Letters to the Editor
Wednesday, June 09, 2010

Correction in report about new labor regs

I write to correct the errors in the report in the Saipan Tribune about Labor's revised regulations under PL 17-1. This report suggested that there were certain new provisions in the regulations when, in fact, the provisions remain the same as in prior regulations. For example:

Registration. There is nothing new about alien registration in the Commonwealth. Annual registration has been required since the first alien workers came to the Commonwealth in the mid-1980s. The new regulations only shift this responsibility from the old Immigration Division to the Labor Department because the Attorney General has deleted the old immigration regulations under which annual registration was accomplished. The procedural registration provisions remain the same; the office implementing them has changed.

Fees. There is nothing new about Labor fees. If you compare the new fee schedule to the old fee schedule, you will see fees cited in the article have not changed. What has changed is a provision that any employer who pays a federal fee does not have to pay a Commonwealth fee. There is no duplication of fees. Your report did not include that fact. In addition, the moratorium exemption fee has been deleted, as the moratorium is now gone.

Workforce Participation. Your report contains a serious factual error with respect to workforce participation. Your article said: “It [the new regulation] said the number of citizens, U.S. permanent residents or CNMI permanent residents or their immediate relatives shall equal or exceed the number of foreign workers in the private sector workforce unless attainment of this goal is not feasible within the current calendar year after all reasonable efforts have been made by the employer.” That is not correct.

The regulations provide that: “In the workforce of any employer, the percentage of citizens, U.S. permanent residents, and CNMI permanent residents and the immediate relatives of citizens, U.S. permanent residents, and CNMI permanent residents (“status-qualified participants”) employed shall equal or exceed the percentage of status-qualified participants in the private-sector workforce unless attainment of this goal is not feasible within the current calendar year after all reasonable efforts have been made by the employer.”

What this means is that if citizens, U.S. permanent residents, CNMI permanent residents, and their immediate relatives comprise 40 percent of the private-sector workforce, then the benchmark for every private-sector employer is 40 percent. The private-sector workforce is comprised of persons who are employed and persons who are seeking employment. We use the same definitions as the U.S. Department of Labor.

Reporting Requirements. There has been no change in the reporting requirements. The reports required in the new regulations are the same reports as have been required in prior regulations.

Workforce Plan. Only technical changes have been made in the workforce plan requirements to conform to the provisions of PL 17-1. For example, PL 17-1 deleted classifications for jobs, so the references to those classifications in the workforce plan requirements were also deleted. A workforce plan requirement has been in Commonwealth law for a long time.

Jacinta M. Kaipat
Deputy Secretary of Labor