Friday, November 8, 2013

GOVERNMENT ISSUES MINING FATALITY REPORT, SAYS MINERS DYING IN PREVENTABLE ACCIDENTS

FROM:  U.S. LABOR DEPARTMENT 
MSHA issues third-quarter 2013 fatality data
Nine miners lose their lives in a three-month period

ARLINGTON, Va. — The U.S. Department of Labor's Mine Safety and Health Administration today released a summary of U.S. mining deaths that occurred during the third quarter of 2013. From July 1 to Sept. 30, there were nine mining fatalities in the United States. Five miners died in coal mining accidents and four in metal/nonmetal mining accidents. The number was two fewer than during the third quarter in 2012.

Two coal miners died in machinery accidents, and one each died in powered haulage, fall of roof or rib, and drowning accidents. Two metal/nonmetal miners died in powered haulage accidents, and one each died in machinery and falling/sliding material accidents.

Twenty-seven miners died in mining accidents in 2013 from Jan. 1 through Sept. 30, compared to 30 from Jan. 1, 2012, through Sept. 30, 2012.

"While the number of mining deaths was lower than in the same period last year, miners continue to die in accidents that could have been prevented, such as by using proximity detection equipment," said Joseph A. Main, assistant secretary of labor for mine safety and health. On July 2, a continuous mining machine operator was killed when he was struck by a battery-powered coal hauler and pinned between the coal hauler and coal rib. Proximity detection systems can be programmed to send warning signals to alert miners to the presence of moving machinery and can stop the machinery before it strikes, pins or crushes a miner working in the vicinity. As of Sept. 30, 2013, 372 proximity detection systems had been installed on continuous mining machines, coal hauling machines and scoops in underground coal mines.

"In metal/nonmetal mining, fatalities continue to occur that could be prevented by using ‘lock out/tag out' best practices," said Main. "Two of the fatalities this quarter could have been avoided by: disconnecting the power, ensuring the miner on the job has locked the power source in the safe position and tagging to prevent the power from being re-energized.

"While actions undertaken by MSHA and the mining industry continue to move mine safety in the right direction, these deaths are a reminder that much more needs to be done to protect the nation's miners and ensure they return home after every shift," said Main.

Wednesday, November 6, 2013

COMPANY SETTLES CLAIMS IT STEERED WOMEN INTO LOWER PAYING JOBS

FROM:  U.S. LABOR DEPARTMENT 
G&K Services Co. settles claims of pay and hiring discrimination with the US Labor Department
Agreement includes $265,983 in back pay to 59 women steered into lower paying jobs

LOS ANGELES — G&K Services Co. has agreed to settle allegations that it discriminated against female laundry workers by steering them into lower-paying positions regardless of their qualifications. The conciliation agreement between the federal contractor's facility located in Santa Fe Springs, Calif., and the department's Office of Federal Contract Compliance Programs resolves this pay discrimination violation, as well as the related finding that the company discriminated against male applicants in hiring.

"The settlement reflects a mutual commitment between the department and the leadership of G&K Services Co. to ensure that qualified workers, irrespective of gender, have a fair shot at competing for good jobs," said OFCCP Director Patricia A. Shiu. "I am pleased by this contractor's willingness to work with us on a proactive strategy to guarantee that all their workers have an equal opportunity to succeed in the workplace."

During a compliance evaluation, OFCCP determined that G&K Services had a practice of assigning laundry workers to different tasks and different pay rates on the basis of gender. Specifically, OFCCP found that between July 1, 2009, and June 30, 2010, female employees who had been hired as general laborers were assigned to "light duty" jobs that paid less than the "heavy duty" jobs involving similar work and qualifications, which the company reserved for men. Denying women access to higher-paying opportunities because of sex stereotyping is a form of pay discrimination in violation of Executive Order 11246. Investigators also found that male applicants were frequently denied the option to compete for a majority of the open laborer opportunities during the review period because the company only considered them for so-called heavy duty work.

Under the terms of the agreement, the contractor will pay $265,983 in back wages to 59 female workers who were steered into the lower paying jobs. G&K Services will also extend to the 59 female class members job offers in the higher-paying laborer positions. In addition, G&K Services will pay $23,968 in back wages to 331 male job applicants who were denied the opportunity to compete for open lower-paying laborer positions and make three job offers. The company has also agreed to undertake extensive self-monitoring measures, and review and revise their hiring and pay practices, to ensure they fully comply with the law.
G&K Services provides textile leasing and renting services to a number of different government agencies, including the Defense Commissary Agency, Bureau of Reclamation and NASA.

