10 (2)Public Comment
From: Ryan Allain <ryan@calretailers.com>
Sent: Monday, May 10, 2021 11:53 AM
To: Public Comment
Subject: Public Comment in Opposition to Item #10 -- Premium Pay Ordinance
Attachments: Ahaheim Letter - 5.10.21.pdf
Hello --
On behalf of the California Retailers Association and Californians for a Safe and Rapid Recovery, please see the
attached letter in respectful opposition to Item #10 the proposed premium pay ordinance scheduled to be
heard at the May 11th City Council meeting.
Please reach out if you have any questions.
Thank you,
Ryan Allain
Manager, State and Local Government Affairs
California Retailers Association
1121 L Street, Suite 607
Sacramento, CA 95814
(916) 443-1975
May 10, 2021
The Honorable Harry S. Sidhu
Mayor
City of Anaheim
200 South Anaheim Boulevard
Anaheim, CA 92805
Dear Mayor Sidhu and Members of the City Council:
Job s IN ot lPo I I tics. co rTI
Californians for a Safe and Rapid Recovery represents a diverse and growing coalition
that opposes government -mandated premium pay ordinances (see attached for a full list
of our coalition members). While mandated premium pay ordinances vary, the effects and
unintended consequences of increasing labor costs on retailers by as much as 30 percent
are the same:
Counterproductive for Workers
• 66,000 Californians could lose their jobs if premium pay mandates are enacted
statewide on top of postponing hiring, promotions, and raises for employees.'
• Five grocery stores have already closed in other cities as a result of government -
mandated premium pay.
Increases the Cost of Living
• Adds about $400 to the annual cost of food and household supplies for the typical
family of four in California.2
• Higher costs for food, diapers, and clothes will disproportionately impact those who
can least afford it.
Hurt Communities
• A final blow to stores under financial pressure – forcing them to close and creating
voids for the communities that rely on them.
• Vacant storefronts will further depress struggling neighborhoods and worsen
pressing issues like homelessness.
• Local retail stores are part of the fabric of communities — often giving back to
schools, supporting food banks, and contributing to non -profits.
Reports of windfall profits are over simplified. In 2020, food retailers supported employees
by providing over $17 billion in added benefits, bonuses and voluntary premium pay on
top of regular wages, while also hiring a record number of new employees.3 Retailers also
invested $4 billion in personal protective equipment and other safeguards to protect both
their workers and customers.4 Further, the .Cii,ty,,,,q,; Il ,g, lr„a ,g„Il,g, ', ,,,co ,,,,,,,,,,,,,Irk,c�inr�„ii, ,ii„inr�p, ,q, ,„ „p,r,,
"CC,fp,s„Ly,trl,t,falnd C O,frl,trl,tuArky Oirri2acts of Hazard Play Mandates,” Capitol Matrix Consulting, January 2021
2C22_ u�rl,t,f,,,InLl„_Q2m.trl,Li.nJ,ty Lim acts of Hazaird Pay Mandates,” Capitol Matrix Consulting, January 2021
3 ",IEII„E,t,Derriainds And 011:)erate Safe0y Arriud Covud19,”
By The Food Industry Association, March 31, 2021
4 ",I ,t w„_ I,W;,IUA,�,,,,f�,t,�ort 1=u�ods G��oce�s O�ovested $24 C�u00uo�o I o IUleet O�oc�eased C;o�osu�rie� Derriainds And C7�erate Saf fly Airriud C;ovud..10,”
By The Food Industry Association, March 31, 2021
A project of the Cafifornia RetaHers Association.
found mandated premium pay would "eliminate all current profit margin" for retailers —
forcing them to raise prices or close stores.
Premium pay mandates put local governments in the middle of employer and labor
bargaining processes. Rather, local governments should be focusing on quickly
administering vaccinations to keep California's COVID-19 positivity rate low, while
ensuring a rapid economic recovery.
With Governor Newsom committing to remove the tier system and reopen the state on
June 15 and COVID-19 deaths and positivity rate steadily declining in Orange County,
now is not the time to risk the unintended consequences of government -mandated
premium pay.
We are encouraged by the cities of Arcata, Eureka, Fresno, Morgan Hill, Pasadena, San
Carlos and Whittier who recognized that government -mandated premium pay is
counterproductive.
Please feel free to reach out if you have any questions.
Sincerely,
Rachel Michelin
President
California Retailers Association
Attached:
• Californians for a Safe and Rapid Recovery coalition list
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The following organizations are members of Californians for a Safe and Rapid Recovery and
opponents of government -mandated premium pay that is counterproductive for workers and hurts
consumers and our communities.
• Anaheim Chamber of Commerce
• Antelope Valley Chamber of
Commerce
• Beverly Hills Chamber of Commerce
• Brea Chamber of Commerce
• Building Owners and Managers
Association, Orange County
• California African American Chamber
of Commerce
• California Asian Pacific Chamber of
Commerce
• California Business Properties
Association
• California Business Roundtable
• California Chamber of Commerce
• California Hispanic Chambers of
Commerce
• California Retailers Association
• California Taxpayers' Coalition
• California Taxpayer Protection
Committee
• Carlsbad Chamber of Commerce
• Central Valley Business Federation
• Central Valley Taxpayers Association
• Century City Chamber of Commerce
• Chamber of Commerce and Civic
Association of Pasadena
• Consumer Choice Center
• Culver City Chamber of Commerce
• Family Business Association of
California
• Fountain Valley Chamber of
Commerce
• Fresno Chamber of Commerce
• Fresno County Farm Bureau
• Gardena Valley Chamber of
Commerce
• Gilroy Chamber of Commerce
• Greater San Fernando Valley
Chamber of Commerce
• Kern County Taxpayers Association
• LAX Coastal Chamber of Commerce
• Long Beach Area Chamber of
Commerce
• Los Angeles County Business
Federation
• Murrieta/Wildomar Chamber of
Commerce
• National Association of Chain Drug
Stores
• National Federation of Independent
Business - California
• National Retail Federation
• Norco Area Chamber of Commerce
• Oceanside Chamber of Commerce
• Orange County Business Council
• Orange County Taxpayers
Association
• Placer County Taxpayers
Association
• San Diego Tax Fighters
• San Gabriel Valley Economic
Partnership
• San Leandro Chamber of Commerce
• San Pedro Chamber of Commerce
• Santa Maria Valley Chamber of
Commerce
• Silicon Valley Taxpayers Association
• South Orange County Economic
Coalition
• Southwest California Legislative
Council
• Torrance Area Chamber of
Commerce
• Valley Industry and Commerce
Association
• West Hollywood Chamber of
Commerce
• Wilmington Chamber of Commerce
• Yorba Linda Chamber of Commerce
A IpiroUect of the California If�etaiilleirs Association.