[House Hearing, 119 Congress]
[From the U.S. Government Publishing Office]
EXAMINING THE POLICIES AND PRIORITIES
OF THE DEPARTMENT OF LABOR
=======================================================================
HEARING
BEFORE THE
COMMITTEE ON EDUCATION AND
WORKFORCE
U.S. HOUSE OF REPRESENTATIVES
ONE HUNDRED NINETEENTH CONGRESS
FIRST SESSION
__________
HEARING HELD IN WASHINGTON, DC, JUNE 5, 2025
__________
Serial No. 119-17
__________
Printed for the use of the Committee on Education and Workforce
[GRAPHIC NOT AVAILABLE IN TIFF FORMAT]
Available via: edworkforce.house.gov or www.govinfo.gov
__________
U.S. GOVERNMENT PUBLISHING OFFICE
62-533 PDF WASHINGTON : 2026
-----------------------------------------------------------------------------------
COMMITTEE ON EDUCATION AND WORKFORCE
TIM WALBERG, Michigan, Chairman
JOE WILSON, South Carolina ROBERT C. ``BOBBY'' SCOTT,
VIRGINIA FOXX, North Carolina Virginia,
GLENN THOMPSON, Pennsylvania Ranking Member
GLENN GROTHMAN, Wisconsin JOE COURTNEY, Connecticut
ELISE M. STEFANIK, New York FREDERICA S. WILSON, Florida
RICK W. ALLEN, Georgia SUZANNE BONAMICI, Oregon
JAMES COMER, Kentucky MARK TAKANO, California
BURGESS OWENS, Utah ALMA S. ADAMS, North Carolina
LISA C. McCLAIN, Michigan MARK DeSAULNIER, California
MARY E. MILLER, Illinois DONALD NORCROSS, New Jersey
JULIA LETLOW, Louisiana LUCY McBATH, Georgia
KEVIN KILEY, California JAHANA HAYES, Connecticut
MICHAEL A. RULLI, Ohio ILHAN OMAR, Minnesota
JAMES C. MOYLAN, Guam HALEY M. STEVENS, Michigan
ROBERT F. ONDER, Jr., Missouri GREG CASAR, Texas
RYAN MACKENZIE, Pennsylvania SUMMER L. LEE, Pennsylvania
MICHAEL BAUMGARTNER, Washington JOHN W. MANNION, New York
MARK HARRIS, North Carolina YASSAMIN ANSARI, Arizona
MARK B. MESSMER, Indiana
RANDY FINE, Florida
R.J. Laukitis, Staff Director
Veronique Pluviose, Minority Staff Director
------
C O N T E N T S
----------
Page
Hearing held on June 5, 2025..................................... 1
OPENING STATEMENTS
Walberg, Hon. Tim, Chairman, Committee on Education and
Workforce.................................................. 2
Prepared statement of.................................... 3
Scott, Hon. Robert C. ``Bobby'', Ranking Member, Committee on
Education and Workforce.................................... 4
Prepared statement of.................................... 6
WITNESSES
Chavez-DeRemer, Lori, Secretary, U.S. Department of Labor.... 9
Prepared statement of.................................... 10
ADDITIONAL SUBMISSIONS
Ranking Member Scott:
Statement dated September 19, 2019, from Craig E. Leen... 147
Letter dated March 11, 2025, from the American Apparel &
Footwear Association................................... 156
Letter dated March 25, 2025, from members of the Cotton
Campaign............................................... 158
Fact Sheet dated February 2025, from the National
Partnership for Women & Families, titled ``Priceless:
The Over $5.6 Billion Impact of Equal Opportunity at
Work''................................................. 159
Letter dated April 14, 2025, from the National
Partnership for Women & Families....................... 163
Letter from the National Women's Law Center and the
National Partnership for Women and Families............ 166
Fact Sheet dated January 2025, from the National Women's
Law Center, titled ``Trump Executive Order Attacks
Workplace Equal Opportunity''.......................... 173
Letter dated April 22, 2025, from civil society groups... 176
Adams, Hon. Alma, a Representative in Congress from the State
of North Carolina:
Article dated May 15, 2025, from the Government
Executive, titled ``Federal Contract Employees Who
Alleged Discrimination Forced To Wait as Enforcement
Agency is Dismantled''................................. 101
Open letter dated April 15, 2025, from former officials
of the U.S. Department of Labor........................ 104
Article dated February 6, 2025, from The San Francisco
Standard, titled ``Tesla Discrimination Probe Killed as
Trump Axes Watchdog Agency''........................... 118
News Release titled ``U.S. Department of Labor Announces
Best Year for Compliance Assistance by Office of
Federal Contract Compliance Programs''................. 127
Article dated May 26, 2025, from The Guardian, titled
``US Faces Another Summer of Extreme Heat as Fears Rise
Over Trump Cuts''...................................... 130
Article dated January 23, 2026, from Reuters, titled
``Why LBJ Signed Executive Order 11246 That Trump
Rescinded''............................................ 136
Bonamici, Hon. Suzanne, a Representative in Congress from the
State of Oregon:
Appropriations letter dated May 1, 2024.................. 20
Letter dated June 3, 2025, from Inlandboatmen's Union of
the Pacific............................................ 143
The Community Value and Life-Changing Impact of Job Corps 144
Letter dated June 4, 2025, from Worksystems.............. 145
DeSaulnier, Hon. Mark, a Representative in Congress from the
State of California:
Statement dated December 12, 2023, from Sun Life U.S..... 46
Hayes, Hon. Jahana, a Representative in Congress from the
State of Connecticut:
Article dated June 4, 2025, from Newsweek, titled ``
`Trump Flipped On Us': MAGA Reacts to Potential
National Citizen Database''............................ 63
Article dated May 30, 2025, from The New York Times,
titled ``The Trump Administration has Expanded
Palantir's Work With the Government, Spreading the
Company's Technology--Which Could Easily Merge Data on
Americans--Throughout Agencies.''...................... 79
QUESTIONS FOR THE RECORD
Responses to questions submitted for the record by:
Secretary Chavez-DeRemer................................. 180
EXAMINING THE POLICIES AND PRIORITIES
OF THE DEPARTMENT OF LABOR
----------
Thursday, June 5, 2025
House of Representatives,
Committee on Education and Workforce,
Washington, DC.
The Committee met, pursuant to notice, at 10:16 a.m., in
Room 2175, Rayburn House Office Building, Hon. Tim Walberg,
(Chairman of the Committee) presiding.
Present: Representatives Walberg, Wilson, Foxx, Thompson,
Grothman, Stefanik, Allen, Owens, Miller, Kiley, Moylan, Onder,
Mackenzie, Harris, Messmer, Fine, Scott, Courtney, Wilson,
Bonamici, Takano, Adams, DeSaulnier, McBath, Hayes, Omar,
Stevens, Casar, Lee, Mannion, and Ansari.
Staff present: Vlad Cerga, Director of Information
Technology; Amy Raaf Jones, Director of Education and Human
Services Policy; Libby Kearns, Press Assistant; Katerina
Kerska, Legislative Assistant; Trey Kovacs, Director of
Workforce Policy; Campbell Ladd, Clerk; R.J. Laukitis, Staff
Director; Danny Marca, Director of Information Technology; Brad
Mannion, Professional Staff Member; John Martin, Deputy
Director of Workforce Policy/Counsel; Audra McGeorge,
Communications Director; Alexis Morgan, Intern; Daniel Nadel,
Legislative Assistant; Kevin O'Keefe, Professional Staff
Member; Ethan Pann, Deputy Press Secretary and Digital
Director; Ellison Powell, Intern; Kane Riddell, Staff
Assistant; Carl Rifino, Intern; Sara Robertson, Press
Secretary; Heidi Schneider, Professional Staff Member; Isabel
Soto, Professional Staff Member; Ann Vogel, Director of
Operations; Ali Watson, Director of Member Services; Joe
Wheeler, Professional Staff Member; James Whittaker, General
Counsel; Jeanne Wilson, Retirement Counsel; Ambrose Tierney,
Intern; Ellie Berenson, Minority Press Assistant; Sayda Bir,
Minority Intern; Ilana Brunner, Minority General Counsel;
Ni'Aisha Banks, Minority Policy Aide & Internship Coordinator;
David Dailey, Minority Chief of Staff; Nichole Dumiao, Minority
AIPACS Intern; Dylan Dunson, Minority Intern; Caroline Guo,
Minority Intern; Patrick Jo, Minority Intern; Scott Estrada,
Minority Professional Staff; Alexandra Walker, Minority Intern;
Vivian Wiggins, Minority Intern; Stephanie Lalle, Minority
Communications Director; Jessica Schieder, Minority Economic
Policy Advisor; Dhrtvan Sherman, Minority Research Assistant;
Bob Shull, Minority Senior Labor Policy Counsel; Raiyana
Malone, Minority Press Secretary; Brian Marshall, Minority
Legal Intern; Kevin McDermott, Minority Director of Labor
Policy; Mason Pesek, Minority Labor Policy Counsel; Veronique
Pluviose, Minority Staff Director, Theresa Tilling-Thompson;
Banyon Vassar, Minority Director of IT.
Chairman Walberg. Order. A quorum is present. The Committee
meets today pursuant to notice. Without objection, the Chair
may recess the Committee at any point. Today's hearing is about
Examining the Policies and Priorities of the Department of
Labor.
We will look at the Trump administration's plans for a
smaller and more effective and efficient government for
taxpayers. Its plans to ensure that fewer, more effective
regulations protect workers without compromising business
potential. In its efforts to ensure that skilled workers can
fill jobs that will ensure our economy is strong.
President Trump returned to the White House at an important
time for our economy. Years of misguided Democrat's stimulus
spending hampered job creation, fueled the massive inflation
crisis, and made more Americans dependent on the Federal
Government.
The Biden-Harris administration also pursued an agenda that
relied on heavy handed mandates and out of touch regulatory
policies, leading to high inflation and workforce shortages.
Simply put, President Biden's radical policies crushed the
American workforce.
The Biden-Harris administration reversed common sense
policies enacted by the first Trump administration in favor of
radical one size fits all regulations that prioritize labor
union leaders, expanded the Federal bureaucracy, and pushed the
radical DEI agenda.
Of particular concern, the Biden-Harris Overtime Rule would
have cost job creators an estimated 1.3 billion dollars in
increased compliance burdens on small businesses. The Biden-
Harris administration's war on independent contractors stifled
innovation and creativity, ultimately harming workers,
businesses, and the U.S. economy.
Studies have estimated a total national cost of 17 billion
dollars and if 15 percent of independent contractors are
reclassified as employees and let me read that again. Studies
have estimated a total national cost of 17 billion dollars if
15 percent of independent contractors are reclassified as
employees, and 57 billion dollars if 50 percent are
reclassified.
In stark contrast, the Trump administration is working to
advance economic policies that unleash the ingenuity and
entrepreneurial spirit of the American workforce. President
Trump is halting the job killing and inflation driving
regulatory blitz, and businesses and workers are optimistic.
The President has 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. The Trump's administration's efforts to root
out waste, fraud, and abuse are reflected in the President's
budget request.
By reigning in wasteful, fraudulent spending and restoring
fiscal sanity in Washington, the proposed budget for Fiscal
Year 2026 will help put more money in taxpayers' pockets. In
fact, Americans are already being impacted by the policies that
eliminate excessive regulations, lower costs, promote job
creation and create optimism that tax rates will not increase.
Following President Trump's return, our economy has added
jobs every month. As President Trump continues to build this
golden age for America, this Committee recognizes that too many
businesses are struggling to fill the millions of open
positions in the United States.
Republicans are already working with President Trump to
address the skills gap, which more than 7 million unfilled jobs
are seeing in the U.S. and over 7 million unemployed
individuals. It is obvious that we should be doing more to
support those looking to gain new skills.
Therefore, the Committee has advanced bipartisan reforms to
allow Pell Grants to support students in high-quality, short-
term workforce education programs. I look forward to hearing
from today's witness, Lori Chavez-DeRemer, as she begins her
tenure as our country's 30th Secretary of Labor.
Her perspective on the Department's budget and policy
proposals will be unlike those of previous labor secretaries.
She is the daughter of a Teamster. She is a small business
owner, a former Mayor, and more importantly than ever, a former
colleague on this very Committee. Additionally, Lori is
planning to travel to all 50 states this year. I think you have
made 15 already, 13 already.
Secretary Chavez-DeRemer. 13.
Chairman Walberg. Yes. To hear directly from workers and
businesses and the business owners across our diverse country.
What a refreshing change actually talking to workers, and job
creators, instead of forcing top-down regulation on them.
I look forward to hearing from the Secretary about the
American workers and businesses she has already spoken to, and
how they are taking advantage of opportunities available thanks
to the Trump administration and congressional republican
policies that are getting the economy and workforce back on
track.
Having said that, with that I yield to the Ranking Member
for an opening statement.
[The prepared statement of Chairman Walberg follows:]
Statement of Hon. Tim Walberg, Chairman, Committee on Education and
Workforce
Today's hearing is about examining the policies and priorities of
the Department of Labor. We will look at the Trump administration's
plans for a smaller and more effective government for taxpayers; its
plans to ensure that fewer--but more effective--regulations protect
workers without compromising business potential; and its efforts to
ensure that skilled workers can fill jobs that will ensure our economy
is strong.
President Trump returned to the White House at an important time
for our economy. Years of misguided Democrat ``stimulus'' spending
hampered job creation, fueled a massive inflation crisis, and made more
Americans dependent on the federal government. The Biden-Harris
administration also pursued an agenda that relied on heavy-
handedmandates and out-of-touch regulatory policies-leading to high
inflation and workforce shortages.
Simply put, President Biden's radical policies crushed the American
workforce. The Biden-Harris administration reversed common-sense
policies--enacted by the first Trump administration--in favor of
radical one-size-fits-all regulations that prioritized labor union
leaders, expanded the federal bureaucracy, and pushed a radical DEI
agenda. Of particular concern, the Biden-Harris overtime rule would
have cost job creators an estimated $1.3 billion and increased
compliance burdens on small businesses.
The Biden-Harris administration's war on independent contractors
stifled innovation and creativity, ultimately harming workers,
businesses, and the U.S. economy. Studies have estimated a total
national cost of $17 billion if 15 percent of independent contractors
are reclassified as employees and $57 billion if 50 percent are
reclassified.
In stark contrast, the Trump administration is working to advance
economic policies that unleash the ingenuity and entrepreneurial spirit
of the American workforce. President Trump is halting the job-killing
and inflation-driving regulatory blitz, and businesses and workers are
optimistic. The President has 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.
The Trump administration's efforts to root out waste, fraud, and
abuse are reflected in the President's budget request. By reining in
wasteful, fraudulent spending and restoring fiscal sanity in
Washington, the proposed budget for Fiscal Year 2026 will help put more
money in taxpayers' pockets.
In fact, Americans are already being impacted by the policies that
eliminate excessive regulations, lower costs, promote job creation, and
create optimism that tax rates will not increase. Following President
Trump's return, our economy has added jobs every month.
As President Trump continues to build this Golden Age for America,
this Committee recognizes that too many businesses are struggling to
fill the millions of open positions in the United States. Republicans
are already working with President Trump to address the skills gap.
With more than 7 million unfilled jobs in the U.S. and over 7 million
unemployed individuals, it is obvious that we should be doing more to
support those looking to gain new skills. Therefore, the Committee has
advanced bipartisan reforms to allow Pell Grants to support students in
high-quality, short-term workforce education programs.
I look forward to hearing from today's witness, Lori Chavez-
DeRemer, as she begins her tenure as our country's 30th Secretary of
Labor. Her perspective on the Department's budget and policy proposals
will be unlike those of previous labor secretaries. She is the daughter
of a Teamster, a small business owner, a former mayor, and a former
colleague of this very Committee. Additionally, Lori is planning to
travel to all 50 states this year to hear directly from workers and
business owners across our diverse country. What a refreshing change--
actually talking to workers and job creators instead of forcing top-
down regulation on them. I look forward to hearing from the Secretary
about the American workers and businesses she has already spoken to,
and how they are taking advantage of opportunities available thanks to
the Trump administration and congressional Republican policies that are
getting the economy and workforce back on track.
With that, I yield to the Ranking Member for an opening statement
______
Mr. Scott. Thank you, Mr. Chairman, Madam Secretary, it is
always good to see a former colleague, and welcome back to the
Committee you served on.
Secretary Chavez-Deremer. Thank you.
Mr. Scott. It was good to talk to you earlier this week,
and I understand that you tried to get in touch with every
member of the Committee, Democrat and Republican, and that is
obviously a good way to start and we look forward to working
with you with that spirit.
As Secretary, you are charged with carrying out the mission
of the Department of Labor, which is to, and I quote, ``Foster,
promote, and develop the welfare of wage earners, job seekers,
and retirees of the United States, improve working conditions,
advance opportunities for profitable employment and ensure work
related benefits and rights.''
Today you are appearing before this Committee to explain
the budget and the policy priorities as detailed in the
Department's Fiscal Year 2026 budget proposal. The Speaker
Emeritus Nancy Pelosi frequently states, ``Show me your budget,
and I'll tell you your values.'' That is why these meetings on
the budgets are so important.
Madam Secretary, your written testimony states that you
promise to put America's workers first, and that you indicated
many areas where there may be bipartisan support. For example,
the expansion of the Department of Labor certified registered
apprenticeships is one area where I think we have a good
bipartisan support.
The reauthorization of the Workforce Innovation and
Opportunities Act, WIOA, is another. We already have a
bipartisan, bicameral agreement on reauthorization, which came
close to passing last December. I hope we can get that bill
back on track and, although not technically within your
jurisdiction, workforce Pell is another area where there is
bipartisan support.
The workforce Pell Grants can serve to open opportunities
for millions of workers who seek to gain skills that could
transform their earning capacity. Unfortunately, instead of
pursuing the initiatives that have bipartisan support, the
administration has taken many actions that I think take us in
the opposite direction, jeopardizing jobs, endangering the
rights and protections of the workers, and undermining the
financial security of retirees.
Specifically, this administration has rescinded the
landmark executive order in effect for 50 years, protecting
Federal contract workers and job applicants from
discrimination. They rescinded an executive order that raised
the minimum wage for Federal contractors. Illegally fired
Inspectors General at the Department of Labor and several other
agencies who are charged with rooting out waste, fraud, and
abuse.
Delayed enforcement of a rule protecting coal miners from
silica exposure and terminated grants that combat child labor
and promote workers' rights. In another action the
administration fired a member of the National Labor Relations
Board, leaving the NLRB without a quorum to function and issue
decisions.
They fired two EEOC Commissioners, who were in the middle
of their terms, and this has never happened in the agency's 60-
year history, leaving the EEOC without a quorum to address
legal claims of workplace discrimination. Stripped collective
bargaining rights from more than a million Federal workers.
In addition to these concerns, Madam Secretary, we are
concerned about what Elon Musk and DOGE have been doing in the
Department. Many weeks ago, we asked you if Musk had access to
confidential files on investigations of his businesses,
including the names of potential witnesses, and whether or not
he had access to Bureau and Labor Statistics information like
job numbers, before they are made public.
Now, whether or not he is continuing that access to get
that information, and we have not received an answer yet. We
are also concerned about what is going on at the Mine Safety
and Health Administration. One of the Labor Department's first
moves in this administration was to revoke the provisional job
offers to dozens of new MSHA inspectors.
Madam Secretary, I was on this Committee when we
investigated the tragedy in Sago and the tragedy at Upper Big
Branch. One of the most important lessons we learned from those
tragedies was that we must invest in MSHA's pipeline of talent,
so qualified inspectors will be there to ensure the safety in
these dangerous jobs.
We know that that process takes years. Madam Secretary, in
your testimony in other Committees, you have had questions
about the abrupt closure of Job Corps. Across the Nation since
its inception in 1965, Job Corps has trained over 3 million
young Americans in various trades, including welding,
carpentry, medical assistance, and a lot of others.
Job Corps, which you know has bipartisan support in
Congress, trains young, low-income people, and helps them find
good paying jobs, and provides housing for a population that
might otherwise be without a home. I agree with your letter
that you sent to the House Appropriations Committee on May 1,
2024, in which you argued that, and I quote, ``In fact, studies
show that Job Corps increases applicants' employment and wages,
decreases their reliance on public benefits.''
The most recent completed program year nearly 80 percent of
Job Corps graduates received a high-quality placement by way of
employment, enlisting in the military, or enrolling in higher
education. Madam Secretary, I know that we have several
students from the Potomac Job Corps Center here in attendance.
