PRESS INQUIRIES
For Press Inquiries:
Maria Hernandez, Communications
(623) 340-8047 (mobile)
[email protected]
For Arizona Press Inquiries:
Rachele Smith, Communications
(623) 670-9889 (mobile)
[email protected]
Some of the following press releases have been shortened and edited to avoid redundancy.
High resolution photos are available upon request.
PRESS RELEASE
Congress Questions $696 billion in Paycheck Protection Program Loans Forgiven by the Small Business Administration ahead of House Oversight Hearing
Representatives highlight loans to hotel chain Westmont Hospitality Group in letter to SBA calling for “vigilant oversight” of loan forgiveness process: “Where did the money go?”
CA and AZ – Tuesday, Congressman Ruben Gallego (D-AZ) led a letter to the Small Business Administration (SBA) calling for vigilant oversight as $696 billion of the total $789 billion lent through the Paycheck Protection Program (PPP) phase has already been forgiven.
On Wednesday, UNITE HERE Local 11 will submit testimony at a House Small Business Administration’s Small Business Oversight, Investigations and Regulations Committee hearing titled “An Empirical Review of the Paycheck Protection Program.”
The letter (available here). follows President Biden’s March 1 announcement that the Department of Justice will appoint a Chief Prosecutor to focus on the most egregious forms of pandemic fraud. Gallego was joined by Representatives Linda Sanchez (D-CA), Adam Schiff (D-CA), Ted Lieu (D-CA), Nanette Diaz Barragan (D-CA), Grace Flores Napolitano (D-CA), Julia Brownley (D-CA), Norma Torres (D-CA), Alan Lowenthal (D-CA), Katie Porter (D-CA), Jimmy Gomez (D-CA), Raul Grijalva (D-AZ), Ann Kirkpatrick (D-AZ), Kweisi Mfume (D-MD), Anthony Brown (D-MD), Ayanna Pressley (D-MA) and Darren Soto (D-FL).
The letter highlights Westmont Hospitality Group, an international hotel company that owns and operates over 400 hotels around the world, as an example of the need for “vigilant oversight” and improved transparency. According to data provided by the SBA, Westmont affiliates received $48 million through 44 PPP loans that were tied to approximately 5,300 jobs. Despite this, the letter states, a lack of transparency by the SBA has made it “impossible” to determine whether those 5,300 jobs were actually retained, yet over $28 million of the Westmont-connected loans have already been forgiven.
The Paycheck Protection Program (PPP) was passed by Congress as part of the CARES Act of 2020 in an effort to support small businesses and save jobs in the midst of the COVID-19 pandemic. PPP borrowers must spend at least 60% of their loans on payroll costs in order to receive full loan forgiveness.
UNITE HERE Local 11, the labor union that represents hospitality workers in California and Arizona, presented evidence to Congress Members regarding one hotel connected to Westmont that received a PPP loan but issued WARN Act notices that it had permanently separated 122 workers, raising the question whether PPP had really served its purpose of protecting jobs.
As of January 3, 2022, SBA had forgiven $9.7 billion of the $13.9 billion in PPP loans to hotels. With the support of PPP funds, the hotel industry has not only weathered the pandemic but has grown on the backs of its workers, with fewer workers forced to do more work than before this unprecedented crisis. While the number of U.S. private industry accommodations establishments increased by 1,375 from the first quarter of 2020 to the second quarter of 2021, the industry employed 443,600 fewer workers in February 2022 than in February 2020 before the pandemic.
Congressman Ruben Gallego said, “When the COVID-19 pandemic first began, the Paycheck Protection Program served as a critical lifeline to keep our businesses open and hardworking Americans employed. In the years since, we have seen companies recover, but it hasn’t been clear whether some businesses upheld their end of the bargain to keep workers employed. As SBA continues to monitor the program, it is important companies are fully transparent in justifying PPP loan forgiveness. That’s why I am leading this call for SBA to update Congress on what it’s doing to protect hospitality workers’ jobs.”
Elba Hernandez, a housekeeper at the Westmont-operated Hilton Santa Monica Hotel & Suites, said, “For the many months that I was laid off during the pandemic, I didn’t get a cent from Westmont. I am very upset that Westmont got $48 million and still hasn’t told us how they spent the money.” Hernandez’s employer is a limited liability company that has as its manager or member a Westmont affiliate that received PPP funds.
Groups supporting the letter include the Covid Oversight Coalition, Public Citizen, American Oversight, Americans for Financial Reform and United Steelworkers and UNITE HERE Local 11.
Lisa Gilbert, Executive Vice President of Public Citizen, said “The Paycheck Protection Program was intended to provide funds to small businesses as a lifeline to regular Americans in a time of crisis. Ensuring that the funds were not abused and that they were used to keep Americans at work is a key duty of Congress. Public Citizen vigorously applauds Rep. Gallego for pushing for more transparency and accountability of the PPP funds.”
