Current Events in December 2020

Kia is recalling about 295,000 of its vehicles due to the risk of engine-compartment fires. 

As mentioned in ConsumerAffairs’ recall notice covering this issue, the National Highway Traffic Safety Administration (NHTSA) said the engines in a small number of the models set to be recalled in January have caught fire. However, the issue hasn’t been linked to any specific design or manufacturing flaw.

The automaker said it’s recalling the vehicles "as a preventative measure to mitigate any unreasonable fire risk due to potential fuel leaking, oil leaking and/or engine damage.” 

The recall is expected to go into effect on January 27, 2021. At that time, Kia will start notifying owners and dealers will start offering free repairs and vehicle inspections. In the meantime, owners of potentially affected Kia models should be alert for "engine noise, illumination of check-engine light [or] low-oil light, fuel smell, burning smell, oil leaking, smoke,” the NHTSA said.

Kia said it’s developing a Knock Sensor Detection System software update to boost safety. The automaker will also provide 15-year/150,000-mile warranty coverage for engine repairs needed "due to connecting-rod bearing damage," according to the NHTSA. 

The company said owners will be reimbursed for any money they have already spent on repairs related to the problem.

Not the first fire-related recall

This isn’t the first time Kia has recalled vehicles due to fire risk. In February, the automaker issued a recall for more than 200,000 vehicles because of a problem with the brake computers in two models. At the time, Kia said the brake computer issue could lead to the vehicle catching fire. 

In September, the company issued another recall of a similar nature. Kia said nearly 600,000 additional vehicles were at risk of catching fire due to a defect involving brake fluid leakage. 

Kia owners started reporting sudden vehicle fires around four years ago. Some drivers said they had to jump out quickly before their vehicle exploded. In another instance, a Kia owner died after being trapped inside a vehicle that exploded. 

In 2019, the Center for Auto Safety called on Congress to investigate the issue. In a letter to lawmakers, the group criticized the company’s handling of the issue.  

“Instead of presenting the public a solution for these fires, or a satisfactory explanation, or simply taking responsibility for continuing to sell what appear to be defective engines, both manufacturers have recalled fewer than 10% of the potential fire prone vehicles and hoped no one would ask about the rest,” the organization said at the time.

The group said last year that a total of 2.9 million Hyundai and Kia vehicles need to be recalled in order to sufficiently address the problem. It regularly updates a page that includes more information about this issue here.

Research continues to highlight how red meat negatively affects consumers’ heart health, and now a new study is exploring how consumers can make healthier diet choices. 

According to researchers, avoiding red meat -- especially processed meats -- and opting for plant-based proteins and whole grains as an alternative can reduce consumers’ risk of coronary heart disease (CHD). 

“We found that greater intakes of total, unprocessed, and processed red meat were each associated with a higher risk of CHD,” the researchers wrote. “Compared with total, unprocessed, or processed red meat, other dietary components such as soy, nuts, and legumes were associated with a lower risk of CHD. We also found that substituting whole grains or dairy products for total red meat and substituting eggs for processed meat were also associated with a lower CHD risk.”  

Making healthier choices

To better understand how food choices affect heart disease risk, the researchers analyzed data from over 43,000 men involved in the Health Professionals Follow-Up Study. The participants completed diet questionnaires every four years for 30 years, and the researchers assessed their medical records. 

The team learned that as little as one serving of red meat per day was associated with an increased risk of heart disease, whereas plant protein options were associated with a reduced risk of heart disease. While processed red meat increased the participants’ risk of CHD by 15 percent, those who opted for plant protein -- like legumes, beans, or lentils -- reduced their risk of CHD by 14 percent -- a 29 percent swing.

Making healthier choices was beneficial for both older and younger men in the study. The researchers learned that younger men who swapped red meat for eggs were 20 percent less likely to experience heart disease, and older men who swapped red meat for any kind of plant protein were 18 percent less likely to develop heart disease. 

Reducing heart disease risks

While replacing red meat with plant protein is perhaps the biggest takeaway from this study, the researchers also learned that other healthy options were linked with a lower risk of heart disease. Participants who kept their red meat consumption low and prioritized whole grains and dairy products were also at a reduced risk of CHD. 

