Living wage initiative moves toward passage

PORTLAND, OR -- Nearly 150 people jammed into the Musicians Hall in northeast Portland Feb. 12 to hear how little that employers who contract with the city and Multnomah County are paying their employees.

City Commissioners Jim Francesconi, Erik Sten and Gretchen Kafoury, County Chair Bev Stein and County Commissioner Gary Hansen responded by pledging strong support for living wages, health benefits and unionization rights for contract workers.

The Living Wage Campaign, a coalition of 30 labor, religious and community groups, is urging local officials to guarantee wages above the poverty level for workers at companies getting government contracts. The coalition says contractors should pay at least 110 percent of poverty level for a family of four (approximately $8 an hour) with health benefits.

The coalition handed the commissioners petitions containing more than 4,000 signatures from Oregonians supporting the living wage.

Francesconi said that he had been ready to introduce a living wage ordinance at City Council but that he wanted to wait two weeks in order to work out some details raised at the hearing. Francesconi said his ordinance would guarantee $7.50 per hour this year and $8 next year.

Francesconi questioned the impact on small and minority businesses of imposing health benefit costs and wondered about the legality of the "responsible labor relations" language in the coalition's proposed ordinance. He did, however, encourage unionization, saying that "the best way to raise wages is to unionize, we all know that."

The coalition's ordinance is based on similar laws passed in Baltimore, Los Angeles, Boston and New York, and contains provisions for union-friendly "responsible labor relations," sick leave, vacation and other benefits. Contract workers affected include janitors, parking lot attendants, security guards, temporary clericals, food service workers, messengers and other low-wage earners.

Sten told the crowd that he had planned to co-sponsor Francesconi's ordinance. He also announced his support of the coalition's living wage proposal, saying he was pleased to sponsor a "bottom-up" economic development ordinance, rather than a business subsidy which relies on "trickle down."

Kafoury echoed that sentiment, expressing concern that the city find a way to "pay a living wage" for service workers in the non-profit charities that "deliver some of the city's and county's most crucial services."

County Chair Stein, while pledging support for living wages for all workers, claimed that the county's current Living Wage and Benefit Project only needs to be expanded, not replaced. She pledged to further include temporary workers, such as disabled workers under contract with Goodwill and St. Vincent dePaul, security guards and food service workers under current policy, which she said guarantees $7.50 an hour.

Stein said she would open public hearings on the issue of living wages "when we have a full county board," which may be as late as May. Two commissioners left the board to run for City Council. An election to fill those seats is scheduled next month, but if no candidate (and there are several in each race) receives a 50 percent plus one majority a runoff will be held in May.

County Commissioner Han-sen, a member of Plumbers and Fitters Local 290, agreed with experts who testified that the economic impact of a living wage ordinance was cost neutral for government and taxpayers, with the wage and benefit increase being absorbed by contractors through increased productivity.

Besides, he said, "If you provide a living wage and decent benefits, you don't have to back-door it at the other end," referring to employees who work full-time but are still eligible for county medical services, food stamps and other taxpayer-funded assistance.

Testimony was heard from the Los Angeles Living Wage Campaign, including Ed Iny of the Justice for Janitors campaign with the Service Employees International Union, and Stephanie Luce, an economist and author of an economic impact analysis of the Los Angeles ordinance. The Portland Living Wage Campaign is supported by Jobs with Justice, Northwest Oregon Labor Council, Fire Fighters, United Food and Commercial Workers, American Federation of State, County and Municipal Employees, Oregon Public Employees Union, Laborers Local 483, Service Employees Local 49, Machinists Lodge 1005, Hotel and Restaurant Employees, Letter Carriers Branch 82, the Coalition of Black Men, the Portland Rainbow Coalition and others.

© Oregon Labor Press Publishing Co. Inc.