April 18, 2018
By Matt Kiefer
A series of recent labor reforms promised to give Chicago workers wage theft protection, boost minimum wages and guarantee paid sick time. But those promises come up empty when it comes to enforcement, workers and labor advocates say.
Enter the Office of Labor Standards, a proposed new City Hall regulatory agency that would have the power to enforce city labor ordinances, investigate claims, process complaints, issue fines and recommend other penalties. Thirty-five alderman have signed in support of an ordinance establishing the new office.
At a Wednesday morning press conference, 47th Ward Ald. Ameya Pawar announced a proposed ordinance that would consolidate the city’s labor regulation authorities under the Office of Labor Standards.
“This is the logical conclusion to passing three major progressive policies to protect workers,” Pawar said, referring to the wage theft, minimum wage and sick time ordinances that City Council has approved over the past five years. “Because it doesn’t matter if you pass it if people aren’t receiving those benefits.”
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“We need an office dedicated to taking reports from workers like me and looking into companies who systematically steal wages,” Guerrero, a member of the labor advocacy group Arise Chicago, recounted in Spanish through a translator at today’s press conference. “When workers like me know the city has our back, we will feel safer to come forward.”
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As proposed, the Officer of Labor Standards would be responsible for collecting complaints without identifying workers to their employers. Unless the worker and employer agree to settle the case, the office would be required to complete investigations within 60 days. A business found in violation would be liable for unpaid wages and fines, and would become ineligible to bid on city contracts for one year. Those with “willful” or repeat violations could have their business licenses revoked.
Aldermen said they modeled the proposed labor standards office after similar municipal agencies in Seattle, New York and San Francisco.
They added that they will work with the mayor’s office to allocate funding for the office, which would include a director (appointed by the mayor and confirmed by City Council) and an unspecified number of investigators and lawyers. Part of the office’s funding would come from fines levied on businesses found in violation of city ordinances, though proceeds would also support community-based outreach programs to inform workers and employers of protections under city law.