SR Holguin, PC is a union-side labor and employment law firm with nearly four decades of experience representing private sector unions, public sector unions, and multi-employer trust funds. SR Holguin, PC is committed to providing full-service legal representation to each of our clients.
One way in which SR Holguin, PC ensures our clients and their members stay informed is by keeping you updated on recent developments relating to workers’ rights. Today’s updates come following the release of the March 3, 2021 Los Angeles City Council meeting agenda. There are two items in particular that could impact you.
1. Workers Who Could be Impacted: Grocery and Drug Retail Workers Throughout the City of Los Angeles
As discussed in prior posts, a December 15, 2020 Motion called for the “Office of the City Attorney [to] be requested to draft an emergency ordinance that will provide all on-site grocery workers at Grocery Stores with 300 or more employees with an additional five (5) dollars per hour in wages for the period of the effective date of this Ordinance during which the City of Los Angeles is within a Widespread (purple), Substantial (red), or Moderate (orange) Risk Level, and until such time as risk levels return to Minimal (yellow) under the State Health orders.”
On February 5, 2021, the City Attorney sent a Report to the City Council entitled “Draft Ordinance Adding Article 9 To Chapter XX of the Los Angeles Municipal Code to Provide Additional Pay to Grocery and Drug Retail Workers on the Frontlines of COVID-19.” The Report provided in part “[p]ursuant to your request, this Office has prepared and now transmits for your consideration the enclosed draft ordinance, approved as to form and legality. The draft ordinance would add Article 9 to Chapter XX of the Los Angeles Municipal Code to provide additional premium hazard pay to grocery and drug retail workers on the frontlines of COVID-19. The ordinance contains an urgency clause.”
On February 23, 2021, the City Council’s Economic Development and Jobs Committee considered the Report and Draft Ordinance. The Committee’s Report “amended [the Draft Ordinance] as follows: a. In Section 200.101B remove the last sentence: Employee does not include exempt managers. b. In Section 200.102 change the words a total of to no less than. c. Amend the Ordinance to ensure that if an Employer has one store that qualifies under the draft ordinance section 200.101C 3 an Employee at any of its stores that dedicates 10 percent or more to grocery and pharmacy sales would qualify as a covered Employee for hazard pay.”
On February 24, 2021, an Amending Motion was introduced by Councilmember Mitch O’Farrell (13th District) and seconded by Council President Nury Martinez (6th District). The Amending Motion provided in part “I hereby move that Council amend Recommendation No. 1 of the Economic Development Committee Report and Ordinance First Consideration relative to adding Article 9 to Chapter XX of the Los Angeles Municipal Code to provide additional pay to grocery and drug retail workers on the frontlines of COVID-19…as follows, subject to the approval of the Mayor: present and adopt the Ordinance dated February 24, 2021…in lieu of the Ordinance dated February 5, 2021.”
The Amended Motion was adopted at the February 24, 2021 Los Angeles City Council meeting by a vote of 14 yeses to 1 no.
Now, agenda item 3 of the March 3, 2021 Los Angeles City Council meeting calls for the “Ordinance[’s] second consideration relative to adding Article 9 to Chapter XX of the Los Angeles Municipal Code to provide additional pay to grocery and drug retail workers on the frontlines of COVID-19.” As this Ordinance contains an urgency clause, 12 yes votes are required on the second reading.
2. Workers Who Could be Impacted: City of Los Angeles Employees and Retirees
On December 15, 2020, a Motion was introduced by Councilmembers Bob Blumenfield (3rd District) and Paul Krekorian (2nd District) and seconded by Councilmember Paul Koretz (5th District).
The Motion provided in part “[t]he City of Los Angeles must keep its promise to its workers to meet their health care needs in retirement, while taking advantage opportunities to reduce costs to the City. The City of Los Angeles faces a severe financial crisis, making this an urgent time to find cost savings in all departments and consider its long-term financial obligations. Due to the COVID-19 pandemic, the City’s tax revenues have declined dramatically…the City faces significant payouts to retirees who participated in the Separation Incentive Program and increased pension costs…The City must explore all avenues for reducing its expenses, including health care costs for current employees and retirees, especially for those retirees who are not yet eligible for Medicare. There are many options to reduce healthcare costs, including negotiating with current health care providers. The City should also explore alternatives to the current healthcare providers, including Affordable Care Act options that could provide reasonably-priced (and often-subsidized) individual health care plans. With…President Biden’s pledge to expand affordable health care options, it is time for the City to re-examine how it provides health care benefits to current employees and retirees while ensuring that employees and retirees will continue to have access to affordable, high-quality health care.”
Therefore, the Motion called for “the City Administrative Office, in consultation with the Los Angeles City Employees’ Retirement System (LACERS), Los Angeles Fire and Police Pensions (LAFPP), the Personnel Department and the City’s labor partners, be directed to report to the Executive Employee Relations Committee and appropriate Council Committees with viable options and recommendations to reduce City healthcare costs for current employees and retirees, consistent with existing legal requirements, City commitments and considerations of equity.”
The Motion was first referred to the City Council’s Personnel, Audits, and Animal Welfare Committee, then to the City Council’s Budget and Finance Committee. The Committees’ Joint Report provided in part “[o]n February 3, 2021, the Personnel, Audits, and Animal Welfare (PAAW) Committee considered [the] Motion…After consideration and having provided an opportunity for public comment, the PAAW Committee moved to recommend approval of the Motion. Subsequently, on February 22, 2021, the Budget and Finance Committee also considered this matter and after also having provided an opportunity for public comment, the Committee moved to concur with the PAAW Committee. This matter is now submitted to Council for its consideration.”
Now, agenda item 25 of the March 3, 2021 Los Angeles City Council meeting calls for the Council to consider the Motion.
Retired Los Angeles City Employees, Inc. (RLACEI) submitted public comment in opposition to the Motion.
We hope these updates are helpful to you.
Fraternally,
SR Holguin, PC