There seems to be no shortage of health risks associated with red meat consumption, and these findings highlight the benefits of opting for healthier foods. 

“These findings are consistent with the effects of these foods on low density lipoprotein cholesterol levels and support a health benefit of limiting red meat consumption and replacement with plant protein sources,” the researchers wrote.

Bob Dylan has sold his entire songwriting catalog to Universal Music Publishing.

Universal hasn’t disclosed the terms of the agreement, but the New York Times reported that the deal was likely worth over $300 million. The catalog encompasses more than 600 copyrights from the past 60 years.

Dylan’s songs have been recorded by a myriad of other artists more than 6,000 times over the past six decades, according to Universal. Particularly popular recordings have included “The Times They Are a-Changin’,” “Like A Rolling Stone,” and “Knockin’ On Heaven’s Door.” 

Dylan, who is now 79, was the first songwriter to be awarded the Nobel Prize for Literature. In 2016, the Swedish Academy credited Dylan with “having created new poetic expressions within the great American song tradition.” 

Under the deal announced on Monday, Universal will collect money any time another musician covers any of Dylan’s songs or any time it allows the songs to be used in movies or commercials. It will also earn revenue any time the songs are streamed or sold commercially. 

In a statement, UMG chairman and CEO Lucian Grainge called it a “privilege and a responsibility” to represent the work of “one of the greatest songwriters of all time.” Grainge added that Dylan’s “cultural importance” can’t be overstated. 

“Brilliant and moving, inspiring and beautiful, insightful and provocative, his songs are timeless—whether they were written more than half a century ago or yesterday.  It is no exaggeration to say that his vast body of work has captured the love and admiration of billions of people all around the world,” Grainge said. 

“I have no doubt that decades, even centuries from now, the words and music of Bob Dylan will continue to be sung and played — and cherished — everywhere.”

Dylan has sold more than 125 million records worldwide. 

A Trump administration-imposed deadline for the sale of TikTok passed on Friday without a resolution. 

The short-form video app has been facing uncertainty since last year, when national security concerns arose and it was ordered to find a U.S. buyer. The deadline to do so has already been rescheduled several times, and another one isn’t likely to be set now that Friday’s deadline has come and gone.

Shortly after last month’s election, the China-owned platform claimed that the Trump administration had stopped engaging in discussions regarding an agreement. 

“In the nearly two months since the President gave his preliminary approval to our proposal to satisfy those concerns, we have offered detailed solutions to finalize that agreement – but have received no substantive feedback on our extensive data privacy and security framework,” company officials told various media outlets. 

Sources familiar with the matter told Bloomberg that negotiations are likely to continue even now that the December 4 deadline to find a buyer has passed. 

Negotiations on hold

In August, President Donald Trump signed an executive order forcing TikTok -- which is owned by Chinese company ByteDance -- to divest “any tangible or intangible assets or property, wherever located, used to enable or support ByteDance’s operation of the TikTok application in the United States.”

Trump administration officials claim the platform’s owner could share U.S. user data with the Chinese government. TikTok has denied allegations that it poses a national security threat. 

"In this game of high stakes poker it’s very possible that ByteDance looks to delay deal negotiations in hopes that the incoming Biden Administration eliminates this executive order in what would be a seminal shift for the US towards China on technology policy and send an ‘olive branch’ signal to Beijing,” Dan Ives, an analyst on tech sector at Wedbush Securities in New York, told the South China Morning Post. 

"The TikTok situation could potentially be a litmus test for Biden‘s first move towards ending the US China [tech cold war].”

In November, an advisor to President-elect Joe Biden said it’s too early to know what, if any, actions the Biden administration plans to take regarding TikTok.

Since the early days of the COVID-19 pandemic, experts have found that consumers have turned to alcohol to help manage their stress levels. Now, a new study conducted by researchers from the Taylor and Francis Group has explored the long-term alcohol habits consumers have adopted during 2020. 

According to their findings, consumers are more likely to binge drink if they spend more time at home quarantining.

“Increased time spent at home is a life stressor that impacts drinking, and the COVID-19 pandemic may have exacerbated this stress,” said researcher Sitara Weerakoon. 

