Senators Tell the Federal Trade Commission to Get Tougher on “Made in the USA” Cheats

Elizabeth Brotherton-Bunch

Elizabeth Brotherton-Bunch Digital Media Director, Alliance for American Manufacturing

Nearly 4,000 people signed onto our action last week urging the Federal Trade Commission (FTC) to impose tougher penalties on companies that falsely label their imported products as “Made in USA.”

It turns out a few Senators also sent a similar message of their own to the agency.

Democratic Sens. Tammy Baldwin (Wis.), Sherrod Brown (Ohio), and Chris Murphy (Conn.) sent a letter to the FTC on Oct. 12 to “express our concerns with ‘no-fault, no-money’ settlements for ‘Made in the USA’ labeling violations” and “urge the Commission to take all steps necessary to protect the integrity of the label.” The trio continue:

“Consumers view American-made goods more positively and are often willing to pay a higher price for them. In addition, consumers may be less likely to have health or quality concerns about a product when its true country of origin is concealed. If the consequences of misusing the “Made in the USA” label do not include paying fines or admitting wrongdoing, it is unlikely that these and other companies will be deterred from using the same deceptive tactics to sell their products in the future.” 

The senators specifically were responding to recent rulings by the FTC that found three individual companies labeled their products as “Made in USA” but actually imported them from countries like China.

In one case, the company Sandpiper/PiperGear USA made military-themed backpacks and other patriotic gear, which it sold on military bases overseas. Sandpiper placed an American-made label on its stuff, even though the company's products actually were made in China or Mexico. In another case, mattress company Nectar Sleep falsely represented its products as assembled in the U.S., even though they are made in China.

Then there’s hockey puck maker Patriot Puck, which positioned itself as “the all-American alternative to imported pucks,” draped its pucks in the American flag and claimed its pucks were 100% American-made. The pucks were imported from China.  

Although the FTC found that the companies had deceived consumers, the agency didn’t do much about it. None of the settlements with the three companies above included any monetary relief, notice to consumers, or even an admission of wrongdoing from the companies.

That didn’t sit well with us, nor did it sit well with FTC commissioner Rohit Chopra, who wrote a dissenting statement on the FTC settlement. And it didn’t sit well with Baldwin, Brown, and Murphy, who urged the FTC to “require the companies in these cases to pay fines and admit they lied.”

“Failure to take decisive action risks weakening the significance of the ‘Made in the USA’ label and undermining American manufacturers,” the senators added.

An open comment period on the FTC’s action in these cases ended on Friday. We’ll keep you updated with any new developments.

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Reposted from AAM

Posted In: Allied Approaches, From Alliance for American Manufacturing

Union Matters

Get to Know AFL-CIO's Affiliates: National Association of Letter Carriers

From the AFL-CIO

Next up in our series that takes a deeper look at each of our affiliates is the National Association of Letter Carriers.

Name of Union: National Association of Letter Carriers (NALC)

Mission: To unite fraternally all city letter carriers employed by the U.S. Postal Service for their mutual benefit; to obtain and secure rights as employees of the USPS and to strive at all times to promote the safety and the welfare of every member; to strive for the constant improvement of the Postal Service; and for other purposes. NALC is a single-craft union and is the sole collective-bargaining agent for city letter carriers.

Current Leadership of Union: Fredric V. Rolando serves as president of NALC, after being sworn in as the union's 18th president in 2009. Rolando began his career as a letter carrier in 1978 in South Miami before moving to Sarasota in 1984. He was elected president of Branch 2148 in 1988 and served in that role until 1999. In the ensuing years, he worked in various roles for NALC before winning his election as a national officer in 2002, when he was elected director of city delivery. In 2006, he won election as executive vice president. Rolando was re-elected as NALC president in 2010, 2014 and 2018.

Brian Renfroe serves as executive vice president, Lew Drass as vice president, Nicole Rhine as secretary-treasurer, Paul Barner as assistant secretary-treasurer, Christopher Jackson as director of city delivery, Manuel L. Peralta Jr. as director of safety and health, Dan Toth as director of retired members, Stephanie Stewart as director of the Health Benefit Plan and James W. “Jim” Yates as director of life insurance.

Number of Members: 291,000 active and retired letter carriers.

Members Work As: City letter carriers.

Industries Represented: The United States Postal Service.

History: In 1794, the first letter carriers were appointed by Congress as the implementation of the new U.S. Constitution was being put into effect. By the time of the Civil War, free delivery of city mail was established and letter carriers successfully concluded a campaign for the eight-hour workday in 1888. The next year, letter carriers came together in Milwaukee and the National Association of Letter Carriers was formed.

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