From Bill Finn: ALERT! Act now to stop KY Labor Cabinet cuts!

Your help is needed today, now, to contact your KY State Senator to stop the funding cuts to the KY Labor Cabinet in the 2-year budget bill. 

-- HB-352 is the state budget to be voted on in the coming days this week. Included in the proposed budget are deep cuts to the Labor Cabinet, over $6 million that is needed to protect KY workers.

-- The House proposed budget for fiscal years 2021 and 2022 includes deep cuts to the funding of the Labor Cabinet and the proposed cuts will undoubtedly impair the ability of the agency to deliver services to the Commonwealth’s workforce, employers and stakeholders.

-- The $6,043,500 in cuts are Restricted Agency Funds that cannot be utilized for other programs. Restoring these cuts will not harm or drive up the budget, they are separately funded from Workers Comp premiums.

-- Staffing at the Kentucky Labor Cabinet has gradually been reduced from 437 employees in 2011 to 413 employees in December 2015.  During the Bevin Administration, Labor Cabinet employment was significantly reduced to 288 as of December 2019, a reduction of 125 employees.

-- As of March 2020, there are 68 vacancies in the Labor Cabinet which will be eliminated if the budget reductions proposed by the House in HB 352 become the final appropriation for the Labor Cabinet for FY 2021 and FY 2022.

-- The Department of Workers’ Claims would be unable to meet statutory requirements to ensure that employers comply with workers’ compensation insurance coverage, self-insurance and rehabilitation services. 

-- Underfunding and short staffing will create a delay in processing and adjudicating workers’ compensation claims.  There are only 15 Administrative Law Judges (ALJ) currently which is the lowest number since 1990.  Any further reduction in ALJ’s, will ensure larger dockets and the delay in claims.

-- Workplace Standards - Occupational Safety and Health program would be required to reduce efforts to protect the working men and women of the Commonwealth from workplace injuries and illnesses and provide consultative education services to employers. 

-- 29 CFR 1952.11(c) requires Kentucky OSH to meet certain benchmarks.  The current benchmark of 37 compliance officers is currently not being met and further reductions are inevitable with a budget decrease.  Out of the current compliance staff, 12 are in trainee status leaving the Department with 22 fully functioning compliance officers.

-- Further reductions in the general fund will result in the Division of Wages and Hours not being able to fill necessary Investigative positions.  Each Investigator conducts and closes an average of 156 cases each year impacting Kentucky workers and their wages.

Please act now, to spread the word for our members to contact their KY State Senator to stop these cuts in HB-352. Please call or e-mail your Senator today!  Who's my Senator?

Bill Finn

State Director

Kentucky State Building and Construction Trades Council