SEIU to Aramark - You Don't Need Authorization, Just Pay Me!

Aug 6, 2009

Aramark Corporation has had criminal charges filed against it by the Service Employees International Union for, of all things, doing the right thing and refusing to release disputed, unauthorized funds.

In the fallout of breakup of UNITE HERE, two groups have emerged. One retaining the name UNITE HERE and another called Workers United, a branch of the Service Employees International Union. These two groups have been fighting to secure the lion's share of the former union's members and the income from their dues. Aramark Corp has about 1700 affected employees, whose signed payroll deduction authorizations expressly state that their dues are to be paid to UNITE HERE. During this dispute, Aramark has continued to deduct union dues from its unionized employees' payroll, however Aramark has escrowed these funds and asked the National Labor Relations Board (NLRB) for guidance on who the proper party is to receive them.

Instead of establishing its right to the funds before the NLRB, Unite Here spin off Workers United, now a new division of the SEIU, filed criminal complaints against Aramark in Philadelphia, Pennsylvania, Oakland, California, and Portland Oregon, alleging that the company has "effectively stolen its employee's dues money." Workers United president Bruce Raynor stated that "Aramark does not have the right to take money out of workers' paychecks and then do whatever it wants to do with it." To further increase pressure on Aramark to release the disputed funds, the fledgling union had workers protesting at about 40 Aramark facilities around the United States and Canada.

Yet, Workers United acknowledges that the funds are being escrowed by Aramark, which is exactly what the corporation should be doing in this situation. Instead of being accused of being a criminal, Aramark should be commended in protecting the funds for whichever union group is has the right to receive them.

This is another example of Labor's readiness to resort to strong-arm tactics when it does not get its way. Instead of accusing the corporation of stealing, SEIU's proper action would be to establish its right to receive the funds before the NLRB. Following direction by the NLRB, Aramark has stated it will immediately release the funds. If any party's actions could be characterized as "criminal," it would be the group trying to extort Aramark into releasing disputed funds without clear and proper authorization.

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