Tentative Labor Agreement Averts Strike

In the Event of a Service Employees Strike
April 3, 2014
May 23, 2014
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Tentative Labor Agreement Averts Strike

The Realty Advisory Board has tentatively reached an agreement with SEIU Local 32BJ for a renewal of the residential building workers contract that is set to expire on April 20, 2014. The deal covers more than 30,000 residential building service employees, including doormen, porters, handymen and building superintendents, who work in more than 3,000 residential rentals, co-ops and condos. The tentative agreement is subject to ratification by the Board of Directors of the Realty Advisory Board and the membership of the Union, processes that will occur over the next few weeks.

The tentative agreement was reached an unprecedented nine days before it was set to expire on April 20. That is great news for owners and managers, not to mention all the New Yorkers who reside in our buildings.

Today’s announcement is the result of months of planning and several weeks of meetings between RAB and the Union. Our negotiating committee spent long hours working through extremely difficult issues. Though we have a very positive working relationship with the Union, we didn’t start on the same page. We believe the final result, after much back and forth, is a fair and equitable contract that reflects today’s economic realities while protecting the long-term health of our industry.

While the complete details of the agreement will be announced after ratification, the broad financial parameters of the tentative deal are:

  • An average wage increase of 2.71% each year over the four year contract, or approximately 11.3% total—bringing wages for a typical doormen or porter from $44,389 to $49,402 in 2018.
  • There is a 3.4% total average annual increase for wages plus benefits.

To help offset these costs, our negotiating committee was able to deliver a modified start rate for new employees and several other key measures to enhance employer flexibility.

CNYC Executive Director Mary Ann Rothman and FNYHC Executive Director Greg Carlson serve on the negotiating committee. We will provide any updates as they are announced.