These students were on their way to getting a good job and
earning a living wage, and I will ask them to stand up for a
moment, all of the Job Corps participants. Thank you, and on
behalf of them, Madam Secretary, I urge you to immediately
reverse the decision to effectively shut down all Job Corps
Centers. I understand the Federal Court has already intervened,
and this matter will be in litigation probably for some time.
Thank you. Madam Secretary, the budget of the Department of
Labor proposes cutting 4.5 billion dollars in discretionary
funding, a 33 percent reduction in funding relative to Fiscal
Year 2025, enacted level. I understand that during your budget
hearing before the Appropriations Subcommittee you said that,
``More money does not lead to best outcomes.''
I am looking forward to hearing from you today to explain
how less money can lead to better outcomes. For example, how
does this budget strengthen the Department's enforcement of
laws to guard against wage theft and exploitive child labor?
How does this affect OSHA because OSHA has so few inspectors
that right now it will take 185 years for the agency to visit
every workplace within its jurisdiction, just once?
How will workers be safer with the proposed budget cuts?
Finally, Madam Secretary, my Democratic colleagues and I have
sent several oversight letters in the past several months, our
office received one response just yesterday that did not really
respond to the--all of the questions.
The American people deserve answers to many questions we
have asked you about DOGE and Trump's administration's actions
that impact workers, and we expect those responses to be prompt
and complete. I look forward to your answers today and trust we
will receive complete and thorough answers to our questions and
particularly the questions we have asked in writing.
Mr. Chairman, I yield back the balance of my time. Thank
you.
[The prepared statement of Ranking Member Scott follows:]
Statement of Hon. Robert C. ``Bobby'' Scott, Ranking Member, Committee
on Education and Workforce
Thank you, Mr. Chairman.
Madam Secretary, it is always good to see a former colleague
welcome back to the committee you served on. It was good to talk to you
early this week, and I understand you have been in touch with every
member of the committee, Democrat and Republican, and that obviously is
a good way to start, and we look forward to working with you with that
spirit.
Secretary, your charge with the mission of carrying out is and I
quote, ``to foster, develop, and promote the welfare of wage earners,
job seekers, and retirees of the United States. Improve working
conditions and advance job opportunities for profitable employment, and
ensure work-related benefits and rights.''
Today, you are appearing before this Committee to explain the
budget and policy priorities as detailed in the Department's Fiscal
Year 2026 budget proposal.
The Speaker Emerita, Nancy Pelosi, stated many times, ``Show me
your budget and I will tell you your values.'' That is why the meeting
on the budget is so important.
Madam Secretary, your written testimony states that you promised to
put American workers first and that you indicated many areas where
there may be bipartisan support. For example, the expansion of the
Department of Labor's certified registered apprenticeships is one area
where I think we have good bipartisan support.
The reauthorization of the Workforce and Innovation Opportunities
Act (WIOA) is another. We already have a bipartisan, bicameral
agreement on reauthorization, which came close to passing last
December. I hope we can get that bill back on track, and although it is
not in your jurisdiction, Workforce Pell, that is another area of
bipartisan support. The Workforce Pell Grants can serve to open
opportunities for millions of workers who seek to gain skills that
could transform their earning capacity.
Unfortunately, instead of pursuing initiatives with bipartisan
support, the Administration has taken many actions that I believe have
taken us in the opposite direction: jeopardizing jobs, endangering the
rights and protections of workers, and undermining the financial
security of retirees.
Specifically, since January 2025, this Administration has:
Rescinded the landmark executive order in effect for 50
years, protecting federal contract workers and job applicants from
discrimination;
Rescinded an executive order that raised wages for federal
contractors;
Illegally fired the Inspectors General (IG) at the Labor
Department (DOL) and several other agencies, who are charged with
rooting out waste, fraud, and abuse;
Delayed enforcement of a rule protecting coal miners from
silica exposure; and
Terminated grants that combat child labor and promote
workers' rights.
In other actions, the Administration:
Fired a member of the National Labor Relations Board
(NLRB), leaving the NLRB without a quorum to function and issue
decisions;
Fired two Equal Employment Opportunity Commission (EEOC)
Commissioners, who were in the middle of their terms. This has never
happened in the agency's 60-year history, leaving the EEOC without a
quorum to address illegal claims of workplace discrimination;
Stripped the collective bargaining rights of more than one
million federal workers; and
In addition to these concerns, Madam Secretary, we are
concerned about what Elon Musk and DOGE have been doing in the
Department.
Many weeks ago, I asked you if Musk had access to confidential
files or investigations of his businesses, including the name of a
potential witness, and whether or not he had access to the Bureau of
Labor Statistics information, like job numbers, before they were made
public. Now whether he has counting access to that information and we
have not received an answer yet.
We are also concerned about what is going on at the Mine Safety and
Health Administration (MSHA). One of the Labor Department's first moves
in this Administration was to revoke the provisional job offers of
dozens of new MSHA inspectors.
Madam Secretary, I was on this Committee when we investigated the
tragedy in Sago and then the tragedy at Upper Big Branch. One of the
most important lessons we learned from those tragedies was that we must
invest in MSHA's pipeline of talent so that qualified inspectors will
be there to ensure safety in these dangerous jobs. We know that the
process takes years.
Madam Secretary, in your testimony in other committees, you have
had questions about the abrupt closure of all Job Corps Centers across
the nation.
Since its inception in 1964, Job Corps has trained over three
million young Americans in various trades, including welding,
carpentry, medical assistant, and a lot of others. Which you know has
bipartisan support in Congress--trains young, low-income people, helps
them find good-paying jobs, and provides housing for a population that
might otherwise be without a home.
I agree with your letter you sent to the House Appropriations
Committee on May 1, 2024, you argued that ``In fact, studies show that
Job Corps increases participants' employment and wages and decreases
their reliance on public benefits. In the most recently completed
program year, nearly 80 percent of Job Corps graduates received a high-
quality placement via employment, enlisting in the military, or
enrolling in higher education.''
Madam Secretary, I want you to know that we have several students
from the Potomac Job Corps Center here in attendance. These students
were on their way to getting a good job and earning a living wage. I
would ask the students to stand up for a moment, all of the Job Corps
participants.
Thank you, and on behalf of them, Madam Secretary, I urge you to
immediately reverse the decision to effectively shut down all Job Corps
centers. I understand that a Federal Court has already intervened, and
this matter will likely be under litigation for some time.
Madam Secretary, the budget proposes cutting $4.5 billion in
discretionary funding--a 33.1 percent reduction in funding relative to
the Fiscal Year 2025 enacted level.
I understand that, during your budget hearing before the
Appropriations Subcommittee, you said that ``more money does not lead
to the best outcome.'' Madame Secretary, I am looking forward to
hearing from you today about how less money can lead to better
outcomes.
For example, how does this budget strengthen the Department's
enforcement of laws to guard against wage theft and exploitative child
labor?
How does this affect OSHA? OSHA has so few inspectors that it would
take 185 years for the agency to visit every workplace within its
jurisdiction just once. How will workers be safer with the cuts
proposed in this budget?
Finally, Madam Secretary, my Democratic colleagues and I have sent
you several oversight letters over the past several months. Our office
finally received one response that did not really respond to the
questions. The American people deserve an answer to the questions we
have asked you about DOGE, and the Trump Administration's actions that
impact workers. We expect those responses to be prompt and complete.
I look forward to your answers today and trust that we will receive
complete and thorough answers to our questions. In particular, the
questions we have asked in writing.
With that, Mr. Chairman, I yield back the balance of my time.
______
Chairman Walberg. I thank the gentleman. Pursuant to
Committee Rule 8(c), all members who wish to insert written
statements into the record may do so by submitting them to the
Committee Clerk electronically in Microsoft Word format by 5
p.m., 14 days after this hearing, and without objection, the
hearing record will remain open for 14 days to allow such
statements and other extraneous material noted during the
hearing to be submitted for the official hearing record.
I will now turn to the introduction of today's witness. The
Honorable Lori M. Chaves-DeRemer, Secretary of the U.S.
Department of Labor. Madam Secretary, we thank you for being
here today. We thank you for reaching out to our Committee
members on both sides of the aisle.
As you are aware, it is your responsibility to provide
accurate information to the Committee. Pursuant to Committee
Rules, I would ask that you limit your oral presentation to a
5-minute summary of your written statement before questioning.
Madam Secretary, you are welcome, and you are recognized for
your testimony.
STATEMENT OF HON. LORI CHAVEZ-DeREMER, SECRETARY, U.S.
DEPARTMENT OF LABOR, WASHINGTON, D.C.
Secretary Chavez-DeRemer. Chairman Walberg, Ranking Member
Scott, and members of the Committee, thank you for the
invitation to testify today. It is an honor to appear before
the Committee as the 30th Secretary of Labor, to share the
important work this administration is doing at the Department
and discuss the President's Fiscal Year 2026 budget request.
My role as Secretary is to ensure the American worker is at
the center of our economic strategy. These workers have railed
behind President Trump and given him a clear mandate. It is my
job to guarantee that they are not just heard, but respected
and prioritized at every level of government.
From the moment I was sworn in on March 11th, I promised to
put American workers first, and that mission has guided me from
the very beginning. Through the common sense reforms, we will
focus the Department of Labor on that same purpose. Saving
taxpayer resources, while safeguarding protections that are
critical to the health and well-being of our workforce, like
enforcement efforts, inspectors, and investigators.
Additionally, I am committed to having an open-door policy
with every worker. As their liaison and advocate, I am
dedicated to painting an accurate picture of labor's needs and
concerns. I launched my listening tour, America at Work, to
hear directly from the men and women who are living this day in
and day out.
From a training facility demonstration with the
International Brotherhood of Electrical Workers in
Pennsylvania, to a day spent with apprentices learning to
become aviation mechanics in Nevada, I am experiencing and
relaying the everyday challenges and triumphs of America at
work. These insights are imperative to shaping Federal labor
policies and practices.
To help employers and stakeholders better understand
existing labor laws and provide them with much needed
transparency, the Department of Labor launched our opinion
letter program this week across five of our enforcement
agencies. This key tool puts practical guidance into the hands
of the public, while improving compliance, and giving workers
and employers peace of mind.
Putting American workers and businesses first is a priority
I share with President Trump and he is delivering with nearly
10 trillion in private investments and almost a half a million
new jobs. To further stimulate our economic comeback, the Trump
administration is overhauling the waste and abuse that has
characterized the Federal Government's use of tax dollars for
decades.
The Labor Department is looking at ways to streamline
Federal programs and evaluate how taxpayer dollars are spent.
In line with this approach, the budget proposes to eliminate
ineffective training interventions, and that does include the
Job Corps program.
Our recently released Job Corps transparency report showed
that in 2023 alone, more than 14,000 serious incidents were
reported at the Job Corps centers, including cases of sexual
assault, physical violence, and drug use.
This program is failing to deliver safe and successful
outcomes our young people deserve. At the same time, it costs
an average of almost 20,000 more per year for a student to
attend Job Corps than it does for a student to attend Harvard.
Our nation's vulnerable young adults deserve better, and I am
committed with all of you, to achieving the safest and most
successful outcomes possible.
Consistent with these efforts, the President's Fiscal Year
2026 budget gives states the flexibility to spend workforce
dollars in the way that makes the most sense for them. By
consolidating siloed Federal job programs into single Make
America Skilled Again grants, states and localities will be
able to spend more time and money delivering high-quality
training for their workers.
Pursuant to two critical executive orders, my department is
hard at work collaborating with the Department of Commerce and
Education to unlock the potential of the American worker. We
are looking to strengthen registered apprenticeships, modernize
workforce development programs, and invest in opportunities
that upskill workers to meet current labor market demands.
Now, before I take your questions, I do want to address at
the outset there are likely questions that will cover issues
subject to litigation as the Ranking Member mentioned, and I
will not be able to provide the detailed responses that you
were looking for in this setting.
I understand you all want answers, and I will make the same
promise to you that I made to the Chairman on our call. Even if
I cannot provide the details today, I remain committed to
working with you on the issues that impact your constituents. I
believe, as all of you do, that we must work together to foster
an economy that ensures that every American can thrive, with
good pay, safe working conditions, and a secure retirement.
It is my honor to work on behalf of President Trump as we
bring jobs back to the United States and put the American
worker first again. I look forward to working with Congress on
these goals and continuing this important discussion today.
Thank you.
[The prepared statement of Secretary Chavez-DeRemer
follows:]
Statement of Lori Chavez-DeRemer, Secretary, U.S. Department of Labor
Chairman Walberg, Ranking Member Scott, and Members of the
Committee, thank you for the invitation to testify today. It is an
honor to appear before the Subcommittee to share the important work
this administration is doing at the Department of Labor. It is a
privilege to serve as the 30th Secretary of Labor and to lead the
department's efforts on behalf of President Trump and the American
workforce.
My role as secretary is to ensure the American worker is at the
center of our economic strategy.The middle class, union workers, and
small businesses have given us a clear mandate. It is my job to
guarantee those men and women are not just heard, but respected and
prioritized at every level of government.
As a small business owner and as the daughter of a Teamster, I
understand firsthand the innate desire of all Americans to see their
hard work respected, their labor worthwhile, and their families
supported. I have seen the power of a paycheck and what it means for
the individual, their families, and their communities. Now, I get to
help secure the best wages, most meaningful retirements, and safest
workplaces for families like mine.
From the moment I was sworn in on March 11th, I promised to put
American workers first--and that mission has guided my work from the
very beginning. Through commonsense reforms, we will focus the
Department of Labor on that same purpose--maximizing opportunities for
American workers with a smaller federal footprint, while safeguarding
protections that are critical to the health and wellbeing of our
workforce, like enforcement efforts, inspectors, and investigators.
Additionally, I am committed to having an open-door policy for
every worker.
America at Work
As a former mayor, I have always found that getting the best
results requires listening first, not one-size-fits-all mandates. That
is why I launched my nationwide listening tour, America at Work, to
travel to communities across the country, engaging, learning, and
bringing hardworking Americans' feedback with me to Washington. Their
real-world insights and experiences are imperative to shaping federal
labor policies and practices.
I intend to visit all 50 states to better understand regional
workforce needs, and we are making good headway. I have held many
meetings with local leaders to discover more ways that the federal
government can help develop a skilled workforce, improve infrastructure
to attract business and investment, prioritize workers, and identify
smart regulations that expand economic opportunity and drive job
growth.
From a training facility demonstration with the International
Brotherhood of Electrical Workers in Pennsylvania, to a day spent with
students learning to become aviation mechanics in Nevada, I am
experiencing and relaying the real-world challenges and triumphs of
America at work. We have a responsibility to turn these stories into
actions through smart reforms and federal solutions that deliver real
results.
From region to region, what I have seen on the ground is a sense of
relief and gratitude from those men and women who feel heard,
respected, and empowered by this president. I have assured those
workers that they will not be left behind by Washington any longer.
Their voices will be valued, amplified, and reflected in our policies
and budget.
I look forward to continuing my trek across the country so that as
we expand our job market, I can ensure employers, businesses, and
community leaders have the tools necessary to recruit and retain new
workers to fill those roles.
Supporting the American Worker
Since January 20, 2025, our job market has surpassed expectations.
We saw more than 464,000 jobs created, including in critical sectors
like manufacturing and construction. The recent jobs report for the
month of April was another consecutive win for our economy, with
177,000 new jobs added. These explosive reports have been indicative of
the America First strategy's success, a strategy which places workers
at the top of the totem pole of priorities.
This worker-centric approach is part of the broader economic
momentum President Trump is driving. With more than $10 trillion in
private investments so far, Americans are seeing great progress in the
growth of our jobs, our economy, and our competitive edge.
To further stimulate economic growth, the Trump Administration is
overhauling the waste, fraud, and abuse that has characterized the
federal government's use of tax dollars for decades. The Department of
Labor is eliminating unnecessary red tape that stifles innovation. We
are on track to restore freedom and purchasing power back to
hardworking men and women.
The President's budget outlines a proposal that streamlines
bureaucracy and focuses the Department's agencies on their statutorily
mandated work. The funding requests for the Mine Safety and Health
Administration, the Occupational Safety and Health Administration, and
the Wage and Hour Division direct our efforts toward conducting
inspections and investigations to ensure all workers are kept safe. We
remain committed to providing businesses with the necessary clarity and
guidance they require to know and understand their legal obligations
without unnecessary red tape. To be clear: under my leadership, we will
not be weaponizing these agencies against businesses. Most businesses
want to do the right thing, but burdensome and unnecessarily
complicated regulations have made it harder for them to operate.
Nonetheless, businesses that are illegally employing children in high-
hazard, dangerous occupations should know we are watching and will not
hesitate to bring the full force of the law against them.
Further, we are looking at ways taxpayer dollars have been spent to
see how we can improve. For example, the Labor Department recently
uncovered $4.4 billion of unspent and unusable COVID funding and is
actively working to return that money to the Treasury in its entirety.
I also put states on notice, warning governors that rewarding illegal
immigration by granting unemployment benefits to illegal immigrants
will result in the loss of federal funds. I will continue to safeguard
tax dollars and prevent their misuse because when Americans' hard-
earned money is not wasted, more of their paychecks can go towards the
things that actually matter: putting food on the table, gas in cars,
and providing stability for our families.
In keeping with that goal of streamlining our department and
running an efficient operation, I have canceled over $250 million in
America Last handouts. Taxpayers will no longer be footing the bill for
things like ``enhancing transparency and accountability in Uzbekistan's
cotton industry.''
Restoring meritocracy has been another key facet of the America
First agenda, so my team and I have eliminated harmful Diversity,
Equity, and Inclusion (DEI) initiatives wherever they cropped up. To
that extent, we conducted a major overhaul of the Office of Federal
Contract Compliance Programs (OFCCP), which for years enforced
discriminatory DEI and Affirmative Action requirements against
companies doing business with the federal government. After these much-
needed reforms, qualified federal contract staff will no longer have to
worry about losing out on a paycheck because of their race, gender, or
any other factor extraneous to their performance on the job.
With our workers as the cornerstone of our economic comeback, these
policies matter. I stand ready to equip, train, and support our
workforce so they can thrive in an ever-changing job market.
Vision for Workforce Development
To stay competitive both at home and abroad, Registered
Apprenticeships and skilled trades pipelines are essential. Every
individual brings value to our workforce and deserves the tools to
thrive.
Consistent with these efforts, the President's FY 2026 Budget gives
states and localities flexibility to spend workforce dollars in the way
that makes the most sense for their areas. By consolidating siloed
federal job training programs into a single Make America Skilled Again
Grant, states and localities will be able to spend more time and money
delivering high-quality training for their workers and less time
complying with burdensome federal program requirements. This
streamlined approach will enable states to more effectively cater to
their specific industry and population needs. For example, states with
a significant population of unemployed young adults will have the
autonomy to target funding to this group without the federal
bureaucracy mandating precisely which dollar gets spent serving each
population.
In line with this approach, the budget also proposes to eliminate
ineffective federal training interventions, including the Senior
Community Service Employment Program and the Job Corps program. Job
Corps is a financially unsustainable and oftentimes dangerous program,
with an exorbitant per-graduate cost and an alarming number of serious
incidents reported byparticipants. It costs an average of almost
$20,000 more per year for a student to attend Job Corps than it does
for a student to attend Harvard. The program, which has roughly 25,000
participants, saw 14,913 serious incidents reported in 2023, ranging
from sexual assault to physical violence and drug use. The evidence is
overwhelming: Job Corps is not leading to successful outcomes, and it
is not sustainable for students or taxpayers. That is why we made the
decision to pause Job Corps operations last week. Our nation's
vulnerable young adults deserve better, and I am committed to
connecting all participants with the resources they need to succeed as
this transition takes place and as we evaluate future possibilities.
Pursuant to two critical Executive Orders, the Department of Labor
is collaborating with the Departments of Commerce and Education to
unlock the potential of the American worker. We are looking to
strengthen Registered Apprenticeships, modernize workforce development
programs, and invest in opportunities that upskill workers to meet
current labor market demands.
Through President Trump's Executive Order, ``Preparing Americans
for High-Paying, Skilled Trade Jobs of the Future,'' we have set a bold
goal of reaching over one million new active apprentices. Together with
my peers, I will be presenting President Trump with a streamlined and
integrated plan to re-orient federal workforce programs to prepare the
American economy for the opportunities presented by reshoring and re-
industrialization.
I am confident that we will deliver on that plan through the
collaboration we have fostered with local unions, businesses, colleges,
and community leaders as we seek to bring everyone to the table. The
Labor Department will act as a bridge, providing resources and tools
that encourage states and communities to provide tailored
apprenticeships and workforce development opportunities that directly
tie to the needs of their local industries.
Expanding educational opportunities and resources for our students
across the country is another crucial element to this robust vision.
