saturday/sunday,march 9-10, 2013 wsj.com employers...

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YELLOW VOL. CCLXI NO. 56 ******* SATURDAY/SUNDAY, MARCH 9 - 10, 2013 HHHH $2.00 WSJ.com WEEKEND Snap to Thrill OFF DUTY A NEW MAGAZINE ON MANAGING WEALTH WSJ.MONEY WSJ.MONEY n U.S. unemployment fell to a four-year low of 7.7% last month. The nation added 236,000 jobs in almost every part of the private sector. A1 n The latest jobs report is unlikely to convince Fed offi- cials it is time to pull back on easy-money programs. A4 n The Dow industrials notched a 2.2% weekly gain, their biggest since Jan. 4. The blue chips rose 67.58 points to 14397.07 Friday. B5 n The NYSE is revamping its disaster-recovery plan for managing operations even if its trading floor is shut. B1 n China called for the U.S. to be “more open and trans- parent” in its national-secu- rity review process for in- bound investments. A8 n Global investors are pil- ing into Japan at the fastest rates since 2006, sending stocks to postcrisis highs. B5 n American Express’s CEO received $28.5 million in compensation last year, a 24% jump from 2011. B2 What’s News i i i Business & Finance World-Wide i i i CONTENTS Books........................ C5-10 Cooking................... D8-10 Corporate News.... B3,4 Heard on Street....... B14 Ideas Market............... C4 Opinion................... A11-13 Sports ........................... A10 Stock Listings........... B13 Style & Fashion..... D3,4 Travel.............................. D11 U.S. News................. A2-5 World News........... A6-8 Wknd Investor.... B7-10 s Copyright 2013 Dow Jones & Company. All Rights Reserved > Inside NOONAN A13 Obama: Anti-Confidence Man n A North Korea-Iran pact is prompting U.S. worries. Pyongyang and Tehran en- tered into a scientific-coop- eration agreement in Sep- tember. Washington is concerned the two countries will seek to use the agree- ment to advance their nu- clear capabilities. North Ko- rea and Iran have jointly developed missile systems over recent decades. A6 Pyongyang signed a simi- lar pact with Damascus just as it began building a secret reactor in Syria. n North and South Korea escalated mutual threats in an early test of Seoul’s pledge to open a new era of trust with Pyongyang. A6 n Thomas Perez, a top offi- cial in the Justice Depart- ment, is said to be Obama’s choice to become the next labor secretary. A2 n A son-in-law of Osama bin Laden appeared before a fed- eral judge in New York and pleaded not guilty to plot- ting to kill Americans. A3 n Chávez’s funeral drew hundreds of thousands in Caracas, including Iranian President Ahmadinejad and U.S. actor Sean Penn. A6 n Kenyan presidential vote results showed Kenyatta narrowly clearing the threshold needed to win the election outright. A7 n The conclave to elect the next pope will begin Tues- day, the Vatican said. A7 Employers stepped on the ac- celerator last month, hiring briskly enough to bolster the re- covery but likely not enough to prompt the Federal Reserve to turn off its easy-money spigot. The U.S. added 236,000 jobs in February, notching gains in al- most every corner of the private sector. February’s gains were well above the 195,000-job-a- month average of the previous three months and pushed the jobless rate to a four-year-low of 7.7%. Surging stock prices, mending housing and labor markets and a booming energy sector are among the tailwinds propelling the economy. U.S. stock markets rose following the report, with the Dow Jones Industrial Aver- age ending at its fourth consecu- tive record close, finishing the week up 2.2% at 14397.07. “The overall 236,000 number is nice, but the breadth of jobs growth across industries tells me that the recovery is broaden- ing and likely gaining momen- tum,” said Mark Vitner, senior economist at Wells Fargo Securi- ties LLC. “The mix of jobs is also changing. We’re creating higher- paying ones.” Although February showed promising momentum, the Fed isn’t expected to put the brakes on its easy-money