Eric Plinske, SHRM president, said although the CNMI Department of Labor is showing flexibility regarding the umbrella permit it issued, there are still ambiguities.
The federal government said the umbrella permits will be honored until Nov. 27, 2011 even if CNMI Labor revokes them.
Further, umbrella permit holders can transfer to other employers without the consent of Labor.
But Labor requires umbrella permit holders to report to its office or the permits will be revoked.
“I think it still comes down to making a decision individually as an employee or an employer as to whether you will go to the Department of Labor and pay the local fee ($350 a year),” Plinske said. “An employer may ask, ‘Why should I pay $350 when the federal government says I don’t need to do it. The umbrella permit is all I need.’ Well, (CNMI Public Law 17-1) did say that if you don’t do it, you can go to jail or get fined.”
Plinske said whether “they [the CNMI government] has the manpower to [enforce P.L. 17-1], I don’t know. It’s a gamble, particularly for an employee who does not go back to Labor on the report-back date [of his umbrella permit].”
Gov. Benigno R. Fitial has criticized the U.S. Department of Homeland Security for the delay in issuing the regulations for CNMI guest workers and investors under the federalization law.
“The department’s delay in issuing these regulations in final form has contributed to the increased uncertainty and instability in the commonwealth’s economy over the last year,” the governor said in his May 18 testimony before the U.S. House Subcommittee on Insular Affairs, Oceans and Wildlife.
