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Councilmember Lee presented the report to Council.
Councilmember Howe inquired if the resolution would be mandatory for businesses and Mayor Spitaleri responded that it would not be a mandatory resolution.
Councilmember Howe asked for a detailed explanation of “neutrality in unionization.” Mayor Spitaleri responded that a union can be formed if employees of an organization by majority wish to join a union then a union would be recognized by the employer, or employees could decide to petition for an election.
Councilmember Howe inquired if the proposed resolution would imply that Council recognizes any manner of unionization and Mayor Spitaleri explained that the resolution does not offer a recommendation one way or the other, rather the recommendation is to offer a code of conduct to employers. To unionize or not is entirely up to the employer and employees, and is not mandatory.
Councilmember Howe inquired if the resolution leaves the question of unionization up to the employees and the businesses. Mayor Spitaleri stated if an employer agreed to let the employees chose whether to become a union, and the majority of the employees agreed they wanted to have a union, then there would be a union. However, it would be up to the employees to make that decision.
Councilmember Howe inquired if forming a union would require an agreement between management and the employees. Mayor Spitaleri stated it would require an agreement if the company preferred that their employees hold an election. It would be up to the union to decide if they held an election.
Councilmember Howe verified that this resolution does not force either party to form a union.
Councilmember Swegles disclosed he met with several parties regarding this item. Councilmember Swegles inquired if employees currently have the same rights regarding unionization. Mayor Spitaleri responded that although every citizen has the right to organize, the issue in question is whether an employee feels comfortable speaking up about forming a union.
Councilmember Swegles verified that what is being recommended would not force anyone one in one direction or the other with regard to unionization.
Councilmember Whittum inquired what was meant by fair wages and benefits and how a fair wage would be decided. Mayor Spitaleri stated minimum wage is required by law but the employer reviewing the resolution may have their own opinion on fair wages.
Councilmember Whittum asked Mayor Spitaleri to explain the process of allowing the labor market to set a fair wage. Mayor Spitaleri stated that is usually worked out between individuals on the basis of discussion and reasons brought forth in support of a certain wage.
Mayor Spitaleri explained that the proposed resolution offers awareness about workers’ right to afford to have shelter and food on their tables. Mayor Spitaleri stated the resolution recommends to the local businesses that their work force should be treated fairly.
Councilmember Lee stated the resolution represents an explanation of fair wages and benefits for workers. Councilmember Lee explained that this issue does affect the county and City in that residents pay for individuals who are not able to pay for medical care.
Councilmember Whittum inquired as to what is meant by the statement of cooperation between management and labor. Mayor Spitaleri stated the intent is to have a dialogue between both parties and find a way to work together to address the issues. Mayor Spitaleri stated that this resolution is non-binding and the City would have no part in employee/employer relations. Mayor Spitaleri stated the resolution simply recognizes that companies need to address these issues which have an impact on the community.
Vice Mayor Hamilton disclosed she had conversations with individuals from both sides of this issue.
Councilmember Moylan disclosed that he has been lobbied from both side of this issue.
Councilmember Moylan stated, “It’s been many years since I diagramed a sentence and I will admit that, that last clause was beyond my ability to do it. I had a much more simplistic interpretation of this rather broad and general language with regard to neutrality and please tell me if this is wrong, This applies to contractors to Sunnyvale businesses. The presumption is that when a Sunnyvale business decides to contract out some of its labor, it doesn’t go out and say we’re only taking non-union contractors, we’re neutral as to whether our contractors are unionized or not. Is that wrong?” Mayor Spitaleri responded, “Yes, that is wrong. Neutrality is a tool. If a union were to address a vendor and the vendor said well look, if my employees want to organize they can, so the union would then go in and get significant cards or the majority of the workers signing cards saying yes they want an organization. Once they have that then they would then be classified as a bargaining unit or a union, under whatever union, and then they would enter into negotiations for a contract in terms and conditions of employment, but a person can go out and pick and chose any company that they want to do business for them. This doesn’t stop them from doing it, it doesn’t require them to pick union or non-union.” Councilmember Moylan responded, “Yes, that is what I thought.”
Councilmember Moylan stated this resolution is an expression of Council’s encouragement to Sunnyvale businesses in regard to how they deal with their contractors. Councilmember Moylan explained through the resolution, Council is recognizing the situation for workers whether they are employees or contractors of businesses and regardless if they form a union or not. Councilmember Moylan stated his impression of the resolution is that Council recognizes that Sunnyvale businesses treat their employees well, and encourages businesses to use contractors who also treat their employees well.
Councilmember Whittum disclosed he met with representatives from Sunnyvale Employees Association (SEA) and Service Employees International Union (SEIU) but not in connection with this issue as far as he is aware.
Councilmember Whittum inquired what the business community’s response is to the proposed resolution as currently worded.
