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Oregon labor regulators ask for lawmakers’ help to tackle backlog

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Oregon labor regulators ask for lawmakers’ help to tackle backlog


When Christina Stephenson was elected Oregon’s labor commissioner in 2022, she stressed the importance of resolving the backlog of wage and civil rights claims as soon as possible.

“Especially a person who has had their wages stolen, getting them the money that they are owed could be the difference between them making rent, being able to pay for groceries,” Stephenson said in an interview with Oregon Public Broadcasting. “So of course, it is a top concern for us to get these cases through as fast as we possibly can.”

At the time, there were more than 5,000 wage claims and nearly 2,000 civil rights claims waiting to be investigated.

Today, that number has dwindled to around 3,000 wage claims and nearly 1,300 civil rights claims. But Stephenson is asking lawmakers this session for more funding to support the agency’s efforts. Workers sometimes wait a year or more to get justice after experiencing discrimination or having their wages stolen. And a majority of employers don’t even wind up paying what they owe, as InvestigateWest revealed in a recent analysis of wage claim data, which Stephenson cited in a presentation this month to lawmakers.

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“This is obviously not what we want,” Stephenson said. “It gives a competitive advantage to employers that don’t play by the rules. This is millions of dollars that aren’t getting back into our economy.”

Officials cite a large uptick in claims filed over the last few years and an outdated system for managing cases as main factors in the civil rights and wage claim backlogs. The pandemic also prevented other labor bureau staff from conducting in-person reviews of Oregon’s apprenticeship programs, as required by federal and state law, to ensure they’re meeting quality standards in training and instruction. Today, 98% of apprenticeships in trades such as electrical and plumbing are overdue for a review.

The Bureau of Labor and Industries is requesting two budget adjustments in the upcoming session to help.

The first request would spend $632,000 of the agency’s unused pandemic relief money on nine temporary positions in the apprenticeship review division. The bureau estimates that it can review 85 apprenticeship programs in eight months with the extra personnel in place. That would be about half of the reviews that are outstanding.

At its Jan. 12 meeting, the Legislature’s appropriations committee approved the labor bureau’s request, increasing its chances of being included in the budget reconciliation.

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In addition, the Bureau of Labor and Industries is requesting $160,500 in new funds, which it will combine with $87,500 it already has, to take the first step to replace what agency leaders say is an outdated and inefficient computer system used to track and manage cases. The current system “requires extensive manual data entry, and lacks automation leading to increased workload and errors,” said Rachel Mann, a bureau spokesperson.

The agency has already tried to make parts of its process more efficient to reduce the logjam. In January, the labor bureau changed the online portal that workers use to file civil rights and wage complaints. The new system will help ensure that claims don’t get bogged down because of missing information, Mann said.

The agency has also sought more staff — most recently, the Legislature funded two additional investigators in the wage division.

“The agency is laser focused on increased investments to reduce wait times and provide Oregonians with faster and better service,” Mann said.

But in the long term, Stephenson and legislators agree that funding positions alone isn’t enough to solve the staffing capacity issues. Bureau workers also need to be paid better, they said, to help with retention and recruitment.

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A recent study of the civil rights division showed that labor bureau investigators earned anywhere from 16% to 64% less than employees in comparable positions at other state agencies — and the agency’s work is suffering as a result.

“I do think that this has been the way it’s been done for a long time, and so it just requires us to rethink what we’re asking of each of these individuals,” Stephenson said. “If you’re staring down a 3,000 (case) backlog, that’s a difficult place to be when you’re not making much more than you could at Target.”

Legislators have indicated that they’re prepared to help out. Several lawmakers who listened to Stephenson’s pre-session presentations said they agreed that compensation is an important consideration in the effort to reduce backlogs.

“We’ve got a problem area that needs some addressment if we want to deal with this troubling backlog,” said Rep. David Gomberg, D-Central Coast.

Stephenson said the agency will continue to seek ways to work more efficiently aside from adding staff.

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“We will persist,” she said.

— Kaylee Tornay, InvestigateWest

InvestigateWest is an independent news nonprofit dedicated to investigative journalism in the Pacific Northwest. Reach reporter Kaylee Tornay at kaylee@invw.org.



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Oregon ‘mega-mansion’ sits unfinished 30 years later

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Oregon ‘mega-mansion’ sits unfinished 30 years later


WEST LINN, Ore. (KOIN) — For some 30 years, locals and boaters along a popular spot on Oregon’s Willamette River have been staring at a 50,000-plus-square-foot home, unsure of what to think.

It’s unfinished, fenced in, and the open-air structure towers over 31 acres that include 2,700 feet of prime riverfront in an area affectionately called “Peach Cove.”

“Being a kid, I would drive the boat and look at it from the river,” said Jason Mendell.

The high-profile realtor never thought he’d actually list the home, yet now he’s fielding calls from all kinds of folks trying to figure out the property’s potential.

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“Entrepreneurs, pro-athletes, business owners, and people trying to figure out what you could do with this,” he told Nexstar’s KOIN on a recent summer day.

The home’s specs are massive, and Mendell said if it’s ever completed, it would be the largest mansion in Oregon by far.

The listing includes nine bedrooms, 18 bathrooms, multiple garages for dozens of show cars and other toys. There’s a massive gymnasium or event space, too, which could include a full-size basketball court. Original plans called for two pools.

“There’s obviously only a certain amount of people that can afford a home like this, and they’ve got to have the vision to be able to finish it off,” says Mendell.