Utilizing existing career and technical education pathways to expose
students at younger ages and leveraging post-secondary education
funding, we will work to enhance connections between the education
system and the high-paying skilled trade jobs of the future. It is
imperative that we support interests in technical and skilled jobs from
an early age.
As promised, I will work to expand Registered Apprenticeships into
untapped industries and occupations, especially in high-growth and
emerging sectors.
Since January 20, 2025, almost 83,000 new apprentices registered in
programs, and over 900new apprenticeship programs have been registered
across the National Apprenticeship System. I anticipate even greater
progress now that we have the momentum of the President's Executive
Orders guiding federal, state, and local entities.
Developing artificial intelligence (AI)-oriented apprenticeships is
also essential for preparing workers to meet labor market demands and
technological challenges. As part of the new White House Task Force on
Artificial Intelligence Education, I am excited to identify resources
and tools that help our next generation tackle the AI questions of the
future.
It is a known fact that AI is changing our world and how we fit
into it. It is incredibly important that our children have every
opportunity to thrive in that environment. From an early age, our
future workers must gain expertise and tools to drive innovation and
become empowered leaders of tomorrow. To maintain America's global
dominance in an age of technological revolution, Registered
Apprenticeships, and even school curricula, must adapt to meet AI
literacy and proficiency needs.
I will work with Deputy Secretary Sonderling and the White House to
leverage authorities and financial incentives to increase participation
in AI-related apprenticeships, encourage states to develop work-based
learning opportunities, and promote high-quality AI skills education
coursework across the country. Our American workers continue to be the
backbone of our country, and we will do everything we can to ensure
they remain on the cutting edge oftechnological advancements and global
competition.
I know that by revitalizing our workforce and preparing them for
the jobs of tomorrow, we will breathe life into the American Dream. I
believe, as you all do, that we must work together to foster an economy
that ensures every American can thrive with good pay, safe working
conditions, and a secure retirement. It is my honor to work on behalf
of President Trump as we bring jobs back to the United States and put
the American worker first again.
I look forward to working with Congress on these important goals.
______
Chairman Walberg. I now recognize--under Rule Committee 9,
we will now question Secretary Chavez-DeRemer under the 5-
minute rule, and I will attempt to keep a little bit more
closely that 5 minutes of questioning today. Do not force me to
do too much in latitude on that, so although there will be some
flexibility.
We want to make sure that all members, including those
sitting at the end of the dais have an opportunity to ask
questions as well in a reasonable time period. I now recognize
myself for 5 minutes of questioning.
Madam Secretary, association health plans, AHPs, are a type
of group plan that allow multiple employers to band together to
purchase health coverage in a reasonable fashion. Very much
taken after unions opportunity because of the size and numbers.
In 2018, the first Trump administration published a rule
expanding AHPs that produce significant savings on healthcare
coverage for covered employers.
In April 2024, the Biden-Harris administration rescinded
the 2019 Trump Rule without any alternative. Can you discuss
the advantages of allowing small businesses to band together to
offer coverage through AHPs?
Secretary Chavez-DeRemer. Yes. Thank you so much for the
question, Chairman. It is one of the things I hear often about
the cost of healthcare. President Trump has been addressing
that by lowering the cost of prescription drugs, but as we band
together, and as you mentioned, somewhat of a coalition of
businesses getting together in order to be able to purchase
healthcare plans for their employees I think is key to lowering
those costs.
I know that my office is working with you on this piece of
legislation for technical assistance. It is one of the honors
really of the Department of Labor and other agencies that we
can do with all Congressmen and women if they are working on
legislation with their colleagues, I can be useful with my
Department heads to give you that technical assistance.
We need to lower premiums and out of pocket costs for
employees, expanding affordable care for the American worker.
Chairman Walberg. We appreciate that because frankly in the
end it provides better coverage as well, and we want that for
our employees, and the benefit to employers to offer those
special benefits. Last year the Committee learned that the
Employees Benefits Security Administration, EBSA, shared secret
information obtained during investigations with Plaintiffs'
attorneys.
What steps has and will DOL take to understand the extent
of aid that career staff have given, and are giving to
Plaintiffs' attorneys, and the extent of confidential
information that has been shared, and is being shared?
Secretary Chavez-DeRemer. Well, as you know, Chairman, any
sort of leak that comes out of any agency or the Department of
Labor is concerning when there is allegations that confidential
information would be leaked under the Biden Administration.
Under my leadership this is unacceptable and I would not
tolerate it for anybody to leak that information of privacy. I
am aware that your Committee has asked the Department of the
Inspector General to investigate this, and I cannot comment on
an investigation if there is one happening, and that would be
true for anybody who is asking that question.
Again, I will cooperate fully with the Inspector General's
Office to determine the best outcome in the review under the
Biden administration's enforcement programs to make sure that
we are addressing any possible leaks that would come out of the
Department of Labor.
Chairman Walberg. Thank you. Human trafficking is an issue
that remains one of the greatest challenges of our time.
Roughly 1 in 6 endangered runaways reported to the Center for
Missing and Exploited Children is likely a victim of child sex
trafficking. These are horrid crimes committed by those who
prey on innocent and vulnerable victims.
During the last Congress I sponsored the Enhancing
Detection of Human Trafficking Act. This legislation offers a
viable avenue to equip Department of Labor Personnel with the
necessary tools and information to understand and ascertain
where that sexual exploitation, human trafficking is taking
place.
Can I get your commitment to review the bill as it is
reintroduced to ensure it takes the most effective steps for
the Department of Labor to take part in the fight against human
trafficking?
Secretary Chavez-DeRemer. Absolutely, Chairman. We in
Congress, and anybody in the United States, should never
tolerate any child trafficking, any human trafficking, any
child labor violations, and it is my commitment to you that I
will work with your office, and all offices, to combat that at
all costs. We will double down knowingly, when we know someone
is breaking the law, and have our inspectors address this
always.
Chairman Walberg. I appreciate that.
Secretary Chavez-DeRemer. Of course.
Chairman Walberg. What are your views, Madam Secretary, on
opening avenues and increasing accessibility to pursue short-
term educational skills training opportunities?
Secretary Chavez-DeRemer. This is where you will see my
smile because I can tell you as I am on the road and
understanding the need for workforce demands as we move through
skilling and reskilling, or upskilling our workforce, that we
have to address at all costs that not all are going to receive
a 4-year degree, that we have to offer that in our local
communities, and work with our community colleges and technical
schools, so that we have access to those degrees so that our
workforce is ready to go on day one.
This is a question that I get asked often on the road, and
I will work with the Department of Labor for the accessibility
and flexibility of the modernization of the current workforce
that we are seeing today.
Chairman Walberg. Thank you. Thank you. My time has
expired. I now recognize the gentleman from Connecticut, Mr.
Courtney.
Mr. Courtney. Thank you Mr. Chairman, and again I want to
join my colleagues in welcoming the Secretary back to her
Committee, and again I appreciate the phone call the other day
when we had a chance to compare notes on a number of issues, in
particular, and you mentioned this in your opening remarks,
your reference to using the registered apprenticeship program
as the framework for expanding and growing.
Apprentice is a welcome message in terms of the Fitzgerald
Act, which actually my predecessor in the 1930's, William
Fitzgerald, was the sponsor of that law, and has done great
things all across the country and it is the right framework in
terms of setting national standards, so that all across the
country people who see those certificates know that there is
real quality behind that certificate.
I want to focus for a second on one of the issues that is
part of your mission, which again, Mr. Scott mentioned is to
guarantee the welfare of American workers, which is the OSHA.
Your predecessor in the Trump administration, Secretary Acosta,
actually commenced a rulemaking process for a workplace
violence prevention standard in healthcare and social workers,
which has still been sort of chugging along within the
Department.
Again, this is a measure that is in my opinion, to address
an emergency, which is the incredible rates of violence that
nurses, EMTs, emergency room physicians, are facing at a
frightening pace and rate over the years. This Committee has
done a lot of work in terms of the data collection that
validates and demonstrates how serious this problem is.
The rule that is before your Department right now is
something, which again we enacted twice in prior Congresses on
a bipartisan basis, and there is a bill that myself and Mr.
Bacon have introduced as well.
Basically, it would set up a prevention system that is
actually tried and true in some parts of the country, which
provides training for medical staff in terms of how to de-
escalate situations, basically identifying high-risk patients,
whether in a psych hospital or in an emergency room, which is
where again the highest intensity of really serious injuries
take place.
It gives again tools to people, whether it is panic
buttons, you know, systems of communication in terms of
flagging high-risk patients that are there. Again, I want to
just emphasize, Madam Secretary, this is a life and death
situation. We have had, you know, incidents reported in from
all over the country of people who have lost their lives
because of inadequate safeguards that are out there.
One of them is a 63 year-old home health nurse from Eastern
Connecticut who was stabbed to death a couple years ago on a
home health visit. A high-risk patient was actually on a sex
offender list and walked into that house completely sort of
unequipped to sort of address what again ended her life.
You know, the tragedy still resonates today. Again, it has
gone through the small business SBREFA panel, during the last
administration. Again, the next steps are still ahead, and I
really would ask your commitment to really making sure that the
15 million healthcare workers that are a huge part of America's
workforce are going to see real action in your department in
terms of advancing this rule.
Secretary Chavez-DeRemer. Well, thank you, Congressman.
Thank you again for the conversation on the phone. Just in a
few seconds I want to address the apprenticeships that you
mentioned.
Mr. Courtney. Yes, I actually would like you to talk really
about the OSHA. We agree on the apprenticeships, so no issue
there.
Secretary Chavez-DeRemer. I will. My goal is 1 million
apprentices in order to enhance that.
Mr. Courtney. That is fine.
Secretary Chavez-DeRemer. We are taking a look at all of
the rulemaking because I think it is key. I can speak from a
former Congressman, that is one of the issues that I heard on
the ground oftentimes was workplace safety, and now as a
Secretary of Labor. Understanding that is one of the core
missions is to protect our workforce.
No worker should ever have to determine whether or not they
are going to go home safe at the end of the day. That is one of
the core missions. It will be something that I always look at.
In the promulgation of rulemaking, while I cannot discuss it
while it is in rulemaking, it is key for the Department of
Labor.
Mr. Courtney. You know, really, it is just a commitment to
move forward. I am not asking for details. Before my 20
seconds, I just want to make sure you know over 30 professional
organizations, American Nurses Association, American College
Emergency Room Physicians, labor who represents nursing and
healthcare workers, including your father's union, the
Teamsters, have endorsed this measure.
Again, the burnout and the harm that is occurring out there
threatens healthcare access in this country, let alone the life
and health of the people who are the caregivers that are doing
so much for it.
I really implore you to follow through what was started out
in Trump 1.0 through the last administration, and is now
actively on the agenda at the Department of Labor today. With
that I yield back.
Secretary Chavez-DeRemer. Well, I 100 percent agree with
you more that we need to protect our workforce. My husband is
in the medical field. I understand it dearly, and I will work
with your office completely as we move through this process.
Thank you.
Chairman Walberg. I thank the gentleman. I now recognize
the gentleman from South Carolina, Mr. Wilson.
Mr. Wilson. Thank you very much, Chairman Tim Walberg for
your positive leadership, and indeed, Secretary, America
appreciates your service and we wish you best success.
Secretary Chavez-DeRemer. Thank you.
Mr. Wilson. By statute the Department of Labor must ensure
that employment of H2A workers does not adversely affect
domestic workers. To that end, the DOL has established the
adverse effect wage rate, which is applied annually to H-2A
employees.
The national universe of effective wage rate has already
more than doubled over the past two decades, making
agricultural guest labor unaffordable for farm employers, and
resulting in higher consumer costs. I am concerned for the
farmers and ranchers who use H-2A, as these skyrocketing costs
will only compound inflated input costs for energy and
fertilizer.
Other guest worker expenses like transportation and housing
and burdens from several impending Federal regulations and
fees. There are bipartisan discussions in Congress in support
of freezing the adverse effect wage rate, and I am also
concerned there is no actual effort on the annual basis to
determine whether an adverse effect actually exists at the
Department.
Have you considered making a determination as to an adverse
effect actually exists or discuss making other reforms to
modernize and improving the adverse effect rate and H-2A
program consistent with your authority under the law?
Secretary Chavez-DeRemer. Yes, thank you Congressman. I
appreciate you bringing up the determination from the
Department of Labor on how we address the H programs. In
particular, H-2A, H-2B, and as they affect our farmers,
ranchers, and producers. We have heard this often, and what can
be sustainable and unsustainable over time.
As we continue through the rulemaking, and that process, I
work with my colleagues at the Department of Homeland, as well
as the Department of State to determine we never want to
displace the American worker, but we recognize that the
workforce is needed for our farmers and our ranchers.
I have heard this throughout, so we will continue as we go
through regulations and rulemaking on it. I am very familiar,
as I sat on that Subcommittee in my time in Congress to address
the issues, because it is unsustainable, and we have to make
sure that we are protecting those farmers and ranchers.
I will commit to you that I will continue to work with your
office and many others as we address that along with USDA
Secretary Brooke Rollins.
Mr. Wilson. Indeed. I appreciate you recognize that each
community has a different workforce need. I know that in my
home State we have particular seasonal employment. We are
getting reach for the peach season, and I want to make sure
that Chairwoman Foxx has sufficient ability to buy peaches, and
so we like to point out even to people in remote locations like
Michigan, that South Carolina produces more peaches than
another State called Georgia. Okay.
In addition--but hey, it is seasonal, and we have the same
thing with row crops in my home county of Lexington. To do that
and--how does the Department of Labor play in helping to meet
the local workforce needs?
Secretary Chavez-DeRemer. Well, that is the determination
on both angles. One, we want to develop the American workforce
first, and work with our partners at the State level. The
second is, we have seen the increase over the time of the visa
program. The expansion has been tremendous because we cannot
always find that workforce.
From the Department of Labor's perspective, it is my
responsibility to test that market and then work with the
Department of Homeland Secretary Noem, and then work with
Congress on determining what that cap will be and then enforce
those laws.
We hear it often. We hear it every day, and it is my
direction for the Department of Labor to almost--we are working
through it, and my agency to have a specific sub-agency to
determine and work with you all specifically, just for the H
programs because they have become so prominent in how we are
going to address this.
You are correct, the one size fits all no longer works. It
is modernizing and streamlining the workforce that our American
workers can thrive, and our businesses can as well.
Mr. Wilson. Again, I appreciate you being ahead of the
curve. Additionally, the last administration final rule on H2A
adverse effect wage rate also made it difficult with employers
to determine wages. What is the compliance of DOL to help
agricultural employment determine wage rate?
Secretary Chavez-DeRemer. We will work with our State
partners, a lot of those are determined at the State level. We
will work with them to make sure that we are enforcing this,
but they have to be in line with what is acceptable and not.
As we go through rulemaking and regulation, I will be
reaching out to your offices and working with our stakeholders
to determine what is best for the American economy.
Mr. Wilson. Again, thank you so much for your leadership. I
yield back.
Secretary Chavez-DeRemer. Thank you.
Chairman Walberg. I thank the gentleman for his produce
advertising. You are a peach of a guy. Forgive me for that. I
now take great pleasure of recognizing the lady from Oregon,
Ms. Bonamici.
Ms. Bonamici. Thank you, Mr. Chairman. Welcome back to the
Committee, Secretary Chavez-DeRemer, and thank you for your
phone call, I appreciated the conversation
Secretary Chavez-DeRemer. Of course.
Ms. Bonamici. I want to start by recognizing the
anniversary of the Department of Labor's Women's Bureau which
turns 105 years old today. Unfortunately, under your leadership
the Department is trying to eliminate the Women's Bureau, which
would mean the end of WANTO, which is a program for women in
apprenticeship and nontraditional occupations.
I just want to say I hope that this administration is not
trying to close a successful program in this important bureau
because the word women is in the title. What I want to talk
about is a followup on our conversation about Job Corps. As you
know, our home State of Oregon has three Job Corps centers
under the jurisdiction of the Department of Labor.
Two of those are in the district I represent. Pivot in
Portland and Tongue Point in Astoria, which is residential. A
year and a half ago you proudly announced on social media that
the National Job Corps Association named you a Job Corps
Champion, and I have a reminder of that here.
I would also like to submit for the record a bipartisan
Appropriation's letter requesting maintained funding for Job
Corp in Fiscal Year 2025, which you signed. I would like to
submit that to the record, Mr. Chairman.
Chairman Walberg. Without objection, it will be submitted.
[The information of Ms. Bonamici follows:]
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
Ms. Bonamici. Thank you. Now, Madam Secretary, you made a
starkly abrupt shift from a champion to a destroyer of this
important program, and at the end of last week you ordered 99
Job Corps Centers across the country to shut down operations by
June 30th, sending their students off campus no later than
tomorrow, June 6th.
Fortunately, a Judge has blocked that effort at least
temporarily, but I will tell you that the students are
distraught and so are the local communities. On April 25th, the
Department of Labor released a report titled, Job Corps
Transparency Report. What role did DOGE have in that report?
Secretary Chavez-DeRemer. I want to be clear, the decision
was not to eliminate Job Corps, only Congress can eliminate Job
Corps.
Ms. Bonamici. I appreciate that, and I am going to followup
on that, but I need to know what role DOGE had in this report,
this Job Corps transparency report?
Secretary Chavez-DeRemer. The Department of Labor does have
the delegation and authority to halt those Center contracts,
including program operations for Job Corps.
Ms. Bonamici. What role did DOGE have? Sorry, Madam
Secretary, I just want an answer, what role did DOGE have in
that report?
Secretary Chavez-DeRemer. Thank you, Congresswoman. Based
on what you just said in the last statement about the TRO that
was given last night, it actually gives me great pause that I
cannot discuss the details now because of that TRO, and as I
mentioned on the outset, I want to give you these answers. I
want to continue to have these conversations.
The transparency report is where I can lead and talk to you
about. Those numbers were from 2023.
Ms. Bonamici. Did DOGE write the report is my question?
Secretary Chavez-DeRemer. The Department of Labor, the
government efficiency employees, our Department of Labor
employees, so if you are asking me about DOGE as in Department
of Labor, yes, they are in every agency.
Ms. Bonamici. Did they participate in writing that report?
Secretary Chavez-DeRemer. Yes. We were together and working
with that report.
Ms. Bonamici. I do note that there was an earlier version
that was posted, and at a later date a staffer, who has been
reported to be a staffer with DOGE, replaced that report. Is
that accurate?
Secretary Chavez-DeRemer. I do not know what you are
referring to about replacing that report.
Ms. Bonamici. There were two different versions apparently
posted.
Secretary Chavez-DeRemer. Okay.
Ms. Bonamici. I want to move on.
Secretary Chavez-DeRemer. It is from program year 2023,
those numbers.
Ms. Bonamici. I mean you say the numbers are, but I am
asking about this report specifically.
Secretary Chavez-DeRemer. Yes. The report from this year in
2023.
Ms. Bonamici. As you noted, the Department of Labor called
the contract terminations for Job Corps pauses, but yesterday
the Oregonian, our hometown newspaper, wrote that a new
operator is not expected to be named. Does the Department of
Labor intend to reopen these campuses, and that is a yes or no
question?
Secretary Chavez-DeRemer. Under the TRO granted by the
Southern District of New York, I cannot discuss this further in
detail.
Ms. Bonamici. Madam Secretary, the fact that an issue is in
litigation is not a sufficient legal basis to allow you to
evade congressional oversight, and Secretary McMahon was here
yesterday for hours and did not once use litigation as an
excuse for not answering the question.
Secretary Chavez-DeRemer. Well, had I been here yesterday,
I would not have had to use it either, but because that
injunction was late last night, I have to respect the TROs in
place.
Ms. Bonamici. I will just note there are many injunctions
against the Department of Education as well. If these are truly
pauses, that would mean that the Department of Labor intends to
reopen the campuses. If there is no plan or intent on
reopening, they are closures. Which did you intend? To pause or
to close?
Secretary Chavez-DeRemer. We paused. We made a decision to
do so. The Department of Labor has the delegation and authority
to halt center operations and those contracts, including
program operations for Job Corps sites. That being said, we are
going to comply with the TRO that was issued late yesterday.
Ms. Bonamici. I appreciate that. If you are saying it was a
pause, that means that you intend to reopen those campuses, is
that correct?
Secretary Chavez-DeRemer. The report on replacing the
report online is inaccurate. The first report posted--thank
you. Thank you for referring this, and it was reposted that
same day, so that was to your question on the two reports.
Ms. Bonamici. Yes, I appreciate that.
Secretary Chavez-DeRemer. For clarification, thank you
for----
Ms. Bonamici. I need to get another question in. You know,
I know you are going to comply with the temporary restraining
order.
Secretary Chavez-DeRemer. Absolutely. We will comply.
