Business
Oakland Becomes Latest California City to Pass Hazard Pay for Grocery Store Workers, Granting $5 More Per Hour
“It seems only fair that we provide hazard pay as a way to appreciate and fairly compensate the workers who are allowing us to continue to purchase the food and supplies we need despite sheltering in place. This is something that is long overdue,”
![](https://www.postnewsgroup.com/wp-content/uploads/2021/01/nikki-fortunato-bas.jpg)
The Oakland City Council last week unanimously passed a measure requiring large supermarkets to give their employees an extra $5 an hour as hazard pay for working during the COVID-19 pandemic.
The California Grocers Association, which represents grocery store owners, quickly sued the city a day later, arguing that many stores cannot afford the pay raise and that stores would be forced to raise prices.
Minimum wage in Oakland is currently $14.14 an hour – a skimpy wage for the expensive Bay Area. That means that grocery store workers making minimum wage will earn at least $19.19 an hour.
Councilmembers said the increase in pay was necessary to compensate workers for risking their health to serve the public urging the COVID-19 pandemic. “The national retail grocery chains are making enormous profits through this pandemic,” said Oakland City Council President Nikki Fortunato Bas, who co-sponsored the legislation.
“It seems only fair that we provide hazard pay as a way to appreciate and fairly compensate the workers who are allowing us to continue to purchase the food and supplies we need despite sheltering in place. This is something that is long overdue,” Fortunato Bas said.
Albertsons Co., the company that owns Safeway, saw its profits increase by 153% in the first two quarters of 2020 compared with the same period in 2019, according to a November 2020 report from the Brookings Institute.
The mandate applies to large grocery stores that have at least 15,000 spare feet of retail space and 500 or more employees nationwide. Oakland stores that will be affected include Safeway, Whole Foods, and Target. The law includes a waiver or credit for stores like Lucky’s, Safeway and FoodMaxx that have already been paying their workers hazard pay throughout the pandemic. Those stores have been paying an extra $2.50 to $3.50 an hour.
Grocery store workers spoke in support of the measure at the City Council meeting where the measure was considered and ultimately passed. “Hazard pay means additional payment for performing a dangerous duty or work related to physical hardship. Grocery is a dangerous job today and physical suffering is pain and death,” said Devin Ramos, a 23-year Safeway employee.
“My work day puts me in a busy store close by to hundreds of customers every day, and I have no realistic way of social-distancing away while doing my job duties. I have no way for every customer who enters my store to wear a mask, or to prevent them from removing their masks,” Ramos said.
Other California cities, including Antioch, Concord, and Berkeley in the Bay Area, according to the San Francisco Chronicle, are considering passing similar hazard pay laws.
On Wednesday, San Jose City Council passed hazard pay legislation. The Los Angeles City Council also recently asked city attorneys to craft a hazard pay law for the council to vote on.
Krogers closed a store in Long Beach after the City Council passed a $4 per hour hazard pay law.
Activism
Oakland Post: Week of June 12-18, 2024
The printed Weekly Edition of the Oakland Post: Week of June 12-18, 2024
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Business
Newsom Admin Takes Steps to Stabilize California’s Troubled Insurance Market
As growing numbers of Insurance companies announce plans to exit California’s insurance market — or cancel customers’ policies — Gov. Gavin Newsom says his administration is taking steps to reverse the trend. Speaking during a news briefing on May 31, Newsom highlighted the plan, which was unveiled as part of a trailer bill on May 28.
![iStock](https://www.postnewsgroup.com/wp-content/uploads/2024/06/CALIFO1.jpg)
By California Black Media
As growing numbers of Insurance companies announce plans to exit California’s insurance market — or cancel customers’ policies — Gov. Gavin Newsom says his administration is taking steps to reverse the trend. Speaking during a news briefing on May 31, Newsom highlighted the plan, which was unveiled as part of a trailer bill on May 28.
Newsom said the proposal speeds up approvals for rate increases and addresses rising costs resulting from incidents like wildfires. Newsom said, under his plan, the Department of Insurance will be required to decide and respond to rate increase requests within 120 days. The plan also calls for streamlining the process for filing for increases; builds in two 330-deay extensions for finalizing rate changes; and provides room for insurers to appeal decisions.
“We need to stabilize this market,” Newsom said. “We need to send the right signals.
Proponents, mainly insurance industry representatives like the Personal Insurance Federation of California, are praising the Governor’s actions while consumer advocates warn that the plan is a threat to public intervention rights California’s Prop 103, a 1988 state law adopted to protect state residents from “arbitrary insurance rates and practices.”
Insurance Commissioner Ricardo Lara thanked Newsom for backing his office’s plan.
“To safeguard the integrity of the insurance market – composed of consumers, homeowners, and business owners – we must fix a system suffering from decades of deferral and delay,” said Lara in a statement. “This measure is one of several parts of a comprehensive plan to enact long-overdue regulatory reforms. The Legislature can do its part to support my reforms by giving this proposal a fair and full consideration, including public input. By enacting this important part of our strategy in statute, the Legislature can help us meet the urgency of the moment.
Lara is working on a longer-term strategy to shore up the insurance market that is expected to be released in December.
Activism
Oakland Post: Week of June 5 – 11, 2024
The printed Weekly Edition of the Oakland Post: Week of June 5 – 11, 2024
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