Urban Outfitters heeds call to end on-call shifts
WELL, THAT was fast! Yesterday I wrote about an "on-call" scheduling practice at Urban Outfitters that's...
WELL, THAT was fast!
Yesterday I wrote about an "on-call" scheduling practice at Urban Outfitters that's unbelievably abusive to its lowest-wage workers. Within hours of the column hitting print, Urban announced it was killing the practice for good.
Coincidence? You decide.
Here's yesterday's statement from the Philly-based billion-dollar retailer, which also owns the brands Anthropologie, Free People, Terrain and Bhldn.
"We are always looking for ways to improve, and as such we have decided to end on-call scheduling for all [Urban] brand associates throughout North America. We look forward to continuing to find ways to better fulfill our mission of providing fashion and lifestyle essentials to our dedicated customers."
This is amazing news for employees at Urban's 518 North American stores.
For years, they'd been receiving their work schedules only a few days in advance, with some shifts designated as "on call." But they wouldn't be told, until three hours before the shift was to begin, whether they'd actually be needed to work. If they weren't, they wouldn't be paid, even though they'd been required to hold that time for the company.
The unpredictability had wreaked havoc on workers, who are mostly young and female.
They were unable to schedule classes if they were in school. Or to schedule hours at a second job if they needed a full-time income. Or to reliably arrange day care or pay their bills, since their cost to do both was fixed even though their working hours weren't.
What a crappy way to treat members of the demographic that Urban targets so heavily.
"It's pretty messed up," one worker, a college student, told me. She was paying her way through school, but Urban's scheduling meant she couldn't schedule other work to help pay tuition. "It's hard to plan."
Readers reacted with disgust to the column.
"Retail needs to be called on the carpet!" wrote emailer rgrassia. "We need more people with the ability to do something to pressure these companies to change the ways they conduct themselves."
Reader Madeleine Pierucci excoriated Urban for "co-opting the '60s struggles and playing it to the detriment of its 2015 workers. Not cool." She also planned to picket Urban's Center City store next week.
And a furious churchgoer named Samantha C. vowed to spread the word throughout the National Baptist Convention to have its 100,000 church members boycott Urban's stores in protest.
"It's time for slavery to stop," she declared.
Urban's change of heart is a testament to the power of the press, says Carrie Gleason. She's director of the fair-workweek initiative at the Center for Popular Democracy and has been working for a very long time to get employers to end on-call staffing.
"The media has helped shift the public opinion in terms of what is acceptable around employers' expectations of their employees' time," she told me. "I think Urban's announcement is a direct response to the fact that the public is now holding the whole retail industry to higher standards."
I'd like to take credit for Urban's reversal, but the truth is, another media outlet has been hammering at on-call scheduling by retailers - and not just Urban - for a while now.
The online news site BuzzFeed has chronicled the issue so doggedly that the New York state attorney general in April called companies on the carpet for the practice, following his investigation into the legality of on-call staffing at 13 retailers whose New York stores employ thousands of low-wage workers.
As a result, huge chains like Victoria's Secret, Bath & Body Works, Abercrombie and Gap announced plans to discontinue the practice not just in New York but nationally, improving hundreds of thousands of workers' lives.
Urban, though, had said it would discontinue the practice only in New York. Everywhere else, it would be exploitation as usual.
It turned my stomach that Philly-based Urban - a company that so many of us grew up with and feel affinity for - would treat its workers so shabbily. And I said as much in my column, which we - ahem - pushed on the Daily News front page and on Philly.com.
If that helped nudge Urban into doing the decent thing, then yesterday was a good day.
Not just for Urban's workers. But for Urban's shareholders:
As news hit that Urban would end its on-call scheduling, CNBC reported, the company's stock rallied 4.68 percent.
You're welcome, Urban.
And thank you.
Source: Philly.com
Protesters backing undocumented immigrants locked out of Bank of America HQ
Protesters backing undocumented immigrants locked out of Bank of America HQ
The south doors of Bank America’s corporate headquarters were locked at 10:30 a.m. Monday, to keep out a immigrant...
