2003 Highlights
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Department of Labor & Industrial Relations Table of Contents Page Department Highlights......................................................................................................... i Administrative Services Office............................................................................................1 Disability Compensation Division.......................................................................................7 Employment Security Appeals Referees’ Office...............................................................13 Hawaii Civil Rights Commission ......................................................................................17 Hawaii Labor Relations Board...........................................................................................47 Hawaii Occupational Safety and Health............................................................................69 Report of Occupational Safety and Health Training & Assistance Special Fund......................................................................75 Amended Report of Contested Cases ....................................................................79 Unsafe Employment for Women ...........................................................................81 Hoisting Machine Operators’ Advisory Board......................................................85 Labor & Industrial Relations Appeals Board.....................................................................87 Office of Community Services ..........................................................................................91 Personnel Office.................................................................................................................97 Research & Statistics Office ............................................................................................101 State Fire Council ............................................................................................................107 Unemployment Insurance Division .................................................................................111 Annual Evaluation of the Hawaii Unemployment Compensation Fund .............................................................................................117 Wage Standards Division.................................................................................................147 Workforce Development Council....................................................................................151 Workforce Development Division...................................................................................157 The Employment and Training Fund Program ....................................................163 Report on Non-General Fund Information ......................................................................177 Reports on House Concurrent Resolutions......................................................................187 House Concurrent Resolution 43.........................................................................188 House Concurrent Resolution 92.........................................................................194 House Concurrent Resolution 182.......................................................................200 . Department of Labor & Industrial Relations 2003 Highlights .......... i . 2003 Department Highlights Overview The Department of Labor and Industrial Relations (DLIR) is responsible for the administration of the State’s labor laws as enacted in the Hawaii Revised Statutes (HRS) and which are designed to ensure and increase the economic security, physical and economic well-being, and productivity of Hawaii’s workers. The department also administers related federal programs in accordance with its responsibilities under state law. The primary functions of the department are to promote access to employment and continually assess the needs and skills of the workforce. Its objectives are to alleviate the economic hardship of workers during periods of disability or temporary unemployment; protect the employment rights of workers and assure a safe and healthy workplace; develop, deliver and coordinate information to meet labor market supply and demand; and promote harmonious working relationships between business, labor, educators and government agencies. The DLIR is committed to protecting the rights of working people while ensuring the interests of businesses and employers. In order to accomplish this, the department believes the role of businesses in our state must be reexamined. Recent economic realities have made it clear that we can no longer operate in a business versus labor approach. Decisions on policies and legislation must now be geared toward mutual success for labor and business, as their fate is undoubtedly dependent on each other. As a result, the department has adopted a more business-friendly approach to work with employers, eliminate regulations, policies and practices that may hinder or prevent the growth of business, and help reduce the cost of doing business in Hawaii. Hana Lokahi – “Working Together Fiscal year 2002-2003 found the DLIR embarking on a new beginning and path of working closer together with business, labor, government agencies, and employees. Each division and agency experienced challenges and successes that served to strengthen their commitment and inspire them to continually improve the quality of programs, products and services they administer to better serve the public. In an effort to eliminate policies and practices that were perceived as heavy-handed, outdated or a hindrance to ensuring a balanced, level-playing field between business and government, the DLIR instituted several policy changes. For example, the department’s Hawaii Occupational Safety and Health Division (HIOSH) implemented a one-year pilot program, which allows safety inspectors to issue warning notices, rather than citations, for minor infractions. Employers are now allowed to fix “other than serious” violations on the spot and not be cited. If the ii particular violation cannot be fixed on the spot while the HIOSH inspector is at the job site, the employer would be given a “Notice of Violation” instead of a citation. The employer will have one week to abate the problem and mail a pre-addressed letter back to the DLIR informing HIOSH that the hazard has been corrected. This program will enable HIOSH enforcement personnel to concentrate on the more serious hazards in the community. The department also improved and expanded HIOSH’s consultation program by working with companies who share the same goal of ensuring a safe work environment for their employees. Our administration wants HIOSH to be known as a consultation agency first, rather than solely an enforcement agency. The department encouraged more businesses to partner with HIOSH in creating a safe work environment by participating in the division’s consultation and recognition programs. Employers receive free advice on how to make their workplace safer, and if they successfully complete the consultation program, are exempt from routine inspections. Our administration believes this a more effective approach in preventing accidents. This past year, more businesses participated in HIOSH consultation programs. While we want to first work with companies to prevent accidents, we are also committed to exercise the full measure of our enforcement authority against employers who seriously violate our safety rules or continuously ignore them. We are also removing policies that are arbitrarily enforced. For example, we removed HIOSH’s ergonomic policies of citing companies for lifting violations. Under the previous policy, companies were cited even though the department failed to adopt any rules informing companies what they have to do to comply with HIOSH’s ergonomic policies or what constitutes a violation. It is unfair to businesses to arbitrarily impose these policies without going through the required public hearing rule-making process where businesses can voice their opinions. Similarly, we removed policies in the Disability Compensation Division (DCD) that were arbitrarily enforced. A working group was established to assist in reviewing policies and rules and provide input on streamlining the overall workers’ compensation process. Throughout the year, many of the DLIR’s agencies were actively involved in outreach activities to increase awareness and promote the use of the department’s programs, services and products, train service providers on writing effective grant proposals, update the businesses and the community on new or amended labor laws, and serve as a resource to business and community groups. Efforts extended beyond the business community to include public schools and community colleges. Business relationships also continued to expand as divisions such as the Workforce Development Division, Workforce Development Council, HIOSH and DCD, partnered with various associations and groups to foster communication with employers to improve services for them and their employees. The DLIR also established a Business Relations Strategic Group comprised of the Administrators from the DCD, HIOSH, Unemployment Insurance Division, Workforce Development Division, and Research & Statistics Office. The group’s main objective is to develop, promote and execute innovative strategies between the DLIR and businesses that will help industries gain easier access to services of the department, deliver improved customer service, propose changes to laws, rules, policies and procedures