In addition to Executive Order 11246, OFCCP enforces Section 503 of the Rehabilitation Act of 1973 and the Vietnam Era Veterans' Readjustment Assistance Act of 1974. These three laws require those who do business with the federal government, both contractors and subcontractors, to follow the fair and reasonable standard that they not discriminate in employment on the basis of sex, race, color, religion, national origin, disability or status as a protected veteran.


Monday, November 4, 2013

ATTORNEY GENERAL HOLDER'S REMARKS ON JOHNSON & JOHNSON'S RESOLUTION OF CRIMINAL/CIVIL CLAIMS

FROM:  U.S. JUSTICE DEPARTMENT 
Attorney General Eric Holder Delivers Remarks at the Johnson & Johnson Press Conference
Monday, November 4, 2013
Good morning – and thank you all for being here.  I am joined by Associate Attorney General [Tony] West; Assistant Attorney General for the Civil Division [Stuart] Delery; U.S. Attorney for the Eastern District of Pennsylvania [Zane] Memeger; U.S. Attorney for the District of Massachusetts [Carmen] Ortiz; First Assistant U.S. Attorney for the Northern District of California [Brian] Stretch; and Deputy Inspector General for Investigations at the Department of Health and Human Services [Gary] Cantrell.

We are here to announce that Johnson & Johnson and three of its subsidiaries have agreed to pay more than $2.2 billion to resolve criminal and civil claims that they marketed prescription drugs for uses that were never approved as safe and effective – and that they paid kickbacks to both physicians and pharmacies for prescribing and promoting these drugs.  Through these alleged actions, these companies lined their pockets at the expense of American taxpayers, patients, and the private insurance industry.  They drove up costs for everyone in the health care system and negatively impacted the long-term solvency of essential health care programs like Medicare.

This global settlement resolves multiple investigations involving the antipsychotic drugs Risperdal and Invega – as well as the heart drug Natrecor and other Johnson & Johnson products.  The settlement also addresses allegations of conduct that recklessly put at risk the health of some of the most vulnerable members of our society – including young children, the elderly, and the disabled.

In the criminal information filed today, we allege that Johnson & Johnson subsidiary Janssen Pharmaceuticals Incorporated violated the Federal Food, Drug, and Cosmetic Act by introducing Risperdal into the market for unapproved uses.  In its plea agreement, Janssen admits that it promoted this drug to health care providers for the treatment of psychotic symptoms and associated behaviors exhibited by elderly, non-schizophrenic patients who suffered from dementia – even though the drug was approved only to treat schizophrenia.

In separately filed civil complaints, we further allege that both Johnson & Johnson and Janssen Pharmaceuticals promoted Risperdal and Invega to doctors – and to nursing homes – as a way to control behavioral disturbances in elderly dementia patients, children, and the mentally disabled.  The companies allegedly downplayed the serious health risks associated with Risperdal – including the risk of stroke in elderly patients – and even paid doctors to induce them to prescribe the drugs.  As part of this scheme, the companies allegedly paid kickbacks to the nation’s largest long-term care pharmacy, whose pharmacists were supposed to be the gatekeepers to provide an independent review of patient medications.  Instead, at the companies’ behest, the pharmacists allegedly recommended Risperdal for nursing home patients who exhibited behavioral symptoms associated with Alzheimer’s Disease and dementia.  This alleged conduct resulted in government health care programs paying millions of dollars in false claims for these drugs.

To resolve allegations stemming from the improper promotion of Risperdal, Janssen Pharmaceuticals will plead guilty to misbranding Risperdal – and has agreed to pay $400 million in criminal fines and forfeitures.  Johnson & Johnson and Janssen Pharmaceuticals have further agreed to pay over $1.2 billion to resolve their civil liability under the False Claims Act.  And Johnson & Johnson will pay an additional $149 million to resolve claims relating to alleged kickbacks to a long-term care pharmacy.
In addition to these claims, we allege that Johnson & Johnson and its subsidiary, Scios Incorporated, promoted the heart failure drug Natrecor for off-label uses that caused patients to submit to costly infusions of the drug – without credible scientific evidence that it would have any health benefit for those patients.  In a separate matter that was resolved in 2009, Scios pleaded guilty to misbranding Natrecor and paid a criminal fine of $85 million.  To resolve current allegations associated with the settlement we announce today, the companies have agreed to pay an additional $184 million.

This significant settlement was made possible by the relentless investigative and enforcement efforts of dedicated men and women serving as part of the Health Care Fraud Prevention and Enforcement Action Team – or, HEAT – which Health and Human Services Secretary Kathleen Sebelius and I launched more than four years ago to recover taxpayer dollars, to keep the American people safe, and to aggressively pursue fraud and misconduct whenever and wherever it is found.