programs un- til it sees further, sustained gains. Recent benchmarks, including measures of gross domestic product and manufacturing, re- flect a recovery that is moving forward but at risk of losing pace as its main engine—con- sumer spending—is strained by Please turn to page A4 BY BRENDA CRONIN Employers Ignore Economic Clouds Unemployment Falls to 4-Year Low, but Headwinds Persist Note: Data are seasonally adjusted. Source: Labor Department The Wall Street Journal Stronger Than Expected Monthly change in nonfarm payrolls, in thousands Monthly unemployment rate, civilian labor force 500 –250 –500 250 0 2009 ’10 ’11 ’12 ’13 Three-month average 10 2 4 6 8 % 2009 ’10 ’11 ’12 ’13 February +236,000 February 7.7% TIJUANA, Mexico—He was like many people in their early 20s, at least the type with spiky black hair and two lip rings. Four years ago, while living in this teeming border city, Gonzalo Garcia says he spent free time in the U.S., to shop, meet girls, and “hang out.” He had no idea he was de- veloping a potentially deadly form of tu- berculosis. Exactly how long he had it will never be known. He says he started losing weight and becoming tired and tried to get help. But it took a year before a doctor finally figured out what was wrong: He had a drug-resistant strain of TB. “Many doctors said I was just fine,” said Mr. Garcia, sit- ting in the clinic where he was cured. To this day, it isn’t clear if he infected anyone on either side of the border while he was contagious. But his tale illustrates a nagging concern among health officials who say the 2,000-mile border between the U.S. and Mexico could become a breed- ing ground for one of the hardest forms of TB to treat. Already, both California and Texas, as well as some states on the Mex- ico side of the border, have unusually high rates of drug-resistant TB. “This is a very hot region” for drug-re- sistant TB, said Rafael Laniado-Laborin, chief of Tijuana General Hospital’s tubercu- losis clinic and laboratory, who has had an influx of new patients recently—including one who recently returned from the U.S. and is in the middle of treatment. With tu- berculosis of any form, people can get around until the disease is quite advanced. “You will go and work and move around,” he said. “You will transmit the disease be- fore you know you’re sick.” To be sure, the actual number of cases in the U.S. and Mexico is still small and the rates of multidrug-resistant TB—or MDR— are nowhere near as severe as India, China, or Eastern Europe, where drug-resistant TB is at epidemic proportions. In 2011, the most recent year available, Mexico had 467 MDR-TB cases, the World Health Organiza- tion estimates, while the U.S. had 124, ac- cording to the Centers for Disease Control and Prevention. Almost half of the U.S. cases came from California and Texas. Health officials say it is crucial to jump on prevention now, because the disease is transmitted airborne and can spread quickly. “We’re all connected by the air we breathe,” said Thomas Frieden, director of the CDC, and a TB expert who successfully battled a major outbreak of multidrug-re- Please turn to page A9 BY BETSY MCKAY Risk of Deadly TB Exposure Grows Along U.S.-Mexico Border Dozens of companies are seeking to void or block rulings by the National Labor Relations Board in the wake of a court de- cision that found President Ba- rack Obama’s board appoint- ments unconstitutional. In the past several weeks, com- panies including Starbucks Corp., Time Warner Inc. division CNN America and medical tester Labo- ratory Corporation of America Holdings have invoked a federal appeals court decision that found the National Labor Relations Board has lacked the power to act since early last year. The court ruled that the president violated the Constitution when he by- passed the Senate to fill three board vacancies, making his ap- pointees illegitimate and leaving the board without a quorum. Since the January ruling by the Washington, D.C., appeals court, at least 87 companies