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 -----Original Message-----
From: 	"BNA Highlights" <bhighlig@bna.com>@ENRON  
Sent:	Wednesday, October 24, 2001 11:10 PM
To:	BNA Highlights
Subject:	Oct. 25 -- BNA, Inc. Daily Labor Report

______________________________

DAILY LABOR REPORT
Highlights & Table of Contents
October 25, 2001
______________________________

ISSN 1522-5968

Registered Web subscribers can access the full text of these
articles by using the URL link supplied.

Information about becoming a subscriber or signing up for a
FREE Web trial is available at http://web.bna.com or call
BNA Customer Relations at 1-800-372-1033, Mon. - Fri. 8:30
am - 7:00 pm (ET).
__________

HIGHLIGHTS
__________


HOUSE PASSES ECONOMIC STIMULUS;  CRITICS SAY WORKER AID
FALLS SHORT

By a vote of 216-214, the House passes a broad economic
stimulus bill (H.R. 3090) that includes provisions to expand
unemployment insurance and health care benefits for laid-off
workers. Seven Republicans voted against the proposal, while
three Democrats voted in favor. Rep. Johnson (R-Conn.) says
the bill, sponsored by House Ways and Means Committee
Chairman Thomas (R-Calif.), would put $9 billion into state
coffers within 10 days of enactment.

 The bill would allow states to use the funds to pay regular
unemployment benefits, increase benefit payments, extend
benefits beyond 26 weeks, expand benefit eligibility, or for
administrative purposes. The bill also would extend the work
opportunity tax credit and the welfare-to-work tax credit
through Dec. 31, 2003, and contains provisions to boost the
Social Services Block Grant program by $3 billion so that
states can give health coverage to the unemployed.

Critics of the bill--including congressional Democrats,
labor, and civil rights groups--claim the measure will not
accomplish the Republicans' stated goals of stimulating the
economy and getting displaced workers back on the job. A
substitute measure offered by House Democrats is rejected by
a vote of 261-166. Senate Majority Leader Daschle (D-S.D.)
tells reporters that he hopes the Senate will be able to
pass its own version of an economic stimulus bill before
Thanksgiving. . . . Page AA-1

http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w6f5c4_


ARKANSAS COURT ORDERS TRIAL ON WHETHER BIPOLAR DISORDER IS
PHYSICAL

A former Smith Barney employee is entitled to a trial to
decide whether his bipolar affective disorder is a mental
illness subject to a 24-month cap on benefits under a
long-term disability policy or a physical illness not
subject to a cap, the Arkansas Supreme Court rules
unanimously ("Elam v. First Unum Life Ins. Co., "Ark., No.
00-1430, 10/18/01). Reversing summary judgment for First
Unum Life Insurance Co., the supreme court holds that
because both the insurer and James Elam submitted evidence
outside of the insurance policy to support their
interpretations of the term "mental illness," the issue is a
question of fact for a jury to decide.

The policy defines mental illness as "mental, nervous or
emotional diseases or disorders of any type." Arguing the
term is ambiguous, Elam says bipolar affective disorder is a
physical illness with a biological origin that is treated
with medication. . . . Page A-1

http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w6a7e7_


SIXTH CIRCUIT BLOCKS MOVE TO SEPARATE FLSA, LMRA CLAIMS

A former truck driver's attempt to separate claims he
brought under the Fair Labor Standards Act and the
Labor-Management Relations Act in order to avail himself of
the FLSA's two-year statute of limitations falls short, as
the Sixth Circuit finds the wage claim barred by the federal
labor law's six-month limitations period ("Martin v. Lake
County Sewer Co., "6th Cir., No. 00-00228, 10/17/01). In
addition to seeking unpaid wages under the FLSA after his
discharge, Donald Martin charged his former employer, Lake
County Sewer Co., with violating the terms of its collective
bargaining agreement with a Teamsters local in violation of
LMRA Section 301. Martin also contended that the union
violated its duty of fair representation under Section 301
by failing to pursue a grievance against Lake for allegedly
improper deductions in his benefits and pay.

Martin argues his FLSA claim is distinct from the Section
301 claim and therefore governed by the wage law's two-year
limitations period. According to the Sixth Circuit, however,
Martin's charge relating to the unpaid wages was based on
the provision in the collective bargaining agreement
governing compensation and must be resolved in accordance
with LMRA procedures. . . . Page A-8

http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w5m1t1_


NURSE'S AIDE ASSAULTED BY CO-WORKER CAN PROCEED WITH SUIT

A nurse's assistant who was sexually assaulted by a
co-worker can proceed with a series of claims against an
upstate New York health care facility, despite the fact that
the employer immediately suspended and later discharged the
alleged attacker, a federal magistrate judge rules ("Becker
v. Ulster County, "N.D. N.Y., No. 99-CV-1278, 10/10/01).

