Category Archives: President Obama

Shoring Up His Climate Action Legacy, Obama Bans Future Oil Drilling in Atlantic, Arctic Ocean Areas

By Karen Rubin, News & Photo Features

WASHINGTON – President Obama has taken action to ban future mineral extraction from huge sways of offshore areas in the Atlantic and Arctic Oceans to protect these ecologically sensitive marine environments from the impacts of any future oil and gas exploration and development.

Obama used a little-known law called the Outer Continental Shelf Lands Act to protect large portions of the Chukchi and Beaufort seas in the Arctic and a string of canyons in the Atlantic stretching from Massachusetts to Virginia. In addition to a five-year moratorium already in place in the Atlantic, removing the canyons from drilling puts much of the eastern seaboard off limits to oil exploration even if companies develop plans to operate around them.

The announcement by the White House was coordinated with similar steps being taken by Canadian Prime Minister Justin Trudeau to shield large areas of that nation’s Arctic waters from drilling.

The withdrawal does not restrict other uses of these federal waters on the Outer Continental Shelf, and will help to sustain commercial and recreational fisheries in the Atlantic to support fishing-dependent communities, as well as the harvest of marine resources on which many Alaska Native communities rely for subsistence use and cultural traditions.

U.S. Secretary of the Interior Sally Jewell applauded President Obama’s announcement saying, “The President’s bold action recognizes the vulnerable marine environments in the Arctic and Atlantic oceans, their critical and irreplaceable ecological value, as well as the unique role that commercial fishing and subsistence use plays in the regions’ economies and cultures,” Secretary Jewell said. “The withdrawal will help build the resilience of these vital ecosystems, provide refuges for at-risk species, sustain commercial fisheries and subsistence traditions, and create natural laboratories for scientists to monitor and explore the impacts of climate change.”

The withdrawal areas announced encompass 3.8 million acres in the north and mid-Atlantic Ocean off the East Coast and 115 million acres in the U.S. Arctic Ocean. Including previous presidential withdrawals, the {resident’s action protects nearly 125 million acres in the offshore Arctic from future oil and gas activity.

In the Atlantic, the withdrawal decision protects 31 canyons, extending from Heezen Canyon offshore New England to Norfolk Canyon offshore of the Chesapeake Bay. The largest, Hudson Canyon, reaches depths greater than 10,000 feet, comparable in scale to the Grand Canyon, which is 6,093 feet at its deepest. The canyons are regions of enhanced biodiversity, home to numerous species including deep-water corals, deep-diving beaked whales, commercially valuable fish, and significant numbers of habitat-forming soft and hard corals, sponges and crabs.

The canyon region is home to several fish stocks managed as Highly Migratory Species, including commercially valuable marlin, sailfish, swordfish, tuna and sharks. These geologic features also provide important habitat for a number of protected species including beaked, sperm and sei whales, many of which show an affinity to canyon ecosystems as compared to other Atlantic waters.

The President’s action will preserve critical ecological hot spots, helping to protect habitats important to Atlantic fisheries. The designation also affords long-term opportunity for research and exploration, and helps ensure that species dependent on the canyon habitats are protected. It also builds on protections established by the recent creation of the Frank R. Lautenberg Deep Sea Coral Protection Area. This protected region, created by the Mid-Atlantic Regional Fishery Management Council and approved by NOAA, prohibits bottom trawling in all the canyons in the region.

In addition to numerous requests from local and regional officials to protect these offshore resources, 145 prominent marine scientists issued a public letter in September 2015, voicing their conclusion that the threats to the unique marine environment in this region warranted permanent protection to preserve intact ecosystems. These concerns are informed by a number of research findings, including a National Oceanic and Atmospheric Administration study that found ocean temperatures in the Northeast U.S. Shelf are projected to warm three times faster than the global average and a climate vulnerability assessment on fish and invertebrate species in the region that concluded warming oceans due to climate change threaten the majority of fish species in the area, including salmon, lobster, and scallops. The President’s action builds on his establishment of the Northeast Canyons and Seamounts Marine National Monument, which protects 4,913 square miles of marine ecosystems located 130 miles southeast of Cape Cod. The withdrawal protects major Atlantic canyons that are not in the National Monument.

The President’s Arctic withdrawal, which encompasses the entire U.S. Chukchi Sea and significant portions of the U.S. Beaufort Sea, will provide critical protection for these vibrant and fragile offshore ecosystems, which are home to marine mammals and other important ecological resources and marine species on which many Alaska Native communities rely for subsistence and cultural traditions. These include several species of seals; Pacific walrus; polar bears; more than 98 fish species; a number of whale species, such as the bowhead, gray and beluga; many bird species, including waterfowl such as eiders, long-tailed duck and geese; and shorebirds such as the red-necked phalarope.

“Risks associated with oil and gas activity in the remote, harsh and undeveloped Arctic are not worth taking when the nation has ample energy sources near existing infrastructure,” said Abigail Ross Hopper, the Director of Interior’s Bureau of Ocean Energy Management. “Oil spill response and clean-up raises unique challenges in the Arctic and a spill could have substantial impacts on the region, particularly given the ecosystem fragility and limited available resources to respond to a spill.”

The withdrawal does not affect existing leases in these federal offshore waters and would not affect a nearshore area of the Beaufort Sea, totaling about 2.8 million acres, that has high oil and gas potential and is adjacent to existing state oil and gas activity and infrastructure. While there are significant concerns about oil and gas activity occurring in this area, it will be subject to additional evaluation and study to determine if new leasing could be appropriate at some point in the future. Interior’s five year offshore leasing program for 2017-2022 does not include lease sales in this area or in the withdrawn areas.

The U.S. Arctic Ocean is characterized by harsh environmental conditions, geographic remoteness, and a relative lack of fixed infrastructure and existing oil and gas operations. Despite the substantial steps this Administration has taken to improve the safety of potential Arctic exploration, there would still be significant risks associated with offshore drilling operations and the consequences of an oil spill in this region could be substantially detrimental to the ecosystem.

Climate change-induced temperature increases are occurring fastest in Polar Regions, including the U. S. Arctic, resulting in a disproportionate amount of changes to the Arctic environments, including reduction in seasonal ice cover. Loss of sea ice coverage reduces the available habitat for ice-dependent species such as seals, polar bears, and Pacific walrus. Such conditions and stressors may increase the vulnerability of these species and habitat and reduce their resilience to impacts of oil and gas activities.

The Arctic withdrawals build on past actions the President has taken to protect fragile ecosystems and build resilience in the face of climate change, including the Northern Bering Sea Climate Resilience AreaChukchi and Beaufort Seas areas placed off limits to oil and gas leasing earlier this year; and the Bristol Bay withdrawal in 2014.

Further scientific analysis related to the President’s withdrawal proclamation is available here for the Arctic and here for the Atlantic.

Maps of the areas related to President’s withdrawal proclamation are available here for the Arctic and here for the Atlantic.

Obama Blamed for Nonaction in Syria? Look at Libya, Where US Just Helped Rout ISIS (and Media is Mum)

“For years, we’ve worked to stop the civil war in Syria and alleviate human suffering,” President Obama said in his final press conference of 2017. “It has been one of the hardest issues that I’ve faced as president.” © 2016 Karen Rubin/news-photos-features.com
“For years, we’ve worked to stop the civil war in Syria and alleviate human suffering,” President Obama said in his final press conference of 2017. “It has been one of the hardest issues that I’ve faced as president.” © 2016 Karen Rubin/news-photos-features.com

By Karen Rubin, News & Photo Features

The catastrophe in Syria is often leveled  at President Obama as a horrible scar on his legacy. But what is ignored is the context, and also how Libya, which was an important achievement, was used as a weapon to attack Obama as well as Hillary Clinton’s candidacy.

So it is rather remarkable that none of the news outlets are reporting a significant victory in Libya, routing out the last ISIS stronghold, in Sirte.

But to begin:

What is happening in Syria today is where Libya would have easily been, the scale of carnage that Syria turned into, if Obama had not intervened with a coalition of countries including Arab States. At the time, Republicans including Donald Trump, cheered. During the election, the action was demonized, and used in the incessant conspiracy harangue about Benghazi.

So it is really hypocritical that Obama is criticized for not intervening more strenuously in Syria, when in fact, he did all that he could do given the convoluted circumstances and inconvenient alliances and oppositions. Take Turkey, for instance, which opposed the Kurds and worked against the US support of Kurds against ISIS, but US needed access to Turkey’s bases from which to strike at ISIS and needed Turkey’s support of Syrian refugees. (These nuances go beyond Donald Trump’s comprehension.)

The red line that was crossed when Assad used chemical weapons? Recall that Obama was poised to strike, the military was on alert, but the cowardly Congress refused to give its Authorization of Military Force (progressives are still upset that Obama uses the Bush-era 9/11 authorization to go after ISIS). But still, Obama was able to get Assad to give up chemical weapons without the US firing a shot or a single troop sacrificed. How? Putin.

But what could not be anticipated was Russia assisting Assad in the massacre of the Syrian people. Putin, after all, claimed to be joining the coalition against ISIS. Instead, it was a rout of the moderate rebels fighting Assad. Would Americans have endorsed a war with Russia? Would Americans have supported sending 180,000 ground troops into Syria?

As for not providing enough aid to moderate rebels? There weren’t very many to be found – millions of dollars of supplies and only 50 “moderate rebels” identified. What would have happened if it was discovered the US thought it was supplying “moderate” rebels but actually the armaments went to ISIS fighters? Can you imagine?

“For years, we’ve worked to stop the civil war in Syria and alleviate human suffering,” President Obama said in his final press conference of 2017. “It has been one of the hardest issues that I’ve faced as president. The world as we speak is united in horror at the savage assault by the Syrian regime and its Russia and Iranian allies on the city of Aleppo. We have seen a deliberate strategy of surrounding and the seigeing and starving innocent civilians. We’ve seen relentless targeting of humanitarian workers and medical personnel, entire neighborhoods reduced to rubble and dust…

“We all know what needs to happen. There needs to be an impartial international observer force in Aleppo that can help coordinate an orderly evacuation through safe corridors. There has to be full access for humanitarian aid, even as the United States continues to be the world’s largest donor of humanitarian to the Syrian people and beyond that, there needs to be a broader ceasefire that can serve as the basis for a political, rather than a military solution. That’s what the United States is going to continue to push for, both with our partners and through multilateral institutions like the UN.

“Regretfully but unsurprisingly, Russia has repeatedly blocked the security council from taking action on these issues so we’re going to keep pressing the security council to help improve the delivery of humanitarian to those who are in such desperate need and to ensure accountability, including continuing to monitor any potential use of chemical weapons in Syria. And we’re going work in the U.N. General assembly as well, both on accountability and to advance a political settlement because it should be clear that although you may achieve tactical victories over the long term, the Assad regime cannot slaughter its way to legitimacy. That’s why we’ll continue to press for a transition to a more representative government. And that’s why the world must not avert our eyes to the terrible events that are unfolding.

“The Syrian regime and its Russian and Iranian allies are trying to confiscate the truth. The world should not be fooled and the world will not forget.”

Meanwhile, the US was not exactly not doing anything in Syria. The US operated tens of thousands of air strikes against ISIS, and has been the largest donor of aid to Syrian refugees.

And the US has not stood idly by in Libya, either, but assisted in the liberation of Sirte from ISIL. The Administration issued this statement:

Statement by Assistant to the President for Homeland Security and Counterterrorism Lisa O. Monaco on the Successful Operation to Liberate Sirte from ISIL

The United States congratulates the Government of National Accord (GNA) and the Libyan people on their successful operation to liberate Sirte from ISIL. The United States is proud to have supported the advance of the GNA-aligned forces into Sirte with precision airstrikes to eject ISIL from the only city that it controlled outside of Iraq and Syria.

We applaud the courage of the Libyan people, including the residents of Sirte, al-Bunyan al-Marsous forces, and others, who carried out this operation.  We commend Prime Minister Fayez al-Sarraj for his leadership and dedication to the Libyan people.  We also extend our sincerest and heartfelt condolences to the families of those who lost their lives fighting for this important cause.

The U.S. military conducted a carefully tailored counterterrorism operation, at the request of the GNA, to target ISIL while taking great care to minimize harm to civilians.  This partnered operation has substantially reduced ISIL’s manpower in Libya, ended its brutal reign over Sirte’s population, and removed its primary base in Libya, dealing a blow to its ability to plot attacks in Libya and abroad.  This progress comes as Libyans mark one year since the signing of the Libyan Political Agreement.

We know that ISIL will continue its attempts to terrorize the Libyan people and sow instability in North Africa, and that Libyan efforts against terrorism continue in other parts of Libya.  We stand ready to help the GNA as it secures and rebuilds Sirte.  The United States also remains committed to working with the GNA, Libyans throughout the country, and regional partners to counter ISIL and other violent extremist organizations.

____________________

© 2016 News & Photo Features Syndicate, a division of Workstyles, Inc. All rights reserved. For editorial feature and photo information, go to www.news-photos-features.com, email [email protected]. Blogging at  www.dailykos.com/blogs/NewsPhotosFeatures.  ‘Like’ us on facebook.com/NewsPhotoFeatures, Tweet @KarenBRubin

Obama: ‘Cybersecurity is One of the Greatest Challenges We Face as a Nation’

What role did Russia play in affecting the outcome of the 2016 Presidential Election?  President Obama is launching an investigation © 2016 Karen Rubin/news-photos-features.com
What role did Russia play in affecting the outcome of the 2016 Presidential Election? President Obama is launching an investigation © 2016 Karen Rubin/news-photos-features.com

President Barack Obama has just ordered intelligence agencies to review cyber attacks and foreign intervention into the 2016 election and deliver a report before he leaves office on Jan. 20, homeland security adviser Lisa Monaco said on Friday. Monaco told reporters the results of the report would be shared with lawmakers and others.

National intelligence agencies have indicated strong evidence that Russian state-actors, already implicated in the hacking of the Democratic National Committee and in election rolls in some states, intruded into the presidential election – a horrifying attack on American independence and democracy. Donald Trump, the beneficiary of the interference, has dismissed any notion that Russia was involved – particularly since it would have acknowledged that Russia preferred Trump to win – saying in one of the debates that it could just have easily have been a fat lady sitting on her bed. Trump has also refused to sit in on national security briefings. Cybersecurity has been a concern for this administration. Obama issued this statement on the Report of the Commission on Enhancing National Cybersecurity – Karen Rubin, News & Photo Features

In February of this year, I directed the creation of a nonpartisan Commission on Enhancing National Cybersecurity, charging it with assessing the current state of cybersecurity in our country and recommending bold, actionable steps that the government, private sector, and the nation as a whole can take to bolster cybersecurity in today’s digital world.  Yesterday, the members of the Commission – leaders from industry and academia, many with experience in government – provided their findings and recommendations to me.  And earlier today I met with the Commission’s Chair, Tom Donilon, to discuss how we as a country can build on the Commission’s work and enhance our cybersecurity over the coming years.  I want to thank the Commission members for their hard work and for their thoughtful and detailed recommendations.  I am confident that if we implement the Commission’s recommendations, our economy, critical infrastructure, and national security will be better equipped to thrive in the coming years.

The Commission’s report makes clear that cybersecurity is one of the greatest challenges we face as a nation.  That is why I have consistently made cybersecurity a top national security and economic security priority, reflected most recently by the Cybersecurity National Action Plan I announced in February and my 2017 Budget, which called for a more than 35 percent  increase in Federal cybersecurity resources.

During my Administration, we have executed a consistent strategy focused on three priorities:

  1. Raising the level of cybersecurity defenses in the public and private sectors;
  2. Deterring and disrupting malicious cyber activity aimed at the United States or its allies; and
  3. Effectively responding to and recovering from cybersecurity incidents when they occur.

To strengthen our cybersecurity defenses across the country, in 2013 we convened experts from industry, academia and civil society to create the National Institute of Standards and Technology (NIST) Cybersecurity Framework.  As the Commission notes, the Framework has become the gold standard for cybersecurity risk management, and I wholeheartedly support the Commission’s recommendations to expand its usage in the Federal government, the private sector, and abroad.  We encouraged the formation of information sharing and analysis organizations, worked with Congress to enact tailored liability protections for private sector entities that share threat information with the government, and took steps to automate information sharing.  As the Commission calls for, we launched public campaigns to promote cybersecurity awareness among consumers, including the “Lock Down Your Login” campaign encouraging consumers to better secure their identities online.  We have given consumers more tools to secure their financial future by assisting victims of identity theft, improved the government’s payment security, and accelerated the transition to next-generation payment security.  We have invested in cybersecurity research and development to lay the groundwork for stronger cyber defenses in the future.  And I have clarified the roles and responsibilities of Federal agencies in responding to significant cyber incidents by issuing a new directive codifying eight years of lessons learned from incident response.

