Press Release: May 24, 2002
Council To Mark Fifth Anniversary of Living Wage
Lawmakers Will Honor Group That Led Campaign to Pass Landmark Ordinance, Which Has Become a Model for Cities Around the Country

The Los Angeles City Council today will mark the fifth anniversary of L.A.'s living wage law with presentations by Council President Alex Padilla and Councilman Eric Garcetti to the Los Angeles Alliance for a New Economy (LAANE).

The presentations are timed to coincide with the first annual Living Wage Awards, to be given at a dinner tonight by LAANE, a nonprofit organization which led the living wage campaign. LAANE will recognize Assemblywoman Jackie Goldberg, L.A. County Federation of Labor executive secretary treasurer Miguel Contreras, Bishop Frederick Borsch, Rev. Altagracia Perez and filmmaker Jesus Salvador Trevino for their contributions to the city's living wage movement.

Passed in 1997, L.A.'s living wage law was sponsored by then-City Councilmember Jackie Goldberg. One of the first in the nation when it was adopted, the ordinance requires that city contractors and financial aid recipients pay their employees $7.99 an hour with health benefits, or $9.24 without benefits. It has raised wages for more than 10,000 workers, and has served as a model for dozens of cities throughout the country.

The living wage campaign brought together a broad coalition of labor, community and religious groups. Fiercely opposed by businesses interests and then Mayor Richard Riordan, the living wage law ignited a firestorm of debate over the plight of low-wage workers in Los Angeles and beyond.

"This fight was a true litmus test for the city," said Madeline Janis-Aparicio, executive director of LAANE. "On one side were those determined to protect the status quo of appallingly low wages for tens of thousands of workers. On the other side was a newly galvanized coalition committed to a different vision for Los Angeles, one in which people who work full time are not trapped in poverty."

Though approved unanimously by the City Council in March 1997, the living wage ordinance was vetoed by Riordan, who insisted that the law would lead to economic disaster. His veto was overridden, and the law took effect in May.

"The City Council, led by Jackie Goldberg, rose to the occasion and set an example of principled leadership," said Janis-Aparicio. "They left a mark on history of which they can all be proud of."

LAANE first came to prominence in 1995 with the passage of L.A.'s worker retention law, which helped save the jobs of nearly 1,000 LAX workers. Following the living wage victory in 1997, LAANE joined with a coalition of unions and clergy to form Respect at LAX, which has secured quality jobs for thousands of airport workers.

LAANE also played a central role in the passage of Santa Monica's living wage law, a ground-breaking ordinance which has attracted national attention. That law has been the focus of a $2 million opposition campaign by the tourism industry, which is trying to repeal the ordinance with a ballot referendum this November.

Last year, LAANE launched its new accountable development.program, which is designed to ensure that developers provide living wage jobs and community benefits in exchange for public subsidies. Working with residents and community-based organizations, LAANE negotiated three far-reaching agreements with the developers of the Staples Center expansion and two San Fernando Valley projects.

LAANE is also known for its research. The organization has released three well-received studies, including reports on the Community Redevelopment Agency, the Mayor's Business Team and working poverty in Los Angeles. LAANE is currently collaborating with UCLA on a major study of L.A.'s living wage law.