and three unions have cited the decision in cases at varying stages within the agency, including cases the board has yet to decide. Many companies are telling the agency that actions against them should be voided or blocked since the board or its ap- pointed regional officers made de- cisions while the NLRB lacked au- thority. Dozens more companies are citing the recess appointments in appeals they’ve filed against the agency in federal appellate courts. The companies are attempting to do a variety of things, includ- ing overturn or block union elec- tions, undo penalties they were ordered to pay to fired workers and halt subpoenas. Employers also argue that at least 10 NLRB regional directors are illegiti- mate because they were installed by invalid Obama labor-board appointees, and say regional de- Please turn to the next page BY MELANIE TROTTMAN AND KRIS MAHER Companies Challenge Labor Rulings ALLENDALE, Mich.—As sev- eral of the faithful from the Val- ley Church here prepared to bow their heads in prayer to open a recent Saturday-evening meet- ing, they introduced themselves. “My name is Darin,” the Methodist congregation’s 37- year-old music director said, grinning. “And I like me a 30- pack of Busch Light!” The circle broke into laugh- ter as several people put down bottles of microbrew beer to applaud. It was a fit- ting introduction for the event—a semi-regular meeting of beer enthusiasts and home brewers who go by the moniker “What Would Jesus Brew?” Pastor Matt Bistayi, who started Valley Church three years ago, says the goal of WWJB isn’t to be “churchy,” but rather to “reach out to people in a loving, grace-filled way that meets people where they are and as they are.” Valley Church is one of sev- eral congregations around the country tapping the growing craft-beer trend as a way to at- tract new members. The number of American adults who consider themselves “unaffiliated” with any particu- lar religion has grown from 15% to 20% in the last five years, ac- cording to a study released last year by the Pew Research Cen- ter. Among 18-to 29-year-olds, it’s roughly a third. “The hardest thing in the church, period, is reaching out to people my age,” says Jake Shirreffs, a 23-year-old in black- framed glasses who plays guitar in the band at Valley Church. Meanwhile, craft breweries have popped up all over the country and home-brewing has become increasingly popular. Membership in the American Homebrewers Association has quadrupled since 2005, accord- ing to the group’s director, Gary Glass. In Wilmington, N.C, the 150-year-old St. Paul’s Epis- copal Church was struggling with membership a few years ago, so the community brainstormed ways to draw new members. Jeffrey Hughes, a member of St. Paul’s, came up with the idea for congregants to brew beer and challenge other churches in the area to a friendly competi- tion to raise money for charity. Mr. Hughes presented his idea for the “What Would Jesus Brew?” competition at a meeting of church elders. “It was quiet,” recalls Mr. Please turn to page A9 BY ERICA E. PHILLIPS AND BEN KESLING Some Church Folk Ask: ‘What Would Jesus Brew?’ i i i Others Abstain From Tasting Trend; A ‘Swaddling Ale’ Falls Flat Escalating Threats on the Korean Peninsula ALL EYES: North Korea released a photo Friday of Kim Jong Eun visiting an outpost near South Korea, as the countries challenged one another. A6 Yonhap/European Pressphoto Agency Clocks Go Forward Most of the U.S. and Canada switch to daylight- saving time at 2 a.m. Sunday. Clocks move ahead by one hour. Standard time returns Nov. 3. What the Fed is watching ...... A4 Heard on the Street.................. B14 Classique Tourbillon BREGUET BOUTIQUES NEW YORK BEVERLY HILLS BAL HARBOUR LAS VEGAS TOLL FREE 877-891-1272 C M Y K Composite Composite MAGENTA CYAN BLACK P2JW068000-7-A00100-10FEEB7178F CL,CX,DL,DM,DX,EE,EU,FL,HO,KC,MW,NC,NE,NY,PH,PN,RM,SA,SL,SW,TU,WB,WE BG,BM,BP,CC,CH,CK,CP,DN,DR,FW,HL,HW,KS,LG,LK,MI,ML,NM,PA,PI,PV,TD,TS,UT,WO P2JW068000-7-A00100-10FEEB7178F