Ms. Bonamici. I appreciate that, but Secretary DeRemer, you
say you are going to send these students back to their home of
record. How many current Job Corps students are there?
Chairman Walberg. The gentlelady's time has expired.
Ms. Bonamici. If I could ask the Congresswoman, the
Secretary to submit that. It is a really critical issue. These
students do not have homes to go to.
Secretary Chavez-DeRemer. Congresswoman, we will work with
your office if there is any exception to this TRO, I promise
you I will answer your questions fully.
Ms. Bonamici. Thank you. I will be submitting for the
record, I yield back.
Chairman Walberg. I thank the gentlelady. I now recognize
the gentlelady from North Carolina, Mrs. Foxx.
Mrs. Foxx. Thank you, Mr. Chairman. Sorry I did not get a
phone call to talk to you.
Secretary Chavez-DeRemer. I did. I tried to call you three
times.
Mrs. Foxx. South Carolina peaches are great, and I want to
associate myself with the comments of Mr. Wilson. I want to
commend you for surrounding yourself with a great staff at the
Department of Labor, maybe many of these people are familiar
faces to us who have served on the Committee and I think they
are going to do a great job.
I also want to commend you for your actions on Job Corps.
Madam Secretary, in December 2020, Congress enacted the No
Surprises Act in a bipartisan fashion to protect patients from
surprise medical billings, and balance billing for surprise out
of network services.
The law provides for a dispute resolution process. Data
shows that most disputes are being resolved in favor of the
provider, and costs may be rising. Please provide an update on
DOL's role in implementing the No Surprises Act, and your plans
to complete implementation?
Secretary Chavez-DeRemer. Well, I will kind of work
backward, Dr. Foxx, and I am sorry that we did not get to
connect, but we will continue this conversation. The Department
continues to identify ways to improve that IDR process that you
mentioned, and more timely payment determinations, because it
is quite expensive of a process and we addressed that when I
was in Congress as well.
The Department of Labor now, as a Secretary, we will make
sure that that is more modernized and efficient and streamlined
so that it does work.
Mrs. Foxx. If you could provide us with periodic reports on
that because we can bring down the cost of healthcare
dramatically if we fully implement this.
Secretary Chavez-DeRemer. Absolutely. We will work with
your office.
Mrs. Foxx. I have another question. During the Biden-Harris
administration the Pension Benefit Guarantee Corporation, PBGC,
overpaid hundreds of millions of dollars in taxpayer money to
multi-employer pension plans for deceased participants under
the special financial assistance program of the American Rescue
Plan.
When questioned during the previous administration by the
Committee, PBGC's responses were deficient. About 67 plans may
have received special financial assistance to pay non-existent
liabilities to dead participants. To date, at least a dozen of
these plans have still not paid back this money. As Secretary
of Labor, you are the Chairwoman of PBGC's Board of Directors.
Can you provide us an update on the status of the multi-
employer pension plans that receive special financial
assistance to pay non-existence liabilities to dead
participants?
Secretary Chavez-DeRemer. Well, under the Biden
administration the PBGC failed to implement those necessary
safeguards to ensure that the multi-employer pension plans were
safeguarded. Those did include deceased participants in those
applications.
However, it is imperative that the PBGC continues to ensure
that integrity for those SFA programs, and to benefit the
American worker first. As the Chairwoman, I do look forward to
considering those important issues. I will work with the
Secretaries.
I have Secretary of Treasury, Secretary of Commerce in
doing so, and I am waiting for the nominee to direct the PBGC,
Janet Dhillon to be confirmed soon to continue down that road,
and I would like to work with your office on that as well.
Mrs. Foxx. Thank you. I again, like to have periodic
reports like starting in a month until we get this cleared up
Secretary Chavez-DeRemer. Well, I look forward to her being
confirmed, and I will do that. Yes, ma'am.
Mrs. Foxx. Thank you.
Secretary Chavez-DeRemer. Thank you, Dr. Foxx.
Mrs. Foxx. In February, President Trump issued Executive
Order 14221 dedicated to fulfilling the promise of radical
transparency in healthcare pricing information. This executive
order builds on his executive order from 2019, requiring
hospitals and health plans to provide Americans with meaningful
price information to inform their decisions, and spur
competition among providers that will drive down prices.
Can you provide us with an update on the Department's role
in implementation and your plans to enforce this policy?
Secretary Chavez-DeRemer. We will continue to work with the
administration on all executive orders and be transparent with
Congress on this issue. Again, as we move through this process
in the last 60 to 90 days that I have been in office, it has
been an honor to, you know, really do a thorough analysis, and
so again, those periodic reviews will be coming forth.
Mrs. Foxx. Would you please highlight the recent Job Corps
transparency report that came out and what you believe to be
the most troubling aspect of the report?
Secretary Chavez-DeRemer. Well, I encourage all of my
colleagues in Congress to look at that transparency report as
it relates to your respective Job Corps Centers. My goal is to
protect this population, but through the transparency report
specifically, the cost has been exorbitant. It is something
that through the transparency report shows that it is not
sustainable.
Fiscal year 2026 will show--excuse me, 2025, will show 214
million dollars in arrears that I cannot go further into
detail. I highly encourage the rest of my colleagues, so we can
work together in order to have a skilled workforce for the
young population that we so deeply care about, and why many of
us were Job Corps champions in Congress, and I look forward to
working with you all.
Please, I am glad to--it is public, but other than that and
the TRO, I cannot just go into further detail.
Mrs. Foxx. Thank you. Thank you, Mr. Chairman, I yield
back.
Chairman Walberg. I thank the gentlelady. I now recognize
the gentleman from California, Mr. Takano.
Mr. Takano. Thank you, Mr. Chairman, and thank you for
being here today, Madam Secretary.
Secretary Chavez-DeRemer. Thank you, Congressman.
Mr. Takano. You are welcome. I want to talk about overtime
protections, strong overtime protections that help America's
middle class, and ensure that workers are not overworked and
underpaid. As you know, the Secretary of Labor holds statutory
authority to set the overtime threshold for non-exempt salaried
workers under the Fair Labor Standards Act.
Madam Secretary, what is your position on the appropriate
overtime threshold, and what that should be for salaried
workers?
Secretary Chavez-DeRemer. Well, thank you, Congressman for
bringing that up. As we move through a lot of the overtime
stuff that is in litigation, I know this is not the answer that
we all want to hear when we are sitting on that side of the
dais. I will continue----
Mr. Takano. I am going to accept, I mean the rulemaking.
Secretary Chavez-DeRemer. Sure, yes.
Mr. Takano. You cannot comment on as you go through
rulemaking on what that salary threshold should be, right?
Secretary Chavez-DeRemer. Yes.
Mr. Takano. Have you in fact made a decision to appeal the
judgment?
Secretary Chavez-DeRemer. Yes. As you are aware, the
Overtime Rule that you are mentioning in the Biden
administration, is currently under litigation, and limited. I
will say this, the Department is reviewing all the rules and
issues by the Biden administration.
The Department's jurisdiction and overseeing the overtime
regulations is critical. It is critical to all of the
workforce, and we have a duty to periodically review that
authority and ensure--and I will continue to do those periodic
reviews, and work with all Members of Congress.
Mr. Takano. Just help me clarify. Is the Department
appealing the decision? Is the decision on appeal now?
Secretary Chavez-DeRemer. Well, currently I am limited in
what I can say as it is in litigation.
Mr. Takano. Okay. Well, you cannot tell me whether you are
planning to file an appeal or not file an appeal?
Secretary Chavez-DeRemer. I will continue to work with the
stakeholders who are involved as we move through that process.
Mr. Takano. Well, can you tell me this, are you committed
to defending the authority, the statutory authority you have to
set overtime pay thresholds?
Secretary Chavez-DeRemer. Well, I have been working
diligently with my agency heads, and there has been no decision
made on appealing that.
Mr. Takano. Okay, that is--I wish there would be more, but
I respect that. As you know the Wage and Hour Division is
responsible for enforcing the minimum wage, and overtime
requirements and protections for children from being exploited
by their workplace, in the workplace. Do you know what the
current Federal minimum wage is, what that is set at?
Secretary Chavez-DeRemer. Yes, 7.25.
Mr. Takano. $7.25, yes. Do you think that is enough to keep
a full-time worker out of poverty?
Secretary Chavez-DeRemer. Well, I think it was mentioned in
my hearing when I was under nomination. It is not up to the
Department of Labor Secretary to determine Federal minimum
wage. That is a congressional issue, and I will enforce all of
the laws. I do think many states have determined what is the
best fit for their respective states.
I would look to Congress, if this is something that you all
want to look at, I would give you the technical assistance to
have this conversation, bring forth legislation, and then I
would enforce that law. I cannot sit here now as the Department
of Labor Secretary and say what should be done that Congress
has the authority to do.
Mr. Takano. You are not going to give me your opinion on
it, but I will say I think most people would say that that is
not enough to cover basic expenses like----
Secretary Chavez-DeRemer. That is why different states have
been--have determined what works best in their communities.
Even in certain states like Oregon, what is in Portland is not
the same as what is in Granites Pass, so everybody will
determine that one size fits all does not work, but I do
encourage Congress to take a look at this often.
Mr. Takano. Okay, okay. Can we move on. Well, I got your
pledge to work with Congress on----
Secretary Chavez-DeRemer. Absolutely, that is my job.
Mr. Takano. Madam Secretary, do you think wage theft is a
problem in our country. Is there a problem with wage theft?
Secretary Chavez-DeRemer. Oh, I think that there have been
issues of wage theft in the past.
Mr. Takano. Okay. Do you think there is currently a
problem?
Secretary Chavez-DeRemer. I think people deserve--American
workers deserve their right to the wages that they have earned.
Mr. Takano. Well, I will just say wage theft continues, I
believe, to be a pervasive problem that impacts millions of
workers. Recent estimates show that workers throughout the U.S.
are experiencing a 15 billion dollars annually from minimum
wage violations alone.
However, the Trump administration's proposed budget would
reduce full-time employees at the Wage and Hour Division to
1,160 in Fiscal Year 26, a 19 percent reduction from the 1,435
full-time employees in Fiscal Year 24. How will fewer full-time
Wage and Hour Division employees improve wage theft protections
for workers?
Secretary Chavez-DeRemer. Well again, the mission of the
Department of Labor is to protect the American worker first,
and certainly protect their wages, and the benefits that they
have earned. Statutorily, we will follow the law, and I am 100
percent confident that the Department of Labor will continue to
enforce when a law has been broken, and that will be inclusive
of what is in the budget and the preliminary budget.
I cannot speak to what the full budget will be, but I will
look to Congress for appropriations on that, and we will fully
enforce the law that is before me, and we will have the dollars
to do so.
Mr. Takano. Well, thank you Madam Secretary, I hope that
with the reduced workforce you will be able to fulfill that
commitment. I have my doubts, but thank you for being here
today and answering my questions.
Secretary Chavez-DeRemer. Thank you, Congressman.
Chairman Walberg. The gentleman's time is expired. I now
recognize the gentlelady from Illinois, Ms. Miller.
Mrs. Miller. Good morning, Secretary Chavez-DeRemer, and
welcome back to the House.
Secretary Chavez-DeRemer. Thank you, Congresswoman.
Mrs. Miller. The Biden-Harris Department of Labor issued a
nightmare scenario of regulations that were especially hard on
small businesses and independent contractors. Among the pile of
disastrous rules was the infamous Heat Standard, as well as the
Worker Walkaround Rule.
As if that was not enough, Democrats wanted to further
burden independent contractors with more regulations to stifle
economic growth and job opportunities. For all the grief that
Democrats have given the Trump administration over cutting
waste, fraud and abuse, we did not hear one word from them when
thousands of healthcare workers, government employees, and
military personnel were fired for refusing to take the COVID-19
vaccine.
Most shockingly, Biden's Secretary of Labor never actually
was Secretary of Labor. She was so radical she could not get
confirmed by the Democrat controlled Senate, and yet she
oversaw the Department of Labor for nearly 2 years.
Furthermore, OSHA strayed far from their mission, opting to
persecute small businesses, rather than secure workers' safety.
Small businesses and independent contractors are at the
heart of the American economy, and thankfully, President Trump
is back in office to stop the insanity of the last 4 years. In
2021, the Biden-Harris administration issued an executive order
to require employees to get vaccinated for COVID-19 or lose
their jobs.
As a result of this, and similar State mandates, thousands
of Federal workers and military personnel were fired for
refusing to take the COVID-19 vaccine. Is there anything the
Department of Labor can do to correct this gross injustice, and
especially to ensure that it never happens again?
Secretary Chavez-DeRemer. Thank you, Congresswoman, for all
of those thoughts on protecting the American worker first.
Working for the Trump administration, we are in line with
protecting the American worker. I talked to the President on
this issue in regards to we will always put the American worker
at the pinnacle and keep them safe.
We want to make sure that we are growing our economy, and
that we are developing and expanding the workforce, and we want
to protect them at all costs. I will look to Congress for any
congressional review that they would like to do, but it is my
job again, as the Labor Secretary, so that we are enforcing the
law, and protecting the American workers as we go through
either side of regulation or rulemaking and throughout this
process.
Mrs. Miller. Does that mean that our workers are not going
to be forced to take experimental vaccines in the future, or
lose their jobs?
Secretary Chavez-DeRemer. Yes. No. I appreciate there are
no vaccine mandates under this administration.
Mrs. Miller. Thank you. If made final in its current form,
the proposed Biden-Harris Heat Standard would negatively impact
many businesses, both medium and small. Most importantly, this
rule would significantly impact the agriculture industry, in my
district and across the Nation.
Does the Department of Labor intend to abandon the proposed
Biden-Harris Heat Standard?
Secretary Chavez-DeRemer. Thank you again, and regarding
the standards of the Occupational Safety, ensuring the rules
are prioritizing what is best for the marketplace and the one
size fits all. I cannot comment on the specifics as it is
currently in active rulemaking.
We have to follow the Administrative Procedures Act, and so
that is--we have to wait for all stakeholders to weigh in
before I can talk about it at this time. What I will say though
is that we do value the rulemaking process, and as OSHA
continues to analyze the transcripts and we come forward, I am
glad to report back out to the Committee on where we are in
this process.
Mrs. Miller. Thank you, and I expect that we will have
reasonable regulations, and----
Secretary Chavez-DeRemer. Common sense regulations is the
key to growing the economy. I do not think that that should
surprise anybody here. At the Department of Labor one of my
goals ultimately is to always again, make sure that our workers
are safe, and that they do get home safe, but compliance is as
well. We work with our American companies and our businesses,
that is the No. 1 goal is that we help, and not be an adversary
from the Federal level, but to be an ally for our businesses.
That is America first policy is what this administration
would like to see. If we are going to grow our workforce we
have to be amenable and work with our local businesses on the
ground to understand what those market demands are, and then
assist them in the compliance of doing so, and at the same time
keep our American workers safe first.
Mrs. Miller. Thank you. I think it will help our Nation
thrive and our communities. OSHA went well beyond its original
mission during the Biden-Harris administration, persecuting
small businesses instead of ensuring worker safety. I trust
that OSHA is changing its approach when working as a safety
partner. I think that is what you assured.
Secretary Chavez-DeRemer. This compliance component I think
is key, and you know, just not weaponizing at all when we are
in the enforcement section of the Department of Labor. We want
to make sure that our businesses understand what the laws are,
they follow the law, and how we can assist them in those
compliance efforts.
We are doing that throughout all of our agencies, through
those opinion letters, through our websites, through our
education systems that we can educate our--you know, listen,
our businesses, first and foremost, they're the front line to
protecting the American worker.
I can tell you this, when I moved throughout the country
they want to do the right thing. They are trying to do the
right thing, and it is my job as Department of Labor, and
through all of the sub-agencies is to assist them in doing the
right thing. If then knowingly they choose not to, well that's
when the enforcement can happen.
Chairman Walberg. I thank the Secretary and I think the
gentlelady whose time has expired, and folks, let us start not
asking the question in the last 10 seconds.
Secretary Chavez-DeRemer. I will not answer any more after.
Chairman Walberg. My patience is going to wane here pretty
soon, so I now recognize the gentlelady from North Carolina,
Ms. Adams.
Ms. Adams. Thank you, Mr. Chairman, and thank you Madam
Secretary for being here.
Secretary Chavez-DeRemer. Of course.
Ms. Adams. I have seen an increase of about 88 percent in
illegal employment of children since 2019. Child labor rules
are enforced by the Wage and Hour Division, which is already
understaffed. There is one investigator for every 278,000
workers, and this is a crisis that would make it--which would
be much, much worse under this proposed budget.
The chart on page 24 of the budget shows 1,160 full-time
employees, a cut of 153 staff, and on page 25 it proposes 906
full-time employees, or a cut of 407 staff. Which is it? Is it
1,160 or is it 906 because there are disparities and
differences on each of those pages.
Secretary Chavez-DeRemer. Thank you, Congresswoman. I would
have to take a look. I see it here in front of me, but in order
for me to answer it correctly I will look to my team, and make
sure that we have those. Fiscal year 2026 is showing a 906 FTEs
reflects the program decrease of 25 million from Fiscal Year
2025 is what I am seeing.
Ms. Adams. Okay.
Secretary Chavez-DeRemer. In front of me, so, but I will
clarify that for the record to make sure that you have it.
Ms. Adams. All right. I appreciate it. In terms of these
staff cuts, will they reduce the number of investigations of
child labor?
Secretary Chavez-DeRemer. Thank you again. The goal of the
Department of Labor in the Wage and Hour Division is to
compliance and enforcement. Absolutely, we want to streamline
and modernize and save. Again, as I mentioned on the outset,
and I think the Ranking Member said it best, is not more
dollars necessarily completes the job.
I will work with my agency heads to make sure that we are
protecting all divisions of the Wage and Hour and complying
with the law set forth, and we will be able to do that once the
budget is finalized.
Ms. Adams. Okay. A yes or no, will these staff cuts result
in fewer child labor investigations?
Secretary Chavez-DeRemer. Again, Congresswoman, determining
a hypothetical, we will enforce the law, and we will never
allow in this Department, to--I am sorry, Congressman, I was
not trying to look over you, I was trying to--we want to make
sure that we are combatting all child labor violation. It is
not acceptable in this country that we would ever allow for
that.
I will do everything in my effort to protect against child
labor.
Ms. Adams. Okay. I agree that the Department of Labor needs
to focus on child labor, but we can also protect adults from
wage theft, and we could protect children from illegal
exploitation. This budget request, and you said you can go back
and take a look it does not really do either of those things.
Let me ask you if there is any research that you have
regarding the prevalence of child labor violations that will
guide the enforcement strategies that you are going to use?
Secretary Chavez-DeRemer. Oh, absolutely. I am sure I will
be working diligently with the professionals of the Department
of Labor to make sure that we have all the information needed
to enforce the laws that are in place and protect against child
labor.
Ms. Adams. We are looking at a cut in this agency by 25
million dollars, which is--and a significant number of staff,
and I just do not believe that neither of those things are
really going to offer compliance assistance, either that we are
going to remain--these folks are going to remain inspectors,
inter-compliance assistance specialists, or they are not going
to be doing investigations.
I have a real concern about that. Would that be the case
you think?
Secretary Chavez-DeRemer. Well, I look forward to working
with Congress through the appropriations process in order to
determine the funding source, in order for me to comply with
the law. The Department of Labor will continue to always
enforce the laws on the books and protect the American worker
and against child labor.
Ms. Adams. Let me move on. I want to abide by what the
Chairman has asked us to do. in January, the Department of
Labor released a training and employment notice to eliminate
Federal funding for workforce development programs, thought to
include diversity, equity, and inclusion, and because of that
notice Rutger's Center for Minority Serving Institutions
canceled its HBCU and registered apprenticeship mini-
conference, and while this notice was rescinded in February, no
replacement has been issued.
I am not really optimistic about how future notices might
affect HBCUs, and I do worry that the chaos in the Department
of Labor created in January might have a negative effect on
future investments and workforce development at HBCUs, can you
comment on that?
Secretary Chavez-DeRemer. Well, I do not know if I have a
specific comment on specifically that, but what I can assure
you is that the Department of Labor on Workforce Investments is
the No. 1 goal to educate and train the workforce in this
country.
I will continue to work with your office and many others to
address the issues that you are concerned about. I will report
out to this Committee often, when asked, Chairman, in order to
update you on the specifics once we move through this.
Ms. Adams. Thank you very much, and I hope that the future
training employment notices will not adversely affect them. Mr.
Chairman, I am out of time, I will send my other questions to
you, Madam Secretary.
Secretary Chavez-DeRemer. Thank you, Congresswoman.
Ms. Adams. Thank you, I yield back.