To strengthen government cybersecurity, we created the first-ever federal Chief Information Security Officer and drove dramatic improvements in Federal agencies’ use of strong authentication and in critical vulnerability patching.  We have pushed to reduce the Federal government’s reliance on legacy technologies, proposing an innovative $3.1 billion fund to modernize costly and vulnerable information technology (IT) systems – a fund that the Commission proposes to expand.  We updated the guidance for Federal agency IT management, cybersecurity, and privacy, introducing the kind of coordination that the Commission calls for.  Agencies are increasingly centralizing their cybersecurity efforts and relying on the Department of Homeland Security (DHS) for shared services like vulnerability detection, network discovery and monitoring, intrusion detection and prevention, and cybersecurity assessments of high priority IT systems.  Consolidating DHS’ cybersecurity and infrastructure protection missions within a single DHS line agency – as my Administration has proposed, and as the Commission recommends – would further strengthen DHS’ ability to support Federal and critical infrastructure cybersecurity.  Finally, consistent with the Commission’s emphasis on improving the Nation’s cybersecurity workforce, my Administration has issued a comprehensive workforce strategy and has hired more than 6,000 new cybersecurity professionals in the Federal government in 2016 alone.

As the Commission recognizes, we have championed the application of international law to cyberspace; promoted voluntary international norms of state behavior during peacetime, securing over 30 countries’ commitment to these norms in the G20 and other international fora; and committed to confidence building measures to reduce escalation risk.  We have secured commitments from China and other nations to oppose cyber-enabled theft of intellectual property and business secrets for commercial gain, sought to modernize the Mutual Legal Assistance process, and submitted legislation to enable greater cross-border data sharing between law enforcement agencies – another effort the Commission strongly supports.  We have developed additional tools and cyber capabilities to deter and disrupt malicious cyber activity aimed at the United States.  Finally, we created the Cyber Threat Intelligence Integration Center to ensure that there is a single government-wide source for integrated intelligence assessments on cyber threats.

In total, the Commission’s recommendations affirm the course that this Administration has laid out, but make clear that there is much more to do and the next Administration, Congress, the private sector, and the general public need to build on this progress.  Deepening public-private cooperation will help us better protect critical infrastructure and respond to cyber incidents when they occur.  Expanding the use of strong authentication to improve identity management will make all of us more secure online.  Increasing investments in research and development will improve the security of products and technologies.  Investing in human capital, education, and the productivity of the cybersecurity workforce will ensure that this country’s best and brightest are helping us stay ahead of the cybersecurity curve.  Continuing to prioritize and coordinate cybersecurity efforts across the Federal government will ensure that this critical challenge remains a top national security priority.  And furthering the promotion of international norms of responsible state behavior will ensure that the global community is able to confront the ever-evolving threats we face.

The Commission’s recommendations are thoughtful and pragmatic. Accordingly, my Administration strongly supports the Commission’s work, and we will take additional action wherever possible to build on the work my Administration has already undertaken and to make progress on its new recommendations before the end of my term.  Importantly though, I believe that the next Administration and the next Congress can benefit from the Commission’s insights and should use the Commission’s recommendations as a guide.  I have asked the Commission to brief the President-Elect’s Transition Team at their earliest opportunity.  Further, we must provide sufficient resources to meet the critical cybersecurity challenges called out in the Commission’s report.  Before Congress adjourns for the year, it must act to fully fund the urgent cybersecurity needs that my Administration has identified in my 2017 Budget and elsewhere, investing in areas such as securing Federal information technology systems, protecting critical infrastructure, and investing in our cybersecurity workforce.

As the Commission’s report counsels, we have the opportunity to change the balance further in our favor in cyberspace – but only if we take additional bold action to do so.  My Administration has made considerable progress in this regard over the last eight years.  Now it is time for the next Administration to take up this charge and ensure that cyberspace can continue to be the driver for prosperity, innovation, and change – both in the United States and around the world.

White House Issues Report on Continuing Need to Rethink School Discipline

President Obama discusses education, education reform, pro-growth agenda at Pathways in Technology Early College High School, Crown Heights, Brooklyn, NY, Oct 25, 2013.
President Obama discusses education, education reform, pro-growth agenda at Pathways in Technology Early College High School, Crown Heights, Brooklyn, NY, Oct 25, 2013 © 2016 Karen Rubin/news-photos-features.com

Public schools in some instances have been accused of being part of a “schools to prison” pipeline. Indeed, many schools today operate more like prisons than places to promote a lifelong love of learning and instill the tools for independent thinking, problem solving and creative strategies. –  Karen Rubin, News & Photo Features

The White House has just released a new capstone report with updates about projects launched and local progress made in response to the Administration’s Rethink Discipline efforts. Rethink Discipline was launched as part of President Barack Obama’s My Brothers’ Keeper initiative and aims to support all students and promote a welcome and safe climate in schools. The full report is available HERE.

The White House will also convene stakeholders and leaders to discuss the progress made and the work ahead to encourage and support local leaders as they work to implement supportive school discipline practices. Today’s meeting in the Roosevelt Room will include remarks by Senior Advisor Valerie Jarrett, Cabinet Secretary and Chair of the My Brother’s Keeper Task Force Broderick Johnson, Domestic Policy Council Director Cecilia Muñoz and Secretary of Education John King.

As noted in a joint Department of Education and Department Health and Human Services Policy Statement, suspension and expulsion can contribute to  a number of adverse outcomes for childhood development in areas such as personal health, interactions with the criminal justice system, and education.

The 2013-14 Civil Rights Data Collection reveals that out-of-school suspensions decreased by nearly 20 percent compared to the 2011-12 school year. However, 2.8 million students received out-of-school suspensions in the 2013-14 school year, representing approximately 6% of all students enrolled in elementary and secondary schools.

The application of exclusionary discipline practices is especially significant for students of color and students with disabilities, who, in general, are disciplined more often than their classmates.  As stated in the Department of Education’s First Look brief about 2013-14 CRDC data, in preschool, black children are 3.6 times more likely to be suspended than white children. In K-12, black students are 3.8 times more likely to receive one or more out-of-school suspensions compared to white students. Students with disabilities are more than twice as likely to receive one or more out-of-school suspensions as students without disabilities.

Addressing these disparities and rethinking discipline have remained top priorities of the Administration, which has focused attention on the importance of school disciplinary approaches that foster safe, supportive, and productive learning environments in which students can thrive. 

Announcements made as part of this comprehensive effort include:

  • Supportive School Discipline Initiative: In 2011, the Departments of Education and Justice announced the launch of a collaborative project to support the use of school discipline practices that foster safe, supportive, and productive learning environments while keeping students in school. A cornerstone of this Initiative is the School Discipline Consensus Project, managed by the Council of State Governments and supported by various philanthropic organizations. The Consensus Project brought together practitioners from various fields to develop consensus recommendations to dismantle the “school-to-prison pipeline.”
  • Joint Federal Policy and Legal Guidance: Education and Justice jointly released a School Climate and Discipline Guidance Package in 2014 to provide schools with a roadmap to reduce the usage of exclusionary discipline practices and clarify schools’ civil rights obligation to not discriminate on the basis of race, color, or national origin in the administration of school discipline.
  • #RethinkDiscipline Convening and Public Awareness Campaign: The Departments of Education and Justice launched Rethink Discipline at the White House in July of 2015, convening school district teams, including superintendents, some law enforcement practitioners, and justice officials from across the country and sparking a national dialogue around punitive school discipline policies and practices that exclude students from classroom instruction and targeted supports.
  • Rethink School Discipline – Resource Guide for Superintendent Action: As a part of Rethink Discipline, the Department of Education developed a resource guide with a set of potential action items to help school leaders implement safe, supportive school climate and discipline by engaging stakeholders, assessing the results and history of existing school climate and discipline systems and practices; implementing reform; and monitoring progress.
  • Support for State and Local Educational Leaders and Partners from Other Systems: In 2015, the Department of Justice launched the National Resource Center for School Justice Partnerships to advance school discipline reform efforts and serve as a dynamic resource hub for schools, law enforcement agencies, and others to support school discipline reform efforts at the local level.
  • Fostering Safe and Supportive Learning Environments: In 2016, the Department of Education released the ED School Climate Surveys and the Quick Guide on Making School Climate Improvements to help foster and sustain safe and more nurturing environments that are conducive to learning for all students.
  • Addressing Implicit Bias and Discipline Disparities in Early Childhood Settings: In 2016, the Departments of Education and Health and Human Services announced a new investment of $1 million in the Pyramid Equity Project to establish national models for addressing issues of implicit bias, and uneven implementation of discipline, including expulsions and suspensions, in early learning programs.
  • Providing Guidance to Schools on Ensuring Equity and Providing Behavioral Supports to Students with Disabilities: In 2016, the Department of Education announced the release of a significant guidance document in the form of a Dear Colleague Letter, which emphasized the requirement that schools provide positive behavioral supports to students with disabilities who need them. It also clarified that the repeated use of disciplinary actions may suggest that many children with disabilities may not be receiving appropriate behavioral interventions and supports. Also included was a Summary for Stakeholders.
  • Transforming School Climate: In the 2016 Investing in Innovation Program, the Department supports innovative approaches to creating a supporting school climate. This priority builds on the #RethinkDiscipline campaign to increase awareness about the detrimental impacts of exclusionary discipline, the Department’s investment in School Climate Transformation Grants to help states and districts strengthen behavioral supports for students, and a school discipline guidance package to clarify schools’ obligation not to discriminate on the basis of race in discipline.
  • Best Practices and Procedures for School Resource Officers: In September of 2016, U.S. Departments of Education and U.S. Justice released new tools to assist states, districts and schools in the implementation of best practices for the appropriate use of school resource officers (SROs). The release is the result of collaborative work between both Departments to define the best use of law enforcement officers when utilized within a school environment. The Departments also jointly released the Safe, School-based Enforcement through Collaboration, Understanding, and Respect (SECURe) Rubrics. These resources are designed to help education and law enforcement agencies that use SROs to review and, if necessary, revise SRO-related policies in alignment with common-sense action steps that can lead to improved school safety and better outcomes for students while safeguarding their civil rights.
  • Ending Corporal Punishment in Schools: Last month, ED sent a letter urging state leaders to end the use of corporal punishment in schools, a practice repeatedly linked to harmful short-term and long-term outcomes for students. The letter from the Secretary was sent to governors and chief state school officers and provided links to resources that can be promoted by those state leaders and adopted by district and school leaders.

As Obama Presidency Nears Finish, White House Continues to Work for Pay Equity, Announcing New Commitments to Equal Pay Pledge

Lily Ledbetter, for whom the Lily Ledbetter Fair Pay Act, which made inroads to addressing the inequity of women’s pay, is named. Equal Pay has been an Administration priority since President Obama signed the Lilly Ledbetter Fair Pay into law as his first piece of legislation upon becoming president © 2016 Karen Rubin/news-photos-features.com
Lilly Ledbetter, for whom the Ledbetter Fair Pay Act, which made inroads to addressing the inequity of women’s pay, is named. Equal Pay has been an Administration priority since President Obama signed the Lilly Ledbetter Fair Pay into law as his first piece of legislation upon becoming president © 2016 Karen Rubin/news-photos-features.com

With the end of his presidency in sight, President Obama is working to accomplish as much progress as he could before the Donald Trump Administration comes in promising to undo it all. 

The White House offered this Fact Sheet Announcing New Commitments to the Equal Pay Pledge, a who’s who of the best places for women to work:

The White House launched the Equal Pay Pledge in June at the first-ever United State of Women Summit, encouraging companies from across the American economy to take action to advance equal pay. Today we are announcing new signatories to the White House Equal Pay Pledge and highlighting the critical role that businesses can play in reducing the national gender pay gap.

These 44 newly-committed employers bring the total number to more than one hundred companies and organizations that collectively employ millions of Americans. The new commitments are from a diverse range of employers, including AT&T, eBay, The Estée Lauder Companies, InterContinental Hotels Group, Mastercard, Yahoo, Square and Zillow Group.

Equal Pay has been an Administration priority since President Obama signed the Lilly Ledbetter Fair Pay Act into law as his first piece of legislation. Policies that ensure fair pay for all Americans and that help businesses to attract the strongest talent can not only narrow the pay gap, but also boost productivity and benefit our economy.

Today, women make up nearly half of the U.S. labor force and more women than ever are the breadwinners in their families. More women are also working in positions and fields that have been traditionally occupied by men. Yet in 2015, the typical woman working full-time all year in the United States earned only 80 percent of what the typical man earned working full-time all year. The pay gap is even greater for African American and Latina women, with African American women earning 63 cents and Latina women earning 54 cents for every dollar earned by a white non-Hispanic man. The gender wage gap continues to be a very real and persistent problem that continues to shortchange American women and their families.

EMPLOYERS FOR PAY EQUITY BUSINESS CONSORTIUM

This year on Women’s Equality Day, a group of White House Equal Pay Pledge employers formed an independent business consortium, Employers for Pay Equity—to help private industry players share best practices and develop better hiring, promotion, and pay policies. Today, Employers for Pay Equity is announcing a partnership with Simmons College to carry the consortium’s work forward. Simmons College will play a leading role in hosting the consortium to establish pay equity as a best business practice and a means to grow a more equitable workforce for all Americans.

These private sector companies and organizations share a commitment to equal pay and their pledges build on the Administration’s record of empowering women and girls.

By signing the Equal Pay Pledge, these employers are:

  • Acknowledging the critical role businesses must play in reducing the national pay gap.
  • Committing to conducting an annual company-wide gender pay analysis across occupations.
  • Reviewing hiring and promotion processes and procedures to reduce unconscious bias and structural barriers.
  • Embedding equal pay efforts into broader enterprise-wide equity initiatives.
  • Pledging to take these steps as well as identify and promote other best practices that will close the national wage gap to ensure fundamental fairness for all workers.

We thank all who have joined in this pledge and encourage the business community to continue to implement and uphold pay equity policies. 

*** 

WHITE HOUSE EQUAL PAY PLEDGE 

The Lilly Ledbetter Fair Pay Act was the first piece of legislation President Obama signed into law. Policies that ensure fair pay for all Americans and that help businesses attract the strongest talent can not only narrow the gender pay gap, but also boost productivity and benefit our economy. Yet, the typical woman working full-time all year in the United States only earns 80 percent of what a typical man working full-time all year earns. While the gap has narrowed slightly over the past few years, there is much more work to be done to ensure fair pay for all. 

Building on the Administration’s numerous actions to close the national pay gap, the White House challenged businesses to take the Equal Pay Pledge. Several U.S. private sector companies have come together in support of advancing equal pay. 

*** 

We received a very positive response to the pledge and welcome our new signatories, including the employers below. 

These signatories put forth their pledges as follows: 

Equal Pay Pledge 

  • Adobe is proud to join the list of companies committed to equal pay.  Paychecks are important, not only because they cover the needs of employees and their families, but also because they are an important indicator of fair treatment. Gender should have no part in driving pay decisions.

We have already reported our U.S. pay data relative to gender and race, and we will continue to report our pay data annually.  This equal pay commitment is part of a larger diversity and inclusion strategy with three key areas of focus:  building a diverse talent pipeline; broadening our recruiting efforts to ensure a diverse candidate pool; and helping all employees grow once they are part of Adobe.

Investing to bring out the best in everyone, regardless of gender or background, contributes to the success of the business and the most important asset – our people.

  • Amalgamated Bank is proud to take the White House Equal Pay pledge to keep compensation fair, to practice our own values of fairness, diversity and inclusion, and to never stop looking for ways to do better.  We believe that pay equality isn’t an accomplishment, it’s standard operating procedure.  For nearly 100 years, Amalgamated Bank has been the progressive bank for the progressive community.  We strive to lead by example among financial institutions and ensure equal access to financial services for all people, which also means that our own employees receive equal pay for equal work.  By helping those both inside and outside the bank who do good do better, we believe everyone benefits.
  • AT&T’s commitment to diversity and inclusion has been visible and steadfast for nearly half a century. It dates back to the establishment of our Supplier Diversity Program in 1968, and our first Employee Resource Group in 1969.  Today, more than 120,000 employees have active memberships in our Employee Resource Groups and Employee Networks.

Diversity and inclusion is essential to our culture and our success. It fosters big ideas, fresh perspectives and opportunities, and bold leadership.  It plays an essential role in innovation, and it helps us play a more vital role in our communities.  Engaging in practices that support diversity, inclusion, and equality is a basic part of how we do business.