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Page 1: SATURDAY/SUNDAY,MARCH 9-10, 2013 WSJ.com Employers ...online.wsj.com/public/resources/documents/pageone0309.pdf · SATURDAY/SUNDAY,MARCH 9-10, 2013 HHHH $2.00 WSJ.com WEEKEND Snap

YELLOW

VOL. CCLXI NO. 56 * * * * * * *

SATURDAY/SUNDAY, MARCH 9 - 10, 2013

HHHH $2 .00

WSJ.com

WEEKEND

Snapto

Thrill

OFF DUTYA NEW MAGAZINE

ON MANAGING WEALTH

WSJ.MONEYWSJ.MONEY

n U.S. unemployment fell toa four-year low of 7.7% lastmonth. The nation added236,000 jobs in almost everypart of the private sector. A1n The latest jobs report isunlikely to convince Fed offi-cials it is time to pull backon easy-money programs. A4n The Dow industrialsnotched a 2.2% weekly gain,their biggest since Jan. 4.The blue chips rose 67.58points to 14397.07 Friday. B5n The NYSE is revampingits disaster-recovery plan formanaging operations even ifits trading floor is shut. B1n China called for the U.S.to be “more open and trans-parent” in its national-secu-rity review process for in-bound investments. A8n Global investors are pil-ing into Japan at the fastestrates since 2006, sendingstocks to postcrisis highs. B5n American Express’s CEOreceived $28.5 million incompensation last year, a24% jump from 2011. B2

What’sNews

i i i

Business&Finance

World-Wide

i i i

CONTENTSBooks........................ C5-10Cooking................... D8-10Corporate News.... B3,4Heard on Street.......B14Ideas Market............... C4Opinion................... A11-13

Sports........................... A10Stock Listings........... B13Style & Fashion..... D3,4Travel.............................. D11U.S. News................. A2-5World News........... A6-8Wknd Investor.... B7-10

s Copyright 2013 Dow Jones & Company.All Rights Reserved

>

InsideNOONAN A13

Obama:Anti-Confidence

Man

n A North Korea-Iran pactis prompting U.S. worries.Pyongyang and Tehran en-tered into a scientific-coop-eration agreement in Sep-tember. Washington isconcerned the two countrieswill seek to use the agree-ment to advance their nu-clear capabilities. North Ko-rea and Iran have jointlydeveloped missile systemsover recent decades. A6Pyongyang signed a simi-lar pact with Damascusjust as it began building asecret reactor in Syria.n North and South Koreaescalated mutual threats inan early test of Seoul’spledge to open a new era oftrust with Pyongyang. A6n Thomas Perez, a top offi-cial in the Justice Depart-ment, is said to be Obama’schoice to become the nextlabor secretary. A2n A son-in-law of Osama binLaden appeared before a fed-eral judge in New York andpleaded not guilty to plot-ting to kill Americans. A3n Chávez’s funeral drewhundreds of thousands inCaracas, including IranianPresident Ahmadinejad andU.S. actor Sean Penn. A6n Kenyan presidential voteresults showed Kenyattanarrowly clearing thethreshold needed to win theelection outright. A7n The conclave to elect thenext pope will begin Tues-day, the Vatican said. A7

Employers stepped on the ac-celerator last month, hiringbriskly enough to bolster the re-covery but likely not enough toprompt the Federal Reserve toturn off its easy-money spigot.

The U.S. added 236,000 jobsin February, notching gains in al-most every corner of the privatesector. February’s gains werewell above the 195,000-job-a-month average of the previousthree months and pushed thejobless rate to a four-year-low of7.7%.

Surging stock prices, mending

housing and labor markets and abooming energy sector areamong the tailwinds propellingthe economy. U.S. stock marketsrose following the report, withthe Dow Jones Industrial Aver-age ending at its fourth consecu-tive record close, finishing theweek up 2.2% at 14397.07.

