Business
Over 2/3 of Americans Support Bernie Sanders-Style AI Stock Ownership Plan, Poll Shows
Vermont Senator Bernie Sanders is less sceptical about AI than many AI-skeptics would like. His AI-populism, however reverent and awed by the technology itself –and perhaps a bit more credulous—would probably be more popular with his AI-skeptical supporters. A new poll shows his proposal to deal with AI’s economics is incredibly popular. It has an astounding 69% of support.
It’s like nationalizing diets. It goes something like this.
This legislation would allow the American public to own a stake directly in America’s largest AI firms through an apportioned 50% one-time tax on stocks, and not profits.
Now you’re in charge, American taxpayer. Now you own Big AI. We should make sure that it does only good and reap the benefits. Even if stock prices plummet, we didn’t pay for them.
If one survey is to be believed, America has jumped on board. In a June survey by Verasight, the firm that conducts research on the topic of artificial intelligence (AI), over two-thirds of the respondents supported a proposal to “require’ the major AI firms to transfer their stocks to a public sovereign wealth fund.
They polled both with and without Bernie Sanders in the question. The overall level of support dropped to 64% when the question was framed as follows:
Recently, Senator Bernie Sanders introduced legislation that requires artificial intelligence companies transfer half of their shares to an American fund. Support or opposition to this proposal?
In this case, the number of respondents that said “strongly support” the plan actually increased by 3 %.
Business
United’s new seating option ditches the middle seat
United Airlines announced a new Economy offering for its Airbus A321XLR planes on Tuesday. The new offer will allow passengers to enjoy more elbow room and access a table shared across an empty middle seat.
United announced that the new Economy Plus offer will be available to book in the second half of this year. The feature is expected to be on board all 50 A321XLR jets United ordered from Airbus. The airline said it is exploring options to include similar seats on its other fleet aircraft.
In its announcement, the company stated that they expect to be the only airline that offers this seating option. This follows the announcement made recently by United Airlines that the United Relax Row will debut early in 2027. It will feature several rows of seats that can convert into couches on Boeing wide-body aircraft.
DELTA ROLLS OUT CHEAPER BUSINESS FARE, FIRST-CLASS WITH FEWER PERKS. ‘MORE WAYS OF CHOOSING’
Andrew Nocella is United’s Chief Commercial Officer. He said, “We are investing in our entire fleet to give customers value and choice.”
The XLR, our newest aircraft, not only provides all-aisle lie-flat seating in United Polaris; it also offers seats in Economy Plus that have extra elbow and leg room.
JUDGE RULES UNITED WILL FACE A LAWSUIT OVER TEXTURES CALLED “WINDOW SEAT” BUT WITHOUT WINDOWS
The middle and window seats will be able to spread out more as the tables are large. They stretch all the way from the armrests to the armrests.
It will be permanently fixed with a leathery cover, and have two cup indentations. This extra legroom is on top of the 3 inches that Economy Plus seats offer.
United will begin using the A321XLR for domestic routes this autumn and international short-to-medium-haul routes by early 2027.
DELTA’S CEO ED BASTIAN SAYS AIRLINE FARE WILL STAY HIGH EVEN IF FUEL PRICES FALL
Ticker Security Change % UAL UNITED AIRLINES Holdings Inc. 120.35 -1.81 -0.67%
Airbus A321XLR features 32 seats in premium class, 16 more than Boeing 757s that it replaces. This includes the United Polaris Suite with all-aisle accessibility.
The screen size varies from 19″ in Polaris Suites, to 16″ in United Premium Plus or 13 ” in United Economy.
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All passengers will also have the option to use the larger overhead bins, which have room for rolling bags. There is also a snackbar in the rear economy cabin. The 757 operated with 5 flight attendants for most of the transatlantic flights.
Business
Subaru issues recall for 541,000 SUVs over label with incorrect weight rating
NEW YORK – Subaru of America recalls more than 541 000 of its Crosstrek SUVs, Forester and Ascent due to incorrect labeling on the vehicle.