Rejecting a summary judgment motion by Ulster County Golden
Hill Health Care Center, Judge Homer of the U.S. District
Court for the Northern District of New York finds that Gail
Becker established enough evidence to go to trial on her
claims of sexual harassment based on a hostile work
environment and retaliation under Title VII of the 1964
Civil Rights Act and other laws.

Her evidence surrounding the assault incident--including her
supervisor's failure to allow Becker to call the police and
the facility's refusal to allow her time off to seek a
protective order--if credited, "establishes an incident
sufficient by itself to support a finding that the
conditions of her employment were irrevocably altered as a
result and that those conditions became abusive," the court
holds. . . . Page A-2

http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w5h5w4_


FED FINDS MANY REGIONS REBOUNDING FROM SEPTEMBER

The terrorist attacks on New York and Washington stunted
economic growth throughout the country in September, but
many regions saw activity rebound in recent weeks, the
Federal Reserve reports in its "Beige Book" summary of
economic conditions in each of its 12 districts.

Business activity recovered quickly from some aspects of the
attacks, such as reduced air cargo capacity, but long-run
effects are more difficult to assess, according to the Fed.
New since the attacks, however, are disruptions to
productivity due to increased security precautions and
insurance premiums, the central bank says. . . . Page D-12

http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w6h7v2_


______________

TODAY'S EVENTS
______________

EMPLOYMENT: Bureau of Labor Statistics releases third
quarter figures on employment cost index, 8:30 a.m., Labor
Department.

UNEMPLOYMENT: Weekly data on initial claims for unemployment
benefits released, 8:30 a.m., Labor Department.

________________

ALSO IN THE NEWS
________________


EARNINGS: On an inflation-adjusted basis, the median weekly
earnings of full-time U.S. workers rose 0.8 percent during
the year ended in the third quarter, a smaller gain than in
the prior 12-month period, according to figures by the
Bureau of Labor Statistics. . . . Page D-6

http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w6g5n1_

HOTELS: Closure of the Flamingo Reno hotel and casino
affects approximately 1,000 workers. As the business shut
down, the Hotel Employees and Restaurant Employees union
still was pushing the casino's owners to provide extra
benefits beyond what the company has offered the workers, a
union representative says. . . . Page A-2

http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w6a8f6_

SAFETY & HEALTH: Safety professionals and employers at
nearly 1.3 million worksites will have new forms for
recording on-the-job injuries and illnesses, bringing to a
close an effort launched during the late 1980s to simplify
the recordkeeping burden while providing more detailed
information on how accidents and illnesses occur.  . . .
Page A-11

http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w6f7e1_

HEALTH CARE EMPLOYEES:  Registered nurses, represented by
United Food and Commercial Workers Local 655, at St. John's
Mercy Medical Center in St. Louis approve by a 721-108 vote
a first contract, ending nearly two years of negotiations
since formation of the bargaining unit in July 1999. . . .
Page A-8

http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w6b7t2_


_________________

TABLE OF CONTENTS
_________________

LEADING THE NEWS

EMPLOYMENT
   House passes by vote of 216-214 broad economic stimulus
   bill (H.R. 3090) that includes provisions to expand
   unemployment insurance and health care benefits for
   laid-off workers . . . Page AA-1
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w6f5c4_


____

NEWS
____

ARBITRATION
   Public policy dictates reversing arbitration decision
   that allowed police officer accused of sexual harassment
   and improper sexual conduct to return to work, Minnesota
   appeals court rules . . . Page A-7
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w5g3r3_

EMPLOYEE BENEFITS
   Former Smith Barney employee is entitled to trial to
   decide whether his bipolar affective disorder is mental
   illness subject to 24-month cap on benefits under
   long-term disability policy or physical illness not
   subject to cap, Arkansas Supreme Court rules . . . Page
   A-1
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w6a7e7_

ERISA
   "Abatement plan" between UPS Inc. and Teamsters that
   allowed UPS to temporarily abate its contributions to
   multiemployer pension fund in exchange for higher
   contribution rates did not violate ERISA, Seventh Circuit
   rules . . . Page A-4
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w5x5d6_

FLSA
   Sixth Circuit finds former truck driver's Fair Labor
   Standards Act claim barred by Labor-Management Relations
   Act's six-month limitations period . . . Page A-8
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w5m1t1_

HEALTH CARE EMPLOYEES
   Registered nurses at St. John's Mercy Medical Center in
   St. Louis approve first contract, ending nearly two years
   of negotiations . . . Page A-8
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w6b7t2_

HIRING
   Eli Lilly and Co. will add 5,000 additional sales
   representative positions over next three years . . . Page
   A-13
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w6a5b8_

HOTELS
   HERE Local 86 presses until last minute for more generous
   severance benefits for 1,000 employees affected by
   closing of Flamingo Reno hotel and casino . . . Page A-2
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w6a8f6_