“The overall 236,000 numberis nice, but the breadth of jobsgrowth across industries tellsme that the recovery is broaden-ing and likely gaining momen-tum,” said Mark Vitner, senioreconomist at Wells Fargo Securi-ties LLC. “The mix of jobs is alsochanging. We’re creating higher-

paying ones.”Although February showed

promising momentum, the Fedisn’t expected to put the brakeson its easy-money programs un-til it sees further, sustainedgains.

Recent benchmarks, includingmeasures of gross domesticproduct and manufacturing, re-flect a recovery that is movingforward but at risk of losingpace as its main engine—con-sumer spending—is strained by

PleaseturntopageA4

BY BRENDA CRONIN

Employers Ignore Economic CloudsUnemployment Falls to 4-Year Low, but Headwinds Persist

Note: Data are seasonally adjusted. Source: Labor Department The Wall Street Journal

Stronger Than ExpectedMonthly change in nonfarmpayrolls, in thousands

Monthly unemployment rate,civilian labor force

500

–250

–500

250

0

2009 ’10 ’11 ’12 ’13

Three-month average

10

2

4

6

8

%

2009 ’10 ’11 ’12 ’13

February +236,000 February 7.7%

TIJUANA, Mexico—He was like manypeople in their early 20s, at least the typewith spiky black hair and two lip rings.Four years ago, while living in this teemingborder city, Gonzalo Garcia says he spentfree time in the U.S., to shop, meet girls,and “hang out.” He had no idea he was de-veloping a potentially deadly form of tu-berculosis.

Exactly how long he had it will never beknown. He says he started losing weightand becoming tired and tried to get help.But it took a year before a doctor finallyfigured out what was wrong: He had adrug-resistant strain of TB. “Many doctorssaid I was just fine,” said Mr. Garcia, sit-ting in the clinic where he was cured.

To this day, it isn’t clear if he infectedanyone on either side of the border while

he was contagious. But his tale illustratesa nagging concern among health officialswho say the 2,000-mile border betweenthe U.S. and Mexico could become a breed-ing ground for one of the hardest forms ofTB to treat. Already, both California andTexas, as well as some states on the Mex-ico side of the border, have unusually highrates of drug-resistant TB.

“This is a very hot region” for drug-re-sistant TB, said Rafael Laniado-Laborin,chief of Tijuana General Hospital’s tubercu-losis clinic and laboratory, who has had aninflux of new patients recently—includingone who recently returned from the U.S.and is in the middle of treatment. With tu-berculosis of any form, people can getaround until the disease is quite advanced.“You will go and work and move around,”he said. “You will transmit the disease be-fore you know you’re sick.”

To be sure, the actual number of casesin the U.S. and Mexico is still small and therates of multidrug-resistant TB—or MDR—are nowhere near as severe as India, China,or Eastern Europe, where drug-resistantTB is at epidemic proportions. In 2011, themost recent year available, Mexico had 467MDR-TB cases, the World Health Organiza-tion estimates, while the U.S. had 124, ac-cording to the Centers for Disease Controland Prevention. Almost half of the U.S.cases came from California and Texas.Health officials say it is crucial to jump onprevention now, because the disease istransmitted airborne and can spreadquickly.

“We’re all connected by the air webreathe,” said Thomas Frieden, director ofthe CDC, and a TB expert who successfullybattled a major outbreak of multidrug-re-

PleaseturntopageA9

BY BETSY MCKAY

Risk of Deadly TB ExposureGrows Along U.S.-Mexico Border

Dozens of companies areseeking to void or block rulingsby the National Labor RelationsBoard in the wake of a court de-cision that found President Ba-rack Obama’s board appoint-ments unconstitutional.

In the past several weeks, com-panies including Starbucks Corp.,Time Warner Inc. division CNNAmerica andmedical tester Labo-ratory Corporation of AmericaHoldings have invoked a federalappeals court decision that foundthe National Labor RelationsBoard has lacked the power to actsince early last year. The courtruled that the president violatedthe Constitution when he by-passed the Senate to fill threeboard vacancies, making his ap-pointees illegitimate and leavingthe board without a quorum.

