CPSC Decision said to foster confusion and uncertainty.

Press Release Summary:



Rosario Palmieri issued a statement in response to the Consumer Product Safety Commission's (CPSC) decision which denies a petition from NAM for an emergency one-year stay of enforcement of the new tracking label mandate in the Consumer Product Safety Improvement Act (CPSIA). Palmieri stressed the need for time to prepare and adapt processes for proper implementation and said that if this could not be granted Congress should amend the mandate.



Original Press Release:



NAM Says CPSC Decision Denying Stay of Labeling Rule Fosters Confusion and Uncertainty



Now It's Up To Congress To Amend The Law

WASHINGTON, D.C., May 14, 2009 - In response to a decision announced today by the Consumer Product Safety Commission to deny a petition from the National Association of Manufacturers (NAM) for an emergency one-year stay of enforcement of the new tracking label mandate in the Consumer Product Safety Improvement Act (CPSIA), NAM Vice President for Infrastructure, Legal & Regulatory Policy Rosario Palmieri issued the following statement:

Changes in product processes, including changes in labeling requirements for packaging and products, usually take at least a year in many sectors in order to assure smooth execution. This process must begin in the design phase of the product, well before production takes place. The new tracking label provision will necessitate legal reviews, compliance clearance, and training of supply chain partners. Many companies are already ordering, planning and costing production of goods that will be made in the fall of this year or later, meaning they must guess how the new labeling requirement will be implemented. If they guess wrong, they will have to scramble to rework labeling and packaging at significant cost.

Already, confusion and uncertainty about the CPSIA's provisions have become a nightmare for many manufacturers. Businesses just want clear guidance, flexibility and sufficient time to implement the new rules. If the CPSC cannot implement the law in a reasonable way, then Congress must amend it.

The National Association of Manufacturers is the nation's largest industrial trade association, representing small and large manufacturers in every industrial sector and in all 50 states. Headquartered in Washington, D.C., the NAM has 11 additional offices across the country. Visit the NAM's web site at www.nam.org for more information about manufacturing and the economy.

CONTACTS:

HANK COX (202) 637-3090

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