Daily Business Report-June 17, 2015
Among survey respondents, the most frequent wage theft was reported by women, Latinos, older workers, and “back-of-the-house” staff. White males are overrepresented in the choice positions at high-end restaurants.
Study Shows Widespread ‘Wage Theft’
Among San Diego County Restaurants
A study by San Diego State University Department of Sociology and the Center on Policy Initiatives found evidence of widespread wage theft, labor law violations and discrimination in restaurants throughout San Diego County.
In a new survey of 337 employees of restaurants, bars, and coffee shops in the county, more than three-quarters (77 percent) reported their employers had illegally shorted them on wages or tips during the past year. One-third of those surveyed said wage theft is a regular part of their jobs.
The pilot study, “Shorted: Wage Theft, Time Theft and Discrimination in San Diego County Restaurant Jobs,” was released by the Center on Policy Initiatives (CPI) and San Diego State University Department of Sociology.
“Employees of restaurants across the San Diego region are subject to wage theft and other violations of labor law,” said Jill Esbenshade, SDSU professor and lead investigator. “In this pilot study, overwhelming numbers of restaurant workers reported they had been cheated of money they are owed in wages and tips, as well as their break time and personal time.”
Wage theft means withholding pay that is legally due to employees. Among the forms of wage theft reported in the survey were: requiring workers to work without pay before clocking in or after clocking out, failure to pay overtime rates, deducting from paychecks for damages or cash register shortages, paying less than minimum wage, sending workers home early without compensation, and diverting any part of workers’ tips to managers.
In addition to wage theft, other key findings in the study include:
• 84 percent of survey respondents reported violations of their right to meal breaks or rest breaks. Almost a quarter (23 percent) said restaurant managers had made them falsely record unpaid meal breaks when they worked through the breaks.
• 78 percent of respondents have gone to work sick, injured or in pain. Only 11 percent have any paid sick time.
• Almost two-thirds get their work schedules less than a week in advance. Only 3 percent said they have a set schedule.
Among survey respondents, the most frequent wage theft was reported by women, Latinos, older workers, and “back-of-the-house” staff. White males are overrepresented in the choice positions at high-end restaurants.
“These findings offer a glimpse into one of San Diego’s largest and fastest-growing employment sectors, the restaurant industry,” said CPI Research Director Peter Brownell. “These employers are breaking the law. Policy changes are needed to provide the resources and tools to strengthen enforcement of the laws on the books.”
The survey, conducted in March and April of this year, included 337 respondents who work at more than 160 restaurants, bars, and coffee shops in San Diego region. The research also included 30 in-depth interviews and observational data collected at 40 high-end restaurants.
“People don’t understand the toll this takes on restaurant workers, having our wages stolen,” said Kadie Durocher, who has worked in San Diego restaurants for almost 30 years. “I knew one person who was evicted. I am raising my two children on these wages and when wage theft happens to me it’s stealing from them.”
Click here for a PDF of the full report.
Port Signs Agrement With Mitsubishi Cement
Corp. for Facility at Tenth Avenue Terminal
In an effort to increase cargo business, the Port of San Diego has signed a conditional agreement with Mitsubishi Cement Corp., one of the largest cement manufacturers in California, for it to operate a transfer and storage facility for the importation, distribution, exportation and storage of bulk cement at the Tenth Avenue Marine Terminal.
The conditional agreement, which was approved by the Board of Port Commissioners on June 11, will allow the Port to conduct a project review under the California Environmental Quality Act in anticipation of Mitsubishi’s potential operations at the terminal.
The conditional agreement envisions contributions by Mitsubish toward modernizing the marine terminal and the company’s participation in development costs for long-term improvements.
“The agreement with Mitsubishi Cement Corp. is a key step in the long term redevelopment and modernization of the Tenth Avenue Marine Terminal and helps us build momentum for increasing volume in one of our three core cargo areas: Break Bulk, Refrigerated Containers and Bulk,” said Maritime Director Joel Valenzuela. “This partnership supports our efforts to realize the potential of Tenth Avenue, while positively impacting the San Diego economy and directly supporting regional construction activity.”