Ask around, though, and it doesn’t take long to learn there’s much more to the larger story.

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“He said, ‘Would you like to build a home for me?’” says Tom Avgerakis.

The longtime home builder is referring to Mark Wattles, the founder and one-time boss of Hollywood Video, which grew to be the second-biggest video store chain in the country in the 1990s and 2000s.

Avgerakis remembers when Wattles first showed him the architectural sketches.

“He rolled them out, and I went ‘Oh, okay.’ The challenge was thrown out, and we can do it,” he said.

At first, Avgerakis said construction moved swiftly, with 50-plus workers on site moving dirt and using high-grade Oregon lumber to erect the frame.

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Then, as 1996 became 1997, construction stalled, and “We anticipated a short amount of time off, but it just grew and grew and grew.”

He said that as the owner moved on to other businesses and eventually moved away, they kept up general maintenance and even planted acres of berries.

The property was eventually unloaded at auction, and it has changed hands a couple of times over the years, but no one has ever fully built it out.

“It’s a diamond in the rough. It’s just incredible,” said Avgerakis.

He hopes to be involved if the project is ever completed, and said much of the original woodwork remains in good condition even if other elements have deteriorated over the years. The current owner recently installed a new roof.

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Mendell said they’re talking to potential buyers about “what could be,” whether it’s a private estate, high-end senior living facility or even a vineyard.

“It’s 31 acres of prime real estate that’s unique,” he said.

The asking price is $4.7 million.

The property is deemed Exclusive Farm Use (EFU), according to Clackamas County records.

A spokesperson told Nexstar’s KOIN that it’s approved for the one home but that anything like a larger care facility wouldn’t be allowed unless there was a zoning change.

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Illicit massage businesses shut down in Washington County

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Illicit massage businesses shut down in Washington County


PORTLAND, Ore. (KOIN) — Multiple illicit massage businesses in Washington County were shut down on Friday following action by multiple law enforcement agencies.

The Office of Oregon Attorney General Dan Rayfield said it worked alongside Sherwood police, Tigard police, the Washington County Sheriff’s Office and the Washington County District Attorney’s Office to execute multiple warrants at illicit massage businesses.

Following months of surveillance into two of the illegal massage parlors in Sherwood, investigators conducted searches at four locations in total on Friday: a home in Southwest Portland, Goji Foot Spa and Aroma Spa in Sherwood, and Tigard’s Sunny Massage.

More than $45,000 of cash and evidence of prostitution was seized during the operation. Three people were also arrested for alleged prostitution-related charges and two were cited for operating a massage business without a license.

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The investigation was carried out as part of the Oregon Department of Justice’s partnership with Washington County law enforcement agencies through the program Special Projects: Investigate, Respond, Enforce.



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Ryan Reynolds-backed Aviation Gin shutters Oregon distillery

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Ryan Reynolds-backed Aviation Gin shutters Oregon distillery


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The Aviation American Gin Distillery and visitor center in Portland, Oregon, has closed its doors as the company behind the celebrity-backed spirits brand shifts its production strategy, according to multiple reports.

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Diageo, the global spirits company that acquired Aviation American Gin in 2020, confirmed the closure to local TV stations KGW and KOIN, saying the decision was made because of changing business needs.

“This decision reflects evolving business needs, as we continue to support growth ambitions for our Aviation American Gin brand,” Diageo’s statement reads. “Aviation American Gin remains an important part of Diageo’s portfolio and we are committed to the brand, our customers and consumers.”

USA TODAY contacted Diageo on July 9 for comment and additional information regarding the closure.

The nearly 33,000-square-foot facility opened in September 2022 in northwest Portland, offering visitors a cocktail bar, tasting room, gift shop and tours highlighting the gin-making process, including distillation and bottling operations.

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Portland’s House Spirits Distillery founded Aviation American Gin in the early 2000s and later became associated with Emmy Award-winning actor Ryan Reynolds, who acquired a stake in the company in 2018.

“A little over two years ago, I became an owner of Aviation Gin because I love the taste of Aviation more than any other spirit,” Reynoalds said in a statement in 2020 after Diageo acquired the company. “What I didn’t expect was the sheer creative joy learning a new industry would bring. Growing the brand with my company, Maximum Effort Marketing, has been among the most fulfilling projects I’ve ever been involved with.”

Is Ryan Reynolds still a co-owner of Aviation Gin?

As of July 9, Reynolds remains an owner of Aviation Gin, according to his social media accounts. His Instagram says he owns Aviation Gin, Mint Mobile, Maxixum Effort and the Wrexham A.F.C. soccer club.

When Diageo acquired Aviation Gin, the acquisition agreement valued the deal at up to $610 million, including an initial payment of $335 million and a potential additional payment of up to $275 million based on the company’s performance over a 10-year period, according to a 2020 news release.

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Diageo, one of the world’s largest spirits companies, also owns other alcohol brands including Captain Morgan, Crown Royal and Smirnoff.

What’s next for Aviation, Diageo?

Diageo said it had already begun moving Aviation’s production from Portland to other facilities in 2025 as part of an effort to improve efficiency and strengthen its North American operations, KGW reported.

Diageo also said Aviation American Gin will remain part of its portfolio despite the closure of the Oregon visitor center and distillery.

Reporter Anthony Thompson can be reached at ajthompson@usatodayco.com, or on X @athompsonUSAT

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