More consumers turning to alcohol

To get an idea of how consumers across the country have used alcohol since the start of the pandemic, the researchers surveyed nearly 2,000 adults from mid-March through mid-April. Respondents reported on several life factors, including their current living situation, who they were home with every day, their job status, how long they had spent in lockdown, and their total alcohol consumption. 

The researchers learned that 34 percent of the participants were binge drinking while at home during lockdown, and the likelihood of binge drinking increased by nearly 20 percent for each week the participants were home. 

According to the Centers for Disease Control and Prevention (CDC), binge drinking is defined as men who consume five or more drinks in two hours and women who consume four or more drinks in that time. The researchers learned that the heaviest drinkers before the pandemic consumed as many as seven drinks in one sitting while at home during lockdown. 

The study also revealed that those who were binge drinkers before the pandemic were 60 percent more likely to increase their alcohol intake during stay-at-home orders, whereas those who were light drinkers before the pandemic were less than 30 percent as likely to drink more during quarantine. 

In terms of socioeconomic factors, the researchers learned that 70 percent of the participants who were the heaviest drinkers were also making higher-than-average salaries. 

Mental health plays a role

The study revealed an important mental health component that was associated with heavier drinking during the pandemic. According to the researchers, participants who had reported either currently or previously struggling with depression were more likely to binge drink during lockdown orders. 

Moving forward, the researchers hope that more work is done to better understand the relationship between alcohol and depression so that support services are better tailored and made more widely available for those in need. 

“Future research should consider the potential for depressive symptoms acting as a moderator (a factor that changes the impact) in the relation between the time spent under a shelter-in-place mandate (lockdown) and binge drinking,” Weerakoon said. “Additional research is (also) needed to develop best treatment for people with substance use disorders who may be more susceptible to adverse health outcomes.”

Fast-food chain Chick-fil-A has filed a lawsuit against 17 chicken suppliers for allegedly jacking up prices and rigging bids on billions of dollars in orders that the company made. The defendants include Perdue Farms, Tyson Foods, Pilgrim’s Pride, and Sanderson Farms alleging they shared bids and pricing details. 

Chicken has turned into a hot commodity during the COVID-19 pandemic. Not only is it harder to find on grocery shelves, but prices have shot up in recent months. 

Price-fixing problems

Interestingly, two of the groups named in Chick-fil-A’s lawsuit -- Pilgrim’s Pride and Tyson -- have been down this road already this year. In July, Tyson opted to cooperate in a Justice Department price-fixing investigation under a leniency program that allowed the company to avoid criminal prosecution in exchange for helping the feds in a probe of other poultry suppliers. In October, Pilgrim’s Pride reportedly agreed to a fine of $110.5 million in a plea deal with the DOJ, which had accused the producer of price-fixing. 

Chick-fil-A’s lawsuit went as far as calling the defendants’ moves a “conspiracy” and said that it had “reasonably foreseeable effects” on the company’s business in the United States.

Naturally, the defendants didn’t agree. “We believe these claims are unfounded and plan to contest the merits,” a spokesperson for Perdue told CNBC.

Capital One reportedly will no longer allow its customers to use its credit cards to pay off debt accrued through “buy now, pay later” (BNPL) transactions, which have grown in popularity during the pandemic.

A growing number of apps offer BNPL services in which a consumer purchases an item and charges it through the app. The consumer makes four payments, usually every two weeks, to clear the debt.

Consumers don’t pay interest. The app company charges the merchant a small commission. But the transactions are considered risky because the consumer is not required to submit to a credit check.

Reuters reports that Capital One has confirmed that it will not allow its customers using its credit cards to clear BNPL debt because of “unacceptable risk.” It’s the first credit card company to take that step.

‘Risky business’

Reuters quotes a Capital One spokeswoman as saying the company is ending the practice of consumers putting “point-of-sale” loans on its credit cards. 

“These kinds of transactions can be risky for customers and the banks that serve them,” the spokeswoman told the news agency.

Credit card companies also view BNPL as a growing source of competition. Consumers who switch from paying with a credit card don’t pay interest, which averages about 17 percent on balances. 

How it works

One BNPL app company, Klarna, explains how it works in the terms and conditions on its website:

• Use your own valid debit or credit card, or other accepted payment method, to pay (no prepaid cards).

