Pasadena Municipal Code Ch. 4.11 Pasadena Living Wage Ordinance

The following definitions shall apply throughout this chapter:

A. "City" means the city of Pasadena and all those employed by the city who are authorized to award a service contractor on behalf of the city, including those city departments which exercise independent control over their expenditure of funds, but excludes the Rose Bowl Operating Company ("RBOC") and the Pasadena Center Operating Company ("PCOC"). The RBOC and PCOC are urged, however to adopt a policy similar to that set forth in this chapter.

B. "Employee" means any individual employed by a service contractor on or under the authority of one or more service contracts and who expends any of his or her time providing labor or delivering services to the city of Pasadena, including but not limited to: restaurant, food service or banquet employees, janitorial employees, security guards, parking attendants, health care employees, gardeners, waste management employees, and clerical employees; except that "employee" shall not include part-time, seasonal or trainee workers when the city specifies that the employees may be part-time, seasonal or trainee workers.

C. "Health benefits" means the payment of no less than $1.25 per hour toward the cost of health and medical care insurance for employees and their dependents.

D. "Person" means any individual, proprietorship, partnership, joint venture, corporation, limited liability company, trust, association, or other entity that may employ individuals or enter into contracts.

E. "Service contractor" means any person that enters into a contract directly with the city primarily for the furnishing of services or labor to or for the city (as opposed to the purchase of goods, material or other property or the leasing of property), that involves an expenditure in excess of $25,000 and that is to be performed in the city of Pasadena. Government entities which enter into a contract directly with the city shall not be considered service contractors for purposes of this chapter.

(Ord. 6955 § 1, 2003: Ord. 6763 § 4 (part), 1998)

Wages. Service contractors shall pay their employees a wage of no less than eight dollars and twenty cents ($8.20) per hour if health benefits, as defined in this chapter, are paid to the employees, or a wage of no less than nine dollars and sixty-one cents ($9.61) per hour, if no such health benefits are paid. The wages in this section shall be adjusted by the Cost of Living Index set forth in Section 4.11.030.

(Ord. 6955 § 2, 2003: Ord. 6928 § 2, 2003: Ord. 6763 § 4 (part), 1998)

Beginning January 1, 2004, and every January 1 thereafter, the wage set by Section 4.11.020 shall be adjusted by the change in the Consumer Price Index, for the Los Angeles-Riverside-Orange County area, all urban consumers, for the most recent 12 month period.

(Ord. 6928 § 3, 2003)

Service contractors shall inform employees making less than $12 per hour of their possible right to the federal Earned Income Credit ("EIC") under Section 32 of the Internal Revenue Code of 1954, 26 U.S.C. Section 32, and shall make available to employees forms informing them about the EIC and forms required to secure advance EIC payments.

(Ord. 6763 § 4 (part), 1998)

A. An employee claiming violation of this chapter may bring an action in the appropriate court having jurisdiction against an employer and may be awarded:

1. For failure to pay minimum wages, the difference during the involved period between the minimum wage required herein and the amount actually paid.

2. For failure to pay medical benefits, the difference during the involved period between the minimum wage required herein without benefits and such minimum wage with benefits.

B. The court shall award reasonable attorney's fees and costs to an employee who prevails in any such enforcement action.

C. Compliance with this chapter shall be required in all service contracts to which it applies, and such service contracts shall provide that violation of this chapter shall entitle the city to terminate the service contract and otherwise pursue legal remedies that may be available.

D. An employee claiming retaliation for alleging noncompliance with this chapter may report such claimed retaliation to the purchasing administrator of the department of finance, who shall investigate such claim and report the results to the city manager. Service contracts shall expressly prohibit such retaliation.

E. Notwithstanding any provision of this code or any other ordinance to the contrary, no criminal penalties shall attach for any violation of this chapter.

(Ord. 6763 § 4 (part), 1998)

The purchasing administrator of the department of finance shall monitor compliance, including the investigation of claimed violations, and shall promulgate implementing regulations consistent with this chapter. Such regulations shall include, but not be limited to, determination whether particular persons shall be regarded as service contractors, the establishment of reporting requirements on employee compensation and on notification about and usage of the federal earned income credit and establishing and applying definitions, consistent with this chapter for any terms under this chapter. The purchasing administrator shall report on compliance to the city council no less frequently than annually.

During the first, third, and seventh years of this chapter's operation, and every third year thereafter, the purchasing administrator shall conduct or commission an evaluation of this chapter's operation and effects. The evaluation shall specifically address, at least, the following matters: (a) the extent to which the benefits of this chapter are accruing to Pasadena residents; (b) the extent to which service contractors are complying with this chapter; (c) the manner in which this chapter is affecting the workforce composition of service contractors; (d) the manner in which this chapter is affecting productivity and service quality of service contractors; (e) the manner in which the additional labor costs required by this chapter have been distributed among employers, employees and the city. Within one hundred twenty days of the adoption of the ordinance codified in this chapter, the purchasing administrator shall develop detailed plans for evaluation, including a determination of what current and future data will be needed for effective evaluation.

(Ord. 6763 § 4 (part), 1998)

This chapter shall not be construed to limit an employee's right to bring legal action for violation of other minimum compensation laws.

(Ord. 6763 § 4 (part), 1998)

To the maximum extent permitted by law, this chapter shall apply to the expenditure of funds entirely within the city's control and to other funds, such as federal or state grant funds, where the application of this chapter is consonant with the laws authorizing the city to expend such other funds; except that this chapter shall not apply to service contracts with other governmental entities. As to any grant or similar program, this chapter shall become applicable to the funds authorized by such program if and only if city purchasing administrator has obtained from the funding source either an opinion or other determination indicating such consonance or a judgment of compliance from a court of law or other tribunal, which procurement has been reported by memorandum to the city clerk.

(Ord. 6763 § 4 (part), 1998)

The provisions of this chapter shall apply to, (a) service contracts for which the specifications are issued after the effective date of this chapter or, if no specifications are required, service contracts awarded after the effective date of the ordinance codified in this chapter, and (b) to the maximum extent permitted by law, service contract amendments awarded after the effective date of said ordinance.

(Ord. 6763 § 4 (part), 1998)

The provisions of this chapter, or any part thereof, may be waived in a bona fide collective bargaining agreement, but only if the waiver is explicitly set forth in such agreement in clear and unambiguous terms. Unilateral implementation of terms and conditions of employment by either party to a collective bargaining relationship shall not constitute, or be permitted as, a waiver of all or any part of the provisions of this chapter.

(Ord. 7151 § 1, 2008: Ord. 6763 § 4 (part), 1998)