Signing on to the White House Equal Pay Pledge reinforces and validates what we already deliver to our employees:  equal pay for comparable work, experience and performance, regardless of gender, race, religion, or age. We’re proud to continue the practices that have created our fair and equitable workplace.

  • Autodesk today announces that we are signing the White House Equal Pay Pledge. Autodesk looks at inclusion comprehensively—how we attract, retain and develop top talent; how we include the widest range of entrepreneurs and developers using our software in our ecosystem; and how we expand opportunity globally to underrepresented segments of society. Equal pay is at the foundation of inclusion—this means we consider all of our employees, with all of the dimensions of diversity that they bring, whole contributing members of our organization deserving of equal compensation.

We currently conduct an annual review our compensation packages based on gender and ethnicity, but we recognize there is still much more to do and that signing this pledge is a commitment to ongoing self-reflection and analysis as an organization, which is why we do not take this lightly. In addition to a commitment to equal pay, our signature is also a commitment to creating and maintaining an inclusive environment where people can contribute fully and achieve personal and professional success.

  • Colgate-US has long been highly committed to the principles of fairness and equity the White House Equal Pay Pledge serves to support and is proud to add its name to the number of organizations taking this pledge.
  • eBay – For more than 20 years, eBay has sought to build a company that supports Connected Commerce – commerce that is enabled by people, supported by technology, and open to everyone.  In accordance with our vision, we believe deeply that we must have a diverse workforce and an inclusive workplace to ensure we reflect the perspectives of the tens of millions of customers that we serve globally.  That’s why eBay is proud to join with the White House in pledging to close the gender wage gap.We at eBay are committed to ensuring that we pay our people fairly based on their role, contribution and impact – not on factors unrelated to the work they do.  We have supported strategic initiatives, like our Women’s Initiative Network (WIN) and eBay Women in Technology (eWIT), that aim to support gender diversity in our workplace and the ability of women to build lasting, successful careers at our company.  Additionally, in early 2016, we undertook an extensive, global study of gender pay equity that considered the main components of compensation.  We are pleased to report that our study found pay parity between male and female employees.

    Going forward, we are committed to conducting on-going reviews of our compensation practices and, when necessary, we will take appropriate action to make sure that our employees continue to be paid fairly and equitably.  Ongoing commitment to equal pay principles is essential to ensuring we deliver on this pledge, and we will continue to review our practices globally to make sure we are creating the best possible workplace for all of our employees.

  • Edison International, we understand that diversity of thought is fueled by diversity of people engaged in an inclusive and fair work environment. We are committed to ensuring that gender pay equity is a part of the fairness experienced by all of our employees. Therefore, we are pleased to sign the White House Equal Pay Pledge.

We are a diverse company that succeeds when our employees are able to bring their best selves to the workplace. The ability to attract, retain, and develop a diverse workforce allows us to leverage our unique experiences, better reflect the communities we serve, and ensure equity and inclusion that benefits both our company and our customers.

As part of our pledge, we commit to continue our annual review of compensation, which is used to understand any potential gaps in pay and to take action when appropriate. In addition, Edison International aims to further increase equal employment opportunities and to break down employment barriers by continually seeking diverse representation in our hiring and promotional opportunities. We continue to analyze and evolve our pay practices and market demands for talent and to foster an inclusive work environment where our employees can fully contribute, find opportunities for advancement, and feel valued.

  • The Estée Lauder Companies is honored to partner with the White House in its effort to promote gender equality in the workplace.

As a Company founded by a pioneering entrepreneur, Mrs. Estée Lauder, we are proud to continue her legacy of empowering women, supporting families, and promoting equality.

Founded on strong family values 70 years ago, we have always believed that our people are our greatest asset. We take pride in maintaining a unique, creative and diverse workforce where everyone’s contributions are fairly rewarded.  We are proud that women constitute 85% of our employees worldwide, with 50% of our senior vice president positions and above in the U.S. held by women.

We understand that equal pay not only affects women but also their families, their communities, and our shared economy. By signing the Equal Pay Pledge, we are underscoring our commitment to ensure that all women and men are compensated fairly in terms of capabilities and experience.

We remain committed to providing a dynamic and supportive workplace for all our employees to foster their growth, success and well-being.

  • Exelon is pleased to sign the White House Equal Pay Pledge and we are committed to doing all we can to help close the national gender pay gap. Research shows that the typical American working woman makes 79% of what the typical working man makes – this translates to a loss of $500,000 over her lifetime. For Latino and African American women this cumulative loss nearly doubles. Diversity and inclusion is critical to Exelon’s success and our workforce programs must include transparency and fairness. As a result, we are joining other leading companies and conducting an annual audit of compensation, hiring and promotion practices. Through these efforts, Exelon is stating unequivocally that we value every worker, male and female. Advancing pay equity is not simply good business practice, but the right thing to do.
  • The Honest Company is honored to sign the White House Equal Pay Pledge and join the other companies who have taken on this economic and social imperative.  Our mission – to empower people to live a happy & healthy life – is at the heart of our business, and our company culture embodies our name: Honesty, Transparency, Openness. This applies both to how we treat our consumers as well as our employees. Diversity and gender equity are strategic pillars for our organization, and we are committed to ensuring all employees benefit from a workplace that is inclusive and fair. We are proud to stand with the White House and other companies who share these values.
  • InterContinental Hotels Group: Our ambition is to be number one for guests, owners and colleagues. A critical part of this ambition is our commitment to upholding equitable compensation practices regardless of race, gender or ethnicity. That’s why we are pleased to sign the White House pledge.
  • Mastercard: We believe that diversity and inclusion are essential to creating an inclusive environment for our colleagues, helping them to better serve our customers worldwide. At the same time, to ensure that our employees reflect the customers we serve and today, we source talent from numerous industries and backgrounds.

We are committed to this important pledge and will continue to review and enhance our policies and practices to ensure they reflect our values and connecting our employees to “Priceless Possibilities.” Our “Whole You” program is based on the premise of providing benefits to employees at different stages of life both at work and outside of work.

  • MWWPR was founded 30 years ago on progressive ideals that continue to fuel our vision, inspire our progress, and motivate our employees today. Our agency’s ethos of “Matter More” serves as our guiding principle – we strive to not only help our clients matter more to the people who matter most, but to ensure that all our employees feel valued for the contributions they make.

Engaging and retaining our incredible staff is our agency’s highest priority, and demonstrating fairness and inclusion is fundamental to our talent strategy. Our management committee is comprised of a majority of women, many of whom actively mentor junior female colleagues, and we regularly review our hiring and promotion processes to ensure we are evaluating and rewarding all employees equally.

For MWWPR, signing the Equal Pay Pledge is an important next step in demonstrating our commitment to our people, and we are honored to be the first public relations firm to take the pledge. We hope to inspire our colleagues in the industry to make a similar commitment, and are proud to stand with other leaders in the business community as we continue prioritizing equality and transparency across our agency.

  • Nestlé in the US: At Nestlé, we value our employees’ health and wellness, which includes the opportunity to work in an environment where one feels empowered, appreciated and respected.  Enhancing gender balance in our workforce is one of our company’s core societal commitments, globally and in the U.S., which is why each of our operating companies in the US is pleased to reaffirm our commitments by signing the White House Equal Pay Pledge.2016 marks Nestlé’s 150th year in business and we know that in order to be in business for the next 150, we must promote inclusive opportunities that respect the contribution of all of our employees.  Nestlé believes that striving towards equal pay, fair hiring, retention and promotion practices, and investing in leadership and professional development opportunities for women is good for our people, our consumers and our business.  We remain dedicated to enhancing gender balance in our workforce. To that end, we will continue to invest in programs including providing support for dual-career spouses as part of our International Dual Career Network, hosting networking events in conjunction with the Network of Executive Women Leadership Summit, continuing to find opportunities to publicly celebrate the accomplishments of our women executives throughout our businesses and encouraging eligible employees to take advantage of our Parent Support Policy, which offers up to 14 weeks of paid leave for primary caregivers with the option of extending unpaid leave up to six months.

    Each Nestlé business in the US will continue to review its hiring practices, assessments, and promotion decisions at the business level on an annual basis and work towards improving our ability to achieve gender balance and foster an equitable environment for all of our employees.

  • New Belgium Brewing is proud to sign on to the White House Equal Pay Pledge. As a 100% employee owned company, we know that when we take care of one another our workplace and our business are healthier. We’re proud to have women and men in every part of our company working side by side, earning wages that reflect our commitment to equal pay, advancement based on merit, and a spirit of community.
  • SoulCycle: Led by a female CEO and founded by two women, SoulCycle’s commitment to supporting and advancing women has always been part of the company’s DNA. The support and respect that we extend to each rider who walks through our 67 studio doors extends to our company-wide culture.  We’re committed to nurturing the health and happiness of all of our team members, and that includes our hiring practices and compensation.  As a company, we understand the importance of supporting and advancing women throughout their careers, and we know that our team thrives when they’re compensated fairly for their contributions.  We’re proud that women make up 86% of our studio leadership.

We applaud the White House for its efforts to eliminate the gender wage gap and promote equal pay.  We pledge to continue taking action individually and collectively as a team to pay equality.

  • Square is proud to sign the Equal Pay Pledge as a natural extension of our existing commitment to pay equity.  Square was built on the principle of inclusion which is reflected not only in the products and services that we provide to our sellers, but also in our internal policies and work environment.  We strive to recruit, retain, promote, and compensate our employees on the basis of their qualifications, performance, and potential.  We also work with our managers and employees in efforts to prevent gender-based bias from entering the workplace.  Most of all, we are committed to continually reviewing our policies and practices to identify and act upon further opportunities for improvement—we will always strive for inclusion, fairness, and equality.
  • Workday – Since day one, we’ve embraced diversity – including different experiences, perspectives, insights, backgrounds, and skills – because it fuels innovation, and creates a broader connection to the world. We believe that all employees deserve equal pay, and an equal chance to succeed. That’s why we’re proud to join the White House in signing the Equal Pay Pledge, as it supports our ongoing commitment to close the gender wage gap.As part of this commitment, we’ve developed reporting capabilities within our product that can uncover and potentially address the gender wage gap. We and many of our customers use these reporting capabilities to evaluate our pay practices to ensure our employees are compensated fairly. Knowledge is power, and we believe that technology can provide the information organizations need to create a more equal and inclusive workplace.
  • Yahoo, with more than one billion unique users across the world each month, has a distinct opportunity to leverage the power of our platforms to advance inclusion and diversity at the company, and across the tech industry. We recognize that building an inclusive and diverse workplace is more than a theoretical goal. It is a mission-critical business imperative that we must address with the same level of urgency and commitment that we apply to other strategic initiatives. And pay equity is a critical and inextricable component of this mission.

We are proud to have been recognized in 2015-2016 for our strides in paving the way for gender equality (Watermark Index Award winner), for being a best place to work for LGBT employees (scoring 100% on Human Rights Campaign Corporate Equality Index for the tenth year in a row), for being a best place to work for parents (named by Elle Magazine and Fatherly.com), and by being named as an employer whose work significantly impacts communication access for people with hearing loss (receiving the National Access Award by the Hearing Loss Association of America (HLAA)).

  • Zillow Group is honored to sign the White House Equal Pay Pledge and join other companies who are committed to this effort. Zillow Group evaluates pay equity twice a year, is building out training to be aware of our unconscious biases, and reviews hiring and promotion processes. We are constantly striving to ensure that our compensation and benefits package matches our values of inclusion and equity. In addition to our generous maternity and parental leave policies, Zillow Group offices have designated nursing rooms, fully equipped with hospital grade pumps and fridges. Since 2010, we have offered free overnight breast milk shipping for nursing mothers on business trips. As a company, we invest in our people since they are investing in us. We believe the private sector plays a critical role in reducing the national pay gap and are proud of our internal efforts to provide gold-star benefits and gender pay equity for all our employees.

WE ARE ALSO JOINED BY THE FOLLOWING BUSINESSES:

  • Association of Equipment Manufacturers
  • AttainIT
  • Avanade Inc.
  • Avila Retail
  • Branding Brand
  • Cava Grill
  • DCode42
  • GBD Architects Incorporated
  • Global Experience Specialists
  • Harris Miller Miller & Hanson Inc
  • Hired, Inc.
  • Margaux’s Bookkeeping, Inc.
  • Omada Health
  • Periscope Data
  • RizePoint
  • Robinson & Kardonsky, P.C.
  • Spottswoode Winery
  • Stanton Chase International
  • Teslights LLC.
  • Thrive Global
  • Venesco LLC
  • Vmware
  • Vonage
  • WP Engine

BUILDING ON A RECORD OF SUPPORTING WORKING FAMILIES

Since taking office, President Obama and his Administration have taken a number of actions to support working families and combat the pay gap, including:

  • Publishing a final regulation by the Department of Health and Human Services to implement the Child Care and Development Block Grant Act of 2014. The program provides subsidies to working families and last year provided services for roughly 1.4 million children aged 0-13, most of whom are younger than 5. The rule, which has not been comprehensively revised since 1998, will provide a roadmap to states on how to implement the new law and clarify ambiguities around provisions that deal with eligibility for services; health and safety requirements; and how best to support the needs of parents and providers as they transition to the new law.  It also clarifies that worker organizations can provide professional development to child care workers and contribute to discussions around the rates states set for subsidies.
  • Signing his first piece of legislation as President, the Lilly Ledbetter Fair Pair Act, in January 2009 making it easier for employees to challenge unfair pay practices.
  • Creating the National Equal Pay Task Force in January 2010 to implement his pledge to crack down on violations of equal pay laws, which included representatives from the Equal Employment Opportunity Commission, the Department of Justice, the Department of Labor, and the Office of Personnel Management. The Task Force has issued reports on its progress, including Fighting for Equal Pay in the WorkforceKeeping America’s Women Moving Forward, andFifty Years After the Equal Pay Act.  In addition, since the creation of the Equal Pay Task Force in 2010, the EEOC has received over 18,000 charges of sex-based pay discrimination, and through its independent enforcement efforts, the EEOC has obtained over $140 million in monetary relief for victims of pay discrimination on the basis of sex.
  • Calling on Congress to pass the Paycheck Fairness Act, commonsense legislation that would strengthen the Equal Pay Act of 1963 by closing loopholes in the defenses for equal pay violations, providing stronger remedies, and expanding protections against discrimination for employees who share or inquire about information about their compensation at work.
  • Signing a Presidential Memorandum in May 2013 directing the Office of Personnel Management to develop a government-wide strategy to address the gender pay gap in the federal workforce, leading to a report in April 2014 and new guidance in July 2015—which cautioned against reliance on a candidate’s existing salary to set pay, as it can potentially adversely affect women who may have taken time off from their careers or propagate gaps due to discriminatory pay practices by previous employers.
  • Issuing an Executive Order in April 2014 and publishing a Department of Labor rule in September 2015 prohibiting federal contractors from discriminating against employees who discuss or inquire about their compensation.
  • Announcing a White House Equal Pay Pledge, with more than 50 leading businesses signing on to take action to advance equal pay.  By signing the pledge, these companies are committing to conduct an annual company-wide gender pay analysis, review hiring and promotion processes, embed equal pay efforts in broader equity initiatives, and identify and promote best practices that will close the wage gap.
  • Hosting a White House Summit on Working Families in June 2014, highlighting the issues that women and families face, setting the agenda for a 21st century workplace, and announcing of a number of steps to help working families thrive.
  • Hosting the United State of Women Summit in June 2016, highlighting the progress that has been made over the course of this Administration and discussing public and private sector solutions to the challenges that still lie ahead.
  • Signing a Presidential Memorandum in January 2015 directing federal agencies to advance six weeks of paid sick leave to federal employees with new children, calling on Congress to grant another six weeks of paid leave for federal employees, and calling on Congress to pass legislation that gives all American families access to paid family and medical leave.
  • Publishing a final Department of Labor rule in May updating outdated overtime regulations, expanding overtime pay protections to 4.2 million additional Americans, boosting wages for workers by $12 billion over the next 10 years, and allowing workers to better balance their work and family obligations.
  • Issuing an Executive Order in February 2014 requiring federal contractors to raise their minimum wage initially to $10.10 an hour, indexing it, and lifting the tipped minimum wage (which disproportionately impacts women)—and urging Congress, states, cities, and businesses to do the same.
  • Directing the Office of Personnel Management and federal agencies to enhanceworkplace flexibility for federal employees to the maximum extent practicable, including enshrining a right to request flexible work arrangements.
  • Signing into law the Telework Enhancement Act of 2010, which requires agencies to support and establish policies for telework by eligible employees.
  • Calling on Congress to pass the Pregnant Workers Fairness Act, which would require employers to make reasonable accommodations to workers who have limitations from pregnancy, childbirth, or related medical conditions (unless it would impose an undue hardship on the employer). The legislation would also prohibit employers from forcing pregnant employees to take paid or unpaid leave if a reasonable accommodation would allow them to work.
  • Finalizing a Department of Labor rule updating its sex discrimination guidelinesfor federal contractors for the first time since 1978, to align with current law and address barriers to equal opportunity and pay, such as pay discrimination, sexual harassment, hostile work environments, a lack of workplace accommodations for pregnant women, and gender identity and family caregiving discrimination.
  • Collecting summary employee pay data from certain employers to improve investigations of possible pay discrimination, which remains a contributing factor to persistent wage gaps. Starting March 2018, The U.S. Equal Employment Opportunity Commission (EEOC) will add the summary pay data to the annual Employer Information Report or EEO-1 report that is coordinated by the EEOC and the Department of Labor’s Office of Federal Contract Compliance Programs.
  • Announcing the Department of Labor’s award of $54 million in “Strengthening Working Families” grants to help low- to middle-skilled parents access the affordable, quality child care they need to earn an education, participate in training programs, and compete for better-paying jobs in emergency industries.
  • Expanding access for women to higher-paying jobs through a proposed rule updating equal employment opportunity requirements in registered apprenticeships and through a Mega-Construction Projects (MCP) Initiative at the Department of Labor.

