Latest Legislative and Regulatory Updates for HR and Workforce Development in Manufacturing

Legislative and Regulatory Updates Impacting HR and Workforce Development in Manufacturing Women in Manufacturing March 23, 2021 3/23/21 The Laurin Baker Group, LLC 1

Agenda Key Federal Agencies that Affect HR Policy Key Websites to Bookmark President Biden: HR Issues CDC and OSHA Resources New OSHA Focus Updates to HR Areas in COVID Legislation President Biden: Workforce Development Questions? 3/23/21 The Laurin Baker Group, LLC 2

Federal Agencies that Affect HR Department of Labor Wage & Hour Division Occupational Health & Safety Administration (OSHA) Office of Federal Contract Compliance (OFCC) National Labor Relations Board (NLRB) Equal Employment Opportunity Commission (EEOC) workplace discrimination Post-COVID Centers for Disease Control and Prevention (CDC) States/Localities 3/23/21 The Laurin Baker Group, LLC 3

Key Websites to Bookmark DOL Wage & Hour Division has all federal leave info (COVID and Non-COVID) https://www.dol.gov/agencies/whd/pandemic https://www.dol.gov/agencies/whd/fmla https://www.dol.gov/agencies/whd/pandemic/ffcra-questions https://www.dol.gov/agencies/whd/flsa/pandemic EEOC COVID Guidance https://www.eeoc.gov/coronavirus OSHA COVID Page lists newest documents on top https://www.osha.gov/SLTC/covid-19/ CDC Business and Workplace Guidance CDC always has a date stamp on site for when updated; look for manufacturing guidance https://www.cdc.gov/coronavirus/2019-ncov/community/organizations/businesses-employers.html https://www.cdc.gov/coronavirus/2019-ncov/vaccines/recommendations/essentialworker/workplace- vaccination-program.html IRS Economic Support Includes FFCRA Tax Credits; date at bottom tells last update https://www.irs.gov/coronavirus/coronavirus-and-economic-impact-payments-resources-and-guidance 3/23/21 The Laurin Baker Group, LLC 4

President Biden: Human Resources *Key Takeaway is Increased Reporting/Recording Requirements, Increased Enforcement Issue Biden Administration Executive Only or Senate Action Required? OSHA Increased enforcement; Possible Emergency Temp. Standard for COVID-19 by April 2021. OSHA Federal Minimum Wage Will call for $15/hour for federal contractors and try for legislation for private sector. Failed in Rescue Plan package so will require 60 votes to pass Senate but there is some bipartisan support for some increase. State Action. Increase Overtime Threshold Regular increases through regulatory changes. Employees and dependents DOL FMLA Expansion of Paid Leave DOL rulemaking needed but Congressional Action possible to drive/shape proposal (i.e., FAMILY Act). EEOC EEOC Reporting Seeks to expand data reported, publicly released Union-organizing Revert to Obama-era policies card check, short term voting, harder to decertify, easier to organize PRO Act passed the House but cannot get 60 votes in the Senate. 3/23/21 The Laurin Baker Group, LLC 5

CDC and OSHA Resources CDC Guidance, Checklists, Assessments specific to Manufacturers/Workplaces Updated frequently. CDC Vaccination Resources, FAQ, Communication Materials https://www.cdc.gov/coronavirus/2019-ncov/vaccines/faq.html OSHA Guidance for Manufacturing, Reportable Events Rules OSHA FAQ updated frequently, address employer requirements, face coverings, cleaning and disinfection, return to work and testing. (Manufacturing, General Business) - https://www.osha.gov/coronavirus/faqs EEOC guidance regarding taking temps, asking COVID-19 questions, but NO antibodies testing, requiring vaccines. Your best defense is best efforts to follow federal, state and local guidance, written plans for employees/visitors and documentation. 3/23/21 The Laurin Baker Group, LLC 6

OSHA 300A Injury/Illness Reporting Requirements: Form 300A due electronically annually March 2nd https://www.osha.gov/injuryreporting Trump overturned Obama rule requiring Form 300, 301 filed electronically; Biden Administration likely brings this back. Trump rule still requires including EIN on electronic filing Must maintain records for 5 years for 300, 300A, 301 Now publicly available. Nov. 30, 2020 CA finalizes COVID ETS https://www.dir.ca.gov/dosh/coronavirus/COVID19FAQs.html#effDate Jan. 29, 2021 Biden EO with new enforcement guidance and direction to OSHA to decide about an ETS by March 14. https://www.osha.gov/coronavirus/safework 3/23/21 The Laurin Baker Group, LLC 7

