GENERAL ASSEMBLY ENACTS SWEEPING COVID-19 LEGISLATION |
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After an intense three days, the House and Senate adjourned after passing controversial and wide-ranging legislation that covers a number of topics mostly relative to COVID-19. The final legislation, opposed by the Tennessee Chamber, NFIB, Tennessee Trucking Association and almost 30 other business trade associations will now head to Governor Lee for his consideration. Lee recently noted he is “evaluating each piece of legislation to ensure we push back on harmful federal policies & do right by Tennesseans.”
The most significant concerns from the business community was regarding HB9077 / SB9014, which establishes a new or additional private right of action against business. Another area of concern, the legislation likely creates direct conflicts with federal directives, resulting in confusion and conflicts for businesses to navigate in an already challenging environment. Recently proposed and upcoming federal OSHA ETS rules and Executive Orders mandate employee vaccine and testing requirements on a wide range of employers.
In addition there are other news reports here.
Inside Scoop / Bad and the Good: House and Senate leaders incorporated some suggestions from the Chamber and other groups that helped to improve the bill for businesses.
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Private Business Mask Requirements – Original proposal outright banned private employers from requiring masks in any situation. The final version exempts private businesses and allows them to determine mask policies for employees and customers. This was perhaps the most significant change that helped to improve the bill.
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Business Violations of the Act jeopardize State grants- The original legislation proposed fairly stringent language that any business that was found to have violated any provision of the act would forfeit any funds they received from the state for 2 years includes ECD grants and tax credits. The final version of the legislation narrows these providing businesses an opportunity to remedy any violations.
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Federal Exemptions: The Tennessee Chamber worked to ensure the final legislation includes an exemption for companies that as a federal contractor, complying with this state statute would risk federal noncompliance or loss of the federal contract. Companies can apply for an exemption through the Tennessee Comptroller of the Treasury.
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Extension of the 2020 COVID Liability Business Protection Act – At the request of the Tennessee Chamber and others legislators agreed to extend COVID-19 liability protections for businesses to July 1 2022.
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Vaccine Injury- The 2020 COVID-19 liability protection act was amended to exclude vaccine “injuries” or adverse reactions allowing possible litigation in those instances possibly against and employer.
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OSHA – A major concern for the business community is the risk that Tennessee would lose our state operated OSHA plan. Federal officials have noted that if states do not adopt recent ETS amendments, there is a risk to federal OSHA taking over. This would double fines on Tennessee manufacturers and all other businesses immediately since Tennessee has been allowed to lower our fine structure through our state program. Generally, Tennessee businesses are pleased with the relationship and fairness of our TOSHA state administered program.
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Workers Compensation -The Legislation specifically notes that COVID-19 illness is not compensable for purposes of Tennessee’s Workers’ Compensation program.
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Private Right of Action Limited to Compensatory damages – The legislation does establish a new private right of action but legislators included that is only intended for compensatory damages and does not mention the inclusion of economic or punitive damages.
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Complications / Confusion - In looking closer at the statute, some have noted, the legislature is trying to push or encourage employers to instead of mandating vaccines, even with federal requirements, to opt to weekly test employees. The Chamber requested language that would have established that weekly testing does not represent an adverse action and that employer vaccination employer programs are allowed. Neither suggestion was included in the final bill.
The Legislation establishes an entirely new Title in Tennessee code, in addition to the 70 others. In light of the speedy session, a number of trade associations and businesses openly expressed frustration with the rushed timing and perceived lack of transparency to review amendment language prior to committee hearings. In atypical fashion, House and Senate committees also did not allow testimony from either supporters or opponents. Despite a number of legislators noting they had significant concerns with the proposals, the legislation was still approved overwhelming by both Chambers. Click here to see how lawmakers voted.
Deeper Dive: What's In and What's Not
The foremost priority with HB9077/ SB9014 was ensuring it would not prevent businesses from complying with any other law, regulation, or expected regulation. We believe that was accomplished, however that does not alleviate the deep philosophical concerns regarding new business regulations we have about the legislation as passed. Here is a deep dive into what the legislation, which now heads to Governor Lee’s desk does and does not contain:
Included:
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Employer may not require proof of vaccination: An employer may not require or compel proof of a COVID-19 vaccination. This mandate violates Tennessee’s long-standing employment-at-will philosophy that an employer can operate a business however is most appropriate for that operation.
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Private right of action: Any business who violates vaccine or adverse action protocols which are set forth in the act will be subject to lawsuits. The plaintiff in this scenario is entitled to damages and attorney fees. This creates the largest tort against Tennessee businesses in recent history.
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Unemployment benefits: If someone voluntarily leaves a place of employment as a result of an employer’s COVID-19 policy, they will be eligible for unemployment benefits. This section also applies retroactively if someone has recently left their job. The Chamber has concerns this provision may set off a reaction of employees leaving places of employment, further exacerbating workforce issues and stressing the states unemployment trust fund.
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The state shall not enforce federal COVID-19 countermeasures: “Except funding for emergency rules already in effect and until the emergency rule expires, public funds of this state, or any political subdivision of this state, shall not be allocated for the implementation, regulation, or enforcement of any federal law, executive order, rule, or regulation that mandates the administration of a COVID-19 countermeasure.” The chamber is evaluating impacts the station they have on departments within state management. Initial concern is that departments may not be able to assist with COVID-19 safety measures.
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Enactment and sunset: The legislation will be active upon becoming law. This raises urgent concerns since this means the act will be permitted immediately once it becomes law and a number of employers will be unaware or unprepared to comply. The law will terminate, unless renewed by the legislature in July 2023.