The south doors of Bank America’s corporate headquarters were locked at 10:30 a.m. Monday, to keep out a immigrant advocates who tried to enter the building to advocate for undocumented immigrants.
A dozen protesters sought to enter a branch on the building’s first floor, to present staff with a letter asking that Bank of America distance itself from elected officials who support the immigration policies of President Donald Trump.
Read full article here.
Charter Schools Had Tough Week
Times Online - October 5, 2014, by The Times Editorial Board - It’s been a tough week for supporters of the charter...
Times Online - October 5, 2014, by The Times Editorial Board - It’s been a tough week for supporters of the charter school movement in Pennsylvania.
On Tuesday, PA Cyber School founder Nick Trombetta and his attorney were back in a federal courtroom trying to have evidence suppressed in his upcoming criminal trial on charges of mail fraud, theft, tax conspiracy and filing false tax returns. Trombetta is accused of siphoning off millions of taxpayer dollars for his own gain.
On Wednesday, a new report was released citing Trombetta as an example of $30 million in fraud and financial mismanagement among the state’s charter schools since 1997.
The report was done by three organizations — the Center for Popular Democracy, Integrity in Education and Action United. It follows a national report in May by the first two groups that claimed $136 million has been lost to waste, fraud and abuse by charter schools.
While the numbers are alarming, we know that all charter schools are not part of the problem. Still, it only takes a few incidents — such as the case against Trombetta — to give the entire movement a black eye.
What we will say is that state’s charter school law is badly in need of revision, particularly in the area of accountability. State legislators need to step in now and address the problems if charter schools are to remain part of the state’s education program.
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Many residents stand against Donald Trump
Many residents stand against Donald Trump
Queens residents have been among the thousands protesting President-elect Trump in Manhattan since the election. “It...
Queens residents have been among the thousands protesting President-elect Trump in Manhattan since the election.
“It was a rally and a march called together primarily by immigrants rights groups to provide a space for immigrant communities, people that are undocumented to be able to raise up the voices and the perpsectives of immigrant communities,” DRUM — South Asian Organizing Center Executive Director Fahd Ahmed told the Chronicle, adding that Sunday’s march would not be the last that they attend.
According to the immigrant advocacy group Make the Road New York, more than 15,000 immigrant New Yorkers and their supporters attended the event.
“Well, basically we were marching because we will not tolerate the hate agenda, we’re here to stay and we reject that,” Ozone Park resident Julissa Bisono said. “We want to make sure that New York City continues to be a sanctuary for immigrant families and that’s why we decided to march yesterday, to make sure that President-elect Trump hears our message.”
Kenneth Shelton, a St. John’s University student, organized the march on Saturday from Union Square to Trump Tower with the news outlet BlackMatters US.
“It was just for people to vent their frustration, get out there and protest but also to show that we’re unified,” Shelton said. “We need to organize ourselves into a movement socially, politically and economically.”
“We reject his hate and refuse to live in constant fear under a president who does not regard us as human,” Queens resident Ana Maria Archila, co-executive director of the Center for Popular Democracy, said in a prepared statement. “[Sunday’s] rally and march marks our first, though certainly not last, line of resistance against Trump’s brutal anti-immigrant regime.”
Queens is believed to have more unauthorized immigrants than any other borough, nearly 250,000, who could face deportation.
“The immigrant communities here, they’re real hard-working families and they’re scared,” Bisono said.
According to Bisono, there is a serious fear among immigrants that they could be harmed after last week’s election.
“We had kids that came who didn’t even go to school because they were afraid to not come back the next day,” she said. “We shouldn’t be living in fear.”
For people who feel like they may be threatened by the Trump administration, the protests were an opportunity to stand in solidarity with others who are as worried.
Ahmed, whose group is based in Jackson Heights and used to be called Desis Rising Up and Moving, said that the protests are “to get people out of fear, to get them out of isolation and to build with each other.”
Although Trump has urged his supporters to not hurt others and commit hate crimes, those have spiked nationwide in the days following his election victory.
