Su’s nomination passes committee, but Senate vote unclear

April 27, 2023

Mark Schremmer

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Julie Su’s nomination to lead the U.S. Department of Labor has advanced through a Senate committee. However, passing through the full Senate will likely be a more challenging hurdle.

The Senate HELP Committee voted 11-10 on Wednesday, April 26 in approval of Su’s nomination.

It is unclear when Su’s nomination will move to the Senate floor for a full vote, but heavy opposition is expected.

Su became deputy labor secretary in July 2021 after narrowly passing confirmation with a 50-47 vote. Before that, Su served as California’s labor commissioner during the implementation of AB5 – a controversial worker classification law that makes it extremely difficult for a worker to be considered an independent contractor. In trucking alone, the law has led to truck drivers leaving the industry or moving out of state.

During Su’s confirmation hearing last week, several senators mentioned concerns about Su’s nomination related to AB5.

“As secretary for the California Labor and Workforce Development Agency, Ms. Su was the chief enforcer of AB5 – a controversial law that dismantles the gig economy such as Uber, Door Dash, and Lyft, and removes the flexibility of individuals to work as independent contractors,” Sen. Bill Cassidy, R-La., said during remarks at the hearing. “Even in California, AB5 is unpopular. The governor and state legislature had to pass over 100 exemptions after it was implemented. In fact, the statutory exemptions are longer than the text of AB5 itself.”

Rep. Kevin Kiley, R-Calif., also has been extremely critical of Su’s nomination. The Congressman told Land Line Now about his concerns during an interview earlier this week.

“The concerns are many, wide-ranging and far-reaching,” Kiley said.

According to the Sacramento Bee, California’s Employment Development Department was heavily criticized for how it handled claims and that payments were delayed for an estimated 5 million workers during the pandemic. In addition, the federal benefit programs for COVID were “riddled with fraud,” and an estimated $20 billion of lost claims occurred in California alone.

Kiley also spoke out against Su’s ties to AB5.

“She was the lead enforcer, and she did everything she possibly could to broaden the impact of that law,” Kiley said.

OOIDA opposes Julie Su nomination

The Owner-Operator Independent Drivers Association, which is currently fighting California’s AB5 in court, recently sent a letter to the Senate in opposition of Su’s nomination to lead the Department of Labor.

OOIDA said that AB5 and the “haphazard” rollout forced independent contractor truckers to either leave the state, become an employee, attempt to reconfigure their business or abandon the profession. The Association is concerned that Su could attempt to roll out a version of AB5 on a national scale.

Su is expecting to receive no votes from all 49 Republicans in the 100-seat Senate. It remains unclear if Su will have enough votes for confirmation. According to The Hill, it is unknown how Sens. Joe Manchin, D-W. Va.; Jon Tester, D-Mont.; and Kyrsten Sinema, I-Ariz., will vote. LL