Since the January ruling by theWashington, D.C., appeals court, atleast 87 companies and threeunions have cited the decision incases at varying stages within theagency, including cases the boardhas yet to decide. Many companiesare telling the agency that actionsagainst them should be voided orblocked since the board or its ap-pointed regional officers made de-cisions while the NLRB lacked au-thority. Dozens more companiesare citing the recess appointmentsin appeals they’ve filed against theagency in federal appellate courts.

The companies are attemptingto do a variety of things, includ-ing overturn or block union elec-tions, undo penalties they wereordered to pay to fired workersand halt subpoenas. Employersalso argue that at least 10 NLRBregional directors are illegiti-mate because they were installedby invalid Obama labor-boardappointees, and say regional de-

Pleaseturntothenextpage

BY MELANIE TROTTMANAND KRIS MAHER

CompaniesChallengeLaborRulings

ALLENDALE, Mich.—As sev-eral of the faithful from the Val-ley Church here prepared to bowtheir heads in prayer to open arecent Saturday-evening meet-ing, they introduced themselves.

“My name is Darin,” theMethodist congregation’s 37-year-old music director said,grinning. “And I like me a 30-pack of Busch Light!”

The circle broke into laugh-ter as several people putdown bottles of microbrewbeer to applaud. It was a fit-ting introduction for theevent—a semi-regular meetingof beer enthusiasts and homebrewers who go by the moniker“What Would Jesus Brew?”

Pastor Matt Bistayi, whostarted Valley Church threeyears ago, says the goal ofWWJB isn’t to be “churchy,” butrather to “reach out to people ina loving, grace-filled way thatmeets people where they are andas they are.”

Valley Church is one of sev-eral congregations around the

country tapping the growingcraft-beer trend as a way to at-tract new members.

The number of Americanadults who consider themselves“unaffiliated” with any particu-lar religion has grown from 15%

to 20% in the last five years, ac-cording to a study released lastyear by the Pew Research Cen-ter. Among 18-to 29-year-olds,it’s roughly a third.

“The hardest thing in the

church, period, is reaching outto people my age,” says JakeShirreffs, a 23-year-old in black-framed glasses who plays guitarin the band at Valley Church.

Meanwhile, craft brewerieshave popped up all over thecountry and home-brewing hasbecome increasingly popular.Membership in the AmericanHomebrewers Association hasquadrupled since 2005, accord-ing to the group’s director,Gary Glass.

In Wilmington, N.C, the150-year-old St. Paul’s Epis-copal Church was strugglingwith membership a fewyears ago, so the communitybrainstormed ways to drawnew members. JeffreyHughes, a member of St.

Paul’s, came up with the ideafor congregants to brew beerand challenge other churches inthe area to a friendly competi-tion to raise money for charity.

Mr. Hughes presented his ideafor the “What Would JesusBrew?” competition at a meetingof church elders.

“It was quiet,” recalls Mr.PleaseturntopageA9

BY ERICA E. PHILLIPSAND BEN KESLING

Some Church Folk Ask: ‘What Would Jesus Brew?’i i i

Others Abstain From Tasting Trend; A ‘Swaddling Ale’ Falls Flat

Escalating Threats on the Korean Peninsula

ALL EYES: North Korea released a photo Friday of Kim Jong Eun visiting an outpost near South Korea, as the countries challenged one another. A6

Yonh

ap/EuropeanPresspho

toAgency

Clocks Go ForwardMost of the U.S. andCanada switch to daylight-saving time at 2 a.m.Sunday. Clocks move aheadby one hour. Standardtime returns Nov. 3.

What the Fed is watching...... A4 Heard on the Street.................. B14

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ueTo

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B R E G U E T B O U T I Q U E SNEW YORK BEVERLY H ILLS BAL HARBOUR LAS VEGAS

TOLL FREE 877- 891-1272

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