A notice issued by the National Highway Traffic Safety Administration (NHTSA) this week revealed that the vehicles that were recalled had a label on their certification that stated incorrectly the gross axle weight rating or GAWR. This is the weight maximum that can be supported per axle.
NHTSA says a incorrect GAWR “may result in an overloaded vehicle,” increasing the risk of a collision.
Subaru is not aware of any accidents or injuries in the U.S. caused by this problem, as per recall documents. No mechanical repairs are required. However, the company will mail affected owners an “corrective certification sticker” that they can place on top of the defective one. The label can be placed on the car by a dealer at no cost.
This recall is for certain 2019-2026 Crosstrek Hybrid vehicles, as well as 2025-2026 Forester, Forester Hybrid and 2026-2026 Ascent models.
Documents from the NHTSA note that owner notifications will begin in August. Additional letters “once a remedy has been developed” will also be sent out. Drivers can confirm if their vehicle has been included in the recall by using NHTSA’s website or Subaru’s lookup platform.
The Associated Press contacted Subaru of America, a New Jersey subsidiary of the Japanese carmaker for more information on Tuesday.
Business
Senators unveil bipartisan bill to tackle Social Security insolvency
WASHINGTON, D.C. (AP) – With Social Security approaching insolvency within six years, a group of bipartisan lawmakers presented a plan on Tuesday that would address one of the biggest financial issues facing the federal Government.
PROMISE Act was introduced in response to the Social Security Board of Trustees annual report which revealed that the retirement trust fund of Social Security is expected to have a shortfall by 2032. This year, the projections were one year ahead of last year.
Congress is unwilling to take action, despite the fact that it has been obvious for many years that Social Security’s finances are running low. Politicians have been reluctant to make changes, including potentially reducing benefits. They’ve also repeatedly pushed the problem of Social Security and Medicare to future generations.
In a press release, Sen. Dick Durbin (D-Ill.), one of the bill authors, stated that the longer Congress delays, the harder it will be for them to deal with the financial deficit. We were elected to fix problems. Our kids and grandchildren deserve that we protect and reinforce this vital program.
Durbin is retiring and is now joining Tim Kaine, a Democratic senator from Virginia, independent Senator Angus King, a Republican senator from Maine, as well as other outgoing Republican senators. Bill Cassidy from Louisiana, John Cornyn from Texas, and Thom Tillis in North Carolina all support the Social Security bill, which would create an independent, bipartisan committee to make recommendations.
Sens. Chris Coons (D-Del.) and Alan Armstrong (R-Okla.), both signed the bill before it was introduced.
This bill was designed to make Congress confront the long-term Social Security financing crisis by requiring that they vote on a plan to solve it. The bill culminates with a vote that will restore Social Security’s solvency at least for the next half century.
But committees have faced this situation before. This happened in 2024 when House members, with support from several GOP leaders, formed a federal debt panel to address the solvency issues of Social Security and Medicare.
Americans for Tax Reform, led by Grover Norquist as its president, aggressively campaigned against the effort.
According to the Board of Trustees report, the looming Social Security funding gap is primarily due to lower birth rates projected, decreased immigration, and reduced revenue from the trust funds as a result of the massive Republican tax and spending legislation that was signed by President Donald Trump last summer.
A partial funding gap is the biggest challenge facing these programs, and not an impending collapse. The system will still continue to issue benefits even after the trust funds are exhausted, but at reduced amounts.
Republicans are traditionally sceptical about tax hikes, while Democrats oppose calls to increase the Social Security age. Members of the House Republican Study Committee in 2022 proposed to raise the age that someone can qualify for Social Security or Medicare.
The last time Social Security benefits underwent reform was around 40 years ago. At that time, the federal government increased the age of eligibility for the program, from 65 to67, on the recommendations of a commission led by Alan Greenspan.