• The initial payment is charged when the merchant completes your order (this is usually the shipping date for online orders).

• The next 3 payments are automatically charged every 2 weeks after your first payment.

• There are no interest charges with Pay later in 4 installments, and no fees when you follow your automatic payment schedule.

BNPL services are largely unregulated, even though they involve what are in effect interest-free loans. A search for “buy now pay later” on the Federal Trade Commission (FTC) and Consumer Financial Protection Bureau (CFPB) websites returned no results.

Some personal finance experts have warned that BNPL could pose trouble for impulsive consumers. They say consumers could look past the high cost of an item if they only see the payment they will be required to make every two weeks.

Hyundai Motor Americais recalling 128,948 model year 2015-2016 Velosters, 2012 Santa Fe vehicles, model year 2011-2013 and model year 2016 Sonata Hybrids.

The connecting rod bearings inside the engine may wear prematurely, which over time can result in engine damage.

A damaged engine can increase the risk of a fire or it can cause an engine stall, increasing the risk of a crash.

What to do

Hyundai will notify owners, and dealers will inspect the engine. If bearing damage is found, the engine will be replaced.

Dealers also will install a software update containing a new Knock Sensor Detection System (KSDS). Repairs will be performed free of charge.

The recall is expected to begin January 22, 2021.

Owners may contact Hyundai customer service at (855) 371-9460. Hyundai's number for this recall is 198.

If you’re wondering what it will be like to take a coronavirus (COVID-19) vaccine, a Washington, D.C. physician can offer a personal experience.

Dr. Heny Fishman, an allergy and immunology specialist with a practice in the nation’s capital, enrolled in the Moderna vaccine clinical trial at George Washington University Hospital over the summer. He wasn’t told whether he received the vaccine or the placebo, but he is convinced that he was inoculated with the vaccine. For a few days after the first shot, Fishman said his arm was sore.

“I talked to a colleague, an expert on vaccines at the National Institutes of Health (NIH), and she said, if it hurts a lot you probably got the vaccine because the placebo is saline and it doesn’t hurt very much,” Fishman said in an interview with ConsumerAffairs.

"Antibodies were off the scale"

To confirm her assessment, Fishman waited a week and had a blood test for COVID-19 antibodies. None were present. When he told his friend at NIH about his test results, she advised him to wait another two weeks and check it again.

“So I checked again three weeks after the first shot and my antibodies were off the scale and I was a happy guy,” Fishman said.

Fishman makes clear that he has not been officially told what kind of shot he received. The trial results are currently being analyzed by the U.S. Food and Drug Administration (FDA), and he says he will be informed at some point.

While the results of his antibody test appeared to be compelling evidence, Fishman says it was the side effects from the second shot that convinced him he had gotten the real thing. The doctor administering the second shot told Fishman that if he received the vaccine and not the placebo, he would feel some side effects for a few days.

“There are occasional mild side effects and I had them,” Fishman said. “The first vaccine caused some arm pain for a couple of days. After the second vaccine, it’s common to get a flu-like illness with muscle aches. You get tired and have a little bit of a headache, and I had that for three or four days. But the benefits far outweigh the downside, and I’m glad I did it.”

Understands people’s hesitancy

Fishman said the side effects were not so severe that he had to miss any work. But polls indicate not all Americans are eager to take the vaccine, especially since it was produced and tested in record time. Fishman says such concerns are not unreasonable.

“However, the fact that it was made rapidly in this day and age isn’t necessarily a negative,” he said. “The science behind vaccine production today is so advanced compared to 60 years ago when they made the polio vaccine that they can take a piece of messenger RNA (mRNA) in the lab and make a vaccine in six months.” 

The Moderna vaccine is made from mRNA, which is a small piece of genetic material from the virus but is not the virus itself. As many as 40,000 people have received the vaccine with no major problems. 

Fishman said there’s a second reason why scientists were able to complete work so quickly. He said a scientist in England has been working on a coronavirus vaccine for the last two decades, and researchers were able to build on his work.

“So the knowledge base isn’t six months old, it’s 20 years old,” Fishman said. “So we had a major head start on this vaccine.”

The FDA is reviewing the Moderna vaccine, as well as a similar mRNA vaccine made by Pfizer, and could issue emergency use authorization (EUA) for one, or both, within a couple of weeks. Both companies are preparing to begin the immediate distribution of the vaccines in the U.S.