Chairman Walberg. I thank the gentlelady. I recognize now
the gentleman from Guam, Mr. Moylan.
Mr. Moylan. Thank you, Mr. Chairman. Thank you, Secretary,
I appreciate your presence. I like to see my classmate there in
the 118th Congress and congratulations, you are doing
wonderful.
Secretary Chavez-DeRemer. Thank you, thank you,
Congressman.
Mr. Moylan. Let us talk about the Defense Base Act, DBA. It
creates undue financial burdens on American citizens doing
business with the Department of Defense on Guam. Their high
cost of doing business on Guam, the shipping cost, labor costs,
and all, and this is one other thing that adds to this cost.
DBA requirements add about 25 percent to operational costs
and unnecessary red tape, effectively blocking off small
businesses from defense contracts. We have a lot of small
businesses in Guam too, and it makes it quite difficult.
Historically, DOL exempt Guam from the DBA requirements up
until 2020, when only non-citizens were exempt.
Madam Secretary, do you believe Guam should be exempt from
DBA just like the 50 states and D.C.?
Secretary Chavez-DeRemer. Yes, thank you Congressman. I am
honored to be here, and I miss you guys. Thank you so much
again for the question. Thank you for the call. I know we
discussed this in detail, and this is a big concern for Guam. I
know that my staff has connected with your team on this issue,
on this legislation, on the Defense Base Act, and I do
appreciate that you raise it with me.
I promise you that I will commit to looking into this in
order to assist Guam in having the most robust economic
development that they can.
Mr. Moylan. I would appreciate that, and that would
certainly help our military buildup on Guam.
Secretary Chavez-DeRemer. Absolutely.
Mr. Moylan. Thank you. Next question is, Guam is trying to
expand its apprenticeship programs into new sectors, namely
those related to emergency technology and telecommunications.
Without additional public financing, what strategies does DOL
plan to pursue to ensure the remote and underserved
communities, like Guam, are equipped with the skills necessary
to participate in America's growing tech economy?
Secretary Chavez-DeRemer. Well, as you very well know, and
have heard most recently, the executive order by the President
is 1 million apprentices throughout this country. We sit at
around 700,000 give or take 20,000. We have added about 83,000
since January 20th, since the President taking office, so it is
my goal to be focused on respective states in order to enhance
their apprenticeship program, especially in the tech sector.
We have seen the pathways to the middle class, careers as
apprentices can have an average annual salary of about $80,000
if we invest. It has been my focus through this executive
order, high-paid skilled trade jobs, that is going to be key I
believe, for Guam and many other states.
Through the Make American Skilled Again grant funding, 10
percent of those expenditures have to be toward apprenticeship
activity. I think if we address all of those in a very succinct
order, and work hard, because it is going to take hard work, we
will get more business investments in the apprenticeship
programs within the local communities, so we can get those
young people into the pipeline and address the economic market
demands like you have in Guam.
Mr. Moylan. I would appreciate that, and that will keep a
lot of our workers on Guam, and we need our skilled workers to
remain on Guam.
Secretary Chavez-DeRemer. That is right.
Mr. Moylan. Finally, how does DOL aligning its
apprenticeship investment programs to meet the goals outlined
in the President's executive order restoring America's maritime
dominance?
Secretary Chavez-DeRemer. Yes.
Mr. Moylan. How can the Federal Government partner with
Guam to rebuild America's maritime industries, including ship
repair?
Secretary Chavez-DeRemer. Well, you have seen that in the
executive order with ship making, again with apprentices. What
the President is doing with the onshoring and reinvestments of
tens of trillions of dollars is to address this sector, the
manufacturing sector that we have seen decimated, really over
the last 20 years, where we have seen millions of manufacturing
jobs lost.
It is a dedication from the Department of Labor that we
assist the President in doing so, and building that
apprenticeship program, as well as addressing not only ship
building, but many other maritime and other sectors for
national security as well, so again, we will be working with
every State, every Congressman in order to address those, and
you will see me in Guam.
Mr. Moylan. I am glad to hear that. Then of course our
strategic location, Guam, the maritime and ship repair will be
very important for our Nation to have that so forward in the
INDOPAYCOM region, so again, I am looking forward to your visit
to Guam. We will be sure to take you around and you can
understand our territory. Thank you so much, Madam Secretary.
Secretary Chavez-DeRemer. Thank you.
Mr. Moylan. Mr. Chairman, I yield back.
Chairman Walberg. I thank the gentleman for his excellent
example of efficient questioning and timekeeping. Now I
recognize the gentleman from California, Mr. DeSaulnier.
Mr. DeSaulnier. Thank you, Mr. Chairman, and I have a
question for my last 5 seconds, so I will save that. Madam
Secretary, thank you so much for reaching out. I enjoyed our
conversation yesterday. It was nice to find out that we were
both fellow Teamsters, former Teamsters and small business
owners.
Two subjects that we talked about, three actually
yesterday, that I hope you remember. First, the work that we
are doing for multiple sessions now on the Health Employment
Labor and Pension Subcommittee, which I am Ranking Member with
Mr. Allen, to deal with abuses in employer-based health
insurance.
Half of the American population, roughly has that health
insurance, and through multiple hearings and multiple sessions
we have seen that some providers are denying legally required
claims from doctors and physicians that historically have been
accepted with not a lot of remedy unless the Department of
Labor oversees the laws, so look forward to working with you in
a bipartisan way to help employer and employees get what they
paid for contractually.
Then behavioral health, which is a passion of mine, having
been a survivor of a family suicide and addiction, and all of
the remarkable treatments in my lifetime we have been able to
come up with, would help people like my dad get the treatment
they deserve to live full lives, and he was a treatment
counselor. He had a master's degree when he took his life.
In regards to that, I am discouraged by some of the
proposals from the Department and the administration. Last
month the administration announced that the Department of Labor
will no longer enforce the 2024 Mental Health Parity final
rule, which prevents health insurance policies from imposing
stricter limitations on mental health and substance abuse
disorder benefits than those on medical benefits.
The President's 2026 budget for DOL cuts Employee Benefits
Security Administration, EBSA, funding while allowing
bipartisan funding from the No Surprises Act to expire. In
addition, the DOL's budget, EBSA would have just 640 full-time
employees to oversee 14 trillion dollars of plan assets held by
four million employee benefit plans covering over 150 million
Americans.
This is down from 1,000 staff in 2012, when the agency's
mission was much smaller than it is today. Madam Secretary,
have you done analysis of what these cuts will do to the
delivery of services to these Americans, almost half the
population that are legally to benefit from these under
bipartisan law?
Secretary Chavez-DeRemer. Yes, thank you Congressman, and
again for the conversation. While this is the preliminary
budget of the President, I will be looking to work with
Congress and you know, ultimately Congress will determine the
appropriations and what the final budget is.
We want to make sure that we are again saving the American
taxpayers' dollars that are used efficiently, and that we
modernize some of the current laws. Again, a lot of the
executive orders, and I think the one that you mentioned,
Executive Order 14219 in regards to rolling back rules that
impose undue burdens without clear statutory backing.
I will work with Congress statutorily. If that is something
you want to work with, then I will gladly work with your office
and many others on the technical assistance for that. Other
than, understanding that we want to make sure that we are
saving the American taxpayers and no undue burdens are done in
addressing the issues that you are concerned about, and many
others are as well.
Mr. DeSaulnier. It is important to the economy and to the
employer, having their valued employees be able to get back to
work whether it is a medical situation, or a behavioral health
one, benefits everybody, particularly the economy, and it
obviously foremost is the employee and their families.
Secretary Chavez-DeRemer. Well, again, the Department of
Labor's goal is to have a higher labor participation workforce,
and oftentimes there are incidences where people leave the
workforce, and we want them to come back. We want to assure
that they are able to do so, and we will do that in compliance
with the Department.
Mr. DeSaulnier. I know you know that as I do, as a small
business employer. I would like to discuss another area. I am
about to introduce a bill to ensure that the principle of
behavioral health parity extends not just to health insurance,
but also disability insurance. The experts on ERISA Advisory
Council made this recommendation, it has been supported by a
number of companies, including Sunlife, a leading provider of
disability insurance.
Mr. Chairman, I ask unanimous consent to enter into the
record a statement from Sunlife in support of extending parity
to disability benefits.
Chairman Walberg. Without objection.
[The information of Mr. DeSaulnier follows:]
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
Mr. DeSaulnier. Thank you, Mr. Chairman. Madam Secretary,
will you commit to working with me and our colleagues on the
Committee to implement the ERISA Advisory Council's
recommendation to improve disability insurance for people with
behavioral health conditions?
Secretary Chavez-DeRemer. Absolutely. I will work with your
office.
Mr. DeSaulnier. Darn, that was my 5 second question and you
answered it succinctly. I yield back by 1 second.
Chairman Walberg. I thank you for your excellent example,
the gentleman.
Secretary Chavez-DeRemer. Thank you, Congressman.
Chairman Walberg. Now I recognize the gentleman from North
Carolina, Mr. Harris.
Mr. Harris. Thank you, Mr. Chairman, and thank you Madam
Secretary for your presence here today.
Secretary Chavez-DeRemer. Of course.
Mr. Harris. Well, listen, we want to thank you also for
your leadership that you are bringing to the administration. In
fact, the Trump administration's pro-worker and pro-business
policies are already delivering benefits across the country.
In my home State of North Carolina just this week, Amazon
made an announcement that they are making a 10-billion-dollar
investment in Richmond County, which is right in the heart of
my district, that will lead to thousands of construction jobs,
and as many as 500 skilled job when their data center is
complete. As you know, getting the jobs is only half the
battle. We have to make sure workforce is ready to be hired
when the dust settles.
I agree that apprenticeships are a key way to get Americans
in jobs, and was pleased to read in your testimony about the
ways to expand opportunities to achieve President Trump's goal
of over 1 million new active apprentices across the country.
I guess my question is does the Department of Labor have
plans to examine the registered apprenticeship program to look
for any ways to reduce the bureaucracy that involved industry,
or provide multiple pathways for quality programs to emerge?
Secretary Chavez-DeRemer. Well, again, thank you for that.
You addressing the apprenticeship program, and it is somewhat
of its an entirety because you know oftentimes, we say
something, and then we have to implement it. It is at the
direction of the President that we do have one million
apprentices in this pipeline to grow this economy, to assist
those businesses who are onshoring or investing.
As you mentioned, investing in your home State, they are
expecting that workforce to be right there. It is my
responsibility to work with private businesses and the public
sector as well, to develop that apprenticeship program to a
million. As I have toured throughout the country we are
seeing--again, I mentioned 83,000 since the President has been
online, and since January 20th.
One of the new apprenticeship programs that was just
developed was with the International Association of
Firefighters. It is something that has not been done before. We
are assisting them in compliance, and how to do that
streamlining, the actual mitigation of the systems at
Department of Labor, so people want to engage.
They want to register their apprentices. We are seeing that
the public private sector work together, we are seeing that in
our community college campuses. We are seeing it at the Centers
of Excellence. Private companies are investing in that
workforce, and sponsoring them, so that they have that secured
pipeline for investments like in your home State.
When we pair those two together, I could almost guarantee,
and mark my words, Chairman, I would like to get over 1 million
apprentices in this first year.
Mr. Harris. Awesome. Can you anticipate any help you might
need from Congress in order to achieve that goal?
Secretary Chavez-DeRemer. Absolutely, I believe every time
Congress comes up with good, bipartisan policy it helps all of
our agencies to further develop the workforce. It is the goal
of this administration to streamline and modernize some of the
Federal bureaucracy and the red tape in the systems that have
been in place for far too long.
As a former Mayor, I often used to think if we could just
alleviate some of the red tape without harming the American
worker, I think that that is going to be key. It is really an
honor to kind of take a holistic approach to, how do we protect
the American worker, and how do we protect the American
business?
One of the reasons that the President chose me was to bring
those two to the table together, so that we can grow the
economy as a whole, make the pie a little bit bigger, and live
the American dream again, and that is what we are doing every
single day.
Mr. Harris. Excellent.
Secretary Chavez-DeRemer. I look to Congress for good
policy that I can enforce in order to grow the workforce.
Mr. Harris. Excellent. Well, in my last minute or so, let
me ask this, and it really ties in with what Congressman Wilson
had talked about earlier. The Biden-Harris Department of
Labor's H-2A Worker Protection Rule has been preliminarily
enjoined by three separate District Court decisions, finding
likely calls for unlawfulness in multiple aspects of this
expansive rulemaking.
Rather than halt implementation of the rule until these
Court proceedings run their course, DOL continues to implement
a confusing patchwork of regulations. The rule should, at the
very least, be halted, or more appropriately, rolled back
completely. I guess I am going to ask, is DOL reviewing this
rule, and what are your plans to provide this certainty?
In my district I have a lot of ranchers, a lot of farmers
that are very interested in this, and they love the H-2A
program.
Secretary Chavez-DeRemer. That is right.
Mr. Harris. We want to make sure they are concerned about
the rising costs obviously.
Secretary Chavez-DeRemer. Yes. Every time again that there
is policy, we want to make sure it is workable, and that it
works for the American people. It is my obligation to review
all rulemaking and regulation, and then work with Congress to
determine the best outcome of that policy, and then enforce the
law. I will continue to work with our stakeholders, and our
respective states, including our H-2A visa users to do so.
Mr. Harris. Absolutely. Thank you, Madam Secretary. Mr.
Chairman, I yield back my time.
Secretary Chavez-DeRemer. Thank you, Congressman. It is
nice to meet you.
Chairman Walberg. I thank the gentleman. I recognize the
gentlelady from Georgia, Ms. McBath.
Mrs. McBath. Thank you, Mr. Chairman. Secretary, thank you
so much for being here once again. It is good to see you back
in your old Committee room.
Secretary Chavez-DeRemer. Yes.
Mrs. McBath. As a mother, I must say I am deeply concerned
about child labor. In 2023, a Georgia based contractor was
fined at both the Federal and State level for violating
overtime, work safety, and child labor laws by employing a 17-
year-old to work one of the most dangerous jobs there is when
done without the proper precautions, and that is roofing.
He unfortunately fell about 25 feet from a store rooftop
and was airlifted to a local hospital. Thank God, he recovered,
and recovered without any serious injury, but falling from a
roof can have very deadly consequences as you might assume. We
are all lucky that his injuries were not worse.
It shows how important enforcement at the Department of
Labor really, really is. Your proposed budget will cut the
number of investigators at the Wage and Hour Division as well
as the Office of the Solicitor, leaving fewer staff and
resources to prevent cases like this, and hold those
accountable who are putting our kids in danger and at risk.
As you know, my son Jordan was unfortunately taken from me
at only the tender age of 17, so I know the pain of losing a
child, and yes, I can promise you I miss him every day. Jordan
was the exact same age as this young man that I just spoke
about, and it would be a tragedy for any family to have to go
through what mine has because the Department did not have the
resources or the time to stop these accidents before they
happened, or to hold the violators accountable.
The Wage and Hour Division today has significantly fewer
child labor and wage theft investigators on staff than they did
over 75 years ago, 611 today versus 1,000 in the year of 1948,
despite our workforce being much larger than it was at that
time. Investigators in a dozen states told the New York Times
that their understaffed offices could barely respond to the
number of complaints, much less open their own investigative--
independent investigations because they were understaffed.
How does the Department plan to crack down on child labor
and wage theft if there are fewer investigators and resources
to protect our kids, and to protect our workers?
Secretary Chavez-DeRemer. Thank you, Congresswoman. It is
an honor to be back and visit with you here today, and I am
sorry about Jordan. I do not think I did know that, so.
Mrs. McBath. Thank you.
Secretary Chavez-DeRemer. From the Department of Labor's
perspective, it is my ultimate responsibility and goal to
protect those American workers, and especially anybody who is
nefariously breaking the law, and anybody who does knowingly
break the law, the Department of Labor does have enforcement
capabilities, and we will double down on that because I do not
believe any American wants to tolerate that.
Now, if we equate that to a budget and say that again, that
more money will always solve the problem, I would probably have
to disagree there. I think oftentimes we need to modernize and
streamline. I think that that is what this budget does.
We will statutorily always investigate and do what is right
when we have those complaints, and we will followup on the law.
For companies and businesses who need help with compliance, we
want to do that first. They are the first line of defense for
the American worker, and I will ask them to always comply with
the law, and I will assist them in doing so.
If, at that point they knowingly choose not to, we will use
the full capabilities of the Department of Labor to enforce
that law and double down on that and hold them accountable.
Mrs. McBath. Well, thank you. I understand that you may be
saying that preventing child labor and supporting workers is
important to you.
Secretary Chavez-DeRemer. Absolutely.
Mrs. McBath. Saying that you want to stop something, and
then making child labor and wage theft loss more difficult to
enforce does not actually accomplish that goal, and actually
does just the opposite. Secretary, Georgia is home more than
100,000 Federal workers. They do everything from research at
CDC to supporting Robin's Air Force Base, to helping seniors
with their social security.
My understanding is that you were not able to answer this
question at a recent hearing, but you have had some time since
then. Can you tell the American people how many employees the
Department of Labor had when you were confirmed, and how many
are employed there now?
Secretary Chavez-DeRemer. Sure. We know that--I want to
make sure that I have that for you, so I apologize. Yes, sorry,
I had it written down. As of the DRP 2,513 as of the close. I
think our 45-day window was Monday of this last week, and that
is why that number was fluid, so 2,513 have taken the DRP.
Mrs. McBath. Okay, thank you. We urgently need to lift the
Federal firing freeze to ensure that there is someone to help
our constituents when they need it, so whether it be at the
Department of Labor, or any other Federal agency that folks
have a home, we need answers, and we need to make sure that
they are getting the important information and resources that
they desperately need, and I am over time, and I yield back.
Secretary Chavez-DeRemer. Thank you, Congresswoman, it was
nice to see you.
Chairman Walberg. I thank the gentlelady, and I recognize
another member from Georgia, the gentleman from Georgia, Mr.
Allen.
Mr. Allen. Thank you, Mr. Chairman, and I am amazed, you
know, I just thank God we have got people from the business
world in this government now because if you are not innovating,
and you are not automating, you are out of business. This
government for too long has ignored the amazing technology that
is available today to do the very things that we are talking
about doing and actually do a much better job.
I have seen it in the business world, and it is time for
the government to wake up, and the taxpayers would appreciate
it too. This Congress I am honored to Chair--that Chair Walberg
asked me to serve as Chairman of the HELP Committee, Health,
Employment, Labor, and Pensions Subcommittee. There is a lot of
work that needs to be done.
With that being said, Madam Secretary, again, thank you for
your efforts in modernizing the Department of Labor, but in
recent years we have seen a concerning rise in the number of
working Americans relying on government healthcare programs
like Medicare and Medicaid. One of my top priorities, and
Chairman Walberg had brought this up as well, is to expand
access to affordable private health coverage for small
business, self-employed individuals, and that is why I am proud
to cosponsor Chairman Walberg's Association Health Plan Bill.
I have met with Fortune 50 companies, Fortune 500
companies, they self-insure and have reinsurance, and they are
reducing cost of healthcare and providing amazing healthcare to
their employees. I also believe that extending the same ERISA
waivers currently available to union and faith-based health
plans to association health plans could empower these groups
with greater bargaining power, also while driving down
insurance costs for their members.
Would your Department be open to exploring ways to allow
association health plans similar flexibility and waivers
currently afforded to union and faith-based plans under ERISA?
Secretary Chavez-DeRemer. Yes, thank you again for the
question, and the conversation about this, and I will look to
Congress. Again, from the Department of Labor's perspective, it
is my responsibility and my job to work with Congress on these
technical issues and assist you in understanding that, but it
is the goal of this administration to lower healthcare costs,
to understand that we want to offer the best programs and the
best plans for our American workers.
Yes, I am committed to working with you.
Mr. Allen. Good.
Secretary Chavez-DeRemer. Your office on this piece of
legislation.
Mr. Allen. Thank you. One of the biggest priorities is as
Subcommittee Chair, is ensuring that Americans' hard earned
retirement savings should never be jeopardized by politically
motivated mismanagement. The Biden-Harris administration
revoked the protective Trump administration rules that
prohibited investing in retirement plan assets and voting
proxies held by plans for the purpose of impacting and
advancing more policies at the expense of participant
retirement savings.
The Biden-Harris administration also issued replacement
rules that allow and even encourage fiduciaries to use other
people's retirement savings for woke agendas. Can you explain
the importance of ensuring investment fiduciaries invest
exclusively for the purpose of providing benefits, and
defraying reasonable expenses under retirement plans?
Secretary Chavez-DeRemer. Yes, thank you. I think you are
referring to ESG.
Mr. Allen. Yes.