White House Announces New Steps to Create Better, Fairer and Fewer Tests in Schools

Outgoing US Congressman Steve Israel with Great Neck (marking its 200th anniversary as a public school district) and Long Island educators, in front of Great Neck South Middle School, appeals for the Department of Education to change its rules regarding over-testing. The White House has just announced new steps to create “better, fairer and fewer tests” © 2016 Karen Rubin/news-photos-features.com
Outgoing US Congressman Steve Israel with Great Neck (marking its 200th anniversary as a public school district) and Long Island educators, in front of Great Neck South Middle School, appeals for the Department of Education to change its rules regarding over-testing. The White House has just announced new steps to create “better, fairer and fewer tests” © 2016 Karen Rubin/news-photos-features.com

Common Core has become one of those boogeymen memes that elicits hysterical knee-jerk reaction against Big Government intrusion into parental authority and local control over schools. However, what is deliberately set aside is that Common Core was developed at the state level. The point of Common Core was to lift standards for public education. Instead, it has been overtaken by the Accountability Movement which uses testing as a weapon against teacher unions and by the Privatized Education Corporatists as a tool to overturn public education in favor of taxpayer funding of for-profit, privatized charter schools and unconstitutional public funding of parochial schools.  The result was over-testing, creating unnecessary stress among public school students (private school students don’t have to take the tests), but a windfall for private testing and tutoring companies. In these waning days of the Obama Administration, which has worked so hard to improve public education for all, the White House has announced new, rational steps to create “better, fairer and fewer tests” in schools. . – Karen Rubin, News & Photo Features

 FACT SHEET: White House Announces New Steps to Create Better, Fairer and Fewer Tests in Schools

“When I look back on the great teachers who shaped my life, what I remember isn’t the way they prepared me to take a standardized test. What I remember is the way they taught me to believe in myself. To be curious about the world. To take charge of my own learning so that I could reach my full potential. …

I’ve heard from parents who worry that too much testing is keeping their kids from learning some of life’s most important lessons. I’ve heard from teachers who feel so much pressure to teach to a test that it takes the joy out of teaching and learning, both for them and for the students. I want to fix that.”

– President Barack Obama, October 2015

When done well, assessments give parents, teachers, and students critical information on whether all students in a community are progressing each year toward college and career readiness. When used appropriately, they also serve as an essential protection to promote equity.  In too many schools, however, redundant or low-quality assessments are being administered without a clear purpose.  These ineffective assessments can consume valuable class time and can take the joy out of learning.

That is why last October, President Obama announced his Testing Action Plan and asked the U.S. Department of Education to work aggressively with states and school districts to make sure that tests students take are worthwhile; high-quality; time-limited; fair and transparent to students and families; and one of multiple sources used to understand how students, educators and schools are progressing.  Since then, the Obama Administration has acted to assist states and school districts in ensuring that the tests they are giving are better, fairer and fewer.

The White House and the Department of Education, on December 7, brought state and district leaders together with educators, parents, technologists, developers and philanthropic leaders to discuss the impact of the Testing Action Plan and what more can be done to ensure that tests are better, fairer, and fewer. As part of the event, the Department of Education announced additional resources and guidance for states and school districts aligned with the Testing Action Plan, including nearly $8 million in grants to the Maryland State Department of Education and the Nebraska Department of Education to develop new and innovative ways to measure science achievement that can serve as models for other states.

New Federal Resources to Help States and School Districts Improve Testing

The White House and the Department of Education are announcing new efforts designed to help states and school districts improve their assessments and help them evaluate the totality of their assessments in order to eliminate unnecessary or low-quality tests.  Today’s announcements include:

o   The Innovations in Science Map, Assessment, and Report Technologies (I-SMART) Project, led by the Maryland State Department of Education and in partnership with Missouri, New York, New Jersey, and Oklahoma, will produce innovative science assessments aligned to the Next Generation Science Standards to support comprehensive alternate assessments for students with the most significant cognitive disabilities.  It will contain multiple measures of student progress over time, develop a science learning map that includes multiple pathways for students to learn science content and reach challenging grade-level expectations, and also deliver score reports that improve the information about student performance that is shared with educators and families.

o   The Strengthening Claims-Based Interpretations and Uses of Local and Large-Scale Science Assessments (SCILLSS) project, led by the Nebraska Department of Education in partnership with Montana and Wyoming, aims to improve the quality of statewide science assessments.  The project will leverage existing tools and expertise to generate more resources to strengthen states’ ability to create and evaluate quality science assessments.  The project will also engage state and local educators to clarify the interpretations and uses of assessments scores and to create tools to improve the usefulness of student performance results.

  • Regulations to Create Better, Fairer, and Fewer Assessments under the Every Student Succeeds Act (ESSA):  The Department of Education is releasing two final regulations designed to give states and school districts clarity and flexibility as they implement the assessment provisions under Title I of the ESSA.  These regulations seek to clarify the statutory requirement that states administer high-quality, annual assessments to all students by ensuring that these assessments are worth taking and provide meaningful data about student success and equity for all students, while also encouraging states and districts to continue to push the field of assessment forward through innovation.

o   Creating Better, Fairer, and Fewer Tests:  The final regulation for state assessment systems under Title I, Part A — which are the result of consensus reached when the Department of Education conducted negotiated rulemaking with a diverse group of stakeholders earlier this year — willensure states continue to administer tests that are valid, reliable, and fair measures of student achievement for all students, including by setting clear parameters for meaningfully including students with disabilities and English language learners in state tests and supporting them with appropriate test accommodations.  The final regulation also allows states to take advantage of a range of innovative approaches to improve assessment and reduce overall burden, such as implementing computer-adaptive assessments and allowing a district to offer a locally selected, nationally recognized high school tests in place of the annual statewide high school assessment.  Taken together, this regulation will help states and districts implement ESSA to create better, fairer and fewer tests.

o   Producing a New Generation of Innovative Assessments:  The final regulation under Title I, Part B establishes the parameters under which states may take advantage of a new innovative assessment demonstration authority under the ESSA to create, try out, and scale up alternatives to traditional end-of-year large-scale assessments.  This demonstration authority, initially available to up to seven states, allows states to rethink assessment systems and pilot new, innovative approaches to measuring student achievement for use in their accountability systems.  States with demonstration authority will be allowed to phase-in and use a new innovative assessment system in a subset of their districts, while maintaining their existing system in the rest of their districts, and use the results from both systems for accountability and reporting purposes under the law during the pilot phase.  States may also apply for flexibility as a consortium, providing a built-in community of practice to share and work through common challenges as they scale their new innovative assessments statewide.

  • Guidance to States on How to Use Federal Resources to Create Better, Fairer and Fewer Tests:  The Department of Education is also releasing non-regulatory guidance for states and school districts, which highlights flexibility in ESSA for how states and districts can use federal funds to support the President’s Testing Action Plan. The guidance outlines how states and districts can use federal funding under the ESSA to ensure high-quality assessments for all students; reduce testing time; eliminate redundant, duplicative assessment; and provide clear, transparent and actionable information on assessments to students, families, and educators.  This ESSA guidance applies starting in fiscal year 2017 (i.e., the 2017-2018 school year) and updates previous guidance ED released earlier this year.
  • Profiles of Districts that are Taking Action to Improve Assessments:  The Department of Education is releasing profiles highlighting the steps taken by two districts, Eminence Independent Schools (KY) and Vancouver Public Schools (WA), to reduce and improve assessments. Eminence saw dramatic improvements in student achievement after implementing a learner-centric education model that focuses on differentiated instruction, personalized learning, continuous growth, and the use of formative assessments and alternative means to assess student progress.  Vancouver Public Schools conducted an audit of its district-required assessments in 2015 and eliminated 105 administrations of district-required assessments allowing the district to return an average of 900 minutes back into the classroom across grades 3 – 8. These profiles build on a report the Department released in April, highlighting the work of leading states and districts to improve assessment and ensure class time is preserved.
  • Information on Technology-Delivered Assessments Supported by the Institute of Education Sciences:  The Institute for Education Sciences (IES) is releasing ablog that highlights some of the technology-delivered assessments funded through IES.  Since its inception in 2002, three IES programs, including the Research Programs at the National Center for Education Research (NCER) and at the National Center for Special Education Research (NCSER), and the ED/IES SBIRprogram have made over 200 awards supporting the development of new technology-delivered assessments.  The awards were made to a mix of academic researchers, entrepreneurial firms, and larger education organizations. All of the projects included a rigorous research and development process with studies to validate that assessments are measuring what is intended and pilots to test the promise of the technologies for improving student learning outcomes.  Later this month IES will release a more detailed report highlighting the technology-delivered assessments and innovations in the assessment field funded through three research programs.

For Obama, Counterterrorism Means ‘Right Makes Might – That’s How We’ll Protect Our Constitution Against all Threats, Foreign and Domestic’

President Barack Obama: “We have to fight terrorists in a way that does not create more terrorists.” © 2016 Karen Rubin/news-photos-features.com
President Barack Obama: “We have to fight terrorists in a way that does not create more terrorists.” © 2016 Karen Rubin/news-photos-features.com

This speech by President Barack Obama at MacDill Air Force Base in Tampa, Florida spelling out his administration’s approach to counterterrorism may well be one for the history books: a kind of place marker to where we were when Donald Trump came to power and overturned everything. People will be pining for the days when the Commander-in-Chief could give a cogent statement describing mission, success, and reaffirming American values and respect for life. – Karen Rubin, News & Photo Features

Here is a highlighted transcript:

Good afternoon, everybody.  I was just told that was going to be the last “Hail to the Chief” on the road, and it got me kind of sentimental.  I want to first and foremost say thanks to all of you.  Just before I came here, I was able to visit with some of the men and women from MacDill Air Force Base, Central Command, our Special Operations Command to thank them for their extraordinary service.  And so to you and your families, and to the extended family of American servicemembers, let me say that our nation owes you an unbelievable debt of gratitude.  We are grateful for you, and will be praying for you over the holidays.  (Applause.)

As you know all too well, your mission — and the course of history — was changed after the 9/11 attacks.  By the time I took office, the United States had been at war for seven years.  For eight years that I’ve been in office, there has not been a day when a terrorist organization or some radicalized individual was not plotting to kill Americans.  And on January 20th, I will become the first President of the United States to serve two full terms during a time of war.  (Applause.)  Now, we did not choose this fight, but once it came to us, the world saw the measure of our resolve.

The most solemn responsibility for any President is keeping the American people safe.  In carrying out that duty, I have sent men and women into harm’s way.  I’ve visited troops around the globe.  I have met our wounded warriors, and I’ve grieved with Gold Star families.  I know better than most that it is because of your service and your sacrifice that we have been able, during these eight years, to protect our homeland, to strike crippling blows against terrorist networks, and fortify our friends and our allies.  So today, I’d like to reflect on that work, and talk about the foundation that we will leave for the next administration.

I came to this office with a set of core convictions that have guided me as Commander-in-Chief.  I believe that the United States military can achieve any mission; that we are, and must remain, the strongest fighting force the world has ever known.  (Applause.)  I believe that we must never hesitate to act when necessary, including unilaterally when necessary, against any imminent threats to our people.  But I have also insisted that it is unwise and unsustainable to ask our military to build nations on the other side of the world, or resolve their internal conflicts, particularly in places where our forces become a magnet for terrorists and insurgencies.  Instead, it has been my conviction that even as we focus relentlessly on dismantling terrorist networks like al Qaeda and ISIL, we should ask allies to do their share in the fight, and we should strengthen local partners who can provide lasting security.

And these convictions guided the policies we pursued both in Iraq and Afghanistan.  When I took office, the United States was focused overwhelmingly on Iraq, where nearly 150,000 American troops had spent years fighting an insurgency and helping to build a democratic government.  Meanwhile, al Qaeda had regrouped in the border region of Afghanistan and Pakistan, and was actively planning attacks against our homeland.  So we brought nearly 150,000 troops home from Iraq, consistent with the Status of Forces Agreement negotiated by the previous administration, and we surged our efforts along with our allies in Afghanistan, which allowed us to focus on dismantling al Qaeda and give the Afghan government the opportunity to succeed.

And this focus on al Qaeda — the most dangerous threat to the United States at the time — paid dividends.  Today, by any measure, core al Qaeda — the organization that hit us on 9/11 — is a shadow of its former self.  (Applause.)  Plots directed from within Afghanistan and Pakistan have been consistently disrupted.  Its leadership has been decimated.  Dozens of terrorist leaders have been killed.  Osama bin Laden is dead.  (Applause.)  And, importantly, we have built a counterterrorism capability that can sustain this pressure against any terrorist network in South Asia that might threaten the United States of America.  That was because of the work of our outstanding servicemembers.

Moreover, that early decision to strengthen our efforts in Afghanistan allowed us to build the capacity of Afghans to secure and defend their own country.  So today, there are less than 10,000 American troops in Afghanistan.  Instead of being in the lead against the Taliban, Americans are now supporting 320,000 Afghan security forces who are defending their communities and supporting our counterterrorism efforts.

Now, I don’t want to paint too rosy a picture.  The situation in Afghanistan is still tough.  War has been a part of life in Afghanistan for over 30 years, and the United States cannot eliminate the Taliban or end violence in that country.  But what we can do is deny al Qaeda a safe haven, and what we can do is support Afghans who want a better future, which is why we have worked not only with their military, but we’ve backed a unity government in Kabul.  We’ve helped Afghan girls go to school.  We’ve supported investments in health care and electricity and education.  You have made a difference in Afghanistan, and America is safer for it.  (Applause.)

Of course, the terrorist threat was never restricted to South Asia, or to Afghanistan, or Pakistan.  Even as al Qaeda has been decimated in Afghanistan and Pakistan, the threat from terrorists metastasized in other parts of the Middle East and North Africa.  And most dangerously, we saw the emergence of ISIL, the successor to al Qaeda in Iraq, which fights as both a terrorist network and an insurgency. 

There’s been a debate about ISIL that’s focused on whether a continued U.S. troop presence in Iraq back in 2011 could have stopped the threat of ISIL from growing.  And as a practical matter, this was not an option.  By 2011, Iraqis wanted our military presence to end, and they were unwilling to sign a new Status of Forces Agreement to protect our troops from prosecution if they were trying to defend themselves in Iraq.  

In addition, maintaining American troops in Iraq at the time could not have reversed the forces that contributed to ISIL’s rise — a government in Baghdad that pursued a sectarian agenda, a brutal dictator in Syria who lost control of large parts of the country, social media that reached a global pool of recruits, and a hollowing out of Iraq’s security forces, which were ultimately overrun in Mosul in 2014.  In fact, American troops, had they stayed there, would have lacked legal protections and faced a choice between remaining on bases or being drawn back into a sectarian conflict against the will of Iraq’s elected government or Iraq’s local populations.

But circumstances changed.  When ISIL made substantial gains first in Mosul and then in other parts of the country, then suddenly Iraqis reached out once again for help.  And in shaping our response, we refused to repeat some of the mistakes of the 2003 invasion that have helped to give rise to the organization that became ISIL in the first place.