The Federal Trade Commission (FTC) is warning that robocallers are now calling consumers and pretending to be from Apple and Amazon. 

In a statement on its website Thursday, the agency said consumers should be wary of a recorded message telling them about a suspicious purchase made on their Amazon account or a problem fulfilling a recent order. 

In another version of the scheme, the caller tells recipients that there has been suspicious activity on their Apple iCloud account. The robocaller tells the consumer that their iCloud account may have been breached and that they should then press 1 to speak with customer service to get the issue sorted out.

In both variations of the scam, the robocaller will at some point attempt to extract a consumer’s personal information, like their credit card number or account passwords. 

“If you get an unexpected call or message about a problem with any of your accounts, hang up,” the FTC said. “Do not press 1 to speak with customer support, do not call a phone number they gave you, do not give out your personal information.”

The agency added that consumers who believe there may legitimately be an issue with either their Amazon or Apple account should contact the company directly through their website or by phone. 

Increase in scams

The COVID-19 pandemic has led to an increase in scams designed to steal personal information and/or dupe consumers out of money. Scammers are using illegal robocalls to pitch everything from work-from-home schemes to low-priced health insurance. 

The FTC says consumers should be aware that scammers are attempting to make a profit during the pandemic. To avoid falling victim, the agency recommends: 

• Never responding to texts, emails or calls about checks from the government; 

• Ignoring offers for vaccinations and miracle treatments or cures;

• Hanging up on robocalls;

• Being wary of emails claiming to be from the CDC or the World Health Organization;

• Never clicking on links from sources you don’t know; and

• Being cautious when donating. The FTC recommends not donating in cash, by gift card, or by wiring money.

Coronavirus (COVID-19) tally as compiled by Johns Hopkins University. (Previous numbers in parentheses.)

Total U.S. confirmed cases: 14,174,983 (13,943,627)

Total U.S. deaths: 276,773 (273,920)

Total global cases: 65,435,151 (64,723,945)

Total global deaths: 1,510,313 (1,497,093)

Biden asks Americans to wear masks for 100 days

President-elect Joe Biden says he will ask the American people to wear a mask in public, regardless of where they live, during the first 100 days of his administration.

"Just 100 days to mask. Not forever — 100 days," Biden said. "I think we'll see a significant reduction if that occurs with vaccinations and masking, to drive down the numbers considerably." 

The first 100 days of the Biden administration would carry the mask request into late April, a time when a significant number of vulnerable Americans should have received a vaccine.

Economy adds fewer than expected jobs in November

The U.S. economy, struggling under a building wave of coronavirus (COVID-19) cases, added 245,000 jobs in November. The number fell short of expectations.

Still, the unemployment rate edged down to 6.7 percent last month. The rate is down by 8.0 percentage points from its recent high in April but is 3.2 percentage points higher than it was in February before the pandemic shut down the U.S. economy.

Notable job gains occurred over the month in transportation and warehousing, professional and business services, and health care. Transportation and warehousing added 145,000 jobs during the month -- more than half the total.

Rise in cases isn’t slowing down

For yet another day, the U.S. reported a record number of new COVID-19 cases. Hospitalizations also continued to rise above 100,000, ending the day near 100,670.

New cases totaled 217,664 on Thursday and nearly 2,900 deaths. The surge in cases is prompting a number of states to take more restrictive measures for individuals and businesses.

California Gov. Gavin Newsom issued new regional stay-at-home orders as a way to keep intensive care beds from filling up. Areas of the state will see restaurants, hair salons, and even playgrounds closed in the next few days.

Dr. Fauci to remain on new president’s COVID-19 team

There will be a change in administrations on January 20, the leadership of the White House Coronavirus Task Force will remain the same. Dr. Anthony Fauci, who currently heads the group, said he has accepted President-elect Biden’s invitation to stay on.

"Oh, absolutely. I said yes right on the spot," Fauci said.

Fauci, who will also remain as director of the National Institute for Allergy and Infectious Diseases (NIAID), frequently clashed with President Trump over government policy to slow the spread of the infection.