Aliya Sabharwal, Covid Oversight Campaign Manager at Americans for Financial Reform, said, “The Paycheck Protection Program was not intended to be a bailout for billionaire corporations. Small businesses are still struggling to stay open while big companies seem to have made a profit. That’s not right. We need to know where that taxpayer money went and to whom. And if companies got it but didn’t follow the rules, there must be consequences.”
Congressman Gallego’s letter follows prior letters urging SBA to improve transparency and oversight of PPP loans that highlighted hotel chains: an October 2020 letter led by Congresswoman Porter, a July 2021 letter led by Congresswoman Barragan and a February 2022 letter from Congresswoman Judy Chu asking the SBA to improve transparency around PPP loan forgiveness.
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UNITE HERE Local 11 is a labor union representing over 32,000 hospitality workers in Southern California and Arizona who work in hotels, restaurants, universities, convention centers, and airports.
CA Labor Commissioner Issues $3.3 Million Citation to Terranea Resort for Failing to Rehire Laid Off Workers
Press Contact: Maria Hernandez | 623-340-8047 | [email protected]
In first-of-its-kind legal action, agency alleges resort violated state “return-to-work” law for workers laid off during the pandemic
Rancho Palos Verdes, CA- The California Division of Labor Standards Enforcement (DLSE) issued a citation Wednesday totalling $3,264,484 to the swanky but controversial Terranea Resort, alleging that the hotel failed to recall, or to timely recall, workers to their former positions in violation of a recently-enacted state law. The Terranea resort is the first company known to be cited by the agency for allegedly violating workers’ rights under the law.
David Gomez Martinez, who was laid off by the Terranea after working 10 years at the resort, said: “Being laid off during the pandemic has been devastating for me and my family. We’ve struggled to pay our bills and keep food on the table. I am really glad to see the state stepping in to make sure Terranea complies with the law.”
The DLSE, which is led by California’s Labor Commissioner Lilia Garcia-Brower, conducted an investigation in response to complaints from workers alleging violations of the recall law. More than a dozen Terranea workers–including servers, cooks, and room attendants–filed complaints.
After investigating Terranea’s entire recall process, the DLSE issued the citation to Terranea for $3,264,484 in liquidated damages and interest owed to 53 workers for Terranea’s alleged failure to recall, or timely recall, workers laid-off due to the Covid-19 pandemic. Terranea was also assessed $5,300 in civil penalties ($100 for each worker whose rights were violated).
Kurt Petersen, co-president of UNITE HERE Local 11, the hospitality workers’ union that fought for the law and helped the workers file complaints, said: “The Terranea has treated its veteran workers like they are disposable. This kind of behavior is not only immoral, but as the agency’s massive citation shows, it can also be illegal.” He continued: “I commend the Labor Commissioner for conducting such a thorough investigation and showing that our worker protection laws have real teeth.”
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UNITE HERE Local 11 is a labor union representing over 32,000 hospitality workers in Southern California and Arizona that work in hotels, restaurants, universities, stadiums, sports arenas, convention centers, and airports.
On Eve of Super Bowl UNITE HERE Local 11 & NFLPA Honor Former Rams Player Kenny Washington
Joined by prominent labor, political, and civil rights leaders to celebrate SoFi Stadium’s union recognition with focus on tourism as economic engine
Los Angeles – Union members, labor leaders, elected officials, and allies gathered in celebration of a resolution passed to “commemorate February 13, 2022, as Kenny Washington Day and recognize his trailblazing contributions in breaking the color barrier in the NFL and his service to the City”.
Washington’s vision of a more inclusive sports world lives on as concessions workers at SoFi Stadium fight for good jobs in a region that has predominantly left out black workers.
Susan Minato, Co-President of Local 11 and Chair of Trustees of the Hospitality Training Academy, reminded everyone that it takes intention to do the work. “Local 11 has set the goal to reintegrate our hospitality industry that has systematically removed African Africans. It takes bringing jobs to communities like Inglewood. But not just any jobs – they need to be good jobs where people can support themselves and their families.”
“At SoFi stadium, UNITE HERE Local 11 has advanced the cause of racial, economic, and gender justice,” said Reverend James Lawson, architect of the Civil Rights Movement.
Kenny Washington’s family was presented with the resolution and stadium workers will celebrate union recognition. Ahead of Super Bowl Sunday, the event honored the important work former Rams player Kenny Washington did to integrate sports and highlight what is being done now to bring good jobs to the region.