Secretary Chavez-DeRemer. That has been under this
administration where we want to make sure that the fiduciaries
are working with their investors for the best outcome and risk
mitigated investments. The Department of Labor will remain
neutral on this, and we just issued as well, that we want
fiduciaries to work with their investors, and not weigh in on
any woke policies----
Mr. Allen. Good, good.
Secretary Chavez-DeRemer [continuing]. Follow that
executive order.
Mr. Allen. I recently introduced the Protecting Prudent
Investment Retirement Savings Act, this legislation seeks to
codify that those who manage Americans' retirement savings are
under the Employment Retirement Income Security Act, or ERISA,
must prioritize maximizing returns for secure retirement,
rather than political or social impact using risky EST
investors, as you have mentioned.
The Biden-Harris administration, congressional Democrats
and states, including California, have consistently
demonstrated their hostility to independent contractors who
choose to earn income through apps like Uber, Lyft, and
DoorDash. What kinds of policy do you support to assist workers
who want to earn a living, or some extra money by working as
independent contractors?
Secretary Chavez-DeRemer. Yes, thank you. It is one of the
industries that has expanded very rapidly, the gig economy, the
platform economy, this administration recognizes how important
it is for workers to have that flexibility to build the
businesses for themselves.
The rule that you reference is under the Biden
administration, is currently under litigation, so I am limited
in what I can say, but publicly what I can say is that its
consistent that we will offer the guidance that is necessary in
clarifying that 2024 rule, and we are also offering the opinion
letter program that I mentioned on the onset, in order to
guide, oftentimes private sector businesses in how the
Department of Labor is looking at it.
Mr. Allen. Good, good, great. I am out of time, but thank
you for your common-sense approach to solving these issues, and
I yield back Mr. Chairman.
Chairman Walberg. I thank the gentleman. Now I recognize
the gentlelady from Connecticut for her 5 minutes of
questioning.
Mrs. Hayes. Thank you, and thank you Madam Secretary for
being here. I do have to say I feel a little left out. I did
not get a call yesterday.
Secretary Chavez-DeRemer. It is not yesterday. I have been
working on it all week where my office reached out to offices
who responded, and then we set up a time to have a call, and
there was some offices who did not respond, but listen, I am
glad to give you my cell number, as I do always, and you can
always give me a call.
Mrs. Hayes. Absolutely. I appreciate that. I do want to
just touch on the issue of Job Corps. I know, I am not asking
you about the pending litigation, or the efforts by the Judge
to stop the elimination of Job Corps, but as you well know,
45,000 students are enrolled in this program.
High school dropouts, homeless, young adults, young
parents, students with learning disabilities, students aging
out of foster care, many of which have no home to go to. I
heard you say in your opening that you are working with the
Department of Education, which is puzzling to me because we had
the Secretary here yesterday who said her final mission is to,
you know, downsize, and virtually eliminate the Department of
Education.
My question is what plans, if any, do you have to protect
these students and keep them safe? I heard you talk about
different instances, say from violence, homelessness,
addiction, you know, all of the things that literally made Job
Corps attractive?
Secretary Chavez-DeRemer. Absolutely. In regards to the
Department of Education and working with Secretary McMahon, as
well as many of the other Secretaries, it has been one through
executive order that we addressed the workforce education
system because they are our future workforce. I will work with
the other Secretaries----
Mrs. Hayes. I mean specifically this population because----
Secretary Chavez-DeRemer. Yes.
Mrs. Hayes [continuing]. A lot of the other ones are
hypothetical.
Secretary Chavez-DeRemer. For sure.
Mrs. Hayes. There was a direct conversation about the
elimination of Job Corps. I guess my question is then what, if
this, then this, what happens next for these children, or these
young people?
Secretary Chavez-DeRemer. Yes. I want to work with
Congress. As I mentioned, we have put a pause. Yes, we did, but
I cannot eliminate Job Corps. That is up to Congress to
determine what is the best programming and programmatic effects
that we can have on our workforce. I know that it is not--it is
subject to litigation, therefore I cannot tell you how much I
am frustrated by that because I want to be able to work with
Congress.
Because of that, I cannot go into any details on this. If
there is an exemption, or if there is a halt in this
litigation, I am glad to update the office. What I can say is I
am confident that, Congresswoman, you have most likely read the
report because I can talk about the public report.
Mrs. Hayes. Well, no. I mean I actually do believe that you
care deeply about this. I believe that. I guess what I am
asking you, and you cannot go into it today is that there is
consideration for these young people, that housing, job
training, transportation, all of these things because at 17
their life is not over.
Secretary Chavez-DeRemer. That is right. They are our
future.
Mrs. Hayes. We can put things in place to ensure that that
happens.
Secretary Chavez-DeRemer. They are our future. I am
committed to this population, always have been, for my 30 years
of service. I have kids, I understand that. I want the best for
these populations because we need the skilled workforce, and
they deserve it, and they deserve Congress, and the Department
of Labor, and every other agency had to work on this issue.
Specifically, because of this, I cannot go into what is----
Mrs. Hayes. No, I understand. I mean.
Secretary Chavez-DeRemer. I appreciate you understanding
that, and I am committed.
Mrs. Hayes. Yes, I do not want to spend too much time on
this, but just as a reminder, there is no law that keeps you
from disclosing information to Congress about pending
litigation. I mean all of us are aware of the Privacy Act of
1974. We all have to have people sign privacy release forms
when we reach out to them as a Member of Congress.
I do not want to belabor that point and spend too much of
my time on that because you made your position clear. I will
talk about some data privacy because there has been much
concern about DOGE accessing private information, social
security, social security numbers, how is that stored? What is
that information going to be used for?
I think that is especially concerning for me in light of
reporting this weekend that the Trump administration was
contracting with Palantir, co-founder of republican mega donor
Peter Thiel, to build a data base of private information on
American citizens.
In light of that reporting, can you tell us has the
Department of Labor shared any information like this with DOGE,
and what processes are in place to employ that the private data
of U.S. citizens is not subject to being abused by private
organizations or corporations like Peter Thiel or Elon Musk?
Secretary Chavez-DeRemer. Sure. I do not know what you are
referencing on this report. I do not know what you are
referencing there. For the Department of Labor employees, which
is inclusive of government efficiency employees that work for
the Department of Labor, they are subject to the same rules and
regulations that all Department of Labor employees are, where
they are not allowed to share any private information, and they
are subject to any of the safety and security of that private
information under the Department of Labor regulations, and I
will stand by that.
Mrs. Hayes. Thank you. My time has expired, but I will get
a copy of that.
Secretary Chavez-DeRemer. Yes.
Mrs. Hayes. It is a news article for your team so that you
can review it at a later date. I yield back.
Secretary Chavez-DeRemer. Thank you.
Chairman Walberg. I thank the gentlelady. I now recognize
for his 5 minutes of questioning, the gentleman from Indiana,
Mr. Messmer.
Mr. Messmer. Thank you, Chairman, and thank you Secretary
for being here today.
Secretary Chavez-DeRemer. Of course, glad to be here.
Mr. Messmer. Yes. Appreciate your phone call earlier this
week. In my 36 years as a prior business owner of a family
business that has spanned for 54 years in the construction
industry, in that time dealing with hundreds of employees, we
never had an incident where we had an employee deal with a heat
related issue on the job.
I cannot believe that my experience is unique, and I
question the need for the proposed Heat Rule that was rolled
under the Biden administration. It is an onerous, one size fits
all program, that fails to take the impact of geographic
variability, exertion levels required on the job, and indoor
versus outdoor environments that people work in.
You mentioned earlier on a labor related question from my
colleague from South Carolina, that a one size fits all program
does not work. In the context of the proposed Heat Rule, he
also agreed that a one size fits all program is not workable.
Secretary Chavez-DeRemer. Absolutely. One size fits all
usually is a pretty standard practice that does not always
work. Everybody geographically in different parts of the
country will address this. What the workforce also, as you
mentioned in your company for years and years and years, have
not had an incident, and again----
Mr. Messmer. Under current OSHA rules that require water
accessibility to employees at all times, and you deal with the
heat, and you let people take breaks.
Secretary Chavez-DeRemer. OSHA's goal is to uphold those
standards. We want to keep our workers safe. We want to work
with our businesses and our companies so that whatever
rulemaking and litigation comes forward that we are protecting
one, the American worker, and the compliance is there, and that
we can determine that.
I would look to Congress, but as this is under active
rulemaking, I hate to say it again, I cannot have a full
detailed discussion with you, but we will continue to work with
all the stakeholders, including companies like yourself, and
businesses, in order to gather that information, go through
those transcripts, and then report back as we move through the
rulemaking process in the Department of Labor.
Mr. Messmer. Well, I appreciate that. As the Department
moves forward with their public hearings, will you be able to
share that information gathered back to myself and members of
the Committee?
Secretary Chavez-DeRemer. Absolutely.
Mr. Messmer. Okay. Will you commit to--please commit to
working with me as this issue moves forward?
Secretary Chavez-DeRemer. Absolutely.
Mr. Messmer. Okay, thank you.
Secretary Chavez-DeRemer. Thank you.
Mr. Messmer. I yield my time back.
Secretary Chavez-DeRemer. Thank you.
Chairman Walberg. I thank the gentleman. I recognize the
gentleman from New York, Mr. Mannion, for your 5 minutes of
questioning.
Mr. Mannion. Thank you, Mr. Chairman. Thank you, Secretary,
Madam Secretary, for joining us today, and appreciate the
opportunity to hear from you about the changes occurring at the
Department of Labor as well as your budget request for Fiscal
Year 1926.
Under this administration the country, meaning many of our
small business owners and our workers, have faced significant
economic uncertainty, and as a result, labor market
fluctuations, chaotic trade policy, mass lay-offs, anti-union
efforts, and abrupt terminations of important Federal funded
programs have negatively impacted nearly all communities and
industries.
In your budget request, if enacted by Congress could add to
this economic distress. What is troubling is the proposal to
consolidate 11 separate workforce programs into a single block
grant. These long-standing bipartisan programs are critical for
uplifting many groups within my district. We have the highest
concentration of childhood poverty in the city of Syracuse and
the highest concentration of African American poverty as well.
Lumping the programs together and handing the funding over
with seemingly minimal targeting, or accountability mechanisms
puts all of these populations at risk of being overlooked and
underserved. That said, I do want to acknowledge one component
of the budget that I do support, and believe we can work
together on, and that is registered apprenticeship programs.
In my work in the New York State Legislature, I more than
doubled funding for a program under the Manufacturer's Alliance
of Central New York, and what we have seen is the
transformations of people's lives as a result of that program.
These programs do offer pathways into high-quality jobs,
particularly for individuals without a 4-year degree. Madam
Secretary, your budget would require that 10 percent of the new
block grant that you are proposing would go toward
apprenticeships. That would amount to a 4 percent increase over
the existing funding.
As you have mentioned, this administration has stated a
goal of 1 million active apprentices, which would be an
increase of 50 percent over that number. I appreciate with--and
agree with you regarding this bold goal, but if we are going to
increase funding by 4 percent, how are we going to increase the
apprenticeship programs by 50 percent?
Secretary Chavez-DeRemer. Well, thank you Congressman, and
I know we do not know each other well, and I am sorry we did
not get to work together, but I look forward to working with
you through this process on the apprenticeship program. It is
going to take hard work and investment into our private sector
and public sector to grow the apprenticeship program.
It is my responsibility again, to address that workforce
development so that everybody can live the American dream. We
know that the skilled workforce of today is different than it
was from let us just say even five to 10 years ago. The
trajectory is changing rapidly.
The modernization of the skilled workforce is changing, and
exclusive of many things, such as AI as well. It is my
responsibility to assist our market demands in addressing that.
I have seen that in the private sector with car companies. I
have seen it with our community colleges wanting to answer the
call of what is on the ground they are asking for.
With your assistance, I look forward to prioritizing the
budget to address that. On the other question that you had
asked about, the Make America Skilled Again block grant,
through the patchwork of different states, oftentimes the
complexity and the mitigation of getting that funding can be
somewhat difficult.
This administration, through the budget process goal, is to
combine a lot of those grants without duplication in order to
save on the duplication of the processes. That should not limit
and will not limit the investment that we have in the actual
workforce. It is still up to Congress to determine if that is
what they want. This is a preliminary budget. I think it is a
more flexible one that we can lean on and work with our
respective State partners, so that they can tell me how they
want to spend that funding, if it is New York or Oregon, or
Indiana, or anywhere else, that is the goal.
It will be up to Congress to determine if that is where
they want those appropriated dollars to come from, and I would
work with your office in assisting you as well.
Mr. Mannion. Thank you, Madam Secretary. You mentioned our
community colleges, we have a fantastic university system in
New York State, and we have the largest private investment in
the history of this country with Micron coming in,
semiconductor chip manufacturing. That was the result of the
Chips and Science Program as well as a State piece of
legislation called Green Chips, and as I look over your
shoulder, I am going to hit 5 seconds right on the dot.
Strengthening community colleges program is one of those
proposed eliminations. How are we going to assure that our
community colleges can pivot to the extent that they have
already done to make sure we have these stacked credentialing
programs and other advanced manufacturing programs?
Secretary Chavez-DeRemer. Well, I am glad to answer that in
more detail. I know that our time is up, but I will submit that
answer for you, and I will work with the community college and
just do that quarter turn, because I think it is just going to
take just enough of that in order to address those issues. I
have worked with community colleges and trade schools for years
as a former Mayor, and I will continue to do so as the
Secretary, and answer that question for you.
Chairman Walberg. I thank the Secretary. Now, I recognize
for his 5 minutes of questioning the Vice Chair of this
Committee, the gentleman from Utah, Mr. Owens.
Mr. Owens. Thank you, Mr. Chair. First of all, good seeing
you Madam Secretary, and it was an honor to work with you as a
colleague. Also, we are excited about the innovation you are
going to bring to this Department that you are now leading. By
the way, I did get the call with everybody, and I would say
that is an indication of the partnership that you understand
bipartisanship, and also the hustle, and both are needed right
now in your position.
We are facing a tidal wave when it comes down to demands.
As was mentioned earlier, 7 million worker deficits, and we
have 10 trillion dollars being invested, so we have to truly
bring innovation to this process and work together to make this
all work. Madam Secretary, President Trump had, and it was some
of the stuff you have touched on a little bit, and I am going
to allow you to maybe add more comments.
President Trump has made it a goal to reach and surpass the
1 million new active apprenticeships. We know that there are
employees across the country--employers across the country that
want to be more involved to find a current system very
challenging to navigate. What reforms can be made to better
facilitate employer engagement, and with the registered
apprenticeship program?
Secretary Chavez-DeRemer. Again, this is the exciting part
of this new administration. What President Trump did in the
first administration, he has kind of doubled down on the second
administration that the American worker will come first, and
that I will work with all organizations, whether it is
organized labor, private business, private sector, we want to
entice all companies, private and public to invest in their
workforce in order to get to that pipeline of a million
apprentices.
I mentioned earlier, and I am not sure, Congressman, if you
were here. The International Association of Firefighters, we
hosted them at the Department of Labor specifically because
they were launching their first apprenticeship program because
we know we need the workforce for our firefighters and our
first responders and our wildland firefighters as we move
through.
I had a conversation with law enforcement. They are
considering registering apprenticeships for law enforcement
officers, how exciting would that be that our first responders
and our law enforcement would step up and want to know that
their pipeline is now respected, and they could register with
the Department of Labor.
This is not only good for the country, it is good for the
public to see that the private sector is investing in the
future of this country and protecting that American worker. I
will be the conduit, I will bridge that gap. I will fill that
table every single time. That is what the President of the
United States asked me to do, and that is why I am willing to
work across the aisle for the best policy of this country, so
that everyone can attain the American dream.
Mr. Owens. By the way, that is going to be music to the
ears of our Utah firefighters for sure. I just met with them
recently. We often hear from businesses that there is a
disconnect between the educational system and industry, which
results in workers unprepared to enter the workforce.
Again, you might have touched on this a little bit earlier,
you might want to just dig a little deep, but what steps can
the Department take to bridge that gap, and how can Congress
help to address this issue?
Secretary Chavez-DeRemer. Congress does a wonderful job in
understanding the issues if they are on the ground. I want to
be the storyteller for you as I travel around this country, so
that you do navigate the system and make good policy that will
withstand the test of time. That is what the President is
doing.
He is looking to the future of 100 years out. We are not
looking for policies that will be overturned. It is my goal to
understand that, you know, no longer is just a 4-year degree
what we want to see. We are seeing so often that technical
schools, centers of excellence, community colleges, we
understand that there are 6-month certificates, 12 months.
Some of these apprentice programs are four and 5 years, but
they are producing mortgage paying jobs for their families to
protect those families, so that they can determine where they
want to live, where they want to invest, where they want to
raise their kids. That is the freedom and prosperity that
people are looking for, and it is the Department of Labor's
honor to actually assist in that, and help Congress determine
what that can be.
I hope we continue to work together. I hope as a former
colleague you understand that this is an honor to serve at the
pleasure of the President, but it is really an honor to serve
the American people and change the way we have done business
for far too long where government has been an adversary, as
opposed to an ally, and I want to be an ally for the American
worker and the American business.
Mr. Owens. Thank you. I actually covered my next question,
so I am going to be able to give some more time back. I will
just say this, your background as a business owner and Mayor,
you understand what return on investment is, and that is what
we need in government, so thank you for taking on this
position, and look forward to working with you.
Secretary Chavez-DeRemer. Thank you, Congressman.
Mr. Owens. I yield back.
Chairman Walberg. I thank the gentleman. Now, for his 5
minutes of questioning, I recognize the gentleman from Texas,
Mr. Casar.
Mr. Casar. Secretary, it is good to see you again.
Secretary Chavez-DeRemer. Thank you.
Mr. Casar. The last time we were together we were having
fruit plates outside of the Ag Committee.
Secretary Chavez-DeRemer. I think so, that is right, I
forgot. Thank you for being here. Appreciate it.
Mr. Casar. Good to see you. Recent research that was
published said that about 2,000 American workers are killed
every single year because they overheat at work, and thousands
of more people get hurt at their workplaces. The Biden
administration started a rulemaking process that has been
passed along to you under the Trump administration to make sure
that workers get a rest break when they are out there working
in the heat.
We have talked about how many agriculture workers there are
in your community, and my community is one of construction
workers, where folks clock into work at 7 in the morning, and
during the summertime it might be 90 degrees when you get there
at 7 in the morning, and 100 degrees by the time it is time for
lunch.
Unsurprising to me was recently in this Committee, sitting
in those chairs where you are sitting, we had some big business
industry lobbyists who said they were opposed to those rest
break rules under the Biden administration. Surprising actually
to me, in a good way, was they said that they thought it was
wrong for somebody to come in at 7 in the morning in 90 degree
heat and work all day without a rest break, all the way up to
the lunch break where they have not gotten a rest break for
hours in the 90 degree heat.
I understand that you are in the rulemaking process right
now, so I am not going to ask specifically about the rule you
will put out, but what I do want to ask is would you agree at
least with some of those industry folks that were sitting here
that it is wrong for if it is 90 degrees, for somebody to start
a 7 in the morning and they are working all the way up to
lunch, and they have not been given a break between 7 a.m. and
noon and it is 90 degrees.
Would you agree that that is wrong and dangerous?
Secretary Chavez-DeRemer. Well, Congressman, I appreciate
the question, and understand that you want my opinion, and as
the Secretary of Labor I think it is more important--the bigger
question is, is it my responsibility to address the
stakeholders, and take the information as you just mentioned
from one side, and it might be wrong, and another side that
says, well, wait a minute, we want to comply?
From my perspective, while we are in rulemaking, I will
take that information when we are developing that rule because
what I do want is to follow the law. We know the one size fits
all, I just said it earlier to Congressman Messmer here, and
understanding that. I cannot speak specifically to the rules,
it is in rulemaking, but I do want Congress to address what is
the best policy moving forward to protect the American worker?
One of the things the Department of Labors core missions is
to make sure every worker gets home safely. That is where we
should always lead from. I want to work with you in technical
assistance to develop----
Mr. Casar. Secretary, great, how about if it is 100 degrees
out? In San Antonio last summer----
Secretary Chavez-DeRemer. Sure.
Mr. Casar. Almost all summer it was 100 degrees every day.
You think that workers should be working in 100-degree heat 5
hours straight without a break during that 5 hours?
Secretary Chavez-DeRemer. Well, again, I will not give my
personal opinion because as the Secretary of Labor I cannot put
my thumb on the scale. I know you understand.
Mr. Casar. I know you are not--I guess my question, and I
am not trying to be competitive.
Secretary Chavez-DeRemer. In my time in Arizona, I
understand there is difference geographically across the
Nation.
