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CC - ACTION ITEM: Adoption of an Ordinance Establishing a $25.00 Per Hour Minimum Wage for Healthcare Workers at Covered Healthcare Facilities.
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Meeting Date: December 12, 2022
Contact Person/Dept: Shelly Wolfberg/City Manager’s Office
Lisa Vidra/City Attorney’s Office
Phone Number: (310) 253-6000
(310) 253-5660
Fiscal Impact: Yes [] No [X] General Fund: Yes [] No [X]
Attachments: Yes [X] No []
Commission Action Required: Yes [] No [X]
Public Notification: (E-Mail) Southern California Hospital; Maky Peters, SEIU - United Healthcare Workers West; and Meetings and Agendas - City Council (12/08/2022).
Department Approval: John M. Nachbar (12/08/2022); Heather Baker (12/07/2022)
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RECOMMENDATION
Staff recommends the City Council consider adoption of an Ordinance establishing a $25.00 per hour minimum wage for healthcare workers at covered healthcare facilities.
BACKGROUND/DISCUSSION
At the December 5, 2022 City Council Meeting, the City Council voted 3 Ayes, 1 No (Eriksson) and 1 Abstention (Vera) to introduce an Ordinance establishing a minimum wage of $25.00 per hour for on-site hospital workers at covered hospitals. The proposed minimum wage increase would apply to a range of employees at covered healthcare facilities in Culver City, including clinicians, nurses, certified nursing assistants, aides, technicians, maintenance workers, janitorial or housekeeping staff, groundskeepers, guards, food service workers, laundry workers, pharmacists, nonmanagerial administrative workers and business office clerical workers, but does not include managers or supervisors. The minimum wage rate would be adjusted annually for increases in the cost of living. The Ordinance would prohibit an employer from funding the minimum wage increases through layoffs or reductions in benefits or hours.
Enforcement
At the December 5, 2022 City Council Meeting, through the majority vote, the City Council directed staff to research entering into an agreement with the County of Los Angeles Department of Consumer and Business Affairs (DCBA) to contract for enforcement of the Ordinance. The proposed Ordinance also allows for a private right of action; this provision would allow healthcare workers, or persons acting on their behalf or in the interest of the general public, to seek compliance of the Ordinance directly through the courts by filing a civil action.
Effective Date
On December 5, 2002, through the majority vote to introduce the proposed Ordinance, the City Council set an implementation date of the minimum wage 60 days after the Ordinance goes into effect. Under the City Charter Section 619, ordinances are effective 30 days after the adoption. Thus, if the proposed Ordinance is adopted, the minimum wage of $25.00 for the healthcare workers covered in the Ordinance would start as of March 12, 2023, as set forth in section 11.33.015.B (Attachment 1).
The proposed Ordinance is presented for City Council’s consideration for adoption.
FISCAL ANALYSIS
Depending on the estimated cost for the City to contract with DCBA, staff would return to the City Council for consideration to approve the Agreement. If a civil action or prosecution is necessary to enforce the Ordinance, there could be costs associated with hiring outside legal counsel, due to limited in-house resources in the City Attorney’s Office. Additionally, there could be costs associated with defending any litigation that may be filed against the City if the Ordinance is challenged, as was the case with the “hero pay” ordinance.
ATTACHMENT
1. 2022-12-12 ATT Proposed Ordinance Minimum Wage for Healthcare Workers at Covered Healthcare Facilities
MOTIONS
That the City Council:
1. Adopt the Ordinance establishing a $25.00 per hour minimum wage for healthcare workers at Covered Healthcare Facilities; and/or
2. Provide alternate direction to the City Manager as deemed appropriate.