We conditioned our help on the emergence of a new Iraqi government and prime minister that was committed to national unity, and committed to working with us.  We built an international coalition of nearly 70 nations, including some of Iraq’s neighbors.  We surged our intelligence resources so that we could better understand the enemy.  And then we took the fight to ISIL in both Iraq and Syria, not with American battalions but with local forces backed by our equipment and our advisors and, importantly, our Special Forces.  In that campaign, we have now hit ISIL with over 16,000 airstrikes.  We have equipped and trained tens of thousands of partners on the ground.

And today, the results are clear:  ISIL has lost more than half its territory.  ISIL has lost control of major population centers.  Its morale is plummeting.  Its recruitment is drying up.  Its commanders and external plotters are being taken out, and local populations are turning against it.  (Applause.)

As we speak, ISIL faces an offensive on Mosul from Iraqi troops and coalition support.  That’s the largest remaining city that it controls.  Meanwhile, in Syria, ISIL’s self-declared capital in Raqqa is being squeezed.  We have attacked ISIL’s financial lifeline, destroying hundreds of millions of dollars of oil and cash reserves.  The bottom line is we are breaking the back of ISIL.  We’re taking away its safe havens.  (Applause.)  And we’ve accomplished all this at a cost of $10 billion over two years, which is the same amount that we used to spend in one month at the height of the Iraq War.  (Applause.)

So the campaign against ISIL has been relentless.  It has been sustainable.  It has been multilateral.  And it demonstrates a shift in how we’ve taken the fight to terrorists everywhere from South Asia to the Sahel.  Instead of pushing all of the burden onto American ground troops, instead of trying to mount invasions wherever terrorists appear, we’ve built a network of partners. 

In Libya, where U.S. airpower has helped local militias dislodge a dangerous ISIL cell.  In Mali, where U.S. logistics and intelligence support helped our French allies roll back al Qaeda branches there.  In Somalia, where U.S. operations support an African Union-led force and international peacekeepers.  And in Yemen, where years of targeted strikes have degraded al Qaeda in the Peninsula.

And these offensive efforts have buttressed a global effort to make it harder for terrorist networks to breach our defenses and spread their violent ideologies.  Working with European allies who have suffered terrible attacks, we’ve strengthened intelligence-sharing and cut in half the flow of foreign fighters to ISIL.  We’ve worked with our tech sector to supports efforts to push back on terrorist messages on social media that motivate people to kill.  A recent study shows that ISIL’s propaganda has been cut in half.  We’ve launched a Global Engagement Center to empower voices that are countering ISIL’s perversion of Islam, and we’re working closely with Muslim-majority partners from the Gulf to Southeast Asia.

This is your work.  We should take great pride in the progress that we’ve made over the last eight years.  That’s the bottom line.

No foreign terrorist organization has successfully planned and executed an attack on our homeland.  (Applause.)  And it’s not because they didn’t try.  Plots have been disrupted.  Terrorists have been taken off the battlefield.  And we’ve done this even as we drew down nearly 180,000 troops in harm’s way in Iraq and Afghanistan.  Today there are just 15,000.

New partnerships have been built.  We’ve respected the rule of law.  We’ve enlisted our values in this fight.  And all of this progress is due to the service of millions of Americans like you — in intelligence and in law enforcement, in homeland security, in diplomacy, in the armed services of the United States of America.  It’s thanks to you — (applause) — thanks to you.  

Now, to say that we’ve made progress is not to say that the job is done.  We know that a deadly threat persists.  We know that in some form this violent extremism will be with us for years to come.  In too many parts of the world, especially in the Middle East, there has been a breakdown of order that’s been building for decades, and it’s unleashed forces that are going to take a generation to resolve.  Long-term corruption has rotted too many nation-states from within.  Governance is collapsing.  Sectarian conflicts rage.  A changing climate is increasing competition for food and water.  (Applause.)  And false prophets are peddling a vision of Islam that is irreconcilable with tolerance and modernity and basic science.  And in fact, every one of these trends is at play inside of Syria today.

And what complicates the challenge even more is the fact that for all of our necessary focus on fighting terrorists overseas, the most deadly attacks on the homeland over the last eight years have not been carried out by operatives with sophisticated networks or equipment, directed from abroad.  They’ve been carried out by homegrown and largely isolated individuals who were radicalized online.

These deranged killers can’t inflict the sort of mass casualties that we saw on 9/11, but the pain of those who lost loved ones in Boston, in San Bernardino, in Fort Hood and Orlando, that pain continues to this day.  And in some cases, it has stirred fear in our populations and threatens to change how we think about ourselves and our lives.

So while we’ve made it much more difficult — you have made it much more difficult — to carry out an attack approaching the scale of 9/11, the threat will endure.  We will not achieve the kind of clearly defined victory comparable to those that we won in previous wars against nations.  We won’t have a scene of the Emperor of Japan and Douglas MacArthur in a surrender.  And the reason we won’t have that is because technology makes it impossible to completely shield impressionable minds from violent ideologies.  And somebody who is trying to kill and willing to be killed is dangerous, particularly when we live in a country where it’s very easy for that person to buy a very powerful weapon. 

So rather than offer false promises that we can eliminate terrorism by dropping more bombs, or deploying more and more troops, or fencing ourselves off from the rest of the world, we have to take a long view of the terrorist threat, and we have to pursue a smart strategy that can be sustained.

In the time remaining, let me suggest what I think should guide this approach.  First of all, a sustainable counterterrorism strategy depends on keeping the threat in perspective.  The terrorist threat is real and it is dangerous.  But these terrorists want to cast themselves as the vanguard of a new world order.  They are not.  They are thugs and they are murderers, and they should be treated that way.  (Applause.)   Fascism threatened to overrun the entire world — and we had to wage total war in response.  Communism threatened not only to overturn a world order, but threatened nuclear holocaust — so we had to build armaments and alliances to contain it.  Today’s terrorists can kill innocent people, but they don’t pose an existential threat to our nation, and we must not make the mistake of elevating them as if they do.  That does their job for them.  It makes them more important and helps them with recruitment.

A second and related point is that we cannot follow the path of previous great powers who sometimes defeated themselves through over-reach.  By protecting our homeland while drawing down the number of troops serving in harm’s way overseas, we helped save resources, but more importantly, we saved lives.  I can tell you, during the course of my eight years, that I have never shied away from sending men and women into danger where necessary.  It’s always the hardest decision I make, but it’s one that I’ve made where the security of the American people is at stake.  And I’ve seen the costs.  I’ve held the hands of our wounded warriors at Walter Reed.  I’ve met the caskets of the fallen at Dover.  And that’s why I make no apologies for only sending our troops into harm’s way when there is a clear mission that is achievable and when it is absolutely necessary.

Number three, we need the wisdom to see that upholding our values and adhering to the rule of law is not a weakness; in the long term, it is our greatest strength.  (Applause.)  The whole objective of these terrorists is to scare us into changing the nature of who we are and our democracy.  And the fact is, people and nations do not make good decisions when they are driven by fear.  These terrorists can never directly destroy our way of life, but we can do it for them if we lose track of who we are and the values that this nation was founded upon.  (Applause.)

And I always remind myself that as Commander-in-Chief, I must protect our people, but I also swore an oath to defend our Constitution.  And over these last eight years, we have demonstrated that staying true to our traditions as a nation of laws advances our security as well as our values.

We prohibited torture, everywhere, at all times — and that includes tactics like waterboarding.  And at no time has anybody who has worked with me told me that doing so has cost us good intelligence.  (Applause.)  When we do capture terrorists, despite all the political rhetoric about the need to strip terrorists of their rights, our interrogation teams have obtained valuable information from terrorists without resorting to torture, without operating outside the law.  Our Article III courts have delivered justice faster than military trials.  And our prisons have proven more than capable of holding the most dangerous terrorists.

Consider the terrorists who have been captured, lawfully interrogated, and prosecuted in civilian courts.  Faisal Shahzad, who tried to set off a car bomb in Times Square.  Dzohkar Tsarneyev, the Boston Marathon bomber.  Umar Farouk Abdulmutallab, the so-called “underwear bomber.”  American juries and judges have determined that none of these people will know freedom again.  But we did it lawfully.  And the wheels of justice right now are turning for others — terrorists like Ahmed Warsame, an al-Shabaab commander, and Abu Khatalla, accused leader of the Benghazi attacks.  We can get these terrorists and stay true to who we are.

And, in fact, our success in dealing with terrorists through our justice system reinforces why it is past time to shut down the detention facility at Guantanamo.  (Applause.)  This is not just my opinion, it’s the opinion of many military leaders.  During my administration, we have responsibly transferred over 175 detainees to foreign governments, with safeguards to reduce the risk of them returning to the battlefield.  And we’ve cut the population in Gitmo from 242 to 59.  The politics of fear has led Congress to prevent any detainees from being transferred to prisons in the United States — even though, as we speak, we imprison dangerous terrorists in our prisons, and we have even more dangerous criminals in all of our prisons across the country; even though our allies oftentimes will not turn over a terrorist if they think that terrorist could end up in Gitmo; even though groups like ISIL use Gitmo in their propaganda.  So we’re wasting hundreds of millions of dollars to keep fewer than 60 people in a detention facility in Cuba.  That’s not strength.  Until Congress changes course, it will be judged harshly by history, and I will continue to do all that I can to remove this blot on our national honor.  (Applause.)

Number four, we have to fight terrorists in a way that does not create more terrorists.  For example, in a dangerous world, terrorists seek out places where it’s often impossible to capture them, or to count on local governments to do so.  And that means the best option for us to get those terrorists becomes a targeted strike.  So we have taken action under my command, including with drones, to remove terrorists from the battlefield, which protects our troops and has prevented real threats to the American people.  (Applause.)

Now, under rules that I put in place and that I made public, before any strike is taken outside of a warzone, there must be near certainty that no civilians will be killed or injured.  And while nothing is certain in any strike, and we have acknowledged that there are tragic instances where innocents have been killed by our strikes, this is the highest standard that we can set.  Nevertheless, we still have critics who suggest that these strikes are wrong.  And I say to them, you have to weigh the alternatives.  Drone strikes allow us to deny terrorists a safe haven without airstrikes, which are less precise, or invasions that are much more likely to kill innocent civilians as well as American servicemembers.

So the actions that we’ve taken have saved lives at home and abroad.  But the point is, is that we do have to be careful to make sure that when we take actions, we’re not alienating local populations, because that will serve as recruitment for new terrorists.   

Number five, transparency and accountability serve our national security not just in times of peace, but, more importantly, in times of conflict.  And that’s why we’ve made public information about which terrorist organizations we’re fighting and why we’re fighting them.  We’ve released assessments of non-combatants killed in our operations, taken responsibility when mistakes are made.  We’ve declassified information about interrogation methods that were wrong so we learn from past mistakes.  And yesterday, I directed our government for the first time to release a full description of the legal and policy frameworks that guide our military operations around the world. 

This public information allows for a more informed public debate, and it provides a potential check on unfettered executive power.  The power of the presidency is awesome, but it is supposed to be bound by you, our citizens.  (Applause.)  But here’s the thing:  That information doesn’t mean anything, it doesn’t work if the people’s representatives in Congress don’t do their jobs, if they’re not paying attention.  (Applause.)

Right now, we are waging war under authorities provided by Congress over 15 years ago — 15 years ago.  I had no gray hair 15 years ago.  (Laughter.)  Two years ago, I asked Congress, let’s update the authorization, provide us a new authorization for the war against ISIL, reflecting the changing nature of the threats, reflecting the lessons that we’ve learned from the last decade.  So far, Congress has refused to take a vote. 

Democracies should not operate in a state of permanently authorized war.  (Applause.)  That’s not good for our military, it’s not good for our democracy.  And, by the way, part of the reason that’s dangerous is because today, with our outstanding, all-volunteer force, only one percent of the population is actually fighting.  (Applause.)  Which means that you are carrying the burden.  Which means that it is important for us to know what it is that we’re doing and have to explain what we are doing to the public, because it becomes too easy to just send one percent of the population out to do things even if they’re not well thought through.

If a threat is serious enough to require the sacrifice of our men and women in uniform, then members of Congress should at least have the courage to make clear where they stand -– not on the sidelines — (applause) — not on cable TV shows, but by fulfilling their constitutional duty and authorizing the use of force against the threats that we face today.  That’s how democracies are supposed to work.

Number six, alongside our outstanding military work, we have to draw upon the strength of our diplomacy.  Terrorists would love to see us walk away from the type of work that builds international coalitions, and ends conflicts, and stops the spread of deadly weapons.  It would make life easier for them; it would be a tragic mistake for us. 

Just think about what we’ve done these last eight years without firing a shot.  We’ve rolled back Iran’s nuclear program.  That’s not just my assessment, that’s the assessment of Israeli intelligence, even though they were opposed to the deal.  We’ve secured nuclear materials around the globe, reducing the risk that they fall into the hands of terrorists.  We’ve eliminated Syria’s declared chemical weapons program.  All of these steps have helped keep us safe and helped keep our troops safe.  Those are the result of diplomacy.  And sustained diplomatic efforts, no matter how frustrating or difficult they sometimes appear, are going to be required to resolve the conflicts roiling the in Middle East, from Yemen, to Syria, to Israel and Palestine.  And if we don’t have strong efforts there, the more you will be called upon to clean up after the failure of diplomacy.

Similarly, any long-term strategy to reduce the threat of terrorism depends on investments that strengthen some of these fragile societies.  Our generals, our commanders understand this.  This is not charity.  It’s fundamental to our national security.  A dollar spent on development is worth a lot more than a dollar spent fighting a war.  (Applause.)

This is how we prevent conflicts from starting in the first place.  This is how we can ensure that peace is lasting — after we’ve fought.  It’s how we stop people from falling prey to extremism — because children are going to school and they can think for themselves, and families can feed themselves and aren’t desperate, and communities are not ravaged by diseases, and countries are not devastated by climate changes.

As Americans, we have to see the value of empowering civil societies so that there are outlets for people’s frustrations, and we have to support entrepreneurs who want to build businesses instead of destroying.  We have to invest in young people because the areas that are generating terrorists are typically having a huge youth bulge, which makes them more dangerous.  And there are times where we need to help refugees who have escaped the horrors of war in search of a better life.   (Applause.)  Our military recognizes that these issues of governance and human dignity and development are vital to our security.  It’s central to our plans in places like Afghanistan and Iraq.  Let’s make sure that this wisdom is reflected in our budgets, as well.

And finally, in this fight, we have to uphold the civil liberties that define us.  Terrorists want us to turn on one another.  And while defeating them requires us to draw upon the enormous capabilities of all of our government, we have make sure changes in how we address terrorists are not abused.  This is why, for example, we’ve made extensive reforms in how we gather intelligence around the world, increasing oversight, placing new restrictions on the government’s ability to retain and search and use certain communications so that people trust us, and that way they cooperate and work with us.

We don’t use our power to indiscriminately read emails or listen to phone calls just targeted at folks who might be trying to do us harm.  We use it to save lives.  And by doing so, by maintaining these civil liberties, we sustain the confidence of the American people and we get the cooperation of our allies more readily.  Protecting liberty — that’s something we do for all Americans, and not just some.  (Applause.)

We are fighting terrorists who claim to fight on behalf of Islam.  But they do not speak for over a billion Muslims around the world, and they do not speak for American Muslims, including many who wear the uniform of the United States of America’s military.  (Applause.)

If we stigmatize good, patriotic Muslims, that just feeds the terrorists’ narrative.  It fuels the same false grievances that they use to motivate people to kill.  If we act like this is a war between the United States and Islam, we’re not just going to lose more Americans to terrorist attacks, but we’ll also lose sight of the very principles we claim to defend.

So let my final words to you as your Commander-in-Chief be a reminder of what it is that you’re fighting for, what it is that we are fighting for.  The United States of America is not a country that imposes religious tests as a price for freedom.  We’re a country that was founded so that people could practice their faiths as they choose.  The United States of America is not a place where some citizens have to withstand greater scrutiny, or carry a special ID card, or prove that they’re not an enemy from within.  We’re a country that has bled and struggled and sacrificed against that kind of discrimination and arbitrary rule, here in our own country and around the world.

We’re a nation that believes freedom can never be taken for granted and that each of us has a responsibility to sustain it.  The universal right to speak your mind and to protest against authority, to live in a society that’s open and free, that can criticize a President without retribution — (applause) — a country where you’re judged by the content of your character rather than what you look like, or how you worship, or what your last name is, or where your family came from — that’s what separates us from tyrants and terrorists.

We are a nation that stands for the rule of law, and strengthen the laws of war.  When the Nazis were defeated, we put them on trial.  Some couldn’t understand that; it had never happened before.  But as one of the American lawyers who was at Nuremberg says, “I was trying to prove that the rule of law should govern human behavior.”  And by doing so, we broadened the scope and reach of justice around the world.  We held ourselves out as a beacon and an example for others.

