A boom in companies trying to cut costs by contracting out janitorial and security jobs has led to large pay disparities between workers doing the same jobs, according to a UC Berkeley report. Janitors who work for California contractors earn on average $10.31 an hour, or 20% less than janitors who work directly for a company that uses their services, according to the report, prepared by the university’s Center for Labor Research and Education and released Tuesday. … Many contractors, especially smaller companies, also do not pay overtime or even minimum wage, Hinkley said. They often misclassify workers as independent contractors, thereby avoiding making Social Security contributions and sometimes even pocketing taxes that would normally be deducted from paychecks. … When workers want to complain, an often complicated layer of contractors and subcontractors obscures who is responsible for their paycheck and working conditions, Narro said. Many contractors who are hired to supply janitors or security guards will in turn outsource those jobs to subcontractors, which can be “fly by night” operations that work with no contracts, he said.
The smart stadium was supposed to be an economic boon. Back in 2010, when residents of Santa Clara, a small city of 120,000 just northwest of San Jose, voted to support its construction, boosters promised it would create “thousands of desperately needed new jobs,” providing a lifeline to the very people “bearing the brunt of the recession.” Pro-stadium signs reading “Yes on Jobs!” blanketed the city, part of a campaign paid for by the 49ers, who plowed more than $4 million into the effort. … The stadium has indeed provided a few thousand jobs—about 4,500 people work each event, serving hot dogs, directing traffic, mopping up spilled beer, and securing the grounds. … Many of the stadium workers I spoke with told me they earn $11 or $12 an hour. That would be about $1,900 a month if it were full-time work, but it’s not. … That’s what the NFL usually does: Twenty-nine of the 31 NFL stadiums have received public funds. The stadium for the Indianapolis Colts was made possible with a $620 million subsidy; the Minnesota Vikings are set to receive $678 million from taxpayers to help build their new one. St. Louis, which recently lost the Rams to Los Angeles, built the team a stadium in 1995 with $280 million in taxpayer money—and will be paying off the debt on those bonds, team or not, through at least 2021.
Judith Grant Long, an associate professor of sport management at the University of Michigan, studied all 31 NFL stadiums in use during the 2010 season, and calculated that taxpayers shelled out an average of $374 million each. The 49ers got a good deal with Levi’s Stadium, too. Santa Clara used $114 million in public funds, and, with the help of Goldman Sachs, created a public authority that borrowed $679 million to fund the remainder of the construction, all of which would be paid off with revenue generated by the stadium over the next 25 years. Or so the authority—whose board comprises Santa Clara’s mayor and city council—claimed. The original plan called for the 49ers and the NFL to chip in another $493 million, but during lengthy negotiations between the stadium authority and the team, that figure was later cut nearly in half. In the end, Goldman Sachs earned $75 million in interest and fees and the 49ers’ net worth jumped 69 percent in one year, to $2.7 billion.
Twenty-two student protesters were arrested on December 3 after staging a two-hour occupation of the central administration offices at the University of California, Berkeley. The protesters, 50 members of a campus-based organization called the Student Labor Committee, stormed California Hall, where school head Chancellor Nicholas Dirks is headquartered, and sat down in the office lobby demanding living wages and benefits for workers employed by private contractors on campus. The practice of outsourcing, mostly with workers from communities of colors in the Bay Area, is detrimental both to those workers and campus workers directly hired by the university, according to campaign advocates. AFSCME Local 3299, the system’s largest employee union, said in August that UC management currently holds contracts with “at least 45 private contractors employing thousands of subcontractors who perform the same work as career UC employees—such as custodians, security officers, parking attendants, and food service workers.”
“Our tuition dollars fund racism and injustice”: California students protest university labor outsourcing
Source: Ben Norton, Salon, December 3, 2015
More than 50 students are staging a sit-in in the office of University of California, Berkeley Chancellor Nicholas Dirks. The protest, which was organized by the school’s Student Labor Committee (SLC), is calling for an end to university labor outsourcing and exploitation. Custodial workers and parking attendants at UC Berkeley are subcontracted to the companies Performance First Building Services, American Building Management (ABM), and LAZ Parking. One of these contractors, Performance First, is under federal investigation by the Department of Labor for alleged rights violations. In a report by the Los Angeles Times, subcontracted UC Berkeley workers said that, during sports events, they sometimes work 80- or 90-hour weeks and are denied overtime pay…..