“Kenny Washington has a special place in history, in the story of the NFL, in the story of Los Angeles, in the story of fighting for justice, equality and inclusivity EVERYWHERE,” said Councilmember Curren Price. “I’m proud to have introduced a resolution that officially marks February 13, 2022 as ‘Kenny Washington Day’ in the City of Angels.”
“We are incredibly proud as a family, after all these years, that there is interest in telling my grandfather’s story,” said Kirk Washington, grandson of former Rams player Kenny Washington.
Super Bowl LVI marks the first of many sporting events to be hosted in Southern California in the coming years and will serve as an example of what can be achieved when workers, elected leaders and the community are a part of that process.
“In order to win justice for workers of color and the communities they live in, we must empower them economically, which includes increasing access to good union jobs,” said Ron Herrera, the President of the Los Angeles County Federation of Labor.. “I am proud of the work that the Los Angeles Labor Movement has done to ensure that SoFi stadium provides good union jobs for communities of color in this region.
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The National Football League Players Association is the union for professional football players in the National Football League. Established in 1956, the NFLPA has a long history of assuring proper recognition and representation of players’ interests. The NFLPA has shown that it will do whatever is necessary to assure that the rights of players are protected—including ceasing to be a union, if necessary, as it did in 1989. In 1993, the NFLPA again was officially recognized as the union representing the players and negotiated a landmark Collective Bargaining Agreement with the NFL. The current CBA will govern the sport through the 2030 NFL season. Learn more at www.nflpa.com.
UNITE HERE Local 11 Endorses “Living Wage Hero” Lindsey Horvath for Los Angeles County Board of Supervisors
FOR IMMEDIATE RELEASE
Contact: Danielle Wilson | dwilson[at]unitehere11[dot]org | 818-534-799nine
Los Angeles – UNITE HERE Local 11 is proud to endorse West Hollywood City Councilmember Lindsey Horvath for Los Angeles County Board of Supervisors District 3. She was a decisive vote in passing the highest citywide minimum wage in the country.
Horvath’s victory on the minimum wage wasn’t easy. As early as 2015, the young Councilmember led the “Fight for $15” in West Hollywood, but despite her advocacy the then-City Council did not pass her proposal. This past summer Horvath became Mayor of the city, and things started to change. Mayor Horvath fought for and won groundbreaking legislation to protect hotel housekeepers from sexual assault, give them the right to return to their jobs by seniority amid the COVID-19 pandemic, and to improve the minimum wage to make sure housekeepers are fairly compensated for heavy workloads. Just months later, Horvath was the deciding vote to pass the highest minimum wage in the country at $17.64, making West Hollywood a national leader on policy for working people.
“Lindsey exemplifies what it means to be a public servant who fights for working people,” said Kurt Petersen, Co-President of UNITE HERE Local 11. “Our members can count on her no matter what, and that’s who we need to send to the Board of Supervisors.”
“The new minimum wage in West Hollywood will change my life, the lives of hotel workers across town, and all workers,” said Sandra Pellecer, who has worked as a cook in West Hollywood hotels for 16 years. “Lindsey Horvath fought for us and I’m proud to stand with her.”
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UNITE HERE Local 11 is a labor union representing 32,000 members who work in hotels, restaurants, universities, convention centers, and airports.
Hunger Strike for Voting Rights Day 5: Hunger strikers deliver massive cake iced with “Voting Rights Now” to Senator Sinema
Phoenix: Yesterday, activists with UNITE HERE Local 11 and CASE Action entered the fifth day of their hunger strike to urge elected leaders to pass critical voting rights legislation by gathering outside of Senator Kyrsten Sinema’s office to deliver a message—and a cake.
“We came here to tell Senator Sinema that we hope she will deliver voting rights for the people of Arizona,” said Marilyn Wilbur, hunger striker with CASE Action and 18-year US Air Force veteran. “No matter what happens, I will continue to fight for the voting rights we deserve.”
“What these strikers have done to protect our right to vote is creating a generational impact. We are with you for what comes next as we continue to build our beloved community,” said Dr. Jannah Scott of the African American Christian Clergy Coalition.
In the height of the COVID-19 pandemic, hundreds of laid off cooks, housekeepers, dishwashers, and bartenders with CASE Action and UNITE HERE Local 11 knocked on a million doors to win Arizona for Biden, and delivered two U.S Senate seats in Georgia.
CASE Action Fund is an economic justice organization dedicated to improving the lives of Arizona’s working families through policy advocacy and increasing participation in the political process
Hunger Strike Kick-Off Ahead of MLK Day by UNITE HERE Local 11, CASE Action & Un-PAC to Urge Senate to Pass of Freedom To Vote Act
PHOENIX–UNITE HERE Local 11, CASE Action, and Un-PAC today launched a hunger strike outside the Arizona State Capitol to continue to pressure elected leaders in Washington to pass the Freedom to Vote Act.
