Should essential workers get bonuses? Unions want Gavin Newsom to dole out $8 billion
Major California unions are pushing Gov. Gavin Newsom and legislative leaders to give $8 billion in bonuses to essential workers, calling on them to use some of the $27 billion California is getting from the federal COVID relief to support working people.
The money would be given to workers in places such as hospitals, fast food restaurants, grocery stores, janitorial services and public transit, according to the unions’ proposal laid out in their letter to Newsom and legislative leaders sent Thursday.
More than 4 million workers making under about $100,000 could be eligible for the money under the proposal, which means each would get around $2,000 on average, according to the the unions and labor organizations. Its backers include the California Labor Federation, SEIU California, the United Food and Commercial Workers and the Teamsters.
Cities and counties across California have passed ordinances giving temporary pay raises to essential workers, especially to those in grocery stores. Some states such as Pennsylvania and Vermont have each used $50 million of the CARES Act to give bonuses to their essential workers. The unions’ proposal is far more wide-reaching than any program seen in the nation.
“It’s the essential workers who’ve gotten us through this very dark time,” said Assemblyman Ash Kalra, D-San Jose, who supports the proposal. “That deserves recognition, and we need to recognize we need to retain those workers in their positions, especially our health care workers.”
The proposal calls for California to create a one-time essential worker recognition and retention fund. Of the $8 billion, $2 billion would be dedicated specifically for non-executive health care workers.
Workers would get the money through their employers, who would apply for the fund through state agencies. Kalra said grocery workers who are getting hazard pay should be eligible for the bonus as well.
“I don’t think just because local jurisdictions have seen the wisdom of recognizing essential workers that those workers should be penalized,” he said.
To give $8 billion in bonuses for essential workers, Kalra acknowledged the money has to be taken out from somewhere else.
Gov. Newsom is proposing to spend the $27 billion from the federal COVID relief package on expanding broadband access, providing utility assistance, training for more mental health workers and addressing homelessness, among others.
But Kalra said he believes it’s well worth spending a part of the COVID relief package for the state’s essential workers. The federal COVID relief package does explicitly allow states to give “premium pay” to essential workers, both in the public and private sector, of up to $13 per hour to the maximum of $25,000.
“We’ve called our workers “heroes.” But those words fall flat if we don’t actually show appreciation through meaningful actions,” Kalra said. “So what I’m supportive is of putting our money where our heart is.”
This story was originally published June 3, 2021 at 11:38 AM with the headline "Should essential workers get bonuses? Unions want Gavin Newsom to dole out $8 billion."