“The large number of people that came to these actions have been black communities, Latino communities — the people explicitly being told that they need to watch out and will be targeted,” Ahmed said.
By Ryan Brady
Source
Starbucks Falls Short After Pledging Better Labor Practices
Starbucks Falls Short After Pledging Better Labor Practices
But Starbucks has fallen short on these promises, according to interviews with five current or recent workers at...
But Starbucks has fallen short on these promises, according to interviews with five current or recent workers at several locations across the country. Most complained that they often receive their schedules one week or less in advance, and that the schedules vary substantially every few weeks. Two said their stores still practiced clopenings.
The complaints were documented more widely in a report released on Wednesday by the Center for Popular Democracy, a nonprofit that works with community groups, which gathered responses from some 200 self-identified baristas in the United States through the website Coworker.org.
“We’re the first to admit we have work to do,” said Jaime Riley, a company spokeswoman. “But we feel like we’ve made good progress, and that doesn’t align with what we’re seeing.” Ms. Riley maintained that all baristas now receive their schedules at least 10 days in advance.
Starbucks, whose chief executive, Howard Schultz, has long presented the brand as involving its customers and employees in something more meaningful than a basic economic transaction, has drawn fire for its workplace practices. But its struggles to address the concerns of its employees also open a window into a much larger problem.
In the last two years, the combination of a tight labor market and legal changes — from a rising minimum wage to fair-scheduling legislation that would discourage practices like clopenings — has raised labor costs for employers of low-skill workers in many parts of the country.
To help companies navigate this new landscape, a number of academics and labor advocates have urged a so-called good-jobs or high road approach, in which companies pay workers higher wages and grant them more stable hours, then recover the costs through higher productivity and lower turnover.
Even in service sectors where stores compete aggressively on price, “bad jobs are not a cost-driven necessity but a choice,” concluded Zeynep Ton, who teaches at the M.I.T. Sloan School of Management. “Investment in employees allows for excellent operational execution, which boosts sales and profits.”
And yet, as Professor Ton is careful to point out, it is easy to underestimate the radical nature of the change required for a company to reinvent itself as a good-jobs employer, even when the jobs it provides are not necessarily so bad.
The example of Starbucks illustrates the point. Some of the company’s actions reflect an impulse to treat its workers as more than mere cogs in a giant coffee-serving machine.
Starbucks allows part-timers who work a minimum of 20 hours a week to buy into its health insurance plan after 90 days. In April, it pledged to paythe full cost of tuition for them and full-time workers who pursued an online degree at Arizona State University. And workers promoted to shift supervisor — about one for every four to eight baristas — typically earn a few dollars an hour more than minimum wage.
On the question of scheduling, the company, like many large retail and food service operations, uses state-of-the-art software that forecasts store traffic and helps managers set staff levels accordingly, while trying to honor workers’ preferences regarding hours and availability.
Charles DeWitt is vice president of business development at Kronos, one of the leading scheduling software makers, which has worked with Starbucks. He said that using the software to schedule workers three weeks in advance typically was not much less accurate than using it to schedule workers one week in advance. “The single best predictor of tomorrow is store demand a year ago, though other factors can come into play,” Mr. DeWitt said. “If it’s Monday, then you want to look at Monday this week a year ago.”
(Mr. DeWitt and others involved with such software concede that there are exceptions, like stores that are growing or declining rapidly, and that predictions often get substantially better very close to the target date.)
But there has long been a central obstacle to change: the incentives of store managers, who are encouraged by company policies to err on the side of understaffing. This makes it more difficult to build continuity into workers’ schedules from week to week. It often turns peak hours into an exhausting frenzy that crimps morale and drives workers away.
“The mood lately has not been not superpositive; they’ve been cutting labor pretty drastically,” said Matthew Haskins, a shift supervisor at a Starbucks in Seattle. “There are many days when we find ourselves incredibly — not even a skeletal staff, just short-staffed.”
Mr. Haskins said that his store’s manager received an allotment of labor hours from her supervisor, and that the manager frequently exceeded it. But in the last month or so, she announced that she would make an effort to stay within the allotment. “From what I understand, probably someone higher up said ‘You need to stick to that,’” Mr. Haskins said. “I know it’s got her stressed out, too.”