We are a nation that won World Wars without grabbing the resources of those we defeated.  We helped them rebuild.  We didn’t hold on to territory, other than the cemeteries where we buried our dead.  Our Greatest Generation fought and bled and died to build an international order of laws and institutions that could preserve the peace, and extend prosperity, and promote cooperation among nations.  And for all of its imperfections, we depend on that international order to protect our own freedom.

In other words, we are a nation that at our best has been defined by hope, and not fear.  A country that went through the crucible of a Civil War to offer a new birth of freedom; that stormed the beaches of Normandy, climbed the hills of Iwo Jima; that saw ordinary people mobilize to extend the meaning of civil rights.  That’s who we are.  That’s what makes us stronger than any act of terror. 

Remember that history.  Remember what that flag stands for.  For we depend upon you — the heirs to that legacy — our men and women in uniform, and the citizens who support you, to carry forward what is best in us — that commitment to a common creed.  The confidence that right makes might, not the other way around.  (Applause.)

That’s how we can sustain this long struggle.  That’s how we’ll protect this country.  That’s how we’ll protect our Constitution against all threats, foreign and domestic.

I trust that you will fulfill that mission, as you have fulfilled all others.  It has been the greatest honor of my life to serve as your Commander-in-Chief.  I thank you for all that you’ve done, and all that you will do in the future.  May God bless you.  May God bless our troops, and may God bless the United States of America.  (Applause.)

Marking Obama’s Top 10 Actions to Advance Entrepreneurship, Administration Announces New Steps to Build on These Successes

San Francisco, hub of entrepreneurism. President Obama initiatives have encouraged and enabled entrepreneurs, helping the US turnaround from worst recession since the Great Depression, to the U.S. private sector create 15.5 million jobs since early 2010—the longest streak of private-sector job creation on record.  © 2016 Karen Rubin/news-photos-features.com
San Francisco, hub of entrepreneurism. President Obama initiatives have encouraged and enabled entrepreneurs, helping the US turnaround from worst recession since the Great Depression, to the U.S. private sector create 15.5 million jobs since early 2010—the longest streak of private-sector job creation on record. © 2016 Karen Rubin/news-photos-features.com

“[I]t has been the risk-takers, the doers, the makers of thingssome celebrated, but more often men and women obscure in their laborwho have carried us up the long rugged path towards prosperity and freedom.” – President Obama, Inaugural Address, January 21, 2009

In these waning days of Obama’s historic presidency, before the incoming Trump Administration can undo and erase his legacy, it is important to be reminded of his accomplishments:

America’s entrepreneurial economy is the envy of the world.  Young companies account for almost 30 percent of new jobs, and as we have fought back from the worst economic crisis of our lifetimes, startups have helped the U.S. private sector create 15.5 million jobs since early 2010—the longest streak of private-sector job creation on record.

Today, in celebration of National Entrepreneurship Month, the Administration is releasing a Top 10 list of President Obama’s most significant specific actions to promote American entrepreneurship, as well as announcing new efforts to build on these successes.  The President’s unprecedented focus on the role of startups in the United States’ innovation economy is exemplified by his launch of Startup America in 2011, a White House initiative to celebrate, inspire, and accelerate high-growth entrepreneurship throughout the Nation.

Thanks to the grit, determination, and creativity of entrepreneurs all across the country, American startup activity is rebounding and growing more inclusive of historically underrepresented groups and regions.  Studies indicate that:

 

  • Reversing a downward cycle that began during the Great Recession, U.S. startup activity ascended last year, representing the largest year-over-year increase in the last two decades, while measures of startup revenue and employment growth have rebounded across industries as well.
  • New companies created 889,000 jobs in the final quarter of 2015—the highest job creation number since 2008.
  • Rates of entrepreneurship have increased for Latinos, African Americans, and immigrants between 1996 and 2015.
  • Between 2007 and 2016, the number of women-owned firms is estimated to have grown at a rate five times the national average, including a more than doubling of the number of firms owned by African American women and Latinas.
  • American startups are not only rebounding, they are taking root in more communities all across the country—for example, the share of U.S. metro areas that attracted early stage venture capital has increased by around 50 percent since 2009.
  • The number of U.S. startup accelerator programs increased from fewer than 30 in 2009 to over 170 in 2015, providing mentorship and early funding to thousands of startups across 35 states plus D.C. and 54 metro areas.
  • Access to capital for high-growth entrepreneurs has improved significantly since 2009, with venture capital investment up an estimated 200 percent, far exceeding its pre-recession peak, and angel investment up 40 percent, approaching its pre-recession peak.
  • Compared with 137 countries, the United States continues to top the rankings in the Global Entrepreneurship Index, with the world’s most favorable conditions for entrepreneurs to start and scale new companies.

Over the past 8 years, many of the President’s signature achievements have significantly increased opportunities for entrepreneurs to take smart risks and build the next generation of great American companies:  the Affordable Care Act is making it easier for entrepreneurs to buy health insurance, unlocking them from traditional employer-based coverage; the Pay As You Earn program is making it easier for entrepreneurs to pay off student loan debt; the Open Data Initiative has unlocked over 200,000 government datasets as raw material for entrepreneurial innovation;ConnectED and ConnectALL are allowing aspiring entrepreneurs everywhere to access high-speed broadband, while a strong net neutrality policy ensures a free and open internet; and the President signed into law the largest annual increase inresearch and development funding in America’s history.

Breaking down barriers for all entrepreneurs is not the task of just one Administration.  For example, studies suggest that the share of venture-funded startups with women founders has nearly doubled in 5 years—but it is still only 18 percent.  Continuing to reverse America’s 40-year decline in startup activity will require building on the President’s record of addressing income inequality, promoting competitive markets, reducing unduly restrictive occupational licensing, and scaling up rapid training for 21st century technology skills.

In addition to releasing today’s Top 10 list of President Obama’s specific actions to promote entrepreneurship, the Administration is also announcing new private-sector actions to promote inclusive entrepreneurship.

New Actions by Organizations Answering the President’s Call to Action

  • Engineering deans from over 200 universities are committing to building a more-representative student talent pipeline.  At the first-ever White House Demo Day in 2015, 102 engineering deans pledged to develop concrete diversity plans for their programs to tap into diverse talent.  Since then, the American Society for Engineering Education (ASEE) has worked with its members to share best practices and to promote the inclusivity in engineering schools of all students regardless of visible or invisible differences.  ASEE is creating a platform to disseminate best practices among participating engineering schools that will help them implement the diversity initiative.  Today, at 206, the number of engineering deans that have signed the pledge has more than doubled since 2015.  ASEE will continue promoting and enhancing diversity and inclusion through all its participating members.  Read letter HERE.
  • 79 companies have now joined the Tech Inclusion Pledge.  At the Global Entrepreneurship Summit this past summer, President Obama announced a commitment by senior leadership from 33 companies of all sizes to fuel American innovation and economic growth by increasing the diversity of their technology workforce.  Today, 46 additional companies, including Xerox, TaskRabbit, and Techstars, are joining this Tech Inclusion Pledge, committing to take concrete action to make the technology workforce at each of their companies representative of the American people as soon as possible.  To facilitate additional pledge commitments and help companies meet those commitments, the National Center for Women & Information Technology (NCWIT) and CODE2040 commit to maintain a website with free research-based implementation resources.  Read letter HERE. 
  • Early-stage investors are making a new commitment to promote inclusive entrepreneurship.  Today, more than 30 investment firms, angel investor groups, and startup accelerators with over $800 million under management have committed to achieving greater transparency in their funding criteria and to actively mentoring entrepreneurs from underrepresented backgrounds, in an effort to increase the diversity of startup founders in their portfolios.  For example, MassMutual Foundation and Valley Venture Mentors are partnering to create a scalable model for rural startup accelerators, while Pipeline Angels is bringing its training programs for underrepresented investors to 20 additional cities.  Read letter HERE.