Mr. Casar. Totally, and so to be real--like so last summer
the heat index in my district hit 117 degrees.
Secretary Chavez-DeRemer. Understood.
Mr. Casar. I feel like we should at least be able to say
117 degrees, you are working for hours.
Secretary Chavez-DeRemer. Right.
Mr. Casar. You are in charge of workplace safety saying we
probably should say that if it is 117 degrees the industry
should give workers a break.
Secretary Chavez-DeRemer. I hope that is what you are
saying to each other, and that you will develop a policy, and I
will enforce the law of that policy as the Secretary of Labor.
Mr. Casar. Okay. I guess what I want to communicate to you,
Secretary, is that I hope that we do not allow, and you do not
allow, the big business lobby to come here in public and say
that actually they are okay with giving--having a requirement
for there to be water breaks. Maybe they do not agree
specifically with the exact binary requirement, but do not let
them come here and say that they are okay with some
requirements for rest breaks, and that to have them say that in
public.
Then go and in private push for a toothless rule that
results in no requirements. I think that that would be really
devastating, would put people's lives at risk, and we hear all
the time here this thing of well, not one size fits all. Well,
let us talk about a specific size.
Secretary Chavez-DeRemer. Yes.
Mr. Casar. 90 degree heat, 95 degree heat, employers should
be required to do something, and there should be real
requirements that I hope just as you committed to meeting with
some of my colleagues on the republican side of the aisle, I
hope that you can commit to meeting with us as well.
Secretary Chavez-DeRemer. Absolutely. Always will meet with
all Members of Congress for the best policy. That is my
responsibility, and it is my honor to do so.
Mr. Casar. Thank you and I yield back.
Chairman Walberg. I thank the gentleman. I now recognize
the gentleman from California, Mr. Kiley.
Mr. Kiley. Thank you, Mr. Chair. Secretary Chavez-DeRemer,
good afternoon.
Secretary Chavez-DeRemer. Nice to see you, Congressman.
Mr. Kiley. Good to see you as well. Congratulations on your
confirmation by the Senate. The last administration seemed to
think that Senate confirmation was optional, so it is great to
have a legitimate Senate confirmed Secretary of Labor. The fact
that the last nominee for your role got bipartisan opposition,
whereas you got overwhelming bipartisan support I think is very
telling.
It shows that we have a Secretary of Labor who is on the
side of American workers. I wanted to ask you about the
connection between our K-12 education system and workforce
issues, which is of course implicit in the very set up of this
Committee. It is the Education and Workforce Committee, which
you were once a member of.
In many ways at the level of policy, these two things have
been disconnected for a long time. You know, we have kind of
got into this mentality that the purpose of our K-1 education
system is to prepare students for college, and that everyone
should go to college. We are starting to see a little bit of a
swing of the pendulum back toward supporting things like career
education.
I was actually I had the chance to speak with a group that
assembled in my district earlier this week for a workforce
summit at our local community college, and they had folks who
were leaders in higher education and K-12 education, and major
employers from the area thinking about how can we work together
to prepare folks for the workforce of the future.
You know, I shared some of my thoughts about what we could
do at the level of a Federal policy, but I wanted to give you a
chance if you had--were able to speak with them about what your
thoughts, and indeed, I hope you could at some point actually
on your tour across the country, stop by my district.
What are your thoughts about what we would like to see in
our K-12 education system from a workforce perspective?
Secretary Chavez-DeRemer. Yes. Thank you, Congressman. The
whole point of the America at Work tour is to do just that,
listen to what is happening on the ground. Then culminating
really my experiences as a former Mayor, as a business owner,
and as a Congresswoman, and now Secretary to say what is best
for the local communities?
If we lead again from the American workers perspective, and
the local community perspective, we know we can offer the
future workforce through K-12 education, and the future
workforce of America that students will back into these degrees
based on market demand.
Listening to the private sector say what they actually
need, and then drawing, you know, A to B and say here is how we
are going to get you there. Many times I am talking to the 25
to 27 year old who is being reintroduced to the community
college, who still is working 40 hours a week, who now then
goes to school at night just to gain that extra certificate, so
that they can improve on their life for their families.
It is those kinds of stories that I am hearing over and
over again that they want the flexibility to earn while they
learn, to understand that this is where they--they want to have
a choice in their education.
Then as it relates to K through 12 and working again with
Secretary McMahon at the Department of Education, we are
consistently trying to understand how we are going to invest in
that future workforce, and that is going to take investment on
the front end of our K through 12 education.
I am looking forward to working with her as we move through
this process, and then working with our respective State
partners to understand what does California need specifically
that is different from Oregon, that is different than Indiana,
that is different than Michigan, different than Utah.
As I travel around the country, that is my focus, is
talking to the American worker, and understanding exactly what
they need, and then coming back to the President of the United
States, having him understand that, and as we put those toward
our America First policies, then I will look to Congress to
pass. This Big Beautiful Bill that needs to be passed so that
we can move forward with investing in our future workforce.
Mr. Kiley. I think it is a tremendous approach and a great
vision for the future of education and the workforce. Thank you
for your leadership, I yield back.
Secretary Chavez-DeRemer. Thank you, Congressman.
Chairman Walberg. I thank the gentleman, and before I go to
recognize the gentlelady from Arizona, I recognize the
gentlelady from Connecticut, Ms. Hayes, for her request.
Ms. Hayes. Thank you, Mr. Chair. I just ask unanimous
consent to enter the articles I referenced earlier, so that the
Secretary can have them. A New York Times Article, ``Trump Taps
Palantir to compile data on Americans,'' and a Newsweek
article, ``Trump Flipped on Us, Maga Reacts to Potential
National Citizens Data base.'' I want to enter them both into
the record.
Chairman Walberg. Without objection, so ordered.
[The information of Ms. Hayes follows:]
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
Chairman Walberg. I recognize the gentlelady from Arizona,
Ms. Ansari for her 5 minutes of questioning.
Ms. Ansari. Thank you for being here, Secretary Chavez-
DeRemer. For the past 55 years, the Occupational Safety and
Health Administration, OSHA, that we have talked about quite a
few times today, has worked to assure safe and health working
conditions by setting and enforcing standards, and providing
training, outreach, education and assistance.
Every day blue collar, hard-working Americans, whether they
are building our homes, fixing our streets, picking up our
food, delivering our packages, they rely on OSHA to make sure
they have protections, and safety from injury or death in the
workplace.
OSHA also protects employees from retaliation when they
raise safety concerns. I am wondering, Secretary, if you will
commit to protecting workers from employer retaliation when
they raise safety concerns, especially in frontline and
immigrant heavy industries?
Secretary Chavez-DeRemer. It is a core mission of the
Department of Labor to first and foremost protect the American
worker to make sure they are safe, and that includes any
whistleblower complaints, and we will fully enforce the law and
work with the agency heads to do so, and I will commit to
working with your office.
Ms. Ansari. Thank you. Secretary Chavez-DeRemer, do you
support calls to abolish OSHA, like those from my fellow
Arizonan Congressman, Andy Biggs?
Secretary Chavez-DeRemer. I do not know any--I cannot
reference what the Congressman talked about. I do not know of
that comment. OSHA is fundamentally instrumental to the
Department of Labor to protect the American worker.
Ms. Ansari. Okay. President Trump's nominee for OSHA
Director is David Keeling. While he was the top safety official
at UPS, he was the top reason for injuries, resulting in 20
percent of incidents, and President Trump's own administration
cited UPS and sought the maximum penalty.
If confirmed, Mr. Keeling would be in charge of carrying
out OSHA's heat safety efforts, and given his history, do you
believe Mr. Keeling is qualified to take on this role?
Secretary Chavez-DeRemer. Mr. Keeling was appointed by--
nominated by the President. As he moves his way through the
confirmation process, I will look to the Senate on the advice
and consent that he will come to the Department of Labor if so
confirmed, and then work with him, and I look forward to
working with my colleague in the Department of Labor to assist
in all of the safety factors that are important to the
Department of Labor.
I will always fully enforce the law, and work with my
colleagues to do so, do the same.
Ms. Ansari. I know last year you yourself said, and I
quote, ``As we face hotter summers and more frequent extreme
heat events, our communities need to be able to rely on prompt,
Federal assistance to reduce the risk of heat related illnesses
and deaths.'' Do you still agree with that statement?
Secretary Chavez-DeRemer. Well, I certainly never want an
American worker to be unsafe or hurt. Outside of again, we are
talking about this Heat Rule, I cannot speculate.
Ms. Ansari. It is not about the rule though, do you stand
by your statement?
Secretary Chavez-DeRemer. Well, I certainly want to protect
all American workers. That is important to the Department of
Labor, and as the Secretary.
Ms. Ansari. Especially from heat related?
Secretary Chavez-DeRemer. Of course.
Ms. Ansari. Okay. Is it true that the Chairman of this
Committee sent a letter to you earlier this year to rescind
those heat illness and injury rules?
Secretary Chavez-DeRemer. I received several letters from
the Chairman, as well as other Congressmen. I do not know
specific to that statement. I would have to go back and look at
what the letter specifically said.
Ms. Ansari. You do not know whether or not you responded to
that letter?
Secretary Chavez-DeRemer. I am sure I have responded, but I
could not say right now, and I would love to get back with your
office to make sure that I am being correct in what I am giving
you.
Ms. Ansari. To me this is incredibly important, just like
my colleague from Texas, I represent Phoenix, Arizona. This is
an issue that is literally a matter of life or death in
Phoenix. Last summer 608 people at least that we can confirm,
in Maricopa County died as a result of extreme heat.
This year we already had our first heat related death with
more than 63 that are under investigation. When I was on the
Phoenix City Council, I also have a background in local
government, we led a process and passed a bipartisan heat
safety rule, worker protection rule for workers. It was broadly
and widely supported, both by labor unions, especially the
construction industry and those who work at our airports, as
well as the business community.
This is also why yesterday I introduced three bills related
to extreme heat. I really, really hope that the rule that is
being worked on will be ambitious, and will really consider
extreme heat and worker protections. I think it is absolutely
shameful to advocate against heat safety measures in the
workplace, like some people on this Committee had.
I also have sent you a letter earlier this spring. Mine was
requesting an updated timeline for finalizing the Heat Rule and
encouraging you to do so. Really, I really implore this because
in states like Arizona, the legislature is constantly attacking
workers. We are a right-to-work State.
There are not enough protections, and people are dying and
will continue to die if we do not have ambitious Federal
standards, so thank you.
Secretary Chavez-DeRemer. Well, thank you. I appreciate it,
and I know we have not met, so I look forward to working with
your office as well. Thank you.
Chairman Walberg. The gentlelady's time has expired. I now
recognize the gentleman from Missouri, Mr. Onder.
Mr. Onder. Thank you, Mr. Chairman, Ranking Member. Thank
you for appearing before the Committee today, and
congratulations.
Secretary Chavez-DeRemer. Thank you.
Mr. Onder. ERISA establishes a broad pre-emption of State
laws relating to employer sponsored health plans, with the
exception that states retain the ability to regulate insurance.
States may regulate fully insured group health plans, but self-
insured plans are not regulated as insurance under State laws
because the plan assumes the risk and the liability of the
plan.
The plan then often will by the employer, will often then
buy reinsurance to protect from excessive claims exposure.
ERISA pre-emption allows self-funded plans a uniform set of
benefits across State lines. It allows the employers to offer
coverage at a more reasonable cost, lower premiums, increased
cost sharing.
Some states have passed laws that I believe attack this
paradigm of ERISA and of self-insured plans, whether it be
recent State laws to regulate pharmacy benefit managers, or
laws to restrict reinsurance. Will the Department of Labor
under your leadership remain committed to the traditional ERISA
self-insurance system that--and ERISA pre-emption that has
provided health insurance for so many employers and employees
through this country?
Secretary Chavez-DeRemer. Well, it is certainly important,
and thank you for visiting with me as we again did not get to
work together, but it is important and incumbent upon the
agency and ERISA to work with you and many other offices in
order to protect the American worker as they move through this
process in their plans together.
I am committed to working with your office on any specifics
that you need from me to do so, but it is in compliance with
what we are doing now under ERISA, and we will commit to stay
that way.
Mr. Onder. Right. It seems that there are some who believe
that all health insurance should be government health
insurance, and of course, I think many of us in this room today
have most of our lives been covered by employer provided self-
insured plans, so I think that is an important part of our
healthcare system that we need to protect.
Secretary Chavez-DeRemer. Yes. One of the things that is
often talked about in this Committee is employee healthcare
plans, and offering the best plans available, and whether that
is through again, associated health plans, taking a look into
PBMs as you have mentioned. I know that that was a line of
questioning that Dr. Foxx did often in the last cycle.
The goal of the administration is to lower the costs of
healthcare and make sure that we are providing that benefit to
the employee. Working with private businesses and public, we
want to make sure that we are offering the best healthcare
plans, and so work, that is your job, and it is my job to then
comply with that law.
Mr. Onder. No. I commend you for that statement. Ensuring
quality healthcare, and of course, lowering the cost of
healthcare because the United States of course spends more than
any other industrialized country for healthcare, and yet we do
not always achieve the best outcomes, a major theme of this
administration.
Secretary Chavez-DeRemer. Absolutely.
Mr. Onder. Likewise, and I think the key to that is to
provide more, not fewer options. Another option would be short-
term limited duration health insurance. You know, in April
2023, the Department of Health and Human Services, and the
Department of Treasury published final rules that--on this
issue.
Essentially, the Trump administration had allowed short-
term health plans to go for 12 months and then be renewable up
to 3 years. The Biden administration reverted to the old Obama
era policy of 3 months with only 1 month of renewal. Again,
short-term health plans obviously are not for everyone in every
situation, but they do offer flexible coverage in cases, for
instance, due to waiting periods, Medicaid determinations, or
when an individual cannot afford a plan on the ACA marketplace,
which are often very expensive.
Likewise, I believe this is another option. Your thoughts?
Secretary Chavez-DeRemer. Yes, so again, I think it kind of
goes back to what I was just saying about the flexibility and
modernization of allowing businesses to be able to provide for
their employees, and have that flexibility of what the offering
can be.
Again, as we go through rulemaking, the specifics is where
I will look to Congress, and/or stakeholders to determine, and
then as we move through that process, then be able to make a
final determination on that rulemaking, but I cannot really
comment as it is in rulemaking, so.
Mr. Onder. Thank you. I yield back.
Secretary Chavez-DeRemer. Thank you, Congressman.
Chairman Walberg. I thank the gentleman. I recognize the
gentlelady from Pennsylvania, Ms. Lee.
Ms. Lee. Thank you, Mr. Chair. Job Corps is the largest
residential workforce development program for young people in
the country. They accept low-income, 16 to 24 year olds, who
are disconnected from education and the workforce, and they
give them housing and healthcare, educational support, career
guidance and skilled job training.
For the young people they serve, Job Corps is
transformational, and it leads to good jobs in critical fields
like healthcare and manufacturing. Madam Secretary, as you know
the Pittsburgh Job Corps is centered in my district, so I
cannot understand why you decided to close the center, but
given the trajectory of this administration, I cannot say I am
surprised.
We have 66 homeless teens and young adults living at our
residential center, and your department wanted to kick them
back out onto the streets with only a week's notice. It took a
Judge's order to stop you. Besides the plain cruelty of these
actions, our Job Corps in Pittsburgh was incredibly successful.
The last program year Pittsburgh Job Corps has the highest
average student credential attainment rate in the country, 83
percent of our students left with a high-skilled job
credential, and 81 percent job placement rate. It is despicable
that so many successful Job Corps Centers were closed based on
a now discredited DOGE report that is rife with false and
extremely misleading data.
I want to spend some time going through why this report is
just flat out wrong. Keeping in mind that your team sent this
report out last week when DOL announced you are closing our Job
Corps Centers. I would like only yes or no questions. Secretary
Chavez-DeRemer, my colleague Ms. Bonamici already established
that you worked together with DOGE, including in creating the
so-called Job Corps transparency report.
In the DOGE report it claims that the average cost per
graduate is $155,000. Yes or no, were you aware of that in
2020, pre-DOGE the Trump administration found Job Corps cost
per graduate to be $57,000, and the cost for enrollee was
$34,000 during the program year in 2017 and 2018?
Secretary Chavez-DeRemer. Thank you, Congressman. I am
sorry that----
Ms. Lee. Just yes, or no.
Secretary Chavez-DeRemer [continuing]. We do not know each
other, and that----
Ms. Lee. It is okay, just yes, or no?
Secretary Chavez-DeRemer [continuing]. That you were not
here for some of my previous----
Ms. Lee. Secretary, because you were here, I know that you
know that we have a really tight time crunch and we want to get
in a couple things. I appreciate the pleasantries, but just yes
or no, were you aware, and we can talk after.
Secretary Chavez-DeRemer. Yes, for sure. I do want to be
clear that I did not eliminate Job Corps.
Ms. Lee. No. Okay. Yes or no, okay. Reclaiming my time,
thank you. To be clear here, the reason for this difference,
other than DOGE's ineptitude is enrollment in Job Corps, it was
at its maximum level in those programs years, with flat funding
and forced COVID-19 shutdowns, enrollment went down, so the
cost per student went up, it is basic math.
Madam Secretary, this is just yes or no, are you aware that
Job Corps is not a typical job training program? That part of
its mission is to provide residential living and healthcare to
many of the youth who are homeless or transitioning out from
foster care, yes or no?
Secretary Chavez-DeRemer. Congresswoman----
Ms. Lee. Yes or no.
Secretary Chavez-DeRemer. Congresswoman, under the
temporary restraining order that was issued yesterday----
Ms. Lee. This is a yes or no. Are you saying that you are
refusing to answer? We have already established that you are
able to answer questions about this, so if you are choosing not
to you can say that, but it is yes or no, or I am choosing to
ignore your requests, or I am choosing to admit that I do not
know the answer, which is also okay.
Secretary Chavez-DeRemer. Congresswoman, under the TRO----
Ms. Lee. No. You are refusing to answer.
Secretary Chavez-DeRemer. I will comply with the law.
Ms. Lee. You are not complying with the law actually. I
think there is no legal necessity for you to refuse to answer
our questions.
Secretary Chavez-DeRemer. The Department of Labor has the
delegation to----
Ms. Lee. Thank you. You are admitting that you do not know
the answer?
Secretary Chavez-DeRemer [continuing]. Operations at the
Job Corps sites.
Ms. Lee. I am reclaiming my time. Respectfully reclaiming
my time. You are either going to answer or you are not, but you
do not have to waste any more of our time. Knowing Job Corps
provides housing for its participants, basic math would dictate
that the program is going to cost more per participant than
other WIOA programs.
I will answer for you, yes. Those reports also states that
the average annual earnings for a graduate with $16,695, this
number was derived by multiplying the median second quarter
earnings by four. I do not know you, you are not going to
answer whether you are aware that this is a false approach to
calculate earnings because that outcome measure does not
differentiate someone who got a job in the middle of the
quarter, or got a raise later in the quarter.
I will tell you that it is bad math. This means that your
DOGE report always undercounts earnings when aggregated at the
national level. I will assume you are not aware of that, thank
you for answering. If you had relied on the experienced career
staff at DOL, instead of the inexperienced DOGE staffers, this
error would not have occurred.
A better outcome measure is the average starting wage for a
graduate in the program year 2023, the same year the DOGE
report is using, which was $17.13 an hour more than twice the
Federal minimum wage. I had more questions, and you
successfully did not--were not going to answer them anyways,
but I do appreciate your time, and I hope that in the future
you will be a bit more transparent. Thank you, I yield back.
Chairman Walberg. The gentlelady's time is expired.
Secretary Chavez-DeRemer. Very disrespectful and very rude
from a former colleague.
Ms. Lee. No, no, Mr. Chair, her interrupting me repeatedly
was disrespectful. She knows that as a former Member of
Congress, that our time is precious, and you were allowing her,
and allowed her to, so I just wanted to respond to that
disrespectful comment because I do not appreciate it.
Secretary Chavez-DeRemer. Thank you, Chairman.
Chairman Walberg. The gentlelady's time is expired, and now
I recognize the Subcommittee Chairman for Workforce
Protections, the gentleman from Pennsylvania as well, Mr.
Mackenzie.
Mr. Mackenzie. Well, thank you Madam Secretary, I
appreciate you being here today, and your willingness to answer
questions before the Committee. You have been very accessible
during your tenure, and we look forward to continuing to work
with you.
Secretary Chavez-DeRemer. Thank you.
Mr. Mackenzie. One question that I would like to ask
relates to labor force participation. It continues to remain
below pre-pandemic levels with millions of Americans who are
working age dropping out of the workforce during COVID, and not
yet having returned.
