Council to developers: Share benefits with building service workers

n the last City Council meeting, Council Member Robert Jackson introduced Local Law #605 to ensure that building service workers in the Greenpoint-Williamsburg section of Brooklyn are paid the prevailing wage and receive the same benefits as all other workers in the industry. This will set an important precedent throughout the City by mandating that developers who are fortunate enough to receive public tax breaks share this benefit with the people they employ to maintain their lucrative real estate property.

Jackson said that the Pratt Institute analyzed the fiscal impact of this bill and found that the cost to developers will be negligible, while the impact on building service workers and the City will be tremendous. That is why – with an eye on the phenomenal amount of development slated for many areas of the City – the service workers union, SEIU Local 32BJ, has been working hard to bring this type of legislation to fruition.

Jackson spoke with feeling about the financial situation of 32BJ service workers, saying that someone had asked him why not let developers pay them eight or nine dollars an hour. Jackson broke it down that $8 an hour comes out to only $320 a week or $16,000 a year. Nine dollars an hour equals $360 a week, which is $18,720 a year. "Can you live off that?" Jackson asked his colleagues. "I don't think so. That's not enough in New York City. I ask you to help ensure that the 500 plus new permanent building service jobs created in this neighborhood will be well-paying, high quality union jobs for deserving New Yorkers."

As several other Council Members spoke out in support of this legislation, it was clear that they, too, believe that developers shouldn’t be allowed to just waltz in, take advantage of hefty tax abatements, and then pay their workers whatever they please to maintain their highly profitable buildings.

"The benefits of economic development must be shared by all New Yorkers," declared Majority Whip Leroy Comrie. "When developers receive public money, they should not be permitted to undermine the established wage and benefits that are standard throughout the City."

Council Member Bill DeBlasio, who chairs the General Welfare Committee, commented that he agrees vehemently with Jackson’s proposed legislation. "If we're going to help developers," he stated, "we should help service workers as well by ensuring that they get a decent wage on which to support themselves and their families."

Letitia James said that when the City confers benefits on developers, it has an obligation to make sure those benefits do not damage the City's existing tax base. This bill will extend the prevailing wage to taxpayers who are guards, doormen, elevator operators, handymen, janitors, window cleaners, groundskeepers and more. "These are the wonderful workers who keep New York City beautiful and make it grow," she concluded.

Council Member James Sanders stated that while he wholeheartedly supports this bill, he believes legislation is also needed to enforce this mandate across the board, citywide. "Otherwise, we will do this a piece at a time, and some communities will do well while others will do poorly," he explained. "Of course the developers will clean up all over."

Sanders went on to say that he applauds 32BJ for its tremendous work on this issue, however it shouldn't be on their shoulders to look out for the entire city. There are city agencies that should have that responsibility. "Perhaps it should be on the shoulders of the Economic Development Corporation to come up with a Community Benefits Agreement that’s effective citywide," Sanders remarked. "But until those agencies fulfill their obligation, we see the continuing need for organizations like 32BJ."