H.R.2692 - No Tax Breaks for Union Busting (NTBUB) Act (119th Congress)
Summary
H.R.2692, the "No Tax Breaks for Union Busting (NTBUB) Act," aims to amend the Internal Revenue Code of 1986. The bill seeks to eliminate tax deductions for employer expenses related to influencing employees' decisions regarding labor organizations and collective bargaining. It targets employer activities intended to sway workers' opinions on unionization.
Expected Effects
If enacted, this bill would disincentivize employers from using tax-deductible funds to influence their employees' decisions about joining or forming unions. This could lead to a more neutral playing field during unionization efforts, potentially empowering workers in their collective bargaining rights.
Potential Benefits
- Strengthens workers' rights by removing a tax subsidy for employer activities that influence unionization efforts.
- Promotes fairer labor practices by reducing employer interference in employee decisions regarding labor organizations.
- Increases transparency by requiring employers to report expenses related to influencing employees on labor matters.
- Potentially increases union membership and collective bargaining power for workers.
- Aligns tax policy with the principle of neutrality regarding workers' rights to organize.
Potential Disadvantages
- May increase costs for businesses that engage in activities to influence employees regarding labor organizations.
- Could lead to increased labor disputes if employers feel restricted in their ability to communicate with employees.
- May face legal challenges based on freedom of speech or other constitutional grounds.
- Could create additional administrative burdens for businesses to track and report expenses related to labor activities.
- Some argue it unfairly targets employers and restricts their ability to express their views on unionization.
Most Disadvantaged Areas:
Constitutional Alignment
The bill's alignment with the Constitution is complex. While it doesn't directly infringe on freedom of speech (Amendment I), as employers can still communicate their views, it does regulate the tax deductibility of certain expenditures. Congress has broad authority to tax and spend (Article I, Section 8), but the law must not violate other constitutional protections. The central question is whether denying a tax deduction for these specific activities is an unconstitutional restriction on employer speech or association.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).