UC Berkeley students arrested after sit-in over contract worker paySource: Kate Murphy, Contra Costa Times, December 3, 2015
tudents protesting the pay and treatment of subcontracted custodians and parking attendants — including some who work for a contractor under federal investigation — staged a sit-in Thursday at California Hall, home to the campus chancellor’s office. “A broad coalition of students demands that their tuition dollars no longer fund racism and injustice at the UC,” the Student Labor Committee, which organized the protest, said in a statement. The group maintains that the workers — who typically earn less than UC employees doing similar jobs — were “exclusively people of color.” A few dozen students chanted and danced in the lobby as AFSCME 3299 workers rallied outside.
Workers, students call for insourcing of all subcontracted workers on campus
Source: Melissa Wen, The Daily Californian, August 31, 2015
Several dozen students, workers and community members marched to various locations on campus and in the city Monday, delivering petitions calling for the insourcing of all subcontracted employees at UC Berkeley. The action was the result of organization among employees of ABM, Performance First Building Services and LAZ Parking — three companies that contract with the campus. The workers said that as subcontracted employees, they receive significantly less pay than UC workers performing equivalent work — a problem they hoped would be solved by being brought in as UC employees. … The group then went to the offices of UC Berkeley Parking and Transportation and Athletic Department administrators, in addition to seeking out Ali Mansour, who manages campus custodial workers. Their last stop was near International House, where a First Performance manager drove out to speak with them.
Demonstrators sing in California Hall to protest UC Berkeley’s use of contract workers
Source: Melissa Wen, Daily Californian, July 8, 2015
Students, workers demand community benefits agreement for Richmond Bay Campus Demonstrators performed a song and dance inside California Hall on Tuesday, calling out the administration for being “super cheap” and marking the start of a new campaign for the campus to create more union jobs instead of hiring contract workers. At about noon, a group of about a dozen students and workers combined gathered before the doors of Chancellor Nicholas Dirks’ office, carrying a letter and a cake decorated with the phrase: “I don’t always pay fair wages, but when I do it’s in Berkeley and Richmond.” They sang an original song, based on the song “Super Freak,” with lyrics criticizing the administrators for treating workers unfairly…… The protest kicked off increased efforts against the university’s contracting out of services, a practice that has been criticized because contract workers often have fewer protections than UC workers. The university maintains, though, that hiring a mix of contract and UC workers allows “maximizing efficiency within resource constraints,” as UC Legislative Director Jason Murphy wrote in a letter to state legislators…. The UC contract with the American Federation of State, County and Municipal Employees union prohibits UC campuses from contracting out only because of the savings resulting from paying lower wages and benefits for services normally performed by AFSCME workers…..
Source: Seattle Times, December 10, 2015
The Seattle Mariners administration is bringing its janitorial services in-house, ending its contract with Aramark Sports and Entertainment, which has provided those services since Safeco Field opened in 1999….
Custodians who clean the buildings owned by Springfield Public Schools will once again be managed by district employees. For nearly two decades, Missouri’s largest district has contracted with a company — initially ServiceMaster and, since 2001, Aramark — to order its cleaning supplies and manage its custodial crews. That will change Feb. 1. Carol Embree, chief financial and operations officer, told the school board this week. … There are 178 custodians and five supervisors employed by the district, but they answer to Aramark employees. This fall, the district received written proposals from four companies including Aramark interested in providing the custodial oversight. Embree said a committee reviewed the district’s custodial needs and the proposals — which ranged from $426,000 to $659,000 a year — and concluded the work would be better done “in house.” Embree said outsourcing custodial management is fairly rare in Missouri. She checked with 20 other districts and only two contracted with a company to provide the oversight.