INTERNATIONAL LABOR
   Legislation updating equal employment rights for men and
   women across European Union is approved by European
   Parliament . . . Page A-6
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w6a6x4_

LABOR LAW
   Local hotel union's failure to mail election ballots to
   nearly 1,600 members supports setting aside election and
   holding new vote, federal district court rules . . . Page
   A-3
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w5k9t9_

LABOR-MANAGEMENT COOPERATION
   National Labor-Management Conference 2002 Board of
   Directors seeks proposals for presentations on
   cooperation and innovation in unionized workplaces . . .
   Page A-13
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w5z7n4_

PENSIONS
   Employer may not recover from actuarial consulting firm
   millions of dollars in pension plan benefits employer
   claims it lost because actuary failed to provide timely
   information to employer, Tenth Circuit rules . . . Page
   A-9
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w6e6w2_

RETIREE BENEFITS
   Law requiring Social Security Administration to assign
   retired coal miners' health care premium liability to
   signatory coal operators did not impose Oct. 1, 1993, as
   mandatory deadline, Fourth Circuit rules . . . Page A-4
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w5x5a2_

SAFETY & HEALTH
   Labor Department's decision to set aside some provisions
   in revised injury recordkeeping rule is applauded by
   industry groups, but labor unions argue that changes will
   skew national statistics . . . Page A-12
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w6f7f8_

   Nurse who accidentally stuck herself with needle used on
   AIDS patient had sufficient cause for emotional distress
   claim, Pennsylvania court rules . . . Page A-5
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w5k5m3_

   OSHA says safety professionals and employers at nearly
   1.3 million worksites will have new forms for recording
   on-the-job injuries and illnesses . . . Page A-11
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w6f7e1_

SEXUAL HARASSMENT
   Nurse's assistant who was sexually assaulted by co-worker
   can proceed with series of claims against upstate New
   York health care facility, despite fact that employer
   immediately suspended and later discharged alleged
   attacker, federal magistrate judge holds . . . Page A-2
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w5h5w4_

STATE EMPLOYEES
   California Gov. Davis orders state agencies to freeze
   hiring of new employees and reduce current fiscal year
   spending by $150 million . . . Page A-9
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w6f1j5_

TRADE
   Economist states that trade-related loss of more than 3
   million jobs since 1994 should bolster opposition to
   trade promotion authority legislation . . . Page A-10
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w6e5n5_

   Senior administration official says President Bush will
   intensify efforts to get Congress to pass trade promotion
   authority . . . Page A-11
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w6f2v8_

WORKFORCE REDUCTIONS
   Eastman Kodak Co. plans to cut workforce by 3,500 to
   4,000 jobs . . . Page A-13
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w6d3m5_

   Sears, Roebuck & Co. says it will pare nearly 5,000
   employees from global payroll in three-year plan to
   improve profitability and operational efficiencies . . .
   Page A-10
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w6f2f5_


_____________

ECONOMIC NEWS
_____________

EARNINGS
   Median weekly earnings of full-time U.S. workers rose 0.8
   percent, inflation-adjusted, during year ended in third
   quarter, Labor Department's Bureau of Labor Statistics
   reports . . . Page D-6
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w6g5n1_

ECONOMIC OUTLOOK
   Many U.S. regions saw economic growth rebound in recent
   weeks, Federal Reserve reports . . . Page D-12
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w6h7v2_

PERSONAL INCOME
   U.S. personal income grew 0.8 percent in second quarter,
   marked slowing from first three months of year, Commerce
   Department says . . . Page D-1
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w6g7p2_


______________

TABLE OF CASES
______________

Becker v. Ulster County (N.D.N.Y.) . . . Page A-2
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w5h5w4_

Chao v. Local 54, HERE (D.N.J.) . . . Page A-3
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w5k9t9_

City of Brooklyn Ctr. v. Law Enforcement Labor Servs. Inc.
(Minn. Ct. App.) . . . Page A-7
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w5g3r3_

Elam v. First Unum Life Ins. Co. (Ark.) . . . Page A-1
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w6a7e7_

Holland v. Pardee Coal Co. (4th Cir.) . . . Page A-4
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w5x5a2_

Martin v. Lake County Sewer Co. (6th Cir.) . . . Page A-8
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w5m1t1_

Shumosky v. Lutheran Welfare Servs. of N.E. Pa. Inc. (Pa.
Super. Ct.) . . . Page A-5
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w5k5m3_

Sprague v. Central States, S.E. and S.W. Areas Pension Fund
(7th Cir.) . . . Page A-4
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w5x5d6_

Steiner Corp. v. Johnson & Higgins of Cal.  (10th Cir.) . .
. Page A-9
   http://pubs.bna.com/ip/BNA/dlr.nsf/id/a0a4w6e6w2_

   __________
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