Not included:
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Mask mandates: In the early versions of legislation, businesses would have been preempted from requiring masks be worn by customers, visitors, and employees. This obviously presents a number of issues for businesses who wish to protect their operation with enhanced safety protocols. This provision was especially bothersome to manufacturing community who, at times may have employees within close proximity of one another. Removed to address business concerns.
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Testing requirements: Early iterations of the legislation contemplated testing and placed limits or bans on the ability and frequency businesses required employee testing. It is expected that OSHA emergency rules will require testing as vaccination can be used as an opt out. This state provision would have led to automatic federal noncompliance. Removed to address business concerns.
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Noncompliance of federal contractors: Original text in one iteration of the bill did not allow an exemption for businesses who are federal contractors. This would have rendered them out of compliance with federal policy and placed billions and billions of Tennessee’s businesses federal contract revenue in jeopardy. Removed to address business concerns.
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Penalties: Original text included provisions stating that businesses would be penalized by losing state tax credits, state incentives, and state contracts if found out of compliance. It also included provisions which would allow for clawbacks to retroactively collect incentives which had been awarded in the past. This would have created unprecedented overreach and sent clear anti-economic development signals. Removed to address business concerns.
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OSHA state affiliate status: Original language could have jeopardized TOSHA as the state affiliate of OSHA. In this scenario, OSHA will take over occupational health and safety in Tennessee, leading to grossly more fines, and less education efforts. TOSHA does tremendous work to educate before punishing. Removed to address business concerns.
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RIBBON CUTTING WITH COFFEE |
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USE YOUR MEMBERSHIP TO THE FULLEST |
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Learn more about the Blount Chamber and the many opportunities that go along with being a member. Learn how to make the most of the benefits afforded to you with an in-person workshop on November 3 from 2-3:30 p.m. at the Blount Partnership (201 S. Washington St., Maryville).
Your membership is a corporate membership. Please encourage co-workers to get involved, educated, network and promote your company via Blount Chamber events and opportunities.
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Join us for a midday networking lunch on November 4 at 11:30 a.m., at the new Peaceful Side Social (7967 E. Lamar Alexander Pkwy, Townsend).
Meet, Mingle, Lunch, Connect, Nibble, Engage and Network with other influential professionals.
Open to all Blount County Chamber members, but you must Register Online. This is a Dutch Treat lunch.
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STOP MANAGING, START COACHING |
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In this program participants will learn how to develop (or help managers to develop) their employees into a team of engaged and accountable winners by adding an inquiry-based approach to their management style.
This Program, ID No. 571286, has been approved for 1.50 HR (General) recertification credit hours toward aPHR™, aPHRi™, PHR®, PHRca®, SPHR®, GPHR®, PHRi™ and SPHRi™recertification through HR Certification Institute® (HRCI®).
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ARE YOU CREATING A HEALTHY WORKPLACE? |
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On November 19 from 8-10 a.m., learn better project management.
Gain strategies that will help you to complete projects on time, on budget, and on target.
Take your career to the next level with this soft skill session. Soft skills are strengthened and developed over time, and are necessary if you desire to climb the career ladder.
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The Blount County Chamber of Commerce has partnered with its software provider, Weblink, and Chamber Concierge to enhance your online presence on BlountChamber.com. A Chamber Concierge consultant is available to talk with members about taking advantage of the online benefits offered through your Chamber membership.
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Credibility – Chambers are a resource for the communities they represent – our website is a reputable place to expand your online presence.
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Visibility – Thousands of consumers visit the Chambers website annually!
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Opportunity – Advertisers enjoy priority placement, additional photo/video, bulleted highlights with additional links, expanded description of products/services and more.
Space is Limited, and sponsorships are reasonable, especially considering the Chamber’s website has over 100,000 unique visitors per year.
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One way to get the word about your upcoming holiday promotions is to participate in Small Business Saturday which is held on November 27.
It's a special holiday created so communities can show love for small local businesses. And it wouldn't be a celebration without businesses like you joining us!
The day was setup to help businesses with their most pressing need -- getting more customers. The day encourages people to shop at small businesses on the Saturday after Thanksgiving. The single day has grown into a powerful movement, and more people are taking part than ever before.
If your small business is interested in participating, please email alawson@blountpartnership.com. We will help get the word out about shopping locally at the beginning of the holiday season.
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November 2 from 11 a.m.-noon
November 2 from noon-1 p.m.
November 3 from 11 a.m.-noon
November 8 from noon-1 p.m.
November 9 from 11 a.m.-noon
November 9 from 10 a.m.-noon
November 9 from 1-2 p.m.
November 10 from 10:30-11:30 a.m.
November 11 from 10 a.m.-noon
November 11 from 10 a.m.-noon
November 16 from 10-11 a.m.
November 16 from 10 a.m.-noon
November 16 from 10 a.m.-noon
November 17 from 1-4 p.m.
November 18 from 10 a.m.-noon
November 18 from 1-2 p.m.
November 18 from 10 a.m.-noon
November 30 from 4-6 p.m.
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Please note. If you wish to add any of the following events to your calendar, you can do it from the website calendar by clicking on the icon in the lower right-hand corner of the listing. Chamber Events | Community Events
November 1-7
November 8-14
Save the Date
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BE SURE YOU'RE FOLLOWING US |
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If you aren't following us on social media, you must. We are constantly updating information as each day progresses. So, give us a like and stay up-to-date as we move through this crisis.
And follow tourism updates here:
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Here's a great way to offer Member-to-Member deals using your chamber member account. Check the deals.
Members can post Coupons and Discounts to this page at no charge. Click Here
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