The Impact of Malgovernance

*Disclaimer – this piece is my opinion alone and does not reflect the beliefs of any other person or organization with which I’m affiliated.*

Last week I wrote about the way in which the North Carolina legislature enacted the controversial HB2. Since then the controversy and noise swirling around the new law has escalated greatly, with the supporters of the law squatting behind a defensive shield that focuses on the “shiny object” portion of the law; the part that focuses on the rollback of Charlotte’s ordinance regarding transgender bathroom usage. And if you ever doubted it was about politics, in the process of defending law they also attack attorney general Roy Cooper, who is running against incumbent Republican governor Pat McCrory. From Sen. Phil Berger’s Facebook page:

CLICK THE LINK AND SIGN YOUR NAME: I have never seen a campaign as vicious and dishonest as the radical left’s assault on Pat McCrory over the bathroom safety bill. Unlike Roy Cooper, Gov. McCrory courageously did his job and protected the people of North Carolina by signing this common sense law that keeps grown men out of the same bathroom and locker room as little girls. Will you please share StandwithMcCrory.com with your friends and ask them to sign their names in support of Governor McCrory to fight back against the left’s shameful smear campaign?

Now, this stuff is pretty predictable. Of course the backers of the new law are going to run a PR campaign that focuses on the titillating aspects of the bill, simplifies and sensationalizes it with the zero reality-based evidence that it will help protect anyone from anything except their own boogeyman fears, and gets their political base all hot and bothered. Fine, we knew that would happen, but we also knew that there would be an uproar from the rest of the “liberal” world and it was quick in coming, in ways large and small. Here’s just a sampling:

So how are the law’s backers reacting? One editorial in the Charlotte paper captured it perfectly: Republicans’ Schoolyard Reaction to PayPal. This kind of stuff works beautifully with the hard-right’s true believers, and it is definitely part of their strategy – as misguided as some of us might think it is – to give McCrory an issue to go after Cooper with and to distract from the other parts of the law that actually impact far more North Carolinians.

What, you ask, could impact us more than who gets to use the restroom? Well, the one part of the law that has gotten the least attention and yet could directly impact far more of us than anything, is the elimination of a person to sue for wrongful termination in state court if they are fired. That’s a big deal, as explained in this article:

By prohibiting the state Equal Employment Practices Act as the basis for civil action, Noble said, “this law has essentially eliminated state law sanctions for employers, who can now fire its employees … with no state law consequences.”

N.C. House and Senate Republican legislative leaders emphasized during debate over the bill that North Carolinians have a “far more robust” federal court option for filing discrimination lawsuits.

Noble disagrees with the “robust” suggestion, saying that filing a complaint in federal court is twice as costly as state court, more time-consuming in terms of logistical requirements, and likely to have a longer period before a decision…

Legislators say there is a state remedy in that complaints could be investigated and mediated by the N.C. Human Relations Commission.

However, Noble said that commission has focused “on resolving housing discrimination complaints for private persons and improving community relations.”

“The commission simply does not address employment discrimination complaints against private employers … because its authority is expressly limited to receiving, investigating and trying to mutually resolve such complaints,” she said.

The commission also does not receive reoccurring financing from the legislature.

Federal remedies for compensatory and punitive damages are capped according to employer size, ranging from a combined $50,000 to $200,000. In state court, Noble said, there is no cap on compensatory damages, and punitive damages can be worth up to three times the compensatory damage award.

Federal claims must be filed first with the EEOC, whose due diligence obligations often serve to weed out the majority of lawsuits before they reach federal court.

Noble and Rainey said the EEOC tends to take more than six months to recommend whether to pursue a federal court filing, in part because its three North Carolina offices typically are understaffed. By comparison, Kennedy said it is not uncommon for a discrimination case filed in state court to be completed within eight to 12 months.

Seriously, you have to admire the effectiveness of their campaign to this point because no one is talking about it and it directly affects every working person in the state. But, by all means, you go right ahead and focus on who’s using that bathroom and argue about whether or not the new law does any good in protecting someone while they’re taking a squat, while those in the economic development trenches try to figure out how break through all this noise when recruiting businesses and while our various convention and visitor bureaus try to figure out how to keep event organizers from running to more welcoming venues. Think that’s not an issue? Well, here’s a little tidbit I came across on an online network for association professionals:

Topic: Addressing concerns about having our meeting in North Carolina this year

Dear All:

We are having our annual meeting in 6 months in a state that recently passed a law that revokes certain local anti-discrimination ordinances. ($*&*#%!!!!) When we were contacted by the media, we re-iterated our stance on equality (see below). Today we received an inquiry from someone for whom we have no record in our any of our systems asking how we will protect the civil rights of attendees. We have no idea if they are truly a new potential attendee or exhibitor, from the media (though they should identify themselves as media), or from an advocacy group. This got me thinking that we could face protesters or other issues if the courts don’t resolve the situation before this fall.

Has anyone else faced a similar situation?  What should we do and what should we ask the CVB to do, proactively, to reassure our organization, our attendees and exhibitors, etc? 

Believe me when I tell you that there are so many places someone can take a conference or show that there’s no reason they even consider opening themselves up to this kind of hassle, no matter who is behind it. If you’re a supporter of the law, at least the part that’s getting all the noise, and are beating the drum for state leadership to stand strong in the face of “liberal media/activists” then please understand that while you’re more than welcome to your opinion you are also obligated to accept the consequences of that support. You can try to say that it’s the “liberals'” fault for losing that business, that they’re creating a false perception, but here’s the deal: peoples’ perception IS their reality and the perception that you have created is one of being unwelcoming, bigoted and small minded. In today’s business environment that’s a death notice.

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