ACTION ALERT: Worker Retention and Right of Recall Ordinances

ACTION ALERT: Worker Retention and Right of Recall Ordinances

Published Friday, April 10, 2020

The LA City Council will be voting on the worker retention and right of recall ordinances later this month.They first discussed these ordinances on March 27 and continued the conversation for a later meeting, which has not yet been scheduled. CCA is opposed to both ordinances. These ordinances will only exacerbate an already challenging time for organizations trying to remain open and employ people in Los Angeles. They will have serious implications, cause extreme confusion and severely limit organizations' ability to respond nimbly during this economic crisis.

The Mayor and City Council need to hear from YOU! Your voice and first-hand experience are critical to help shape this discussion. An email template and directory are provided at the bottom of this letter.

Background Information on Ordinances:

  • City Worker Retention Ordinance: Requires businesses that have changed ownership to hire employees from the incumbent business when the successor business opens. If the business needs fewer employees than the former business, employees must be hired based on seniority. This ordinance is effective for two years following the termination of the local emergency declaration but lacks an automatic sunset date.
  • Right of Recall Ordinance: Requires businesses that have laid off employees to re-hire employees based on seniority rather than skills, competence, specific employer needs or legitimate pay scale considerations. It requires a 10-day waiting period after a business has recalled an employee in which the employee would need to accept or decline the offer. This ordinance is retroactive beginning March 4, 2020.

Talking Points for Emails:

  • Businesses are struggling to survive, keep people employed and contribute to the economy. These ordinances do not provide the flexibility needed for businesses to respond nimbly to challenges arising from this economic crisis.
  • These ordinances were drafted without the input of impacted stakeholders.
  • Lack of clarity and onerous reporting requirements make business owners rely on the legal system, making them subject to legal expenses and distract them from focusing on keeping their business open.
  • We are opposed to these ordinances. But at the very least, they should be amended with the
    • Exempt critical infrastructure, including telecommunications, educational institutions and healthcare workers.
    • Exempt all businesses that have been forced to shut down or reduce operations because of COVID-19 related public health orders, including restaurants, hotels, bars and other entertainment venues such as theaters and stadiums.
    • Exempt transitional workers and nonprofit organizations.
    • Improve the exemption for CBAs and make it clear that employers operating with existing agreements are not subject to provisions of the ordinance.
    • Add a sunset clause of December 31, 2020.

Email template HERE. Please email Mayor Garcetti and your Councilmember. The directory of their emails is HERE.

Please contact Tina Oh and Marie Rumsey if you need help with your email to the City.