There are still bipartisan requests to come up with a long-term solution to fund Social Security.
In the last month, Sens. Elizabeth Warren (D-Mass.) and Bernie Moreno (R-Ohio), wrote an opinion piece in The New York Times urging the increase of the Social Security payroll taxes.
The payroll tax limit, which is the maximum earnings for which you will be required to pay Social Security Tax, in 2026 is $184.500.
Americans for Tax Reform organized an aggressive and lengthy rebuttal, with the comments of scores of conservatives who were in opposition.
Business
Lawsuit claims Meta’s layoff decisions were made by AI, not humans
A lawsuit brought by 26 terminated employees alleges that Meta used AI to target 8,000 workers who had disabilities or who were on protected family and medical leave. According to a lawsuit filed by 26 plaintiffs “Doe”, Meta selected employees to be laid off using internal AI tools.
Meta did not create the list of terminations based on the judgment of experienced managers. Instead, Meta used a constellation of internal artificial-intelligence systems–including a system referred to internally as ‘Metamate,’ employee-trained ‘second-brain’ agents, keystroke- and activity-monitoring data, AI-token-usage dashboards, and algorithmically assisted performance ranking and calibration–to score, rank, and select employees for inclusion on the list,” the lawsuit said.
The lawsuit claims that Meta graded employees based on their use of AI tools. “Meta’s internal dashboards classified employees by their stage of adoption of its artificial-intelligence tools, using categories such as ‘AI Native,’ ‘AI First,’ and ‘AI Enabled,'” the lawsuit said.
Reuters reports that the lawsuit “is apparently the first to be filed against a large US firm to contest the alleged usage of AI to conduct layoffs.” According to the complaint, Meta’s monitoring tools did not take into account differences due to disabilities or protected leave.
The lawsuit stated that “These tools draw upon inputs – performance ratings, calibr scores, productivity metrics and output metrics, AI-native ratings and AI token consumption – which, by design cannot be accumulated, either by employees on medical leave or who are disabled.
Meta says people, not AI, made layoff decisions
Meta claims that layoffs were made by people. These claims are unfounded and do not reflect the facts. Meta told Ars that people make decisions about workforce management and organization, and not AI. Meta made no other comments about the lawsuit.
In the lawsuit, Meta Management was accused of failing to take any steps in order to correct scores when employees took leaves or requested reasonable accommodations due disabilities.
“Meta did not neutralize those inputs for protected leave; did not exclude protected-leave-takers or accommodation-seekers from the selection cohort; and did not pause the system for the individualized, leave- and accommodation-neutral review that the law requires,” the complaint alleged. The result of this was that protected leave-takers were selected disproportionately for layoffs, because the scoring system did not account for these protected leaves. It also penalized employees for taking their legal right to protected leave.
In the lawsuit, it is stated that 26 of the plaintiffs had requested disability accommodation or leave in the 24-month period prior to being chosen for layoffs. Although the layoffs have not been finalized yet, employees will begin losing their jobs as early as July 22.
The employee was told that she would be laid off “the day before her baby broke”.
In an internal memo, Chief People Officer Janelle Gale informed staff of the May 2026 layoffs. She said that Meta was planning to cut around 10 percent from its workforce and would stop recruiting for approximately 6,000 vacant positions. Gale wrote in her memo that the layoffs were part of a continuing effort to make the company run more efficiently, and also to help offset other investments.
In the lawsuit, it was stated that Meta “announced these cuts when they reported record revenues the previous month. They also committed to spend between $125 and $145 billion – more than twice its expenditure in 2025 – on artificial intelligence by 2026. This led employees to ask why job cuts are necessary.”
In the lawsuit it was stated that one Meta scientist “was selected when she was on pre-birth leave approved–two days before giving birth and a day before water broke.” Other plaintiffs were terminated while they were on disability medical leave. Several allegedly returned to their jobs under work-from home accommodations approved by the company that were still in place when they received termination notices.