The President’s Top 10 Actions to Accelerate American Entrepreneurship

  1. Signed permanent tax incentives for startup investment.  The President signed into law 18 tax breaks for small businesses in his first term, including tax credits for those who hire unemployed workers and veterans.  In addition, in December 2015, Congress responded to the President’s call to make two critical tax incentivespermanent for the first time:
  • Made the Research and Experimentation (R&E) tax credit available to startups.  In addition to making the R&E tax credit permanent for the first time since its enactment in the early 1980s, Congress also expanded the credit to allow pre-revenue startups and small businesses to take advantage of the credit by counting it against up to $250,000 in payroll expenses for up to 5 years.
  • Permanently eliminated capital gains tax on certain small business stock. First enacted on a temporary basis in the Small Business Jobs Act of 2010 and now permanent, this measure eliminates capital gains realized on the sale of certain small business stock held for more than 5 years, providing a major incentive for private-sector investment in high-growth entrepreneurial firms that fuel economic growth.
  1. Accelerated the transition of research discoveries from lab to market.The Federal government invests over $140 billion each year on Federally-funded research and development (R&D) conducted at universities, Federal laboratories, and companies.  The President issued a memorandum to agencies to accelerate the commercialization of Federal R&D, and made these Lab-to-Market efforts a core part of his management agenda.
  • Scaled up I-Corps, a rigorous entrepreneurship training program for scientists and engineers.  The Innovation Corps (I-Corps) program, first launched in 2011 by the National Science Foundation (NSF), provides entrepreneurship training for Federally funded scientists and engineers, pairing them with business mentors for an intensive curriculum focused on discovering a truly demand-driven path from their lab work to a marketable product.  Over the past 5 years, more than 800 researcher teams have completed this I-Corps training, from 192 universities in 44 states, resulting in the creation of over 320 companies that have collectively raised more than $93 million in follow-on funding.  The I-Corps model has been adopted in 11 additional Federal agency partnerships, including an expansion to 17Institutes and Centers at the National Institutes of Health and the Centers for Disease Control and Prevention, and is implemented through a National Innovation Network across more than 70 universities.  Additionally, the Department of Defense’s MD5 National Security Technology Accelerator is helping provide students with the training to apply a similar lean startup methodology to real-world national-security problemssoon expanding to eight institutions of higher education this spring, and including new challenges in diplomacy, urban resilience, and energy.
  • Facilitated personnel exchanges between Federal labs, academia, and industry.  The National Institute of Standards and Technology (NIST) published a final rule on “Technology Innovation-Personnel Exchanges,” allowing Federal agencies to more easily exchange personnel with universities, non-profits, and the private sector to advance R&D commercialization.
  • Increased access to Federally-funded research facilities and intellectual property for entrepreneurs and innovators.  Funded by NIST, the Federal Laboratory Consortium launched online tools for finding specific information and open data on more than 300 Federal laboratories with 2,500 user facilities and specialized equipment, as well as over 20,000 technologies available for licensing.
  • Strengthened Federal R&D funding for startups and small businesses.  For the first time in a decade, in 2011 the President signed a long-term reauthorization of the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs, which annually provide over $2.5 billion in Federal R&D funding to technology startups and small businesses.  The U.S. Small Business Administration (SBA) and 11 participating Federal agencies have expanded access to SBIR/STTR opportunities, including by building theSBIR.gov platform and initiating a road tour that has engaged historically underrepresented communities across the country.
  1. Cut red tape for entrepreneurs.The Administration’s Startup in a Day initiative is cutting red tape to make it easier for more entrepreneurs to get started and grow their businesses.  Over 100 cities, home to nearly 38 million Americans, have taken a public pledge to streamline their business startup processes, allowing entrepreneurs to navigate requirements in as little as 24 hours.  To support these streamlining efforts, the SBA sponsored a prize competition won by 28 cities and communities; examples include the City of Los Angeles and the City of Long Beach, which both created online business portals that are open-source and can be shared with cities and communities across the country.  Additionally, over 52,000 small business borrowers have connected to lenders under a new SBA online matchmaking tool called LINC, while SBA One is taking SBA’s lending process entirely online, which will save hours of time and thousands of dollars per loan for entrepreneurs.
  1. Expanded regional entrepreneurship opportunities.  High-growth entrepreneurship is taking root in more and more communities across the country, in part thanks to targeted investments by this Administration.
  • Seeded startup accelerators in diverse communities.  The SBA’s Growth Accelerator Fund Competition serves entrepreneurs in a broad set of industries and sectors—from manufacturing and tech start-ups, to farming and biotech—with many focused on creating a diverse and inclusive small business community.  From 2014 to now, SBA has funded over 200 startup accelerator programs in every corner of the country, serving well over 5,000 startups that have collectively employed over 20,000 people and raised over 1.5 billion in capital.
  • Pioneered a regional innovation strategy.  SBA’s investments in 62 Regional Innovation Clusters have helped participating small businesses achieve an average employment growth rate of more than five times faster than regional benchmarks, and more than $650 million in Federal contract opportunities.
  • Incentivized regional partners to work together on tech entrepreneurship.  Through its Regional Innovation Strategies (RIS) program and the i6 Challenge, the Department of Commerce’s Economic Development Administration (EDA) has awarded $59 million in capacity-building grants that help entrepreneurs in diverse regions of the country move ideas to market, supporting the creation and expansion of research-commercialization centers and early-stage seed-capital funds.  Earlier this month, EDA announced nearly $15 million in Federal funding plus $18 million in matching funds, reaching urban and rural areas in 19 states, including the first RIS investments that support historically black colleges and universities: a direct investment in Clark Atlanta University’s agriculture and food technology commercialization program; and an investment in a program to increase access to early-stage capital in southeast Louisiana, in which Southern University is a partner.  Among the 35 organizations receiving EDA support are a female-focused early-stage capital fund in Texas, a Native American-focused proof-of-concept program in Oklahoma, and urban innovation hubs focused on fashion technology in Brooklyn and on social innovation in New Orleans.
  1. Directly boosted entrepreneurs’ access to capital.  With only three states attracting the majority of venture capital, the Administration has focused on incentivizing investment in startup communities across the country.
  • Catalyzed investments of $8.4 billion through theState Small Business Credit Initiative (SSBCI).  The SSBCI was created through the Small Business Jobs Act of 2010, which provided $1.5 billion to strengthen state programs that support lending to small businesses and small manufacturers.  Administered by the Treasury Department, SSBCI has catalyzed over $8.4 billion in more than 16,900 new loans and investments all across the country.  To date, business owners report more than 190,000 jobs will be created or retained due to the new loans and investments stimulated by SSBCI funds.  More than half of all SSBCI loans or investments went to young businesses less than 5 years old, and over 40 percent of the loans or investments were in low- or moderate-income communities.  Over 30 states have allocated nearly half-a-billion SSBCI dollars to venture-capital programs—a dramatic increase in funding for the programs that are critical to expanding high-growth entrepreneurship into diverse regions around the country.
  • Strengthened investment fund program for small businesses.  The Small Business Investment Company (SBIC) program, run by the SBA, is a multi-billion dollar investment program to bridge the gap between entrepreneurs’ need for capital and traditional sources of financing.  This Administration has created new pathways for impact investment funds that devote growth capital to companies in underserved communities and emerging sectors, as well as for early-stage innovation funds.  The recently announced Open Network for Board Diversity (ONBOARD) is a public-private initiative working to expand the presence of underrepresented groups on high-growth company advisory boards, boards of directors, and senior leadership, particularly for those supported by SBICs.
  1. Prioritized inclusive entrepreneurship.As part of the first-ever White House Demo Day in August 2015, 40 leading venture-capital firms with more than $100 billion under management committed to advance opportunities for women and underrepresented minorities, and more than a dozen major technology companies committed to new actions to ensure diverse recruitment and hiring.  These actions are complemented by today’s announcements, as well as continued progress by Federal agencies, including:
  • Reduced barriers faced by women entrepreneurs.  SBA created the InnovateHER Business Challenge, where organizations throughout the country hold local competitions for new and innovative products and services to empower women and their families; in 2015, over 1,000 entrepreneurs participated in over 100 competitions, and these numbers doubled in 2016.  Women-owned small businesses reached an important milestone in 2015, meeting the Federal contracting goal for such businesses for the first time in history; overall last year, the Federal government awarded an all-time high of 25.75 percent of government contracts to all small businesses, supporting 537,000 American jobs.
  • Unlocked the potential of Federal inventions with entrepreneurs from all backgrounds.  The National Institute of Standards and Technology, the Minority Business Development Agency, and the Federal Laboratory Consortium partnered together to launch the Inclusive Innovation Initiative (I-3), designed to increase minority business participation in Federal technology transfer.
  • Trained veteran entrepreneurs for 21st century opportunities.  The Department of Veterans Affairs Center for Innovation is helping to expand the 3D Veterans Bootcamp, a program that provides Veterans with technical training in 3D printing and design skills to accelerate designs to market.  The training will annually prepare over 400 Veterans and transitioning service members for careers in advanced manufacturing and will provide guidance and resources for those wishing to launch their own business.  Additionally, SBA launched Boots to Business, an entrepreneurship education program that provides transitioning service members with introductory business training and technical assistance.  Since 2013, over 20,000 transitioning service members, including many spouses, participated in the Boots to Business introductory class on over 165 military installations worldwide.
  • Launched TechHire to train people for entrepreneurial opportunities and well-paying jobs.  In 2015 the President launched TechHire, a multisector effort to empower more people from all backgrounds with the skills they need, through universities and community colleges but also innovative nontraditional approaches like “coding bootcamps,” that can rapidly train workers for technology jobs.  Since then, 50 communities in partnership with over 1,000 employers have initiated local efforts that have placed over 2,000 people into tech jobs and entrepreneurial opportunities.
  • Expanded entrepreneurial opportunities for the unemployed and underserved. The Department of Labor (DOL) has funded the expansion of voluntary state-run Self-Employment Assistance (SEA) programs, designed to encourage and enable unemployed workers to create their own jobs by starting their own businesses while receiving unemployment insurance benefits; helped make entrepreneurial training available to more than 200,000 low-income and out-of-school youth with barriers to employment; and helped make it easier for formerly incarcerated persons to participate in the SBA’s microloan program.
  1. Created opportunities for promising entrepreneurs and innovators from abroad. While there is no substitute for Congress passing commonsense immigration reform, the Administration is taking the steps it can to fix as much of the broken U.S. immigration system as possible.  Many of these commonsense steps are designed to attract and retain the most talented workers, graduates, and entrepreneurs from around the world.
  • Released a rule tailored for international entrepreneurs. The Department of Homeland Security (DHS) published a proposed International Entrepreneur Rule, which describes new ways in which DHS will make it possible for certain promising startup founders to grow their companies within the United States.  Once this rule is finalized, it will provide much-needed clarity for entrepreneurs who have been validated by experienced American funders, and who demonstrate substantial potential for rapid growth and job creation—benefiting American workers and the U.S. economy.
  • Acted to retain more of the scientists and engineers educated in the United States.  American universities train some of the world’s most talented students in science, technology engineering, and mathematics (STEM), but the broken U.S. immigration system compels many of them to take their skills back to their home countries.  DHS published a final rule on STEM Optional Practical Training allowing international students with qualifying STEM degrees from U.S. universities to extend the time they participate in practical training, while at the same time strengthening oversight and adding new features to the program.
  • Unlocked the talents of high-skilled Americans-in-waiting.  The Administration is making it possible for high-skilled workers on temporary visas to accept promotions, change positions or employers, or start new companies while they and their families wait to receive their green cards, and ultimately become Americans, by the publication of a policy memo on job portability and a final rule improving employment-based visa programs.  In addition, DHS published a new rule that has allowed the spouses of certain high-skilled immigrants to put their own education and talents to work and contribute to the American economy.
  1. Updated securities laws for high-growth companies.Thanks to the bipartisanJumpstart Our Business Startups (JOBS) Act signed by the President in 2012, entrepreneurs have greater access to capital from the seed stage all the way to an initial public offering (IPO).  These new capital-formation pathways include:
  • The “IPO on-ramp” makes it easier for qualifying smaller firms to responsibly access public markets.  Thanks in part to the JOBS Act, which phases in regulatory requirements for smaller companies making an initial public offering (IPO), in the year ending in March 2014 smaller IPOs were at their highest level since 2000; one study estimated that the JOBS Act was responsible for a 25 percent increase in IPO activity, including among biotech startups.
  • Entrepreneurs can raise up to $50 million through regulated “mini public offerings.”  Through the “Regulation A+” provision of the JOBS Act, the U.S. Securities and Exchange Commission (SEC) has qualified around 50 companies to make streamlined public offerings of over $840 million in aggregate—whereas the previous version of this rule was rarely used.
  • Entrepreneurs can raise up to $1 million from regular investors through a new class of regulated crowdfunding platforms.  A new, national, SEC-regulated marketplace for securities-based crowdfunding first opened for business 6 months ago; by one measure, these new crowdfunding platforms have allowed startups and small businesses to raise $12 million from over 15,000 regular investors. 
  1. Made the U.S. patent system more efficient and responsive to innovators.The President signed the Leahy-Smith America Invents Act in September 2011, giving the U.S. Patent and Trademark Office (USPTO) new resources to significantly reduce patent application wait times.  Total processing times for both patents and trademarks have been reduced by approximately 25 percent and 14 percent, respectively, since 2009.  This reduction has come with both a 50-75 percent reduced cost for startups and small businesses, as well as the creation of a fast track program where applicants can get a final disposition in about 12 months.  In addition, with a series of executive actions, the Administration has taken steps to increase transparency to the patent system and level the playing field for innovators, and leveraged the knowledge of the American people by crowdsourcing information about prior art.  USPTO has also launched an International IP Toolkit to empowerinnovators with tools to facilitate exports and empower global expansions, a Patent Pro Bono Program across all 50 states to provide free legal assistance for inventors who file patent applications without the assistance of a patent attorney, and a fast-track review for patents related to cancer treatment as part of Vice President Biden’s Cancer Moonshot.
  1. Unleashed entrepreneurship in the industries of the future.  The President has long recognized that it is entrepreneurs in clean energy, medicine, advanced manufacturing, information technology, and other innovative fields who will build the new industries of the 21st century, and solve some of our toughest global challenges.
  • Encouraged private-sector investment in clean-energy innovation.  The Administration has created and promoted new opportunities for clean-energy entrepreneurship, including support for student startups through business plan competitionsvouchers for services available to small businesses at National Laboratories; embedded entrepreneurial training within the National Laboratories; technical assistance and pilot testing at regionally-focused incubators and establishment of a national incubator network to support entrepreneurs and small businesses; and awards through the SunShot Incubator for startups driving down the cost of solar energy.  These opportunities have doubled the number of partnership agreements between small businesses and National Laboratories, and supported hundreds of startups that have attracted well over $3 billion in follow-on funding.
  • Boosted innovation and entrepreneurship in the bioeconomy.  In 2012, theAdministration released the first-ever National Bioeconomy Blueprint, to outline a series of steps to grow and manage a sector that is generating annual revenues greater than $300 billion and that is contributing the equivalent of at least 5 percent of annual U.S. GDP growth.  In 2015, recognizing that navigating the regulatory process for biotechnology products can be unduly challenging, especially for small companies, the Administration initiated an effort to improve transparency and predictability in the regulatory system for biotechnology products.
  • Spurred innovation and entrepreneurship in the commercial space industry. Working with NASA, American companies have developed new spacecraft that are cost-effectively delivering cargo to the International Space Station and are working towards ferrying astronauts there by the end of 2017.  U.S. companies that got their start supporting government missions have increased their share of the global commercial launch market from zero in 2011 to 36 percent in 2015.  Federal agencies are also leveraging innovative procurement methods and creating a supportive regulatory environment to allow space entrepreneurs to pursue ventures in areas such as remote sensing, satellite servicing, asteroid mining, and small satellites.  More venture capital was invested in America’s space industry in 2015 than in all the previous 15 years combined.
  • Grew innovation ecosystems for nanotechnology and advanced materials.  The National Nanotechnology Initiative has invested over $150 million per year in user facilities at Federal laboratories and universities that provide entrepreneurs low- or no-cost access to state-of-the-art instrumentation; cumulatively funded more than $700 million of nanotechnology-related research by small businesses; and catalyzed the creation of a Nano and Emerging Technology Student Network and annual conference with a specific goal of promoting entrepreneurship.  The Materials Genome Initiative, launched in 2011 to reduce the time and cost required to discover, manufacture, and deploy advanced materials, has opened up an array of new data and infrastructure resources to entrepreneurs, including an expanding set of open-access databases to mine the properties of hundreds of thousands of materials.
  • Enabled a new generation of aviation technology for commercial use.  Powering a revolution in unmanned flight, this summer the Administration announcedground rules to govern commercial, scientific, public safety and other non-recreational uses of unmanned aircraft systems (UAS)—commonly known as “drones.”  These rules are enabling the safe expansion of a new generation of aviation technologies and startups that will create jobs, enhance public safety, and advance scientific inquiry. Industry estimates suggest that, over the next 10 years, commercial unmanned aircraft systems could generate more than $82 billion for the U.S. economy and by 2025, the industry could be supporting as many as 100,000 new jobs.
  • Supported the growth of advanced robotics.  In 2011, President Obama announced the National Robotics Initiative (NRI) — a multi-agency collaboration to accelerate the development of next-generation robots that can solve problems in areas of national priority, including manufacturing, sustainable agriculture, space and undersea exploration, health, transportation, personal and homeland security, and disaster resiliency and sustainable infrastructure.  The NRI has invested over $135 million in 230 projects in 33 states, fueling the development of new technologies and business opportunities, including robots that can inspect bridgesmonitor water quality, and even aid in future space missions.
  • Supported manufacturing entrepreneurship through a national network of R&D hubs. Manufacturing USA brings together industry, academia, and government to co-invest in the development of world-leading manufacturing technologies and capabilities.  In the 4 years since its establishment, Manufacturing USA has grown to a network of nine institutes and over 1,300 members—of which more than one-third are small- and medium-sized enterprises.  These public-private partnerships are catalyzing entrepreneurial activity by, for example, working with regional Manufacturing Extension Partnership Centers to help small manufacturers across the nation adopt advanced manufacturing techniques; and blending manufacturing technology and entrepreneurship in project-based learning programs for high schoolers.
  • Stimulated entrepreneurial solutions through increased use of incentive prizes.  Since 2010, more than 100 Federal agencies have engaged 250,000 Americans through more than 700 incentive prizes on Challenge.gov to address tough problems ranging from fighting Ebola, to improving speech recognition, to blocking illegal robocalls. Competitions such as the NIH Breast Cancer Startup Challenge and many more have made over $220 million available to entrepreneurs and innovators and have led to the formation of over 300 startup companies with over $70 million in follow-on funding.
  • Fostered grassroots innovation through the maker movement.  Beginning with the White House Maker Faire in June 2014 and continuing with a National Week of Making in both 2015 and 2016, the Administration has supported a growing grassroots community of makers—Americans using new tools, technologies, and spaces to design, build, and manufacture.  Federal agencies, companies, non-profits, cities, and schools collectively committed to creating over 2,500 maker-oriented spaces in the United States to expand access for both students and entrepreneurs.  Earlier this month, more than 300 organizations from all 50 states, with industry support including Chevron, Cognizant, and Google, came together to launch an independent nonprofit called Nation of Makers, to provide an ongoing community of practice and leadership to the maker movement.

President Obama has also elevated innovation and entrepreneurship as a foreign policy priority beyond America’s borders.  Following his historic 2009 Cairo speech, the President hosted the first Global Entrepreneurship Summit (GES) at the White House in 2010; since then, annual GES events worldwide have provided over 7,000 emerging entrepreneurs with networking and investment opportunities and catalyzed over $1 billion in private-sector commitments.  The U.S. Agency for International Development (USAID) Partnering to Accelerate Entrepreneurship (PACE) initiative catalyzes private-sector investment and identifies innovative models that help global entrepreneurs bridge the “pioneer gap.”  Working in partnership with more than 40 incubators, accelerators, and seed-stage impact investors worldwide, USAID’s U.S. Global Development Lab creates public-private partnerships dedicated to testing ways to foster entrepreneurship, which are expected to leverage $100 million in combined public and private investments. The Presidential Ambassadors for Global Entrepreneurship (PAGE) initiative is a collaboration among American entrepreneurs, the White House, the Department of Commerce, and other Federal agencies to harness the creativity of U.S. business leaders to help develop the next generation of entrepreneurs both at home and abroad.  The Department of State’s Global Innovation through Science and Technology (GIST) program has engaged with science and technology innovators and entrepreneurs in 135 emerging economies around the world, providing training and resources to help them build successful startups.

For additional information and progress updates on organizations answering the President’s Call to Action to Advance Entrepreneurship, click HERE.

Obama Administration Implements New Actions to Bring Clean Energy Savings to All Americans

Solar energy array, Greece. Even as President Obama works to make clean, renewable energy readily available for all Americans, the incoming Trump Administration is likely to reverse course in favor of boosting fossil fuels. © 2016 Karen Rubin/news-photos-features.com
Solar energy array, Greece. Even as President Obama works to make clean, renewable energy readily available for all Americans, the incoming Trump Administration is likely to reverse course in favor of boosting fossil fuels. © 2016 Karen Rubin/news-photos-features.com

Even as President Obama works frantically in the closing days of his administration to facilitate a transition to clean, renewable energy in order to address the climate change crisis, the incoming occupier Donald Trump has called Climate Change a hoax perpetrated by China to weaken the US economy, and has promised to ease the way for domestic oil and gas production and coal mining. 

The news that the largest domestic oil & gas field in US history has just been unearthed in Texas by the US Geological Survey – 20 billion gallons ($900B worth) – means that, with Trump controlling energy policy, the US is doomed to global-warming carbon economy for the foreseeable future, or until earth is rendered uninhabitable by climate change. What do you bet Trump will cancel any incentive to clean energy?

Meanwhile, Obama has been working frantically to raise the threshold of clean, renewable energy. Here is the latest (possibly final) initiative. One wonders whether Trump will reverse it, just because he can. 

This fact sheet is from the White House (and should stand as a reminder of all that we are about to lose):

FACT SHEET: OBAMA ADMINISTRATION ANNOUNCES NEW ACTIONS TO BRING CLEAN ENERGY SAVINGS TO ALL AMERICANS

Through President Obama’s Clean Energy Savings for All Initiative and beyond, we are making progress opening up opportunities for all American’s to go solar and retrofit their homes and businesses to be more energy efficient. Since President Obama took office, the amount of electricity we generate from the sun has increased more than 30 fold, we added solar jobs 12 times faster than the rest of the economy, and we’ve cut the price of residential solar energy systems more than 50 percent. In fact, earlier this week the U.S. Department of Energy’s SunShot program announced a new target to cut the cost of solar in half by 2030. At the same time, energy consumption in 2015 was 1.5 percent lower than it was in 2008, while the economy grew by 10 percent over the same period. And we have improved the energy efficiency of more than one million low and moderate income homes.

Today, in coordination with a White House Clean Energy Savings for All Summit in Baltimore, Maryland hosted by Energy Secretary Ernest Moniz and Labor Secretary Tom Perez, the Obama Administration is taking the following new actions:

Launching a Challenge to Bring Solar Energy to Dozens of Low and Moderate Income Communities: The U.S. Department of Energy’s SunShot Initiative is launching a new Solar In Your Community challenge to expand solar access to Americans who have been left out of the growing solar market, including low- and moderate-income (LMI) households, state, local and tribal governments, and non-profit organizations. One hundred teams across the country will compete for cash prizes and technical assistance as they demonstrate innovative business and financial models that expand solar access to under-served groups. The teams with the most scalable, replicable solar business models will be eligible to win $1 million in final prizes, including a $500,000 grand prize. This challenge will reduce market barriers to solar deployment by spurring dozens of projects across the nation, with an emphasis on new and emerging solar markets. The challenge will help to achieve President Obama’s goal to bring 1 gigawatt (GW) of solar to low and moderate income families by 2020, test new business models that expand solar access, build local capacity to support community-scale solar projects, and establish resources that will aid in expanding solar access to underserved communities.

