$500,000 in Back Pay Distributed at the New Yorker

March 24, 2014 2:18 PM

As Hotel Voice reported several weeks ago the Union reached agreement with the New Yorker Hotel that called for a group of 44 workers to receive a total of a half-million dollars in back pay. We are happy to report that the money was distributed recently, to the smiles and cheers of these members who are employed in building repairs/renovations and property operations. The agreement was the result of a long and determined fight the Union waged on behalf of these workers and all union members employed in the New Yorker. In addition to the back pay, the building repairs/renovations and property operations workers also received wage increases and ironclad protections against layoffs.

Hotel Voice has reported on this case several times in the past. The Union filed grievances against the hotel regarding the violation of employees’ work preservation rights under both the industry-wide contract and a separate agreement that was signed by the Union and the hotel in August, 2004. While investigating the hotel’s use of subcontractors last year, the Union learned that the New Yorker was engaging in unsafe construction that placed employees and guests at risk. Because these violations of the contract threatened the health and safety of members, the Union filed for emergency arbitration and was forced to call emergency meetings in the lobby of the hotel on two successive days last March.

In the end, the Union was extremely successful in the arbitration, winning additional strong health and safety language that further protects employees. Members will recall that the hotel was also required by the arbitrator to pay large sums of back pay and penalties for the egregious contract violations. In April, 2013, all Union employees at the New Yorker received $125,000 split equally among them—money that constituted a penalty against the hotel for such egregious violations of the contract.

And as we reported several weeks ago, while last year’s consent award accomplished much in the way of protecting the health and safety of the New Yorker employees and penalizing the hotel for its contract violations, the Union pressed on with its case regarding the subcontracting in the hotel that was costing Hotel Trades Council members work hours in violation of the contract. The Union again came out on top and negotiated an agreement that is extremely beneficial to the employees. These members ratified it overwhelmingly last month, and the $500,000 was recently distributed to the 44 members employed in building repairs/renovations and property operations. Most importantly, of course, all workers at the New Yorker Hotel now have a much safer and healthier place to work and should continue to be treated with the dignity and respect that they—and all members of our Union—so rightfully deserve.

“As I said when we reached this agreement with the hotel, this was a long and complex case,” Peter Ward said this week. “This outstanding agreement is due to the unity and determination of all the members of our Union at the New Yorker and also due to the diligence and hard work of the Union’s legal team. We have greatly improved health and safety for all the employees. In addition, we not only recovered income for the affected members whose work preservation rights were being violated, we have won them wage increases and stronger job protections going forward. It’s a big win for them and it is well deserved.”

A total of 44 workers at the New Yorker Hotel, about half of whom are seen here, received $500,000 in back pay recently.