Put simply, this alleged conduct is shameful and it is unacceptable.  It displayed a reckless indifference to the safety of the American people.  And it constituted a clear abuse of the public trust, showing a blatant disregard for systems and laws designed to protect public health.

As our filings make clear, these are not victimless crimes.  Americans trust that the medications prescribed for their parents and grandparents, for their children, and for themselves are selected because they are in the patient’s best interest.  Laws enacted by Congress – and the enforcement efforts of the Food and Drug Administration – provide important safeguards to ensure that drugs are approved for uses that have been demonstrated as safe and effective.  Efforts by drug companies to introduce their drugs into interstate commerce for unapproved uses subvert those laws.  Likewise, the payment of kickbacks undermines the independent medical judgment of health care providers.  It creates financial incentives to increase the use of certain drugs, potentially putting the health of some patients at risk.  Every time pharmaceutical companies engage in this type of conduct, they corrupt medical decisions by health care providers, jeopardize the public health, and take money out of taxpayers’ pockets.

This settlement demonstrates that the Departments of Justice and Health and Human Services – working alongside a variety of federal, state, and local partners – will not tolerate such activities.  No company is above the law.  And my colleagues and I are determined to keep moving forward – guided by the facts and the law, and using every tool, resource, and authority at our disposal – to hold these corporations accountable, to safeguard the American people, and to prevent this conduct from happening in the future.
This announcement marks another step forward in our strategic, comprehensive, and effective approach to fraud prevention.  We can all be encouraged by the actions that have been taken – and the results we’ve obtained – in recent years.  But we cannot yet be satisfied.  And that’s why, here in Washington and across the country, this critical work will continue.

I’d like to thank everyone who made this settlement possible.  In particular, I want to recognize the leaders, prosecutors, trial attorneys, investigators, and staff of the Civil Division here in Washington – as well as our United States Attorney’s Offices in Philadelphia, Boston, and San Francisco.  I am grateful for the committed efforts of our partners at the Department of Health and Human Services – particularly in the Office of the Inspector General – as well as the Food and Drug Administration and many other federal agencies that contributed to this outcome.  And I want to thank each of the state Attorneys General and Medicaid Fraud Control units across this country who contributed to this investigation.
I would be happy to take a few questions at this time.


Sunday, November 3, 2013

CONTRACTOR IN DC AREA WILL PAY $875,000 TO 381 MINORITY APPLICANTS

FROM:  U.S. LABOR DEPARTMENT 
DC-area construction contractor to pay $875,000 to settle discrimination case with US Labor Department
Nearly 400 minority applicants to receive back wages as company reviews hiring practices

DULLES, Va. — The U.S. Department of Labor today announced that federal construction contractor M.C. Dean Inc. has settled allegations that it failed to provide equal employment opportunity to 381 African American, Hispanic and Asian American workers who applied for jobs at the company's Dulles headquarters. A review by the department's Office of Federal Contract Compliance Programs determined that the contractor used a set of selection procedures, including invalid tests, which unfairly kept qualified minority candidates from securing jobs as apprentices and electricians.

"Our nation was built on the principles of fair play and equal opportunity, and artificial barriers that keep workers from securing good jobs violate those principles," said OFCCP Director Patricia A. Shiu. "I am pleased that this settlement will provide remedies to the affected workers and that M.C. Dean has agreed to invest significant resources to improve its hiring practices so that this never happens again."

Under the terms of the agreement, M.C. Dean will pay $875,000 in back wages and interest to 272 African American, 98 Hispanic and 11 Asian American job applicants who were denied employment in 2010. The contractor will also extend 39 job offers to the class members as opportunities become available. Additionally, M.C. Dean has agreed to undertake extensive self-monitoring measures and personnel training to ensure that all of its employment practices fully comply with Executive Order 11246, which prohibits federal contractors and subcontractors from discriminating in employment on the bases of race, color and national origin.

M.C. Dean is a construction, design-build and systems integration corporation with more than 30 offices worldwide. Since 2006, the company has held more than $600 million in contracts with federal agencies, including the U.S. Department of Defense.

In addition to Executive Order 11246, OFCCP enforces Section 503 of the Rehabilitation Act of 1973 and the Vietnam Era Veterans' Readjustment Assistance Act of 1974. These three laws require those who do business with the federal government, contractors and subcontractors, to follow the fair and reasonable standard that they not discriminate in employment on the basis of sex, race, color, religion, national origin, disability or status as a protected veteran.