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The National Association of Wholesaler-Distributors (NAW), which is the voice of the 8.2 trillion-dollar wholesale distribution industry, and employs more than 6 million U.S. workers, issued the following statement in response to President Biden's nomination of Julie Su to be Secretary of Labor:
"We believe that Ms. Su's record both in her current role and as Secretary for the California Labor and Workforce Development Agency requires significant scrutiny," said NAW CEO Eric Hoplin. "As a result of her record, NAW strongly opposes the nomination of Ms. Su based on her prior experience as Secretary for the California Labor and Workforce Development Agency and her track record of supporting policies that are harmful to American businesses."
"During her tenure in California, Ms. Su oversaw what some have called the most fraud-plagued unemployment program in the country which, according to her own admission, paid out at least $31 billion in fraudulent claims." added NAW Chief Government Relations Officer Jade West. "Furthermore, Ms. Su was one of the architects of California's Assembly Bill 5 (AB5), one of the most flawed business legislative initiatives in recent memory. The legislation has been so difficult to implement due to its flaws that the California state legislature and the Governor were forced to enact multiple new laws to exempt over 100 occupations and was so unpopular that 59% of California voters voted via a ballot measure to roll back other provisions in the law."
In 2021, while Ms. Su still served the people of California, the Mercatus Center at George Mason University found that California had the highest regulatory burden in the nation and ranked first in the nation for highest occupational licensure burden. Even with high hourly wages and generous benefits, wholesaler-distributors are still struggling to fill many roles. A Department of Labor led by Ms. Su would likely increase unnecessary and burdensome regulations that could significantly raise employer costs.
You can view our full letter to the Senate HELP Committee here.
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