Benton Stokes, who managed two separate Starbucks stores in Murfreesboro, Tenn., between 2005 and 2008, described a similar dynamic.
“We were given a certain number of labor hours, and we were supposed to schedule only that number in a given week,” Mr. Stokes said. “If I had to exceed my labor budget — and I was careful not to — I would have had to have a conversation” with the district manager. “If there were a couple of conversations, it would be a write-up,” he added.
The understaffing ethos sometimes manifests itself in company policies. For example, Starbucks stores are not required to have assistant managers, and many do without them.
Ciara Moran, who recently quit a job as a barista at a high-volume Starbucks in New Haven, Conn., complained of a “severe understaffing problem” that she blamed on high turnover and inadequate training. She partly attributed this to the store’s lack of an assistant manager. “We had issues that we’d try to take to her” — the store manager — “but she had so much on her plate we let it go,” Ms. Moran said. “Problems would escalate and become a big thing.”
In other cases, the scheduling and staffing problems at Starbucks appear to arise from the way individual managers handle their tight labor budgets.
Some of the baristas said that clopenings were virtually unheard-of at their stores, but LaTranese Sapp, a Starbucks barista in Lawrenceville, Ga., said clopenings occurred at her store because the manager trusted only a handful of workers to close, limiting scheduling options.
Ms. Riley, the Starbucks spokeswoman, said the store’s scheduling software required at least eight hours between shifts, but that workers could close and open consecutively if the shifts were more than eight hours apart.
There are alternatives to help avoid such results, according to Professor Ton’s research. One of the most promising is to create a mini work force of floating relief employees who call a central headquarters each morning, as the QuikTrip chain of convenience stores common in parts of the Midwest and South has done. Because store operations are standardized, relief employees can step in seamlessly.
“If a worker gets sick, what happens is you’ve lost a quarter of your work force,” Professor Ton said of companies with small stores that lack such contingency plans. “Now everybody else has to scramble to get things done.”
(Starbucks employees are often responsible for finding their own replacements when they are sick. “A lot of times when I’m really sick, it’s less work to work the shift than to call around everywhere,” said Kyle Weisse, an Atlanta barista.)
Starbucks, which vowed to improve workers’ quality of life after The New York Times published an account of a barista’s erratic schedule in 2014, is far from the only chain that has faltered in the effort to adjust from low road to high road.
In many cases, the imperative to minimize labor costs has been so deeply ingrained that it becomes difficult to sway managers, even when higher executives see the potential benefits.
Marshall L. Fisher, an expert on retailing at the Wharton School at the University of Pennsylvania, recalled working on a consulting assignment for a large retailer and identifying a few hundred stores where the company could benefit by adding labor. Executives signed onto the change, but managers essentially refused to execute it.
“The managers were afraid to use their hours,” he said. “They were so used to being judged on ‘Did they stay within a budget?’”
In many cases companies end up going out of business rather than adapt. Economists Daniel Aaronson, Eric French and Isaac Sorkin studied the response to large increases of the minimum wage in states like California, Illinois and Oregon in the 2000s. In most states, employment barely budged two years after the higher wage kicked in. But that masked dozens of suddenly uncompetitive stores that went under, and a roughly equal number of new stores that opened.
The fact that the defunct stores were replaced by new ones suggests that, in principle, they could have evolved. But they simply were not capable of pulling it off.
Source: New York Times
As the federal government fails the people of Puerto Rico, local governments and states must step up
As the federal government fails the people of Puerto Rico, local governments and states must step up
Given the likelihood that even more Puerto Ricans will resettle on the mainland the Center for Popular Democracy and...
Given the likelihood that even more Puerto Ricans will resettle on the mainland the Center for Popular Democracy and Local Progress have published a policy guide, the first of its kind, offering a roadmap for cities and states to address the immediate needs of their new constituents.
Read the full article here.