OSHA (cont.) March 12, 2021 OSHA releases COVID-19 National Emphasis Program (NEP) focusing enforcement efforts on companies that put the largest number of workers at serious risk of contracting COVID per the 300A injury/illness reports. Nearly all manufacturing is part of Secondary Target List including primary metal manufacturing and fabricated metal manufacturing. The program also prioritizes employers that retaliate against workers for complaints about unsafe or unhealthy conditions, or for exercising other rights protected by federal law. March 12, 2021 Updated its Interim Enforcement Response Plan to prioritize the use of on-site workplace inspections where practical, or a combination of on-site and remote methods. OSHA will only use remote- only inspections if the agency determines that on-site inspections cannot be performed safely. 3/23/21 The Laurin Baker Group, LLC 8

OSHA (cont.) OSHA still likely to issue ETS of some kind for internal review this month, publication in mid-April. ETS is effective immediately and OSHA takes public comment, issues final standard withing 6 months. Look at the CAL/OSHA ETS Prevention plan Reporting/tracking illnesses beyond 300A Testing Paid Leave 3/23/21 The Laurin Baker Group, LLC 9

COVID Stimulus Bill(s) Paid Leave, Retention Credits, COBRA, Oh My Families First Coronavirus Response Act (FFCRA) effective April 1-December 31, 2020 and 100% reimbursable by govt. via tax credits. <500 employees and in addition to current leave policy Limited to 10 days per employee <50 employees could apply for exemption from DOL Refundable tax credit up to the maximum wages allowed, could be advance thru payroll tax deposits. Latest changes: Requirement to provide expired 12/31/20 but you can still claim tax credits 1/1/21-3/31/21 and then 4/1/21- 9/30/21 Resets the 10-day limit starting 4/1/21 for employers claiming credit If you offer, employee can take it for vaccine, recovering from vaccine or waiting on test results. https://www.butzel.com/resources-alerts-New-Life-to-the-FFCRA-Understanding-the- Options-and-Obligations-under-the-FFCRA-After-the-Passage-of-the-American-Rescue-Plan- Act-of-2021.html 3/23/21 The Laurin Baker Group, LLC 10

COVID Stimulus Bill(s) Paid Leave, Retention Credits, COBRA, Oh My Original Employee Retention Tax Credit: IF you do not receive an SBA PPP loan and: Your operation: 1) was fully or partially suspended in response to govt. orders; OR 2) has experienced a decline of 50% or more in quarterly gross receipts compared to prior year quarter. Tax credit of 50% on the first $10,000 of wages (incl. health benefits) from 3/13/20-12/31/20=$5k/employee You can take this tax credit AND the paid leave credits, but you can t use the same wages to qualify for the respective credits. Refundable credit against employer portion of payroll taxes. 3/23/21 The Laurin Baker Group, LLC 11

COVID Stimulus Bill(s) Paid Leave, Retention Credits, COBRA, Oh My Changes to Employee Retention Tax Credit: Applies 1/1/21-7/1/21 Increased by changing the percentage of the credit to 70% of qualified wages Qualified wages now $10,000 per employee per quarter COBRA Subsidy Employers must coordinate notices with plan providers Dependent Care Savings Accounts $10,500 instead of $5,000 but employer must make it available 3/23/21 The Laurin Baker Group, LLC 12

President Biden: Workforce Development Issue Biden Administration Executive or Senate Action Required? Higher Education Act Reauthorization Community Colleges; Access Area for bipartisan congressional support National Apprenticeship Act Supports but more govt. control, less industry. Likely bipartisan congressional support by 2022. Industry Recognized Apprenticeship Program (IRAP) Cancelled via EO DOL awarding $$ to states for more rigorous programs Job Training Funding/Grants Increased funding for Career & Technical Education (CTE), minority/women/youth training grants; focus on unions DOL; Congress needs to reauthorize WIOA where much of this funding comes from. Community Colleges Increased role for community colleges in training and preparing students for work Dept. of Ed Industry Partnerships Emphasis will be on industry, associations partnering with unions 3/23/21 The Laurin Baker Group, LLC 13

Contact Information Jennifer Baker Reid President The Laurin Baker Group, LLC jreid@thelaurinbakergroup.com 202-469-3453 3/23/21 The Laurin Baker Group, LLC 14