Growing the Reach And Impact of the Obama Administration’s National Community Solar Partnership: Last July, the Administration launched the National Community Solar Partnership—a collaborative effort between DOE, HUD, USDA, EPA, representatives from solar companies, NGOs, and state and community leaders —which works to unlock access to solar for the nearly 50 percent of households and businesses that are renters or do not have adequate roof space to install solar systems, in particular, for low- and moderate- income communities. Since we launched the partnership last year, more than 150 companies, organizations, and universities that represent 36 states have joined the effort to increase access to community solar, growing the number of members to 155, including the following 27 new partners joining today:

  • C2 Special Situations Group – New York
  • Center for Sustainable Communities – Georgia
  • Clean Energy States Alliance – Vermont
  • Connexus Energy – Minnesota
  • Elemental Energy, Inc. – Oregon
  • Energy Alabama – Alabama
  • Energy Outreach Colorado – Colorado
  • Energy Solidarity Cooperative – California
  • Environment Georgia – Georgia
  • Great Plains Institute – Minnesota
  • ICAST – Colorado
  • Imani Energy, Inc. – Delaware
  • Metropolitan Area Planning Council – Massachusetts
  • Minnesota Department of Commerce – Minnesota
  • MN Community Solar – Minnesota
  • Monadnock Sustainability Network – New Hampshire
  • Nebraskans for Solar – Nebraska
  • North Carolina Clean Energy Technology Center – North Carolina
  • Novel Energy Solutions – Minnesota
  • Placer Consulting Services LLC – Tennessee
  • Reneu Energy – New York
  • Rhode Island Office of Energy Resources – Rhode Island
  • Rural Communities Housing Development Corporation – California
  • Solar Site Design – Tennessee
  • Sunvestment Group, LLC – New York
  • Tralee Capital Partners – Colorado
  • West Virginia Solar Systems – West Virginia

Issuing Best Practices for Promoting the Development of Smart Residential PACE Financing Programs that ProtectConsumers: Today, DOE is releasing updated Best Practice Guidelines for Residential PACE Financing Programs. The guidelines provide best practices that can help state and local governments, PACE program administrators, and their partners to plan and implement programs that effectively deliver clean energy, water efficiency, and related upgrades to consumers. The updated best practices reflect input gained from over 200 comments on draft guidelines released for public review earlier this summer. The new guidelines include additional protections for consumers who voluntarily opt into PACE programs and lenders who hold mortgages on properties with PACE assessments. DOE also provides additional guidelines and program design recommendations to help ensure PACE financing is used appropriately and at the lowest cost for low-income households that otherwise meet program eligibility criteria. DOE will continue supporting state and local governments in incorporating the guidelines into PACE statutes and regulations as they are developed and modified. Additional information about PACE financing and technical assistance available at DOE can be found at their State and Local Solution Center. The best practices build on the PACE financing guidance issued by the Federal Housing Administration and Department of Veterans Affairs this summer.

Announcing a New Partnership to Help Improve Energy Efficiency in HUD-Assisted and Public Housing: This summer, the U.S. Department of Housing and Urban Development began partnering with EDF Climate Corps fellows to promote utility benchmarking of HUD-Assisted and Public Housing.  The fellows will be embedded with organizations across the country to offer assistance in analyzing and documenting portfolio-wide energy usage and developing strategies to improve energy performance and reduce operating costs.

Creating a Clean Energy Compact between the Department of Energy and Historically Black Colleges and Universities to Forge a Workforce and Community Investment Program: As the energy industry continues to transform, the U.S. Department of Energy is working with Historically Black Colleges and Universities to establish the Historically Black Colleges and Universities Clean Energy Coalition (HBCU-CEC).  The goal is to strategically engage the nation’s HBCUs in the adoption of energy efficiency, solar and other renewable energies on campus and within the communities where HBCUs are located, primarily populated by low and moderate income individuals and families.  Collectively, the coalition, with technical assistance from the Department of Energy, led by the Energy Jobs Strategy Council and the Office of Economic Impact and Diversity, will forge a workforce and community investment program focusing on energy education and awareness, low and moderate income solar deployment, building energy efficiency, job creation, jobs skills training, utility costs savings, and reduction in environmental impacts.  These efforts will help to position HBCUs as demonstrated leaders in deploying clean energy in low and moderate income communities while insuring the community benefits from resultant economic and social opportunities.

 

Obama Administration Announces New Steps to Spur Competition in Labor Market and Accelerate Wage Growth

 

South San Francisco Industrial City: New actions by Obama address wage collusion, unnecessary non-compete agreements, and other anticompetitive practices in order to spur competition for consumers and workers © 2016 Karen Rubin/news-photos-features.com
South San Francisco Industrial City: New actions by Obama address wage collusion, unnecessary non-compete agreements, and other anticompetitive practices in order to spur competition for consumers and workers © 2016 Karen Rubin/news-photos-features.com

New actions to address wage collusion, unnecessary non-compete agreements, and other anti-competitive practices respond to the President’s Executive Order issued on April 15, directing agencies to increase competition for consumers and workers.

“Today, we’re in the midst of the longest streak of job growth in U.S. history. The U.S. Census Bureau recently reported that in 2015, the typical household saw its income grow by 5.2 percent (about $2,800), the largest one-year increase on record,” the White House stated.

“At the same time, the President has made clear that there is still more work to do to reverse longer-run patterns of stagnant wage growth and rising income inequality. Over the past several decades, only the highest earners have seen steady wage gains; for most workers, wage growth has been sluggish and has failed to keep pace with gains in productivity. Over the same period, the share of national income going to labor has also fallen, and labor income itself has become divided increasingly unevenly.”

To ensure that workers share more fully in the gains they help create, the White House is announcing new steps in response to the President’s April 2016 Executive Order calling for actions that enhance competition to benefit consumers, workers, and entrepreneurs.

  • Issue Brief on How Monopsony Power Impacts Wages and Employment. The Council of Economic Advisers is releasing anew issue brief that reviews evidence that firms may have wage-setting power in a broad range of areas, explains how anticompetitive forces can lead to a redistribution of revenues from workers to companies, and reviews the policy implications of this analysis. 
  • Non-Compete Agreements: Call-to-Action to States, Largest-Ever Data Collection, and State-by-State Policy Report. Non-compete agreements narrow the employment options for an estimated one in five workers in the United States. As the White House andTreasury reported earlier this year, there is substantial evidence of overuse and misuse of these clauses. Today, the Administration put out a call to action and set of best practices for state policymakers to enact reforms to reduce the prevalence of non-compete agreements that are hurting workers and regional economies. To contextualize these best practices, the White House is releasing a state-by-state report on key dimensions of current state non-compete policy. Finally, we are announcing commitments to undertake the largest data collection of its kind to better measure non-compete usage by firms and individuals, alike.
  • Antitrust Guidance and Reporting Hotline for Human Resource Professionals. On Thursday, the Department of Justice (DOJ) and the Federal Trade Commission (FTC) released guidance for HR professionals for how to spot and report collusion among competing employers that may violate the antitrust laws.  In the guidance, DOJ announced that going forward it will criminally investigate allegations that employers have agreed amongst themselves on employee compensation or not to solicit or hire one another’s employees.

These new actions complement the many other steps the Administration has advanced and supported to level the playing field for workers in the job market, including raising the minimum wage, advancing paid leave, supporting collective bargaining, and pushing to reform occupational licensing and land use restrictions.

THE CASE FOR ACTION 

Increasingly, researchers are reporting signs of declining U.S. labor market competition. Economists have begun exploring how these trends connect to rising income inequality. While recent discussions on television set-top boxes and airline tickets have focused on the ability of a small number of firms to set high prices, reduced competition in the labor market results in lower wages and greater earnings inequality, and can also result in lower employment.

There are many forces that can limit competition between firms and give employers some power to set wages below the market rate. In some cases, wage-setting power can result from employer actions—like collusion or the use of non-compete agreements—that artificially restrict competition. More generally, any factor that limits workers’ choices, restricts their mobility, or creates barriers to changing jobs can weaken workers’ bargaining position—which may force them to accept lower compensation or inferior working conditions. The data show that workers today are in many ways less mobile and less likely to switch jobs than they were 20 or 30 years ago.

One factor that contributes to trends in labor mobility is the amount of market power that employers can exercise in the labor market. When a small number of employers—or even one employer—wields a large share of market power, they can exercise so-called “monopsony power.”

Monoposonies are the other side of the coin to monopolies. Both reflect a company’s ability to affect markets in ways that would be impossible in competitive markets. Monopolies occur when companies have outsized market power, so they can set the price of a good or service at a level higher than if there was fair competition. Monopsonies occur when companies with power in labor markets can set the wages they pay at lower levels and hire fewer workers than if there was strong competition. These lower wages have real consequences for families and the economy more broadly.

Greater labor market competition can help promote efficiency and employment and ensure that the benefits of economic growth are shared by all. In particular, increased labor market competition means:

  • Higher wages and more hiring. When businesses must compete for workers, they recruit workers and offer higher wages as long as the value of output they produce can support the going wage. Competition thus encourages employers to seek out all productive and efficient hiring opportunities and establishes a close link between wages and productivity. When there is strong competition, firms have no incentive to set wages below the market rate, because if they do, they will lose their workers to competing firms.
  • Greater economic opportunity and fairness for workers.  In a competitive labor market, wages are determined by the market, and are not subject to companies’ abuse of outsized bargaining power. But when firms have wage-setting power, they have an incentive to pay the lowest wage that workers are willing to accept. As a result, market power not only shifts revenues away from labor, toward managers and inflated profits; it also means that individuals who start out facing greater obstacles and fewer opportunities often end up being paid the least. Competition can help equalize wages across workers with similar skills and ensure a level playing field for all workers. 

Addressing Gross Overuse of Non-Compete Agreements

Earlier this year, the White House and Department of Treasury’s Office of Economic Policy released reports highlighting the negative impacts of unnecessary non-compete agreements and the actions states are taking to address them.

According to survey data, one in five U.S. workers is bound by a non-compete agreement, including 14 percent of workers making less than $40,000 per year. A considerable proportion of non-compete agreements signed by both low- and high-wage workers come at the expense of wage growth, entrepreneurship, and broader economic growth. Researchers have found that states that strictly enforce non-compete agreements have 10 percent lower average wages for middle-aged workers than states that do not.

The White House is announcing several new steps to reduce the misuse of non-compete agreements.

In addition to encouraging states to take action, the Administration also calls on Congress to pass federal legislation to eliminate non-competes for workers under a certain salary threshold, as in the Mobility and Opportunity for Vulnerable Employees Act (MOVE Act), originally sponsored by Senators Al Franken and Chris Murphy, and in the Limiting the Ability to Demand Detrimental Employment Restrictions Act (LADDER Act). We call on Congress to consider this critical issue and the potential economic consequences of inaction.

  • Best Practices and Call to Action for States on Non-Compete Agreements. Elected officials in Connecticut, Hawaii, Illinois, New York, and Utah have signed on to support a call-to-action for state non-compete reform, below:

White House Best Practices for State Non-Compete Reform

In order to reduce the misuse of non-compete agreements in states that choose to enforce them, the White House is calling on state policymakers to join in pursuing best-practice policy objectives, including one or more of the following:

  1. Ban non-compete clauses for categories of workers, such as workers under a certain wage threshold; workers in certain occupations that promote public health and safety; workers who are unlikely to possess trade secrets; or those who may suffer undue adverse impacts from non-competes, such as workers laid-off or terminated without cause.
  2. Improve transparency and fairness of non-compete agreements by, for example, disallowing non-competes unless they are proposed before a job offer or significant promotion has been accepted (because an applicant who has accepted an offer and declined other positions may have less bargaining power); providing consideration over and above continued employment for workers who sign non-compete agreements; or encouraging employers to better inform workers about the law in their state and the existence of non-competes in contracts and how they work.
  3. Incentivize employers to write enforceable contracts, and encourage the elimination of unenforceable provisions by, for example, promoting the use of the “red pencil doctrine,” which renders contracts with unenforceable provisions void in their entirety.
  • State-by-State Explainer of Non-Compete Laws. To educate workers, employers, policymakers and advocates, the White House is issuing a report about existing state laws and some of the key issues related to non-compete agreement reform.
  • Employer Support to Eliminate Non-Competes for Most or All Employees. Across the country, businesses are eliminating non-compete agreements in favor of more targeted options. They are supporting a shift in non-compete policy because they recognize that fewer, more targeted non-compete agreements will likely increase their pool of available talent and improve innovation.
  • New Surveys to Examine Prevalence and Impact of Non-Competes, including:
  • Largest data collection effort ever undertaken on non-compete agreements. PayScale, a company that provides compensation data and software to employers and employees, has committed to collect new data to support the effort to better measure and understand the use of non-compete agreements. This commitment will include anonymously surveying thousands of firms on non-compete practices and asking millions of employees about their non-compete status.
  • In-depth survey on non-compete use. This upcoming year, researchers Evan Starr, Natarajan Balasubramanian, and Martin Ganco, with the support of the Ewing Marion Kauffman Foundation, plan to field an in-depth survey about non-compete usage and its impact on firm growth, employee mobility, and entrepreneurship. 

Curbing Collusion among Firms to Suppress Wages and Limit Worker Mobility

Increased market concentration of firms can also facilitate collusive agreements that allow a small number of employers, who compete over the same workforce, to artificially suppress wages below market rates or agree not to hire one another’s employees. Like price fixing in product markets, collusion among employers to reduce wages is illegal in the U.S. and subject to anti-trust laws.

These types of agreements eliminate competition in the same irredeemable way as agreements to fix the prices of goods or allocate customers, which have traditionally been criminally investigated and prosecuted as cartel conduct. As FTC Chairwoman, Edith Ramirez puts it, “Competition is essential to well-functioning markets, and job markets are no exception.”

In 2014, eight Silicon Valley employers settled a civil class action suit for $415 million for allegedly colluding to suppress the wages of programmers and engineers.  Specifically, the suit pointed to evidence of “no-poaching” arrangements in which the firms agreed not to engage in competitive recruiting of each other’s workforces.  Other suits, filed in five metropolitan areas across the country, have alleged collusive behavior among hospitals to suppress the wages of nurses. For example, in Detroit, eight hospitals reached settlements that amounted to roughly $90 million in total for alleged collusion to lower wages below market rates.

This past week, the Department of Justice (DOJ) and Federal Trade Commission (FTC) announced new guidance aimed at combatting collusive behavior in the employment arena. Additionally, in a recentspeech, Acting Assistant Attorney General Renata Hesse highlighted existing DOJ policy that “a merger that gives a company the power to depress wages or salaries to reduce the prices it pays for inputs is illegal whether or not it also gives that company the power to increase prices downstream.” 

Antitrust Guidance and Hotline for Human Resources Professionals to Identify and Report Wage Collusion.

  • Human Resources (HR) professionals are often in the best position to ensure that their companies’ hiring practices comply with the law. Last week, the DOJ and the FTC released guidance for HR professionals for how to spot and report collusion among competing employers that may violate the antitrust laws.
  • In the guidance, DOJ announced that going forward it will criminally investigate allegations that employers have agreed among themselves on employee compensation or not to solicit or hire one another’s employees. In the press release announcing the guidance, Acting Assistant Attorney General Renata Hesse stated: “HR professionals need to understand that these violations can lead to severe consequences, including criminal prosecution. The newly released joint guidance provides HR professionals with information to prevent violations and report potentially unlawful activity, furthering the Justice Department’s commitment to protect workers from harmful conduct that stifles competition.”

Building on Progress

 

Today’s actions build on a series of steps the Administration has taken to reduce barriers to fair wages and labor practices, including:

  • Raising the minimum wage. It has been nearly a decade since Congress last took action to raise the minimum wage, which remains at $7.25 per hour. Since the President started calling for a higher minimum wage in 2013, 18 states and DC have taken action to raise wages, which CEA estimates will benefit over 7 million people by 2017. Over 60 cities and counties have also taken action on their own. These increases help push back against downward pressure on wages.
  • Expanding paid sick leave. Policies that support minimum benefits are an important complement to minimum wage laws, especially when employers have enhanced power in the labor market. That is why President Obama expanded paid sick leave to federal employees with new children and to federal contract workers to care for themselves, a family member, or another loved one. He continues to call on Congress to pass legislation that guarantees most Americans the chance to earn up to seven days of paid sick leave each year—and urges states, cities and businesses to act where Congress has not.
  • Supporting worker voice. When workers have a say in their wages and working conditions, they can help ensure that they see a fair share of the economic returns to their labor. In October 2015, the Administration underscored the importance of worker voice by bringing together workers, employers, unions, worker advocates, and others to the White House Summit on Worker Voice. 
  • Reforming occupational licensing requirements and improve portability across states. In 2015, the White House, Treasury Office of Economic Policy, and Department of Labor issued a report on evidence that occupational licensing requirements raise the price of goods and services, restrict employment opportunities, and make it more difficult for workers to take their skills across state lines.  Following this report, the Administration has worked with Congress, state legislators, and experts to draft and present a series of best practices to help state and local governments better tailor their occupational licensing laws. To date, legislators in at least 11 states have proposed no fewer than 15 reforms in line with these recommendations, and four state bills have passed so far.
  • Reforming land use regulations. Over-burdensome land use regulations have made it hard for housing markets to respond to growing demand, jeopardizing housing affordability for working families and limiting GDP growth by stifling labor mobility to the most productive regions. Earlier this year, the White House released a Housing Development Toolkit that highlights the steps communities have taken to modernize their housing strategies and expand options and opportunities for hardworking families.