Lacker to Tell Congress the Fed Doesn’t Need an Overhaul
Lacker to Tell Congress the Fed Doesn’t Need an Overhaul
Federal Reserve Bank of Richmond President Jeffrey Lacker is set to tell a congressional panel Wednesday the U.S....
Federal Reserve Bank of Richmond President Jeffrey Lacker is set to tell a congressional panel Wednesday the U.S. central bank’s structure is effective, and that he is reluctant to see it altered in any major way.
In an interview with The Wall Street Journal, Mr. Lacker said the U.S. central bank—with its Washington-based board of governors and 12 quasiprivate, quasigovernmental regional banks across the country—“works well.”
The Federal Reserve, created more than a century ago, might seem like “an archaic structure, but the choices and trade-offs they were facing then are still relevant choices and trade-offs now. Our federated structure reflected a desire to ensure that the diversity of views were reflected in monetary policy,” he said.
Mr. Lacker spoke to the Journal on Thursday in his office overlooking the James River, ahead of speech in which he argued the Fed was increasingly likely to face trouble if it doesn’t raise short-term interest rates soon.
The veteran central banker—he is the longest-serving regional Fed bank president—and Kansas City Fed President Esther George are scheduled to testify Wednesday before the House Committee on Financial Services’ Monetary Policy and Trade subcommittee. They will discuss the structure of their banks and “how it relates to the conduct of monetary policy and economic performance.”
The Fed in recent years has faced critics from the right and left who would like to change the way the central bank operates. Some Republican lawmakers, for example, want to give Congress more scrutiny over the Fed’s interest-rate-setting policy actions via formal government audits, something central bankers have long argued would make policy-making more political and ultimately less effective.
Some left-leaning activists and Democrats, including the campaign of presidential nominee Hillary Clinton, have called for bankers to be removed from the boards overseeing the regional Fed banks.
Members of the Center for Popular Democracy’s Fed Up campaign, working with a former top Fed staffer, have gone further. They have called for the regional Fed banks, which are technically owned by private banks via nonvoting shares, to be moved fully into government. The group also has sought a more open process to select bank presidents, and to take stock of their performance once they are on the job.
“I completely understand the heightened attention the Fed has gotten” in light of the dramatic actions it took over the course of the financial crisis and its aftermath, Mr. Lacker said. “We’re America’s central bank. And I think it’s a discussion worth having.”
Some of the criticism of the Fed owes to misunderstandings, Mr. Lacker said. But he added, “I’d agree we could do a better job of explaining our governance.”
By and large, Mr. Lacker said the current setup has proved to be the best in terms of setting policy and achieving the independence most economists believe is critical for effective central banking, a view shared by other regional Fed bank chiefs.
He said the regional banks, part-private and part-public organizations, are afforded independence to provide views protected from political interference. Turning the regional Fed banks into fully governmental institutions would compromise that and relieve the board of governors of a vital counterweight, Mr. Lacker said.
“Preserving that diversity of views, preserving the independence of the reserve bank president’s role in monetary policy, is an exceptionally high value,” he said.
Mr. Lacker also said the regional Fed banks’ boards of directors, drawn from a mix of local business and community leaders, as well as bankers, provide insight into local economic developments. These directors also offer operational insight to the central bank, a large service provider to financial institutions on a variety of fronts, he said.
The U.S. central bank, which is a major financial industry regulator, has long faced criticism because bankers serve on the boards of directors of the regional Fed banks. Critics say it is a conflict of interest because it allows banks to oversee their supervisor. Fed officials reject this view, saying that its regulatory activities, while carried out largely by the regional banks, are directed out of Washington.
“I think we all appreciate the—you know, I think [former Treasury Secretary and New York Fed President] Tim Geithner called it the optics issue, or optics problem” of the ownership structure and board composition, Mr. Lacker said. “As a practical matter, it’s not an issue.”
Mr. Lacker said that private bank ownership of the regional Fed banks isn’t like corporate ownership because the banks’ shares don’t have voting rights. He also said the regional boards have “a classic American governance role” and he rejected the idea that there would be any conflicts of interest faced by the board members.
Mr. Lacker said he welcomes meeting with Fed critics.
