House Education and Workforce Committee Holds Hearing Entitled Unleashing America’s Workforce and Strengthening Our Economy
Overview
Yesterday, the House Committee on Education and Workforce held its first hearing focused upon the workforce and the impact that regulatory burdens place on small businesses and institutions. The hearing, entitled, “Unleashing America’s Workforce and Strengthening Our Economy” highlighted not only the struggles of small businesses to overcome the administrative burden and cost of overregulation, but also the high demand for quality, skilled laborers to fill the millions of open positions within our nation’s workforce.
A key issue targeted by the Republican majority was the Biden-Harris Administration’s National Labor Relations Board’s “joint employer rule.” In his opening remarks, Chairman Tim Walberg (R-MI) stated that the rule, “threatened to upend the franchise business model, limit entrepreneurship, and kill jobs—had it not been halted by a federal court.” He went on to state, “An economic analysis found that a similar joint employer standard which was in effect during the Obama administration cost the entire franchise sector $33.3 billion annually, resulting in as many as 376,000 lost job opportunities.”
Also included in the Republican list of concerns are the regulations related to independent contractors. Again, Chairman Walberg noted that the Biden-Harris Administration’s regulations, “stifled innovation and creativity, ultimately harming workers business and the U.S. economy.”
In contrast, Chairman Walberg noted the actions taken under the Trump-Vance Administration during their brief one month in office, stating—
“President Trump is already making good on his promise to root out wasteful spending and to stop the job-killing regulatory blitz. Upon taking office, he ordered a review of all pending regulations and signed an executive order directing federal agencies to eliminate 10 existing regulations for each new regulation issued.
There is also optimism that Congress and the President will extend many provisions of the Tax Cuts and Jobs Act of 2017 and enact new tax proposals to benefit working families and businesses. Following enactment of the 2017 Tax Act, working Americans saw real wages rise nearly 5 percent in 2018 and 2019, the fastest growth in 20 years.
“And this Congress, the Committee on Education and Workforce will consider legislative proposals to improve the lives of American workers, reduce burdens on small businesses, address critical workforce shortages, and stimulate economic growth.”
In response, Ranking Member Robert “Bobby” Scott (D-VA) was quick to point out, “During the previous four years, during the Biden Administration, the economy created 16.2 million jobs, breaking the record for jobs created for any single presidential term. And in fact, Ronald Reagan, in eight years, was the highest job creator for Republicans, creating 16.1 million jobs. So, President Biden created more jobs than any Republican president in history, whether they served four or eight years.”
Later in his remarks the Ranking Member turned to the new Trump-Vance Administration’s actions, beginning his remarks on the subject by stating, “It’s been a little over a month, and so far, the second Trump Administration has been filled with the same nonstop chaos, confusion, and unprecedented— and in some cases illegal— actions that characterized his first term.”
He continued with observations and concerns regarding the establishment and leadership of the new Department of Government Efficiency (DOGE) and its agenda. Ranking Member Scott and Democrats expressed serious concerns with the recent actions to fire government workers, suggestions to move federal agencies outside of Washington, and more.
What’s Next
The other major issue taking place on Capitol Hill is the continuation of the efforts by Congress to develop a Budget Reconciliation bill. Negotiations continue right now on agreements between the two chambers on the top-line savings directives that each Committee will need to develop legislation to achieve the required amount of savings. These negotiations are very important, and the amount of savings required by the Education and Workforce Committee to provide will have a major impact on the policies that are brought forward.
CSPEN will provide additional information on the status of these negotiations, the ongoing actions of the Trump Administration through Executive Orders, Memos, and new releases by the U.S. Department of Education, and more.