Source: All Africa, October 29, 2015
The University of Cape Town (UCT) signed an historic agreement with the National Education, Health and Allied Workers’ Union (Nehawu) on Wednesday to insource six of its outsourced services. Cleaning of residences (Metro), cleaning of university buildings (Supercare), catering in student residences (C3), grounds and gardening services (Turfworks), campus protection services (G4S) and student and staff transport services (Sibanye) will now be insourced after the current (in brackets) lease agreements expire. This follows weeks of protests around student fee increases, which resulted in a 0% deal announced by President Jacob Zuma last Friday. UCT student also protested about unfair working conditions, pushing for the insourcing of these services. UCT vice chancellor Max Price and Nehawu chairperson Mzomhle Bixa said in a joint statement on Thursday that the services will be insourced as each of the contracts terminates.
Source: KATC, October 5, 2015
UL is responding to new allegations that it may have overspent thousands of taxpayer dollars to a UL food service provider. According to a newly released legislative audit, UL was over charged nearly $5,500 for tailgating events by food service provider Sodexo, from October 10th, 2009 to November 7th, 2013. During that time, the audit says Sodexo allegedly overcharged UL nine times. However, both UL and Sodexo say they’re working to credit the university back that money.
Audit report: UL at Lafayette food services company catered parties for student union director for free
Source: Lanie Lee Cook, The Acadiana Advocate, October 5, 2015
An audit released on Monday revealed the company selling food services to the University of Louisiana at Lafayette overbilled the school on some occasions, provided free catering for non-university events involving a former school official and brokered unwritten meal deals with university employees in exchange for cleaning services and football tickets. The state Legislative Auditor’s findings come almost a year after university auditors discovered possible misappropriation of public funds in its dealings with Sodexo Management Inc. The school is now “reviewing its contractual relationship” with the company, according to a written response to the audit by UL-Lafayette President Joseph Savoie. … Sodexo also owes the university money for cleaning services, as the union’s housekeeping staff cleaned the student dining hall — which is under lease and operated by Sodexo — while on the university’s clock and in exchange for meal plans, according to the audit. Each employee who cleaned the dining hall received a meal a day from July 2009 to August 2014, costing Sodexo at least $33,213, yet part of Sodexo’s contract includes cleaning the facilities it leases.
The Wichita Falls ISD has implemented new cleaning procedures for locker rooms after three student athletes at Rider High School tested positive for staph infection in early September. Ashley Thomas, communications officer for the district, said the district learned of the positive test results on Sept. 8. The following day, the Wichita Falls-Wichita County Public Health District was asked to collect swab samples. … Lou Kreidler, director of health at the health district, said employees from the General Environmental office met with Aramark and discussed their cleaning procedures. She said it came down to the cleaning company simply not cleaning appropriately.
In an effort to realize nearly $300,000 in budget cuts last spring, administrators considered outsourcing some campus services, including janitorial services and groundskeeping. … Eliminating nine positions, he said, was a better alternative for the university, noting that all of the positions were unfilled meaning that no people lost their jobs. Of the people in the positions considered for outsourcing, almost half of those have been with the university for 10 or more years, Owen said, noting that people working for the university tend to stay in their jobs much longer than when they work for a private company. …
Employees of the Chester Upland School District in Pennsylvania will show up for work on the first day of school next Wednesday, but they don’t expect to get paid. The district, which has been struggling with financial and academic problems for decades, is on the edge of insolvency and cannot make payroll, state and local officials have said. So on Thursday, about 200 members of the local teachers union voted unanimously to work without pay as the new school year opens. They were joined by secretaries, school bus drivers, janitors and administrators. … Chester Upland is facing a $22 million deficit that could grow to more than $46 million without major intervention, Sheridan said. He blamed several factors: local mismanagement, state cuts in education spending under the previous governor and a state law that requires traditional school districts to pay charter schools significant amounts for students who live within their boundaries but attend charters. Public charter schools, which are publicly funded but privately run, have been growing to the point that they educate nearly half the students who live in the Chester Upland district. Chester Upland pays local charter schools about $64 million in tuition payments — more than it receives in state school aid.