President Bush's first budget was proposed on April 9th, with the priority of reducing taxes by $1.6 trillion over the coming decade.For the fiscal year beginning October 1, 2001, overall federal spending is slated to increase by 5.6%, with increases concentrated in a few programs such as Education, Social Security, Medicare and Medicaid, the National Institutes of Health, and the military.
The proposals for the Department of Labor reflect a $5.3 billion increase in overall spending, with increases directed mainly toward the new Office of Disability Employment Policy.An increase of $65 million is proposed for the Unemployment Insurance Program, based on projections of increased unemployment.Labor law enforcement agencies are held at 2001 levels, consistent with the goal of decreasing enforcement by increasing prevention and compliance assistance.
Office of Disability Employment Policy
By far the biggest winner in these budget proposals is the Office of Disability Employment Policy. Funding for this new program, begun in 2001, will nearly double to $40.6 million in FY 2002.The purpose of the Office is to support President Bush's New Freedom Initiative. The budget creates a new $20 million Access to Telework Fund, which would help States provide low-interest loans to disabled people to buy equipment that allows them to telework.A company's contributions of computers and Internet access for home use is a tax-free benefit for employees with a disability.
The Administration would also exempt home workers from the jurisdiction of the Occupational Safety and Health Act.$5 million is earmarked for the Small Business Administration to provide technical assistance to help small businesses comply with the Americans with Disabilities Act (ADA), to hire more people with disabilities, and to serve customers with disabilities.
The Administration will continue to support the Ticket to Work and Work Incentives Improvement Act, including $6 million for accessibility grants for One Stop Centers, and $6 million for younger workers with disabilities.The Disability Employment Partnership Board will continue: it is an advisory group of fifteen members from business, labor, rehabilitation and service providers, and disability-related organizations.
Finally, the Task Force on the Employment of Adults with Disabilities receives $2.6 million and 10 FTE staffing positions to complete its final report to the President, scheduled for July 26, 2002. Other Changes: Nuclear Workers Benefits Program: Under the proposals, the Employment Standards Administration will receive an overall budget increase of approximately $400 million, most of which will go to the new Energy Employees' Occupational Illness Compensation Program Act entitlement program.
This will provide compensation to certain workers (or their families) for illnesses related to their exposure to beryllium, radiation, or silica in the Department of Energy's nuclear weapons complex.It is still undecided who will administer these funds, with Labor Secretary Elaine Chao proposing that the Justice Department take responsibility.
Office of the 21st Century Workplace: This new program will be focus on the new economy issues of skills gaps and how structural changes affect the workforce and the economy.On June 20th, 2001 a summit meeting of business, union and government leaders will meet in Washington D.C. Department of Labor Staffing:
Departmental staffing will decrease by 1%, mostly through attrition and retirement.The exception will be in the Bureau of Labor Statistics, where an increase of $8.1 million will be directed to changing the calculation of the Consumer Price Index.
Beginning in FY 2002, expenditure weights will be updated every two years instead of every 10 years.An increase of $43 million is also requested for updating the Department's information technology.
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