circuit Court of Appeals. Federal law requires lawsuits that challenge OSHA emergency rules to be filed in the Court of Appeals, rather than in a federal district court, where lawsuits typically originate.

The Quotes: WILL President and General Counsel, Rick Esenberg, said, “This new rule is illegal and unconstitutional. It circumvents the normal legal process, along with Congress, to claim emergency powers to impose a mandate on American business. However you feel about the COVID vaccine or even the very different question of a vaccine mandate, the Biden administration is claiming an extraordinary power to rule by decree that could be used in the future in almost unlimited and unforeseeable ways.”

Steve Fettig, Secretary and Treasurer of Tankcraft and Plasticraft, said, “The order is unconscionable. OSHA does not know how to run our companies. We do. OSHA does not know how to keep our employees safe. We do. And we have done so successfully since the start of the pandemic without the interference of a federal bureaucracy. We respect our employees’ fundamental right to make their own private, difficult medical choices.”

Attorney General Warns Wisconsinites of Increase in Ransomware Threats

 Attorney General Josh Kaul is advising Wisconsinites to be aware of ever-evolving ransomware threats. To date, the FBI has received 41 ransomware reports in Wisconsin this year, compared to 30 reports total in 2020.

“As technological threats continue to evolve and become more sophisticated, DOJ’s Cyber Unit remains committed to investigating cybercrimes throughout Wisconsin,” said Attorney General Kaul. “All of us can help combat the threat of ransomware by taking a few precautions: not clicking on links or attachments from unverified sources, using unique, complex passwords, and installing computer updates regularly.”

Ransomware is a type of malicious software cyber actors use to deny access to systems or data. The malicious cyber actor holds systems or data hostage until the ransom is paid. After the initial infection, the ransomware attempts to spread to shared storage drives and other accessible systems. If the demands are not met, the system or encrypted data remains unavailable.

A person may unknowingly download ransomware onto a computer by executing one of the following actions embedded with malware: opening an email attachment, clicking an advertisement, following a link, or visiting a website. Cyber actors continue to evolve their ransomware tactics over time to extort organizations and citizens. Awareness of these tactics is important to avoid unnecessary exposure.

Cyber-attacks may be prevented by following the Department of Homeland Security – Cybersecurity and Infrastructure Security Agency (CISA) best practices for managing risks posed by ransomware: https://www.cisa.gov/stopransomware. To learn more, visit the CISA Ransomware Guide at, https://www.cisa.gov/sites/default/files/publications/CISA_MS-ISAC_Ransomware%20Guide_S508C.pdf

Victims of ransomware attacks are encouraged to resist any urge to fulfill a ransom request. Compliance in response to a ransom does not guarantee the captured data will be returned. Compliance also encourages perpetrators to target more victims and offers an incentive for other cyber actors to get involved in this type of illegal activity.

If you believe you are a victim of a ransomware attack:

 

President Biden to Allow Nationwide Residential Eviction Moratorium to Expire Saturday

The Biden administration announced Thursday it will allow a nationwide ban on evictions to expire Saturday, arguing that its hands are tied after the Supreme Court signaled the moratorium would only be extended until the end of the month.

The White House said President Joe Biden would have liked to extend the federal eviction moratorium due to spread of the highly contagious delta variant of the coronavirus. Instead, Biden called on “Congress to extend the eviction moratorium to protect such vulnerable renters and their families without delay.”

“Given the recent spread of the delta variant, including among those Americans both most likely to face evictions and lacking vaccinations, President Biden would have strongly supported a decision by the CDC to further extend this eviction moratorium to protect renters at this moment of heightened vulnerability,” the White House said in a statement. “Unfortunately, the Supreme Court has made clear that this option is no longer available.”

The court mustered a bare 5-4 majority last month, to allow the eviction ban to continue through the end of July. One of those in the majority, Justice Brett Kavanaugh, made clear he would block any additional extensions unless there was “clear and specific congressional authorization.”

Wisconsin Housing Market Strong Even as Inventories Remain Tight

Both existing home sales and median prices rose by double-digit margins in May compared to their levels 12 months earlier, when the economy was in lockdown. Housing supply remains very tight with just 2.8 months of available supply in the state. Inventory is tight in all regions, across all urban/rural classifications and across all price ranges

“Basic economics tells us that strong and growing demand in a world of tight supply is going to create significant price pressure, and that’s exactly what we’re seeing in the state housing market. Median prices through the first five months are up at an annual pace of 12.1%. Unless demand moderates or supply improves, neither of which is likely in 2021, we can expect to see more of the same price appreciation through the end of this year. The good news is that mortgage rates remain very low by historical standards, which has at least partially offset the impact of significant price pressure on housing affordability in the state.  Hopefully the inflationary pressures don’t intensify, which could cause mortgage rates to increase and lower affordability,” said Michael Theo, President & CEO of the Wisconsin Realtors Association.

 

DATCP Waives Surcharge for Agricultural Chemical Cleanup Program Fund

For the fourth consecutive year, the Wisconsin Department of Agriculture, Trade and Consumer Protection (DATCP) is waiving the usual surcharge for the Agricultural Chemical Cleanup Program (ACCP). Fertilizer and pesticide businesses normally pay this surcharge when renewing their license, and the resulting fund helps pay to clean up agrichemical spills.

DATCP waives the surcharge when the fund balance remains above $1.5 million, allowing fertilizer dealers, commercial pesticide applicators, and pesticide manufacturers to pass these savings on to their customers.

The surcharge holiday will extend through June 2022 for fertilizer sales, and through the 2021-22 license year for other licensees. The surcharge is based on the level of the ACCP fund on May 1 of each year, when DATCP is required to review the program funds and decide whether to continue the surcharge holiday.