Smithfield offers its freezers

The Pfizer vaccine candidate under review by the U.S. Food and Drug Administration (FDA) must be kept at ultra-low temperatures, presenting some logistical challenges. Smithfield Foods, one of the nation’s largest food-processing companies, is offering to help by allowing vaccines to be stored in its freezers.

Pfizer's vaccine must be stored at temperatures of minus 70 Celsius, significantly colder than the standard for vaccines. Moderna's vaccine can be stored at minus 20 Celsius.

UC San Diego’s plan to keep students safe on campus

All across the country, many colleges and universities told students not to come back to campus after the Thanksgiving break. Some are finishing the semester online and others have simply ended the semester.

At the University of California San Diego, administrators say they have implemented a comprehensive suite of education, monitoring, testing, intervention, and notification tools that no other university is using. And they say it’s working.

“While UC San Diego is one of the few colleges in the nation with low rates of infection and a large student body on campus, the university remains vigilant to reduce transmission of virus in our community to the greatest extent possible,” said UC San Diego Chancellor Pradeep K. Khosla. “Our multi-layered strategy provides resiliency along many dimensions of the Return to Learn plan.”

Around the nation

• Illinois: Cases of the coronavirus are rising at the fastest rate throughout the state since the pandemic began. The weekly average of new cases is now higher than the initial spike in May. Illinois has reported more COVID-19 deaths than any other state over the past seven days, according to the CDC.

• Massachusetts: On Thursday, Massachusetts health officials sent out telephone and text alerts to 4.5 million state residents to warn of a surge in coronavirus cases. State health officials said the messages reminded residents of the “serious risk of COVID-19 spread as we dive deeper into the holiday season.”

• Arkansas: State officials are reportedly considering tighter restrictions on event gatherings in the wake of a significant spike in coronavirus cases. The health department confirmed the findings and said probable virus cases increased by 2,789 to 164,310. The state's COVID-19 deaths rose by 33 to 2,555.

Carnival Cruise Line is informing both travelers and travel agents that it has cancelled all itineraries through February 28, 2021. However, it plans on a resumption of cruising next year -- including the move of the inaugural sailing of its newest ship, Mardi Gras, until April 24, 2021.

In an email from Carnival, a spokesperson told ConsumerAffairs that a few of its ships such as Legend, Valor, Paradise, Magic, and Victory will enter service in the spring following their dry docks. 

Playing it safe

Even though there’s a coronavirus vaccine in sight and the Centers for Disease Control and Prevention (CDC) lifted its pandemic-led No Sail Order for cruise ships in early November-- reallowing cruise ship companies to get back in the seas with travelers on board for the first time in seven months -- Carnival and others are opting to play it safe until the pandemic is closer to being totally out of our lives. 

"We apologize to our guests but we must continue to take a thoughtful, deliberate and measured approach as we map out our return to operations in 2021," said Christine Duffy, president of Carnival Cruise Line.  "Our commitment to the health and safety of our guests, crew and the communities we visit is at the forefront of our decisions and operations."

A rundown of other cruise line pauses

Cruise-happy travelers need to prepare for a long winter at home. On Wednesday, Norwegian Cruise Lines also suspended most of its scheduled cruises and moved them to April 2021. As for Seabourn, the cruise line said that it is waiting for further directives from the CDC and has temporarily “stopped selling all cruises eight days and longer which call upon a U.S. port and depart January 1 through November 1, 2021.” 

As to what other cruise lines have decided to do, ConsumerAffairs found the following rundown on TravelWeekly:

MSC Cruises. It suspended operations for its U.S.-based sailings through February 28. 

Royal Caribbean. For Royal Caribbean International, most global sailings have been canceled through February 28, and Australia sailings have been suspended through April 30. The Spectrum of the Seas's China sailings are suspended through January 20.

Celebrity Cruises. Celebrity is suspending all sailings through at least February 28, with South America sailings canceled through April 7. 

Silversea Cruises. Cruises are cancelled until April 1, except on the Galapagos-based Silver Origin, which is suspended through February 6. Sailings on its Azamara-branded ships are canceled through March 20.

Princess Cruises. All global operations are paused through March 31. TravelWeekly said Princess has also canceled all cruises in and out of Japan through June 25, citing uncertainty around travel restrictions. 

