Charleston Leader

U.S. Senator Shelley Moore Capito (R-W.Va.), Ranking Member of the Senate Appropriations Subcommittee on Labor, Health and Human Services, Education, and Related Agencies (Labor-HHS), expressed her concerns about the leadership of Acting Secretary Julie Su at the U.S. Department of Labor’s (DOL) during a hearing to review the DOL's budget requests for Fiscal Year 2025.

Capito focused on issues such as child labor exploitation, excessive regulations that negatively impact workers, reclassification of independent contractors by the DOL, a recent significant increase in the overtime salary threshold, political Environmental, Social, and Governance (ESG) rules introduced by the DOL for retirement fund managers, and her ongoing support for apprenticeship programs.

The senator also shared her apprehensions about Su's leadership at a Senate Republican Leadership press conference held recently. In her opening statement at the hearing, Capito said: “Thank you, Chair Baldwin. This is the first Labor budget hearing we have had in our roles at the helm of the Labor-HHS Subcommittee."

She continued: "Acting Secretary Su, you did not appear last year in part because the budget came out right as Secretary Walsh was leaving the Department. Thank you for being here to describe the fiscal year 2025 budget priorities for the Department of Labor."

Capito highlighted several concerns with Su's leadership at DOL. She believes there is an agenda to introduce new regulations that add layers of red tape and could potentially harm worker choice. She stressed that West Virginia needs fewer inefficient and expensive regulations and more job creation.

However, she clarified that not all regulations are detrimental. She commended efforts to curb child labor violations and ensure safety for hard-working West Virginians.

Capito criticized several new rules and changes implemented under Su's leadership. These include changes to who qualifies as an Independent Contractor which now imposes a complicated six-factor test allowing bureaucrats to decide who is and isn't an independent contractor. She also expressed concern over the ESG investment rule, which pressures retirement plan fiduciaries to consider environmental, social, and governance factors in their investment decisions.

The senator ended her statement by expressing hope for bipartisan support on issues such as apprenticeship programs and urged the DOL to focus on job creation and workforce development strategies.