Washington, D.C. – Today, President Trump signed an Executive Order that is arbitrary and irrational and will have a devastating impact on necessary consumer protections. Having campaigned on a theme of pocketbook populism, this administration now appears to be pursuing a policy of corporate enrichment without regard for how consumers will be affected.
The Executive Order seeks to curtail the promulgation of regulations by requiring that for every new regulation promulgated, two must be eliminated. Further, the Executive Order requires that the cost of all new regulations finalized this year shall be zero.
Creating an arbitrary one-in-two-out rule utterly disregards the substance and purpose for existing regulatory protections and the benefits they can provide to consumers. Moreover, requiring costs for new regulations to be zero means that, no matter how significant the benefits to consumers and society, costs to industry will always carry the day. Our nation deserves a rigorous and deliberative rulemaking process, not one that is based on arbitrary gimmicks that refuse to acknowledge why these rules exist at all.
Significant consumer protections that increase pocketbook savings, ensure our food is safe, protect privacy, ensure access to justice is obtained, and make our financial marketplace more fair will be eliminated or will never be finalized based on an incomplete evaluation of rules. Consumers will bear the costs and the economy will suffer as a result from this Executive Order.
Contact: Rachel Weintraub, (202) 387-6121
The Consumer Federation of America is an association of more than 250 non-profit consumer groups that, since 1968, has sought to advance the consumer interest through research, education, and advocacy.