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 November 4, 2020 Los Angeles City Council meeting agenda. There are three items in particular that could impact you.
1. Workers Who Could be Impacted: City of LA Employees and Applicants Impacted by the 2020-2021 Hiring Freeze
On October 5, 2020, the City Administrative Officer (CAO) sent a Report entitled “2020-21 Hiring Freeze – Status Update as of September 18, 2020” to the City Council. The Report provided in part “[a]s part of the actions on the 2020-21 Budget… the City Council and Mayor approved a hiring freeze. The City Council and Mayor also approved a process for departments to request an exemption to this hiring freeze. [The Office of the City Administrative Officer] was also directed to report to the Council on a periodic basis on the status of requests for exemption to the hiring freeze as submitted by departments…To request an exemption to the hiring freeze, departments submit a request to the CAO.” The Report then lists the 440 positions that as of September 18, 2020 had been approved for an exemption, were pending approval, had the exemption request rescinded, and were not approved or were not recommended for approval.
On October 7, 2020, the Report was referred to the City Council’s Budget and Finance Committee. On October 26, 2020, the Budget and Finance Committee considered the Report. The Committee’s Report provided in part “[a]t its regular meeting held on October 26, 2020, the Budget and Finance Committee considered the CAO report dated October 5, 2020 relative to the 2020-21 hiring freeze status update, as of September 18, 2020. After providing an opportunity for public comment, the Committee moved to approve the recommendations contained in the subject CAO report…This matter is now forwarded to the Council for its consideration.”
Now, agenda item 30 of the November 4, 2020 LA City Council meeting calls for the Council to “[note] and [file] the October 5, 2020 City Administrative Officer (CAO) report relative to the 2020-21 hiring freeze status update, as of September 18, 2020.”
2. Workers Who Could be Impacted: City of LA Targeted Local Hire Program Applicants
On September 28, 2020, the City Administrative Officer (CAO) sent a Report entitled Targeted Local Hire (TLH) Positions Not Included In The 2020-21 Adopted Budget. According to The Targeted Local Hire Program website, “The Targeted Local Hire Program (TLH) creates an alternate job pathway into City civil service via full-time, paid, on-the-job training for entry-level City positions. TLH provides individuals an opportunity to be randomly selected for referral to City departments in order to participate in their hiring process and be considered for entry-level jobs. If hired as a City employee through the Program, candidates will have an initial 6 month on-the-job training period (full-time, paid, benefits), followed by a 6 month probationary period. Once the probationary period is successfully completed, the candidate is transitioned to full-time regular civil service employment.”
The September 28, 2020, CAO Report provided in part “[o]n August 25, 2020, the City Council adopted a motion…directing the Personnel Department and the City Administrative Officer (CAO) to survey all City departments for proposed new or additional Targeted Local Hire (TLH)-eligible position authorities…As part of the actions on the 2020-21 Budget, the Council and Mayor approved a Citywide Hiring Freeze because of the reduction in City revenues associated with the COVID-19 Pandemic…New employees hired through the TLH Program were the only Citywide exemption approved from this Hiring Freeze by the Mayor and Council…Due to fiscal concerns which may result in service and workforce reductions, and in accordance with the Mayor Memorandum and Council direction to this Office to coordinate spending reduction proposals, it is recommended that no new TLH position authorities be provided to departments. In addition, it is recommended that the Council and Mayor rescind the existing Hiring Freeze exemption for TLH positions. As noted, Departments may still request to hire TLH positions, but would need to do so through the Hiring Freeze process.”
On September 28, 2020, the Report was referred to the City Council’s Personnel and Animal Welfare Committee. On October 6, 2020, the City Clerk corrected referral to add the City Council’s Budget and Finance Committee. On October 21, 2020, the Personnel and Animal Welfare Committee considered the Report. In a Transmittal Letter to Budget and Finance Committee, the Personnel and Animal Welfare Committee stated “[a]fter consideration, and having provided an opportunity for public comment, the Committee moved to make the following recommendation: Remove the exemption from the City’s hiring freeze for new positions hired through the TLH Program on a temporary basis until Council has decided not to engage in layoffs, at which point, hiring under the TLH Program can resume with exemptions from the hiring freeze being automatic. This file is now transmitted to the Budget and Finance Committee.”
On October 26, 2020, the Budget and Finance Committee considered the Report. A Joint Report from Personnel and Animal Welfare and Budget and Finance Committees provided in part “the Budget and Finance Committee also considered this matter and after consideration and having provided an opportunity for public comment, the Committee moved to concur with the [Personnel and Animal Welfare] Committee. This matter is now submitted to Council for its consideration.”
Now, agenda item 35 of the November 4, 2020 LA City Council meeting calls for the Council to “[remove] the exemption from the City’s hiring freeze for new positions hired through the TLH Program on a temporary basis until Council has decided not to engage in layoffs, at which point, hiring under the TLH Program can resume with exemptions from the hiring freeze being automatic.”
3. Workers Who Could be Impacted: City of LA Civilian Employees and Their Qualified Dependents
On September 18, 2020, the City of Los Angeles Personnel Department sent a Report entitled “LAwell Program Employee Benefits Trust Fund Review Fiscal Year (FY) 2019-20” to the City Council. The Report provided in part “[t]he Personnel Department administers the City’s LAwell Civilian Benefits Program (LAwell Program) for active City civilian employees and their qualified dependents in conjunction with the City’s Joint Labor Management Benefits Committee (JLMBC)…The mission of the LAwell Program is to promote employee health and wellness with competitive benefits at a reasonable level relative to the City’s financial capacity. Currently, the LAwell Program covers approximately 28,000 employees and 35,000 dependents…In Plan Year 2021, benefit plans and service providers will include…” Medical, Dental, Life Insurance, Disability Insurance, Accidental Death & Dismemberment (AD&D) Insurance, Tax-Advantaged Savings Accounts, Employee and Family Assistance Program, Vision Plan, Wellness Services.
In 1997, “the City established an Employee Benefits Trust Fund (Trust Fund)…The purpose of the Trust Fund is for the receipt and retention of employer and employee contributions for the LAwell Program. The Trust Fund operates as a temporary pass-through account for the funding of premium payments to benefit service providers.”
The Los Angeles Administrative Code requires ‘“[t]he Chairperson of the Joint Labor-Management Benefits Committee shall report to the City Council and the Mayor regarding and identifying all receipts into, and all expenditures out of, the Fund, as well as the purposes for which the expenditures were made. Each report shall cover a fiscal year and shall be submitted within 90 days after the close of said fiscal year.’ This report provides a review of Trust Fund activity and expenditures for FY 2019-20.”
The Report concludes “[t]he Trust Fund provides an important vehicle for the City to fund and process payments for the LAwell Program. The JLMBC recommends that the City Council note and file this report regarding and identifying all FY 2019-20 Trust Fund receipts and expenditures and purposes for which expenditures were made.” The Report was referred to the City Council’s Personnel and Animal Welfare Committee.
At an October 21, 2020 meeting, the Personnel and Animal Welfare Committee considered the Report. The Committee’s Report provided “[a]fter consideration and having provided an opportunity for public comment, the Committee moved to receive and file the reports. This matter is now submitted to Council for its consideration.”
Now, agenda item 36 of the November 4, 2020 LA City Council meeting calls for the Council to “[note] and [file] the September 18, 2020 Personnel Department reports relative to the LAwell Civilian Benefits Program trust fund review for FY 2019-20.”
We hope these updates are helpful to you.
Fraternally,
SR Holguin, PC