Labor Board Reverses Ruling That Helped Workers Fight Large Chains

From today’s New York Times:

The National Labor Relations Board on Thursday overturned a key Obama-era precedent that had given workers significant leverage in challenging companies like fast-food and hotel chains over labor practices.

The ruling changes the standard for holding a company responsible for labor law violations that occur at another company, like a contractor or franchisee, with which it has a relationship.

The doctrine also governs whether such a corporation would have to bargain with workers at a franchise if they unionized, or whether only the owners of the franchise would have to do so.

While most labor law experts expected the labor board, which gained a Republican majority only in late September, to overturn the board’s so-called joint-employer decision from 2015, the speed of the change came as a surprise to many.

“Frankly, it’s shocking,” said Wilma B. Liebman, a former Democratic appointee on the board who once served as its chairwoman.

The board’s 3-to-2 vote, along party lines, restores the pre-2015 standard, which deemed a fast-food corporation a joint employer only if it exercised direct and immediate control over workers at the franchise, and in a way that was not limited.

Employer groups had been agitating to undo the standard that was set under President Barack Obama almost from the moment it was decided, and they applauded the decision on Thursday.

The key question in determining whether a company, like a fast-food corporation, is a joint employer of workers employed by another company, like one of the chain’s franchisees, is the degree of control exercised by the corporation over workers at the franchise. The ruling on Thursday declared that such control must be direct.

Under the Obama-era doctrine, the fast-food corporation could be held liable for labor violations that occurred at the franchise even if the control it exerted was indirect — for example, if it required the franchisee to use software dictating certain scheduling practices — or if it had the right to exercise control over workers that it nonetheless didn’t exercise.

The reversal could have important implications for the ability of workers to win concessions from employers through collective bargaining. In many cases, a contractor or franchisee has such low profit margins that it could not afford to raise wages or improve benefits even if it wanted to.

Read the complete article here.

Fast-food protests: Dozens of workers are arrested in strike for higher pay

From LA Times September 4 by Shal Li, Tina Susman, and Tony Perry.

Dozens of fast-food workers from Los Angeles to Manhattan were arrested as they escalated a fight for better pay Thursday with strikes, rallies and acts of civil disobedience.

Police took 10 people into custody after the protesters linked arms and sat down in front of a McDonald’s in downtown Los Angeles. The sit-in capped a midday march through the urban core by hundreds of workers and their supporters.

In San Diego, 11 marchers were arrested for blocking an intersection in the blue-collar neighborhood of City Heights. They were cited for unlawful assembly and released.

Ralllies and sit-ins occurred outside McDonald’s restaurants across the country, including Rockford, Ill.; Hartford, Conn.; Boston; Philadelphia; Atlanta; and Miami. Elsewhere, 19 fast-food workers were arrested in New York; 42 in Detroit; 23 in Chicago; 11 in Little Rock, Ark.; and 10 in Las Vegas.

In downtown Los Angeles, protesters seeking wages of $15 an hour staged a lunchtime march before converging in front of a McDonald’s on Broadway. To the sounds of a beating drum, they cycled through chants such as “We want 15 and a union!” and “Si se puede!”

After police warned the crowd to stop blocking traffic lanes, nine fast food workers and a minister remained seated. They were arrested and led away, their hands bound with plastic zip-ties behind their backs.

It was just one of several demonstrations that were planned in the Southland.

Before dawn, more than 100 workers converged on a McDonald’s in L.A.’s Exposition Park to join the nationwide protests. They went inside the store for 10 minutes as workers stood stone-faced behind the cash registers.

The protesters held up signs and chanted slogans like “Get up! Get down! Fast-food workers run this town!” near a scrum of media trucks outside the McDonald’s.

Fanny Velazquez, 36, said she was participating in the protest to fight for better wages to support her family. A single mother with three children, ages 11, 14 and 16, she said she struggles to make her $9.34-an-hour pay cover all the bills.

The South Los Angeles resident has been working at McDonald’s for eight years doing a variety of jobs, usually working 20 hours a week, she said. But lately, Velazquez said, the company has often cut her hours to 15 a week. She also qualifies for welfare and food assistance.

“It’s difficult, it’s not enough to pay my bills,” she said.

A series of protests funded in part by the Service Employees International Union and local activist groups have sought to spotlight the plight of low-wage workers and push for higher pay by staging protests and walkouts in more than 100 cities in the one-day demonstration.

Read the entire article here.

Fast-Food Workers Seeking $15 Wage Planning Civil Disobedience

From NYT September 1 by Steven Greenhouse:

The next round of strikes by fast-food workers demanding higher wages is scheduled for Thursday, and this time labor organizers plan to increase the pressure by staging widespread civil disobedience and having thousands of home-care workers join the protests.

The organizers say fast-food workers — who are seeking a $15 hourly wage — will go on strike at restaurants in more than 100 cities and engage in sit-ins in more than a dozen cities.

But by having home-care workers join, workers and union leaders hope to expand their campaign into a broader movement.

“On Thursday, we are prepared to take arrests to show our commitment to the growing fight for $15,” said Terrence Wise, a Burger King employee in Kansas City, Mo., and a member of the fast-food workers’ national organizing committee. At a convention that was held outside Chicago in July, 1,300 fast-food workers unanimously approved a resolution calling for civil disobedience as a way to step up pressure on the fast-food chains.