Mayor Spitaleri stated that he and Councilmember Lee met with Sunnyvale Chamber of Commerce President Suzi Blackman and discussed many aspects of the proposed resolution. Mayor Spitaleri stated that agreement was reached in some areas; however, they could not reach agreement on other areas, and, after five or six meetings, it was determined that the resolution needed to move forward.
Councilmember Lee stated when the parties first came together to work on this document, the document was quite different. Councilmember Lee explained that all parties agreed on most of the language within the document, with the exception of one paragraph.
Mayor Spitaleri disclosed he met with the Chamber of Commerce on this issue.
Public hearing opened at 9:05 p.m.
Greg Ayers spoke about his work history with Sunnyvale corporations and explained how he has been treated as an employee in the food-service industry. Ayers spoke in support of the Code of Conduct.
Andy Schwiebert, member of the Interfaith Council of Santa Clara County, spoke in support of the Code of Conduct. Schwiebert stated the Sunnyvale Presbyterian Church religious leaders recently held a community forum on human dignity among contracted service workers. Schwiebert stated concern for Silicon Valley working families and spoke of the importance of neutrality as an important way to ensure workers receive dignity in the workplace.
Reverend Carol Been spoke about the rights that workers are being denied in today’s workforce when organizing a union. Been stated the neutrality agreement would encourage businesses to honor the right for workers to form a union without intimidation or coercion against this practice.
Councilmember Whittum inquired if Been met with local business leaders or the Sunnyvale Chamber of Commerce. Been stated they meet with business leaders across the state and acknowledged that they should talk to the Sunnyvale Chamber of Commerce.
A brief discussion ensued between Councilmember Moylan and Been over possible coercion on both sides of this issue.
Councilmember Moylan identified that many other cities have signed a similar code and asked Been if she is aware of any negative effects occurring as a result of adopting this code.
Been stated the issue surrounds how citizens in the community hold each other accountable for a fair process. Been stated the current system is broken and this is really a moral position. Council is being asked to send the message that there is a better way, than the current process, to ensure a fair process for workers is in place.
Sylvia Ruiz, Political Director of SEIU local 1877, spoke of the union’s support for the proposed resolution.
Councilmember Whittum asked Ruiz to explain what type of intimidation workers experience when attempting to organize. Ruiz stated neutrality is sought in order that workers may be free of intimidation and to support the right to form a union. Ruiz cited a local experience in which workers attempted to unionize and were harassed.
Councilmember Whittum inquired how a resolution will stop intimidation. Ruiz stated the union is aware that the resolution will not stop intimidation and that it is ultimately up to the businesses to decide whether to act responsibly or not. However, adopting the resolution will set a standard for the City.
Vice Mayor Hamilton stated sending this type of message seems to assume that local businesses are not acting responsibly. Ruiz stated businesses do not automatically act irresponsibly; however, the contractor is not the direct employer.
Vice Mayor Hamilton inquired why Ruiz is not going directly to the employer with this concern and Ruiz the union is going to businesses but they are also coming to Council with the request that Council make a statement supporting workers right to fight for fair wages and to be free of intimidation. Ruiz stated the resolution also sends a message to the local businesses outlining Council’s values.
Mayor Spitaleri explained that the City is full of responsible business owners but there may be a few that would benefit from this message.
Reverend John Sulivan from Santa Clara expressed his support for the non-binding service code of conduct. Sulivan spoke about the current conditions for service workers which involve low wages and poor health care benefits.
Wilma Angeles spoke about how her employer offered their approval when the employees requested to organize a union. Angeles explained that their first negotiated contract made a huge difference to the workers.
Suzi Blackman, President Sunnyvale Chamber of Commerce, representing the Sunnyvale Chamber of Commerce Board of Directors and Sunnyvale businesses, requested that Council dismiss the proposed resolution as an unwarranted interference by government and private business. However, the chamber is aware of the pressure that the union has placed on Council to approve this resolution which has made dismissing the resolution unlikely and therefore, the chamber has submitted revised language for Council’s consideration. Blackman passed out copies of the revised text to Council.
Blackman explained that the chamber feels their proposed changes still meet the goal to raise awareness of the issues facing subcontracted employees. Blackman explained that the revised text for the resolution received 60 percent approval by the business community and the chamber urges council to adopt their revised resolution. Blackman explained that labor and neutrality are areas of disagreement.
Councilmember Swegles explained that the resolution is a suggestion to the businesses, not a mandate and questioned if that is acceptable to the chamber. Blackman stated even though Council does not plan to enforce this resolution, the business community is concerned with the use of “neutrality” in the document and how unions have used the language in this type of resolution as a rationalization to cause disruption in local businesses.
Councilmember Moylan inquired if the chamber had found any examples of major issues occurring with businesses in other jurisdictions where a similar resolution had been adopted. Blackman stated they had not but that does not give approval or support for having such a resolution, especially since it does not make any difference one way or the other.
Vice Mayor Hamilton thanked Blackman for coming before Council and attempting to work out a solution when a large portion of the chamber does not support this resolution.
Councilmember Whittum inquired as t |