Union Contract Marks "New Era" at Miramar

By Teresa Rochester

Calling it a new era in labor relations in Santa Monica, workers and management at the Fairmont Miramar Hotel signed an unprecedented five-year contract Wednesday effectively ending a bitter labor battle that has lasted just as long.

Using pens embossed with "Fairmont Miramar/Local 814, 4-12-2000," 25 maids, cooks and bellhops, who serve on the union's organizing committee stepped forward one by one, to sign the "Living Contract." The contract calls for rare free family health insurance for all full-time and part-time employees, full benefits for part-time employees, paid time off in addition to vacation and holidays, and wage increases for non-tipped workers between $2.40 and $3.48 over the course of the agreement.

"I feel very proud of the contract we have won because for years it seemed we wouldn't (win)," said room service waiter and organizing committee member, Hector Cuatopotzo, a 10-year employee at the 305-room luxury hotel. "For me and my co-workers the most important part of the contract is the free health care. I have two children - a 7-year-old and a 6-month old. I am so proud to be able to take care of them without having to rely on state services."

"It represents a new era in labor relations in the history of Santa Monica and in the history of the Fairmont Miramar," said Karl Buchta, who took the reins as general manager six months ago after the hotel was sold to Marist, Wolff & Co. "That happened because of an ownership that cares for its employees and a union that wanted to establish a new relationship with the Fairmont Hotel management."

Described as a "win, win, win, situation," the contract calls for management and hourly employees to meet quarterly to discuss concerns or issues regarding morale, well being or operations. Lead organizer for the Hotel Employee's and Restaurant Employee's Local 814, Kurt Peterson said such a contract is rare.

"The only other place where we have it in this form is San Francisco," Peterson said after the ceremony. "As things arise we have the right, and the company does too, to keep negotiating. We're really excited. It will take work but this contract is second to none in L.A."

As part of the agreement, union officials and management will bring in a paid federal mediator to train employees and management to encourage an equal voice and greater participation. The contract also calls for time-and-a-half pay for tipped workers while they are on vacation or taking a paid time off day, a lighter work load for maids (who will have one room dropped from their daily cleaning quota), paid half-hour lunch for all employees and strengthened job security so employees can only be disciplined and discharged for just cause.

In 1996 housekeeper Delmy Falla was fired by the former management, who alleged she shoved a camera in a security guard's eye. After extensive hearings, the National Labor Relations board ordered the hotel, which was then the Miramar Sheraton, to rehire Falla. She was promptly fired again for allegedly disrupting a housekeeping department meeting after she was fired the first time.

Falla was hired back earlier this year with by the Fairmont Hotel Group, which was hired by the hotel's new owners to run the beachfront hotel on Wilshire Boulevard. Falla was escorted back to work by council members during an emotional return March 1. On Wednesday Falla sat at a banquet table with management and union officials during the contract signing ceremony.

"It's so exciting," said Falla, who will leave the hotel soon to work full time with HERE Local 814. "I finished something I started. I'm so happy to organize all the time."

Speakers at the signing urged employees to look to a brighter future built on the their difficult past with Fujita Corporation, USA, which sold the hotel in August. Under that company's ownership, management waged an all out effort to oust the 40-year-old union. The campaign began after an employee filed a petition in 1995 to decertify the union.

In 1997 the union failed an election by 12 votes. The NLRB threw out the results charging management with engaging in unfair labor practices and mandating that another election be held. That election took place last Friday, with the union winning by a landslide -- 161 to 7.

Councilman Paul Rosenstein said that during his tenure as mayor, the city brought the two warring sides together, hammering out a peace treaty the previous management agreed to and then reneged on.

"It became very clear in a matter of weeks that the owners had no intention of honoring it," said Rosenstein. "The managers today know a little secret… Everybody that works for a living wants to do a good job but they want to be treated with respect. Our community was very disturbed about what was going on here, and now the community is ecstatic."

"This is a very, very special day," said Matt DaNapoli, a principal owner of Marist, Wolff & Co. "I get such a sense of gratification looking out at Santa Monica's hardest working work force."