Many are activists “trying very hard to do what they can to improve lives. And you know, you can’t help but come away from conversations like that with a deep appreciation of the struggles and challenges that many of our—you know, many people in our country face,” Mr. Lacker said. He added, “I commend them for their interest in us and the willingness to engage in conversation with us.”
By Michael S. Derby
Source
AG-elect Ellison announces transition team
AG-elect Ellison announces transition team
Minnesota Attorney General-elect Keith Ellison announced a 36-member transition advisory board on Monday that includes...
Minnesota Attorney General-elect Keith Ellison announced a 36-member transition advisory board on Monday that includes state legislators, prominent attorneys, union members — and even a past political opponent.
Read the full article here.
Charter Financing: Study Finds Too Little Accountability in California
San Jose Mercury News - April 9, 2014, by Raymond Blanchard - Every parent wishes their children will reach their...
San Jose Mercury News - April 9, 2014, by Raymond Blanchard - Every parent wishes their children will reach their highest potential to live the life they choose. We do everything in our power to make this wish a reality, and we know an extraordinary education is essential.
Fulfilling this wish is difficult, particularly in the Bay Area. When California, the eighth largest economy in the world, ranks 49th among the states in school spending, we know it's difficult for our schools to provide the best education possible.
That's why I enrolled my children in Gilroy Prep Charter School, a Navigator school that achieved the highest API score -- 978 -- in California for a first-year charter school in 2011-12. I also served on the Navigator Board for three years but recently resigned due to transparency and accountability concerns with the Charter Management Organization (CMO), a service some charters use to manage their finances.
Now I find that my concerns were not an aberration. A recent study by the Center for Popular Democracy (linked with this article at mercurynews.com/opinion) found mismanagement of funds, fraud and abuse to the tune of $80 billion, or $160,000 per child, across all California charter schools, and our state could lose another $100 million in 2015 to charter school fraud. That's enough money to pay full tuition and board for every student in California at a University of California school for four years.
The report found that charter schools in California undergo little monitoring of finances, and the districts that oversee charter schools do not have the resources to provide sufficient oversight. Over my three years on the Navigator board, the local districts only attended seven board meetings.
Charter schools were created to bridge the achievement gap by granting increased freedom to administrators, teachers and parents to innovate without being subject to most California education laws. I support charter schools and think many of them provide an excellent education: 60 percent of Santa Clara County charter schools outperform the districts in which they reside. As a former entrepreneur and venture investor, I am all for freedom, innovation, competition and choice.
But the charter school financial model is at risk of failing.
Charter Management Organizations use public money with little public accountability and transparency, and that's starting to cause material financial problems. Not all charter schools have a CMO and run very well on their own, and some CMO-run charter schools are clearly better than others.
In 2014, charter schools authorized by the Santa Clara County Board of Education received $42 million in public revenue, excluding the millions of dollars in philanthropic investments. Some CMOs charge the schools they manage up to 25 percent of school revenue, while our local district charges about 6 percent per school.
In Santa Clara County, 73 percent of charter schools spent $1,287 less per student than their district school peers in 2012-2013. That's worth a musical instrument, computer, books, iPad and field trip per child. Where does the money go? It's not clear, and that's a problem.
To avoid financial risks, charter schools should be held to the same types of regulations as other public schools and the boards that oversee them. All public schools should be given the same freedoms charter schools have to innovate.
My wish is that all public schools be excellent educational institutions and stewards of our tax money. However, we must improve transparency and accountability. I think this is a wish we can all agree on.
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Seattle passes scaled-back tax on Amazon, big companies
Seattle passes scaled-back tax on Amazon, big companies
On Monday, about 40 elected officials from across the United States, some representing local governments in the running...
On Monday, about 40 elected officials from across the United States, some representing local governments in the running to host Amazon’s second headquarters, published an open letter to Seattle in support of the head tax and expressing concern that Amazon opposed the measure. “By threatening Seattle over this tax, Amazon is sending a message to all of our cities: we play by our own rules,” the officials wrote.
Read the full article here.
3 days ago
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