As the U.S. House of Representatives returned from recess Monday to a brief legislative session ahead of the November midterms, U.S. Representative Frank J. Mrvan introduced a measure to cut off federal funding for companies that lock out their employees.
Congressman Mrvan introduced the Preventing Revenue Opportunities for Workplace Lockouts and Retaliation (PRO-WORK) Act on Aug. 31, according to a press release from his office. The bill would bar employers from receiving federal funds for the duration of any labor lockout and disqualify them from federal tax credits for that tax year. A second lockout would trigger a one-year funding ban and loss of tax credits the following year.
A staunch pro-union advocate now in his third term representing Indiana's 1st Congressional District, Mrvan has long maintained strong backing from the United Steelworkers (USW).
“Members of organized labor built our region and are the backbone of our economy,” Mrvan said in the release. “I am taking this action to prevent any company that locks out American workers from receiving our tax dollars.”
Unlike a strike, in which employees choose to walk off the job, an employer lockout prevents workers from entering the job site, freezing wages and benefits during contract negotiations.
USW International President Roxanne Brown endorsed the bill, stating that lockouts harm broader regional economies. Eric Schultz, president of USW Local 7-1, added that companies should not receive taxpayer dollars while placing local workforces under financial strain.
The legislation has been referred to committee for consideration.
The full bill text of the PRO-WORK Act is available here.