“They’re going to use nonviolent civil disobedience as a way to call attention to what they’re facing,” said Mary Kay Henry, president of the Service Employees International Union, which has spent millions of dollars helping to underwrite the campaign. “They’re invoking civil rights history to make the case that these jobs ought to be paid $15 and the companies ought to recognize a union.”

President Obama, in a Labor Day speech in Milwaukee, mentioned the fast-food campaign, saying, “All across the country right now there’s a national movement going on made up of fast-food workers organizing to lift wages so they can provide for their families with pride and dignity.”

Mr. Obama added that if he had a service-sector job, and “wanted an honest day’s pay for an honest day’s work, I’d join a union.”

Fast-food chains and many franchise operators have said that $15 an hour was unrealistic and would wipe out profit margins at many restaurants. Some business groups have attacked the campaign as an attempt by a fading union movement to rally a new group of workers.

Some franchise operators have dismissed the walkout, saying that in previous one-day strikes, only a handful of employees at their restaurants walked out, barely disrupting business. But organizers say that workers walked out at restaurants in 150 cities nationwide during the last one-day strike in May, closing several of them for part of the day, with solidarity protests held in 30 countries.

The S.E.I.U., which represents hundreds of thousands of health care workers and janitors, is encouraging home-care aides to march alongside the fast-food strikers. The union hopes that if thousands of the nation’s approximately two million home-care aides join in it would put more pressure on cities and states to raise their minimum wage.

“They want to join,” Ms. Henry said. “They think their jobs should be valued at $15.”

S.E.I.U. officials are encouraging home-care aides to join protests in six cities — Atlanta, Boston, Chicago, Cleveland, Detroit and Seattle. Union leaders say the hope is to expand to more cities in future strikes.

Jasmine Almodovar, who earns $9.50 an hour as a home-care aide in Cleveland, said the $350 she took home weekly was barely enough to support herself and her 11-year-old daughter. “I work very hard — I’m underpaid,” she said. “We deserve a good life, too. We want to provide a nice future to our kids, but how can you provide a good life, how can you plan for the future, when you’re scraping by day to day?”

Within the S.E.I.U., there has been some grumbling about why has the union spent millions of dollars to back the fast-food workers when they are not in the industries that the union has traditionally represented.

But Ms. Henry defended the strategy, saying that underwriting the fast-food push has helped persuade many people that $15 is a credible wage floor for many workers. She said it prompted Seattle to adopt a $15 minimum wage and that San Francisco was considering a similar move. She also said the campaign helped persuade the Los Angeles school district to sign a contract for 20,000 cafeteria workers, custodians and other service workers that will raise their pay, now often $8 or $9 an hour, to $15 by 2016.

“This movement has made the impossible seem more possible in people’s minds,” Ms. Henry said. “The home-care workers’ joining will have a huge lift inside our union.”

Fast food workers walk off jobs and demand living wage, fair treatment

Today fast food workers at several of the nation’s largest chains including McDonald’s and KFC are walking out to draw attention to low-wage jobs, demand better pay for their hard work in the industry, and advocate for the right to form unions without retaliation.

Advocacy groups such as Fast Food Forward organized strikes in New York City, Chicago, St. Louis, Detroit, Milwaukee, Kansas City, Mo., and Flint, Mich., to protest the $7.25 federal minimum wage. Organizers and workers are demanding an increase to $15 per hour, a more realistic wage that will make it possible for fast food workers to live decent lives on the wages they make.

The nation-wide protest follows earlier walkouts in New York City last spring in which hundreds of workers walked off the job to draw attention to the poor wages and benefits of the hundreds of thousands of fast food service employees. Although no immediate changes followed these earlier actions, a notable result was that no workers were fired for their actions.

Labor organizers say this is the beginning of a movement to unionize service employees more generally, a task long thought impossible that now appears increasingly possible as workers everywhere are feeling the financial woes of the economic recession and demanding more fair treatment. Researchers project that over the next ten years, seven of the 10 fastest-growing jobs will be low-wage positions such as store clerks, laborers, and home health aides.

The plight of fast food workers also highlights the growing income disparity between workers and executives within the industry and across the economy. Fast food service employees in New York earn merely 25 percent of the money they need to survive, according to Fast Food Forward. What is more, executives in the fast food industry earn $11.9 million a year on average, while full-time employees earn a mere $15,080, according to the group.

NYC fast food workers stage walk out, fighting for rights to unionize

Dozens of fast food workers at some of the country’s largest chains, including McDonald’s, Taco Bell, and Domino’s, walked off the job today in a coordinated campaign to highlight low wages and encourage unionization. The campaign is backed by community groups, civil rights groups, religious leaders, and a labor union, the Service Employees International Union.

Workers are protesting what they said are low wages and retaliation against those workers who have backed unionization among the thousands of fast food worker in New York City. Coordinators claim this is the first multi-restaurant strike by fast food workers in American history, and promised further action as unions make in-roads into the traditionally anti-union fast food industry.

Over the decades there have been efforts to unionize single fast-food restaurants or chains, but there has never before been an effort to unionize multiple restaurants at one time. The new campaign states advocates raising low wages and reducing the disparities of income inequality.

CUNY sociology professor Ruth Milkman said, “These jobs have extremely high turnover, so by the time you get around to organizing folks, they’re not on the job anymore.”