What specific steps is the Department taking to re-engage
these individuals, remove barriers that may be keeping them on
the sidelines and get them back into the workforce?
Secretary Chavez-DeRemer. Well, the goal of the Department
of Labor is to be focused on the apprenticeship program through
the executive order. One of the things this administration has
asked the Department of Labor to do is to be laser focused on
developing that throughout the country.
Currently, we sit at about 700,000, sometimes give or take
20,000 apprentices. Since January 20th, and the President
taking office, we have had about 83,000 apprentices come
online. I think that that is key and a testament to what this
administration is doing with the investments and onshoring of
manufacturing and construction jobs, and transportation jobs.
We have seen the numbers go up every single month, so under
the Department of Labor, my goal is to be laser focused on
getting out on the road. The America at Work tour, which I had
mentioned before, and then talking to private businesses and
public to invest in their workforce on the frontline in their
respective states.
Then we will assist them in that compliance, in registering
those apprenticeship programs to grow the entire economy
through all sectors.
Mr. Mackenzie. Well, that is terrific. I know there are a
number of barriers that are stopping people from getting back
into the workforce. One that I would just like to highlight
here is working families, two parent families where both
individuals are working, high costs of child care can certainly
be a barrier, paid maternity leave is another barrier.
I want to work on those things. We have some different
legislative ideas, both on the tax base and policy space that
look forward to hopefully being able to work with you to make
sure that working families have the best opportunities to
provide for their family and be a part of our workforce.
The next thing that I would like to talk about is a very
broad topic relating to our American economy and American
workforce, but it is artificial intelligence. We have held
hearings here at this Committee, and others about the impact
that artificial intelligence is going to have, particularly
related to the workforce.
I would like to hear your thoughts on what AI means for
current workers, for the future economy, and what we should be
doing to prepare for the changes that AI is going to bring.
Secretary Chavez-DeRemer. Again, thank you for addressing
that. Again, another executive order by this administration is
not only growing the workforce and the apprenticeship program,
but in line with artificial intelligence. What we know on the
outset is that there are a lot of young American workers who
are coming online. This is native to them, and AI is not going
away.
It is something that the trajectory of it has changed
dramatically. I sit on an artificial intelligence Subcommittee,
with Secretary McMahon, and Secretary Wright from the
Department of Energy. We just had our first meeting yesterday
in regards to that, and how we are going to address the future
workforce as AI is really running down the same tracks at the
exact same time.
One of the fears oftentimes that I hear is will AI replace
my job? One of the things that we never want to at the
Department of Labor is displace the American worker. We want to
assist the American worker, and I will be working with Congress
and looking to them as they develop their policies in order to
protect the American worker.
How do we modernize again and streamline some of the
systems and efficiencies within the business community? Even at
the Department of Labor and understanding what our systems are
sometimes archaic, and will AI assist us in that, so we can be
more efficient in our budgeting process, or our proposals, or
our priorities, and then assist the American worker along the
way?
As we move through the apprenticeship program and work with
our local community colleges, and our career and technical
education schools, AI will be on the forefront, and we have to
be dedicated through the executive order that we will be
focused in on a lot of the investment programs that we do, we
will be leaning in toward the AI, so that we have the trained
workforce as we move through the future.
Mr. Mackenzie. Well, that's terrific. I am glad you are
going to be involved in the AI transformation. I think it is a
tremendous opportunity. We want to make sure that that is an
American opportunity led by the innovators and entrepreneurs
and everybody right here in our country, and I think it has the
opportunity to make American workers that much more productive.
They are already the best in the world, but I think we can
do even better if we harness the power of AI.
Secretary Chavez-DeRemer. Well, I could not agree with you
more because I think that that is really where the urban rural
divide will completely go away, because we want to make sure
that we are accessing all of the workforce in this AI sector,
and that will be through innovation. It will not just be the
best and the brightest.
Everybody can have access to it, and we will break down
those barriers, so that they can attain the American dream.
Mr. Mackenzie. Thank you again and I yield back.
Secretary Chavez-DeRemer. Thank you, Congressman.
Chairman Walberg. I thank the gentleman. Now, I recognize
the gentlelady from Minnesota for 5 minutes of questioning, Ms.
Omar.
Ms. Omar. Thank you, Madam Secretary, for being here with
us, and watching the hearing earlier I learned that you are
also a former union member.
Secretary Chavez-DeRemer. My father was a Teamster.
Ms. Omar. Okay. All right. I am a former AFSCME member, so.
I wanted to talk a little bit about the child labor
enforcement. In two appropriations hearings last month you
expressed a firm commitment to fighting illegal child labor, at
the same time your agency has decimated ILAB, including its
work to prevent child labor.
Your budget proposal will weaken a historically under
resourced Wage and Hour Division. The nominee to be your
solicitor of labor wrote a chapter in Project 2025, which
literally calls for the rolling back of child labor laws. Madam
Secretary, can you assure this Committee that you will not
propose any rollbacks of child labor rules that prevent
children from being employed in hazardous occupations?
Secretary Chavez-DeRemer. I commit to fighting against all
child labor exploitation. Absolutely, in this country we do not
want to exploit our children, and I am consistent with putting
the American worker first. The budget does streamline ILAB,
that is one of the agency heads, or agency departments that
protect the American worker, and protect against child labor
violations.
The budget provides for about 70 million dollars to ILAB,
including 38 million in grant funding while restoring ILAB's
emphasis on putting the American worker first.
Ms. Omar. That is a long way of you saying yes?
Secretary Chavez-DeRemer. I will work absolutely to combat
all child labor.
Ms. Omar. Wonderful. Many workers across the country will
feel the impacts of your staffing, and funding cuts to WHD and
OSHA. As of May 2025, WHD employs just 611 investigators
nationwide, this is the lowest number since at least 1973, even
though there are nearly ten times as many workers and
businesses for them to cover.
Your budget proposal cutting the office by 25 million
dollars, with staffing projected to fall. Your budget would
also cut OSHA inspectors by over 12 percent, even though
currently it will take 185 years to inspect every workplace
just once. Madam Secretary, what is the plan to keep workers
safe when you are slashing enforcement?
Secretary Chavez-DeRemer. Yes, no, thank you again. You
know, again, one of the overall core missions is to protect the
American worker, and that includes in the Wage and Hour
Division as well. While we are streamlining and doing some cost
saving for the American taxpayer, we will always be in
compliance with our statutory requirements.
Ms. Omar. Madam Secretary, Madam Secretary, if I can just
interrupt for 1 second. At one point DOGE was set to close 20
WHD field offices and 11 OSHA offices. If this is happening,
how will this protect workers?
Secretary Chavez-DeRemer. The offices that we have been--
that were originally proposed through GSA, we have worked with
to bring them online. I do not think that that is a good use of
the compliance issue that we have to protect the American
worker. Through the DRP, none of our essential workers, even
through Wage and Hour, through OSHA, through MSHA, were able to
take those because we know we need those investigators on the
ground to protect the American worker, and I advocated for
that.
Ms. Omar. Yes, but having fewer investigators and
inspectors will not protect workers from wage theft,
misclassification, and dangerous working conditions, so how are
you going to operate with less even though we did not even have
enough to begin with?
Secretary Chavez-DeRemer. Well, it depends on what the
priorities are from the past administration, but----
Ms. Omar. Are inspections not priorities?
Secretary Chavez-DeRemer. They are priorities to protect
American workers.
Ms. Omar. With less inspectors you cannot do
investigations.
Secretary Chavez-DeRemer. What we do not want to do is
weaponize the use of those funding dollars against----
Ms. Omar. How is there weaponization if you are--if it is
going to take you 187 years to complete inspections, and you
are cutting the inspectors that are going to supposed to do
those inspections? The math is not mathing.
Secretary Chavez-DeRemer. Well, statutorily we will protect
the American worker. We did not have any of our investigators
currently. We are not able to take the DRP in order so that
they can be assigned to the job that they are required to----
Ms. Omar. Are you saying that you are going to hire more
investigators to do inspections?
Secretary Chavez-DeRemer. What I am saying is we did not
allow our statutorily mandated offices that we need essential
workers, like our investigators through Wage and Hour, through
MSHA and through OSHA, to take the DRP because they are
essential to protecting the American worker in these
industries.
We can still cost save and do the job that we need to do.
Ms. Omar. American workers can expect that you will
expedite investigations to make sure that we are assuring their
safety?
Secretary Chavez-DeRemer. American workers can expect that
the Department of Labor will protect the American worker, as
that is a core mission of the Department of Labor.
Ms. Omar. I hope you keep that promise. I yield back.
Chairman Walberg. I thank the gentlelady. I recognize the
gentleman from Wisconsin.
Mr. Grothman. Thank you for coming on over here to our
humble hearing room.
Secretary Chavez-DeRemer. Hi, Congressman Grothman, I miss
you.
Mr. Grothman. Oh. Let us talk about 14-C, are you familiar
with 14-C?
Secretary Chavez-DeRemer. I am.
Mr. Grothman. That is the provision regarding giving people
with special needs the ability to work for less than minimum
wage?
Secretary Chavez-DeRemer. Yes.
Mr. Grothman. Section 14-C certificates expand employment
opportunities for individuals with disabilities, and it is
always enjoyable, and one of the things I suggest you do if you
have not done it yet, is tour a facility where these 14-C
certificates are in use, and which people who maybe otherwise
would not be able to find a job at all are given all the
benefits of, you know, being able to work themselves.
The Democrats in the Biden administration did not like 14-
C. They felt it was taking advantage of somebody to go out and
to work for five bucks an hour. I personally am a big fan of
14-C because I have toured so many different facilities, in
which these disabled folks are able to develop a little bit of
independence, work on their own, the socialization with other
people.
The Biden administration tried to introduce a requirement
that would make it very, very difficult to use 14-C. Do you
have--have you yet developed a view of 14-C, and do you plan on
withdrawing the Biden administration rule?
Secretary Chavez-DeRemer. Well, Congressman, as you know, I
cannot comment. It is an active rulemaking now, and you know,
developing that process is going to be working with Congress,
and absent of any congressional action, as you know many states
have taken on their own determination of whether they want to
continue with 14-C or not.
This is an important issue to so many Members of Congress,
it is really not a partisan issue. I have heard from so many
how it is important to them on one end, and not on the other,
but I look to the states respectively to determine if that is
what they want, but because Department of Labor is in active
rulemaking on this, I cannot comment specifically on where we
are with that.
Mr. Grothman. I will ask you this. Have you personally
toured any of these facilities?
Secretary Chavez-DeRemer. I have not Congressman.
Mr. Grothman. I cannot ask you to come to Wisconsin because
you would have to come to every State, but would you like it
someday if we set up a tour and see a few of them so you see
the type of people who lives would be affected, and in some
cases I would argue, almost ruined?
Secretary Chavez-DeRemer. Yes. I would be--I think it would
be important to understand.
Mr. Grothman. Absolutely.
Secretary Chavez-DeRemer. Wisconsin it is.
Mr. Grothman. We will set something up, give you three or
four of these things. Next thing that is kind of--hopefully it
is not too obscure, there are more--in Wisconsin, we have more
than 600 volunteer fire departments, I bet it is even higher
than that. That is what it says here.
In February, OSHA issued a proposed rule on the new safety
and health standard for emergency response replacing the
existing fire brigade standards. One of the goals, I think by
the way of the fireman's union is to get rid of volunteer fire
departments, which are such a huge part of America.
Actually when I first got involved in politics, in my
Assembly district, I had like eight volunteer fire departments
and nobody had a full-time fire employee. Given concerns about
feasibility and cost, and I would say more than that, just all
the wonderful volunteer firemen.
Will the Department commit to revisiting or revising the
proposed OSHA Rule to ensure lifesaving emergency services are
not undermined by Federal overreach, and really just basically
standing up to the firemen's union and saying we do not mind it
if local communities want to have volunteer departments?
Secretary Chavez-DeRemer. Well, I cannot speculate on what
the firemen's union thinks about the volunteer firefighters.
What I will say is again, while this is in rulemaking, I
committed when I took on this job, that I would look at and do
an analysis on all rulemaking and regulation.
As we move through that process, I will be able to update
you and your office and this Committee, and I can followup with
that. We do want our Nation's first responders safe, and that
will include all of those first responders.
Mr. Grothman. Great. I did not even know, in your old
congressional Districts did you have a lot of volunteer
firemen?
Secretary Chavez-DeRemer. We do have volunteer fire
departments, really throughout the entire country, but yes.
Mr. Grothman. Okay, super. I will say this, President Trump
signed Executive Order 14173, which rescinded Executive Order
11246. That was an order from 1965, a horrible, horrible order,
that established employment--am I over here?
Chairman Walberg. Way over. You are going over.
Secretary Chavez-DeRemer. I am committed to working with
your office and can answer those.
Mr. Grothman. Okay, thank you much.
Secretary Chavez-DeRemer. Yes.
Chairman Walberg. I thank the gentleman. Now, I recognize
the Ranking Member, the gentleman from Virginia, Mr. Scott.
Mr. Scott. Thank you, Mr. Chairman. Madam Secretary, thank
you so much for being with us, and you have heard from many
members on both sides who have thanked you for your phone
calls. We hope that communication continues. It is my
understanding that many of the job training programs have
either been eliminated or block granted, but when the aggregate
funding is added up it is 1.6 billion dollars less. Is that
right?
Secretary Chavez-DeRemer. Yes. Yes, that is correct.
Mr. Scott. Okay.
Secretary Chavez-DeRemer. On the proposed budget and I will
look for Congress for the ultimate budget.
Mr. Scott. Thank you. We have heard a comment about 14-C,
most states have actually abandoned 14-C, as you know, in favor
of strategies to transform employees to competitive employment.
As other states continue to abandon 14-C, will you work with us
to help those that need assistance to be able to earn a full
minimum wage?
Secretary Chavez-DeRemer. Yes, I am committed to your
office and many others. Again, this is really not a partisan
issue, this is really a personal issue to many Members of
Congress, so I am committed to working with you on the
technical assistance as needed.
Mr. Scott. Thank you. Could you tell us the status of
OFCCP?
Secretary Chavez-DeRemer. Yes, through the executive order
that will continue to be, and through this budget, will be
confirmed that we will enforce all discrimination laws, anti-
discrimination laws on the books, and this is duplicative, and
it is an executive order that we are following through and will
wind down OFCCP. Well, and now it is in litigation, so I guess
we will have to see about that.
Mr. Scott. Can you tell us the status of the Bureau of
Labor Statistics?
Secretary Chavez-DeRemer. Independent of the Department of
Labor, we want to make sure that we are not putting our thumb
on the scale there, and they are independent for those numbers,
so we want the most accurate data as possible.
Mr. Scott. Does that mean they are going to keep the--the
29 U.S.C. has a provision that Bureau of Labor Statistics under
the direction of the Secretary of Labor shall, and then it goes
on.
Secretary Chavez-DeRemer. Let us see. I can get you the
specifics to that. I do not know if you finished your sentence,
what the question was exactly.
Mr. Scott. You are answering the question.
Secretary Chavez-DeRemer. Yes.
Mr. Scott. Yes. We need to followup on that.
Secretary Chavez-DeRemer. Sure.
Mr. Scott. MSHA, as you pointed out, closed a number of
offices that have been reopened, who decided to close those
offices, and what standard was used to reopen them?
Secretary Chavez-DeRemer. That was GSA before I was even
confirmed. We have worked with them specifically to have them
understand the importance statutorily that we need to have that
in the Department of Labor, and I think since then 34 offices
have been released, but I can get you the specifics, because
actually the fluidity of that happens every single day.
Mr. Scott. All of them have not been reopened?
Secretary Chavez-DeRemer. I could not give you--it is not
all, but I do not know the exact number. I think we are at 34,
but I do not know exactly, and I am glad to followup with your
office and give you those.
Mr. Scott. Are there other agencies on the shutdown list?
Secretary Chavez-DeRemer. I do not know specifically which
agencies you are referring to.
Mr. Scott. Any agencies that have regional offices being
shut down by people out of the blue. When you said GSA, that
was not under----
Secretary Chavez-DeRemer. Well, GSA is the one who had
determined those leases, but now that that is under, you know,
litigation, I cannot really speak to the specifics of that. I
do not know of any future shutdowns that you are referring to,
unless you ask specifically.
Mr. Scott. If you do not--that answers the question.
Secretary Chavez-DeRemer. Yes, I do not know.
Mr. Scott. Okay. Injured Federal employees around the
country are receiving emails telling them that hearings that
they need to resolve their workers compensation claims are
being canceled because the Department has terminated its
contract for court reporters needed to transcribe the hearings.
Are you aware about that, and if so, who decided to cancel the
contracts and why?
Secretary Chavez-DeRemer. I am not aware of that, and I can
have my team followup with your office.
Mr. Scott. Okay. Are you aware of any businesses run by
Elon Musk that are under investigation by the Department of
Labor?
Secretary Chavez-DeRemer. No. I want to give you a specific
on this, you do not have it? Okay. I will followup with your
office.
Mr. Scott. Well, when he was running through the----
Secretary Chavez-DeRemer. There was no--I have no specifics
on that.
Mr. Scott. Okay. I think the answer is actually yes, but if
we could follow through on that that would be helpful.
Secretary Chavez-DeRemer. If my team has it for me before
this ends, I will give it to you.
Mr. Scott. Okay. Mr. Chairman, I think the 10 second rule
is about to kick in.
Secretary Chavez-DeRemer. Do not get gaveled out.
Mr. Scott. I would like to thank the Secretary for her
comments.
Chairman Walberg. I want to thank the gentleman for his
attentiveness to the time. There being no further questioners,
let me say thank you, Madam Secretary, for your attentiveness
today, for your willingness to be here, and attempting to
answer all the questions that you could.
I want to say also, thank you to our full Committee, both
sides of the aisle, for their interest in hearing from you and
the time they took to put questions together, some challenging,
some without answer, potential, but thank you. I want to say
thank you also to the audience for your attentiveness as well,
and your willingness to undertake listening through this long
period of time.
It is important, especially when we hear from a cabinet
Secretary on this very important department, so thank you as
well to the staff who put this--for both sides of the aisle,
put this together, so that I hope it would be helpful for you,
Madam Secretary as well.
Secretary Chavez-DeRemer. Well, thank you Chairman, thank
you Ranking Member, thank you to my team and certainly thank
you to the Committee for the assistance in today's hearing. I
look forward to updating the Committee early and often.
Chairman Walberg. We look forward to that too. I would now
like to recognize the Ranking Member for his closing remarks.
Mr. Scott. Again, I would like to thank the Secretary for
her comments, and particularly for her willingness to
communicate with all the members of the Committee. I think that
many of them expressed appreciation for those phone calls. We
have heard a lot about the funding and how you can do more with
less, and we will have to see how that works out.
We have an obligation to our workers to make sure the
Department of Labor is doing its job. We will be doing
oversight, and we will be looking for additional answers. There
were a lot of questions that were asked that the Secretary is
committed to get back to us on. I think that is fair, and we
look forward to those answers. Thank you.
Chairman Walberg. I thank the gentleman, and on behalf of
the members of the Committee, I thank Secretary Chavez-DeRemer
for discussing the Trump administration's plans for smaller and
more effective government. Its plans to ensure there are fewer,
but more effective regulations, and its efforts so that skilled
workers can fill jobs, and make our economy stronger.
I also want to say thank you for your comments, direct
comments, about your desire for a growing workforce, a well-
trained, and with significant choice in movement in the
workforce as well, in the workplace. Also, your clear
understanding that good opportunities for workers demand great
opportunities for employers as well to succeed.
That all workers should have a reasonable expectation to
work in a safe environment, and to reasonably expect to return
safe at the end of the day as well. I appreciate that. The
Biden-Harris administration reversed some commonsense policies
that were enacted by the first Trump administration in favor of
radical one size fits all regulations that prioritized labor
union leaders, expanded the Federal bureaucracy, and pushed the
radical DEI agenda at times.
Our hearing today provides good news that the Trump
administration is advancing economic policies to unleash the
American workforce. President Trump is putting a stop to the
job killing and inflation driving regulatory blitz and
businesses and workers are optimistic. I just sense it back in
my district.
The Committee looks forward to review DOL efforts on behalf
of American workers and businesses, and we look forward to
speaking with you again, as you have offered about what you
have heard on your tour of our great nation. With that and no
further business to be dealt with at this time, I declare the
Committee adjourned.
[Whereupon, at 1 p.m., the Committee was adjourned.]
[Additional submissions from Rep. Adams follows:]
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[Additional submissions from Rep. Bonamici follows:]
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[Additional submissions from Ranking Member Scott follows:]
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[Questions and responses submitted for the record by
Secretary Chavez-DeRemer follows:]
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