Holland America. Holland has extended its pause through March 31, and cruises of eight days or longer that call in the U.S. will be canceled through November 1, 2021. Some longer cruises in other parts of the world will not resume until mid-April.

Windstar Cruises. Cancellation of cruises has been extended through late March. At present, the line has plans for its ship the Wind Spirit to set sail on March 25 in Tahiti.

The Department of Justice (DOJ) is suing Facebook for allegedly creating recruitment systems that favored temporary visa holders. 

In a complaint filed Thursday, the DOJ accused Facebook of failing to consider “qualified and available U.S. workers” for more than 2,600 positions with an average salary of roughly $156,000. 

“Facebook intentionally created a hiring system in which it denied qualified U.S. workers a fair opportunity to learn about and apply for jobs that Facebook instead sought to channel to temporary visa holders Facebook wanted to sponsor for green cards,” the department said in a news release.

The DOJ said it has clear rules which state that companies can’t deny workers employment opportunities by unlawfully preferring temporary visa holders. Companies that do so will be held accountable, the Department said. 

“Our message to all employers — including those in the technology sector — is clear: you cannot illegally prefer to recruit, consider, or hire temporary visa holders over U.S. workers,”  Assistant Attorney General Eric S. Dreiband of the Civil Rights Division said in a statement. 

Discrimination allegations 

DOJ officials claim that the systems Facebook set up discriminated against U.S. workers for more than a year, from around January 1, 2018 to September 18, 2019. During that time, the company is accused of not advertising available positions on Facebook’s careers website and of not considering U.S. workers for open positions.  

Thursday’s lawsuit accuses Facebook of creating permanent positions reserved for temporary visa holders. When employees holding temporary immigration status at Facebook applied for permanent positions through the labor certification process, the tech giant allegedly created a permanent position that was “only open to that temporary visa holder,” according to the complaint. 

Facebook implemented a recruitment process that was “intentionally designed to deter U.S. workers from applying,” the complaint alleges. The DOJ is seeking civil penalties, back pay on behalf of U.S. workers allegedly denied employment, and other relief to prevent future discrimination.

A spokesperson for Facebook said the company “has been cooperating with the DOJ in its review of this issue.” However, the company is disputing the agency’s allegations and refused to comment further on the matter.

Delivery services, struggling under the volume of online orders this holiday season, have temporarily stopped picking up some orders from six retailers. 

The Wall Street Journal reported Wednesday that UPS has asked its drivers to delay picking up packages from Gap, Nike, L.L. Bean, Hot Topic, Newegg, and Macy’s for the time being because packages coming from these retailers exceeded its capacity. 

It’s not clear how long the restrictions will be in place, but sources said UPS is likely trying to make sure it doesn’t commit to delivering more than it realistically can during peak delivery season. 

Packages still moving

Although UPS has set limits, some of the retailers said the carrier is still picking up packages. 

An L.L. Bean spokeswoman told the Journal that there have been delays for pickups at a few of its stores, but UPS is “actively picking up packages from our warehouse facility and our retail locations daily.” A Nike spokeswoman said her company expects “the majority of these orders to meet estimated delivery dates and are communicating with consumers [about] any changes in delivery.”

The pandemic has led to a dramatic increase in online shopping, prompting the delivery giant to set “specific capacity allocations” for its customers over the holiday season, according to CNBC. 

Retailers were also encouraged not to constrain Black Friday online promotions to a single day this year. A number of retailers started offering Black Friday-esque discounts as early as October. 

By imposing pickup limits, delivery services are reportedly trying to ensure delivery problems don’t crop up later in the season. 

“They are being very disciplined in what they pick up, and that is what they need to prevent a collapse,” ShipMatrix President Satish Jindel said.

Southwest Airlines has done its best to hold steady through the first nine months of the COVID-19 pandemic, but it’s finally thrown up its first caution flag. On Thursday, the airline warned 6,800 employees that they may be furloughed in the spring. 

According to CNN, potential furloughs would affect 2,551 ground crew members, 1,176 customer service agents, 1,500 flight attendants, and 1,221 pilots. Southwest said the employees are safe for now, but if the other shoe does indeed drop, the cuts would take place on March 15 or April 1. In October, the company’s CEO Gary Kelly essentially forecasted the furloughs when he said “we will all need to sacrifice more,” adding that company leaders are taking a 10 percent pay cut in the year ahead. 