On day 1, strikers were joined by State Senator Raquel Teran and Pastor Aubrey Barnwell, among others.
“The freedom that I have spent my life protecting is under attack,” said Marilyn Wilbur, CASE Action organizer and veteran of the US Air Force. “The Arizona legislature last year passed a law that will purge hundreds of thousands of mail voters from the Permanent Early Voter list, and another that will limit the time voters have to fix a signature on their ballot. Our state is part of a national trend to limit voting rights. That is why I joined the hunger strike for the freedom to vote.”
Ari Berrong-Huber, a UNITE HERE Local 11 member at Sky Harbor airport, also shared why he’s fighting for the freedom to vote. “Last August, I joined hundreds of other union members in a civil disobedience in DC. The freedom to vote is a sacred right. It is the way citizens can fight for better education, access to healthcare, and protections during the pandemic. Now I’m joining the hunger strike to call attention to the Freedom to Vote Act and the John Lewis Voting Rights Act. We can’t let loopholes and obstructionism stand in our way.”
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CASE Action Fund is an economic justice organization dedicated to improving the lives of Arizona’s working families through policy advocacy and increasing participation in the political process.
UNITE HERE Local 11 Wins Historic First Union Contract at JW Marriott Le Merigot Santa Monica Hotel
PRESS RELEASE: 01/05/2022
UNITE HERE Local 11 Wins Historic First Union Contract at JW Marriott Le Merigot Santa Monica Hotel
Amid Surging Pandemic Room attendants will earn $25 an hour and enjoy free family health insurance
Santa Monica, CA.: Ending one of the longest-running and highest profile labor disputes in Santa Monica history, UNITE HERE Local 11 and its members have reached a historic agreement with JW Marriott Le Merigot Santa Monica Hotel.
The agreement achieves our union scale among all other Unite Here Local 11 hotels in Santa Monica by June 2023.
– Minimum wages of $25 an hour by the expiration of the contract
– Free excellent family health insurance
– Defined Benefit Pension Plan enabling workers retire in dignity
– Job security protections
“Hats off to Stockdale Capital for being a responsible employer and for embracing Santa Monica’s values of community and justice. Thank you to the heroes of this struggle: the courageous room attendants who never lost faith, fought every day against a nefarious Columbia Sussex, and won an extraordinary union agreement,” said Kurt Petersen, Co-President of UNITE HERE Local 11.
“This contract is life changing. This is the first time, after working for 10 years in the hotel industry, that I had a seat at the table to fight for the wages and benefits we deserved. None of these changes would have been possible without the union,” said Ismelda Reyes, laundry attendant who has worked for 10 years at Le Merigot Santa Monica Hotel.
The labor standards provided under UNITE HERE Local 11’s collective bargaining agreements far exceeds those provided by the few remaining non-union Santa Monica hotels, such as The Shore, Casa Del Mar and Shutters.
Background: Housekeeping employees at the hotel won a union election in 2016. Columbia Sussex, the then-owners and managers of the hotel, fought the unionization effort, leading to a contentious and bitter labor dispute that dragged on for more than five years.
During this period, the General Counsel of the National Labor Relations Board found evidence to support more than 11 unfair labor practice charges against Columbia Sussex alleging violations of federal labor law. To settle these claims, hotel management agreed to pay over $35,000 in bonuses the company withheld from workers in 2016, rescind seven disciplines issued to employees, and offer reinstatement to a worker who was fired. In 2021, workers also won thousands of dollars through the settlement of claims filed against the company with the California Labor Commissioner.
FOR IMMEDIATE RELEASE: Just in Time for Christmas, HMS Host Workers in Three Cities Ratify New Contracts
Airport food workers with UNITE HERE Local 11 voted to ratify new contracts with HMS Host Thursday at Los Angeles International, Phoenix Sky Harbor International, and John Wayne Orange County airports.
All three two-year agreements lift workers at the bottom of the payscale to livable wages and establish stronger job security and anti-discrimination protections.
“I love my job and what I do, but the money I’ve been making hasn’t been enough to live on,” said Evelyn Torres, an LAX lounge attendant. “I voted yes to go on strike if we had to, and I’m so proud that now we have a new agreement and we’re getting the raises we actually deserve.”
“The health insurance alone will be life-changing for me and my family,” said Lucia Salinas, a cook at Cowboy Ciao at Phoenix Sky Harbor Airport. “After fighting for a contract for about four years, I can finally breathe a sigh of relief that we have what we need and deserve.”
HMS Host is the single largest concessionaire at LAX, Sky Harbor, and John Wayne airports—employing nearly 1300 workers at dozens of restaurants and all on-airport Starbucks stores. HMS Host workers also staff the American Airlines Admirals Club and American Eagle lounges at LAX.