For more information about the ACCP fund and surcharges, visit https://datcp.wi.gov/Pages/Programs_Services/ACCPFundSurcharges.aspx.

Some Wisconsinites Who Declined to Return to Unsafe Jobs Could Be Eligible for Federal UI Benefits

Tens of thousands of people in Wisconsin whose applications for COVID-19 pandemic unemployment benefits were denied could be eligible for up to 79 weeks of unemployment payments.

There are three main categories of newly eligible workers:

  • Those who declined to return to work at a site that wasn’t complying with COVID-19 safety standards, such as requiring face masks and physical distancing.
  • Those working for an educational institution who became unemployed or partially unemployed after COVID-19 scrambled workers’ schedules.
  • Those who were laid off or had their hours reduced as a result of COVID-19 measures, including restaurant workers.

Officials with the state Department of Workforce Development said they would be mailing notices to nearly 28,000 people who were denied benefits under the federal Pandemic Unemployment Assistance program to let them know they are eligible to reapply under the expanded guidelines. If they were denied before but found to be eligible now, they could be paid for the entire period of the pandemic thus far.

The Biden administration announced expanded eligibility for the federal program in February after President Joe Biden in an executive order said workers whose employers didn’t follow safety protocols could get the benefits. The Wednesday announcement by DWD follows from that executive order and guidance from Biden’s Department of Labor.

Wisconsinites who weren’t previously denied federal Pandemic Unemployment Assistance can also apply under the expanded eligibility. However, they’ll be limited in the number of weeks of back payments they can claim.

Foxconn, State of Wisconsin Reach New Deal on Scaled Back Project

Foxconn Technology Group has reached a new deal with reduced tax breaks for its scaled back project in southeast Wisconsin.

Gov. Tony Evers and the world’s largest electronics manufacturer announced the new deal on Monday. Details of the new agreement were not immediately released.

It was scheduled to be approved at a Tuesday meeting of the Wisconsin Economic Development Corp., the state’s top jobs agency that previously negotiated the initial deal with Foxconn.

IRS Updates FAQs on Paid Sick Leave Credit and Family Leave Credit

On Friday, the Internal Revenue Service (IRS) posted updated FAQs about recent legislation that extended and amended tax relief to certain small- and mid-sized employers under the Families First Coronavirus Response Act (FFCRA).

The FAQs are available at COVID-19-Related Tax Credits for Required Paid Leave Provided by Small and Midsize Businesses FAQs.

The updates to the FAQs cover how the COVID-related Tax Relief Act of 2020, enacted December 27, 2020, extends the availability of the tax credits created by the FFCRA to eligible employers for paid sick and family leave provided through March 31, 2021, as well as other amendments to the credits.

The paid sick and family leave credits, which previously were available only until the end of 2020, have been extended for periods of leave taken through March 31, 2021.

In addition, an eligible employer can receive the paid sick leave credit for employees who are unable to work due to caring for someone with coronavirus or caring for a child because the child’s school or place of care is closed, or the paid childcare provider is unavailable due to the coronavirus. Eligible employers may claim the credit for paid sick leave provided to an employee for up to two weeks (up to 80 hours) at 2/3 the employee’s regular rate of pay, or up to $200 per day and $2,000 in total.

Employers are also entitled to a paid family leave credit for paid family leave provided to an employee equal to 2/3 of the employee’s regular pay, up to $200 per day and $10,000 in total. Up to 10 weeks of qualifying leave can be counted towards the family leave credit.

Eligible employers are entitled to immediately receive a credit in the full amount of the paid sick leave and family leave plus related health plan expenses and the employer’s share of Medicare tax on the leave provided through March 31, 2021. The refundable credit is applied against certain employment taxes on wages paid to all employees.

Eligible employers may claim the credits on their federal employment tax returns (e.g., Form 941, Employer’s Quarterly Federal Tax Return), but they can benefit more quickly from the credits by reducing their federal employment tax deposits. If there are insufficient federal employment taxes to cover the amount of the credits, an eligible employer may request an advance payment of the credits from the IRS by submitting a Form 7200, Advance Payment of Employer Credits Due to COVID-19.

Can You Refuse Work and Still Get Unemployment Benefits? President Biden Order to Clarify New Rules

President Joe Biden signed an executive order Friday ordering the Department of Labor to issue guidance that clarifies “workers have a federally guaranteed right to refuse employment that will jeopardize their health and if they do so, they will still qualify for unemployment insurance.”

Generally, you can’t refuse what’s considered “suitable work,” whether it’s a new job offer or a call to return to a reopened workplace, and still receive unemployment insurance. In more traditional times, suitable work is thought of as a job that matches your skill set and pays a similar rate as your old one.

Under the Trump administration, states, local governments and employers were often left to determine what constituted as a safe work environment free of risks to workers’ health and safety during the Covid pandemic. Recent moves from the Biden White House aim to formalize a national standard.

As with existing protocol, new federal guidance will still require workers to demonstrate how their work environment places their health in jeopardy, that they’ve done something to raise the issue with their employer to enforce an improved standard, and that their employer has chosen to not act on recommended health and safety guidance, such as that from the CDC, local or state regulations — and soon, federal guidance on workplace health and safety.

For example, you can’t just walk into your work facility, see that no one’s wearing a mask, walk off the job and later file for unemployment. However, if you approach your boss about enforcing universal mask-wearing to minimize the spread of the virus, and they decline to do so, you may have just cause for refusing unsafe work that places your health in jeopardy and qualifying for unemployment benefits while you look for a new job.