If the threat becomes real, it will be the first time Southwest has had to resort to layoffs to stay afloat -- and no one can’t say it didn’t try to avoid that outcome. Over the last six weeks, ConsumerAffairs counted five major discounted airfare promotions that the airline offered consumers to try and recapture some of the $2.75 billion it lost during the pandemic. 

Holding out hope

An internal memo to Southwest employees stated that the airline is open to cutting a deal with union groups to avoid the nearly 7,000 furloughs. “We are not closing the door -- we'll continue negotiations if union representatives want to continue working toward reaching mutually agreeable solutions,” it read.

Two of Southwest's major unions fired right back, objecting to the company's planned furloughs and saying that union leadership will continue to fight to save jobs.

"While this development is not completely surprising, it is incredibly disappointing to our pilots and their families," said Captain Jon Weaks, president of the Southwest Airlines Pilots Association (SWAPA). He also said the union "remains committed to finding solutions that will dissuade the company from taking any further steps towards furloughs."

The Transport Workers Union (TWU), which represents Southwest flight attendants, thinks the airline is crying wolf when it’s actually flush with billions in reserves. 

"Southwest Airlines has approximately $15 billion in cash on hand and is predicted to be the first airline to emerge in making money for its shareholders," said Dan Akins, airline economist and an advisor to the TWU. The union claims that it’s offered the airline a variety of cost savings proposals and that thousands of Southwest flight attendants even offered to take extra unpaid leave in order to save their jobs.

After weeks of stable prices at the gas pump, gasoline is getting more expensive heading into the end of the year. The increase began as Americans -- disregarding advice from health experts -- hit the road over the Thanksgiving holiday.

The AAA Fuel Gauge Survey shows the national average price of regular gas is $2.16 a gallon, five cents higher than a week ago. The average price has increased four cents a gallon over the last month.

The average price of premium gas is $2.77, four cents higher than seven days ago. The average price of diesel fuel is up two cents in the last week to $2.43 a gallon.

Analysts say the unpredicted rise in fuel prices has a lot to do with optimism about the COVID-19 vaccines. They say domestic oil prices are rising for the same reason beaten-down stocks are going up each day on Wall Street -- the belief that the end of the pandemic is in sight.

There were also more cars on the road during Thanksgiving week, which increased demand for fuel. But at the beginning of the week, AAA reported demand was lagging supplies and was calling for lower fuel prices in the days ahead.

In the last week, the biggest increase in gasoline prices occurred in states with the lowest average prices. The average price in Missouri, the cheapest state in the nation, rose five cents a gallon in the last week.

Prices were flat or dipped slightly in most of the states where prices are highest. Pennsylvania was an exception, as the average price jumped nine cents a gallon during the week.

The states with the most expensive gas

These states currently have the highest prices for regular gas, according to the AAA Fuel Gauge Survey:

• Hawaii ($3.27)

• California ($3.18)

• Washington ($2.76)

• Oregon ($2.59)

• Nevada ($2.58)

• Pennsylvania ($2.54)

• Alaska ($2.49)

• Maryland ($2.33)

• Idaho ($2.29)

• New Jersey ($2.28)

The states with the cheapest regular gas

The survey found these states currently have the lowest prices for regular gas:

• Missouri ($1.81)

• Mississippi ($1.83)

• Texas ($1.85)

• Oklahoma ($1.86)

• Arkansas ($1.86)

• Louisiana ($1.87)

• Alabama ($1.89)

• Tennessee ($1.90)

• Kansas ($1.91)

• Wisconsin ($1.91)

Volkswagen Group of America is recalling 10,385 model year 2018 Tiguan LWBs.

One or both of the front seat belts' webbing may tear in a crash.

A torn seat belt may not adequately restrain the seat occupant during a crash, increasing their risk of injury.

What to do

Volkswagen will notify owners, and dealers will inspect the front seat belts and replace them -- as necessary -- free of charge.

The recall is expected to begin January 19, 2021.

Owners may contact Volkswagen customer service at (800) 893-5298. Volkswagen's number for this recall is 69BH.