Plaintiffs are employed by Meta in California and Illinois. They also work for Meta at Washington, New York City, Pennsylvania, Florida, Washington DC, Washington State, Washington District of Columbia. The plaintiffs claim that Meta has violated US Family and Medical Leave Act as well as the Pregnancy Discrimination Act and Americans with Disabilities Act.
The lawsuit also claimed violations of laws passed by the District of Columbia and various states. The lawsuit stated that an updated version of California’s Fair Employment and Housing Act prohibits “the use of automated decision systems which produce disparate impact discrimination based on disability, sex or pregnancy”.
The plaintiffs are asking for a recalculation of employee scores
In the lawsuit, Meta is seeking an injunction to prevent layoffs and to protect workers’ jobs and/or leave status. It also wants an audit conducted by an independent party to review how they selected employees for layoffs. The proposed audit would “examine the inputs, weights, and outputs of the selection process; determine whether protected-leave status, accommodation status, or any proxy was used as an input; recompute selection scores using leave- and accommodation-neutralized inputs; and identify any named Plaintiff whose selection cannot be justified on leave- and accommodation-neutral grounds.”
The plaintiffs want Meta to be ordered to save all documents, data and models related to layoffs, “and to the algorithmically-assisted selection process.”
The lawsuit, despite the 26 plaintiffs involved, is not one of a group action. Meta allegedly required that employees sign an arbitration agreement waiving their right to bring class action lawsuits against them. Plaintiffs say they want to arbitrate individually but that a court order will be necessary in the meantime to keep their jobs.
“Plaintiffs seek a preliminary injunction maintaining the status quo of their employment–preventing Meta from finalizing their separations, and from altering their compensation, benefits, equity vesting, or protected-leave status–pending an independent audit of the algorithmically assisted selection process and resolution of the merits of their claims in arbitration,” the lawsuit said.
Business
Lucid Motors denies report it’s considering bankruptcy
Lucid Motors denies a report that the company is considering Chapter 11 bankruptcy.
Nick Twork is the chief communication officer of the company. He told TechCrunch that “the rumors are totally false.”
He said that the company had enough liquidity to continue its business operations into next year. It hasn’t formed a special Board to investigate scenarios as reported today. Our focus is improving execution, strengthening our operations and enabling Lucid to maximize the potential of their technology, products and innovations.
Bloomberg News reports that Lucid denied the allegations after the stock dropped more than half on Tuesday. This was its largest intraday decline ever. As of 2:46 pm, the stock had recovered and traded at $4.72 per share. ET is about 14% below its opening price.
In a major restructuring, the company has recently appointed a new chief executive officer and laid off over 2,000 workers this year. This is in preparation for its expected release of a smaller electric SUV that will be more affordable later this year.
An electric vehicle blog reported earlier Tuesday that two anonymous sources said that the company considered either Chapter 11 bankruptcy or going private, on the advice of AlixPartners. Twork stated that AlixPartners was assisting Lucid in strengthening its operation and not anything else. They have also never recommended bankruptcy.
AlixPartners is the go-to consultancy for electric car companies that are struggling in recent years.
Lordstown Motors hired the company in 2021, after both its CFO and CEO resigned. The firm was brought on to help restructure Lordstown Motors’ fledgling business. Lordstown Motors was a startup that partnered up with Taiwanese electronic giant Foxconn. However, the relationship soured over time and Lordstown Motors closed its doors.
Faraday Future has also hired AlixPartners in order to implement the recommendations of its board in response to an internal investigation in 2022.
Lucid Motors revealed recently that they delivered 3953 cars in the second quarter this year. This is only a little more than what was shipped during the same time period in 2017. The company has struggled in the past to sell its high-end luxury EVs despite impressive technical specs. Lucid announced the most recent round of layoffs earlier this month. It also stated that it will eliminate a second shift in its Arizona plant as “production plans are aligned with anticipated demand.”
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