Mitsubishi Cement Corp. manufactures all of the major types of Portland and specialty cements used in California and Nevada. The company was formed in March 1988, with the acquisition of the Cushenbury cement plant in Lucerne Valley, Calif., and other ancillary assets.
Jassim & Associates Moves
To Emerald Plaza Building
San Diego law firm Jassim & Associates has moved to the iconic Emerald Plaza building at 402 West Broadway, Suite 1120, in Downtown. Attorney and founder Pajman Jassim chose the building for its prestige and proximity to the local court buildings nearby.
“Emerald Plaza is right in the center of the feel of justice,” Jassim said. “It’s literally right in the middle of the courthouses, and has a professional feel and prestigious presence. The time was right to do this.”
The firm’s move comes about a year ahead of the projected 2016 completion of a new San Diego Courthouse, to be located just across the corner from Emerald Plaza. Now under construction, this new court building will replace the County, Family, and Madge Bradley courthouses in Downtown. The firm’s new office space is larger, and has a conference room that Jassim attorneys can use for client conferences or depositions.
Downtown San Diegop Library Auditorium
Named After Journalist Neil Morgan
The San Diego Public Library Foundation has named the 326-seat auditorum at the San Diego Central Library after the late Neil Morgan, longtime journalist with The Tribune, the San Diego Union-Tribune and Voice of San Diego.
“For many years, Neil Morgan brought San Diegans together to discuss and experience important civic and social items, which is the exact purpose of the auditorium we are proud to name in his honor,” said San Diego Public Library Foundation Immediate Past Chair Mel Katz. “There’s no better area of the Central Library to honor Mr. Morgan than one dedicated to learning and growth through the enjoyment of arts and culture, discussing ideas or celebrating the city he loved so much.”
Morgan died in 2014 at his La Jolla home. He was 89.
The stage of the auditorium is named in honor of David C. Copley, former owner and publisher of the Union-Tribune and a philanthropist who was one of the earliest supporters of the new library project.
“With grace, Mr. Morgan embraced the changing landscape of San Diego’s daily newspaper industry, and later in his career the digital and technological advancements in the media,” said San Diego City Librarian Misty Jones.
San Diego Community College District
Receives $1.5 Million in State Grants
The San Diego Community College District is being awarded more than $1.5 million in state grants to continue several job training and workforce preparedness programs at San Diego City and San Diego Miramar colleges.
The grants are funded through the statewide Doing What Matters for Jobs and the Economy program, which is run by the California Community Colleges Chancellor’s Office.
Awards include:
• Two grants totaling $572,500 for a San Diego Miramar College-led effort in the Life Sciences/Biotechnology sector.
• Two grants totaling $572,500 for a San Diego Miramar College-led effort in the field of Advanced Transportation and Renewables, an area that covers an array of clean energy technologies aimed at growing a greener economy.
• A $200,000 grant for a San Diego City College-led effort in Advanced Manufacturing through the college’s Center for Applied Competitive Technologies.
• A $200,000 grant for a San Diego City College-led effort in Information, Communication Technologies/Digital Media, enabling the college to continue working with industry to bolster computer skills for administrative assistants, information clerks, and other office workers.
Chargers Nix Dec. 15 Stadium Vote
The Chargers declared a proposed Dec. 15 stadium vote impossible on Tuesday based on environmental concerns, dealing a blow to San Diego’s efforts to prevent the team from moving to Los Angeles, the Union-Tribune reports.
“The Chargers have concluded that it is not possible to place a ballot measure before voters in December 2015 in a legally defensible manner given the requirements of the state’s election law and the California Environmental Quality Act,” team special counsel Mark Fabiani said in a statement.
The news came shortly after San Diego’s negotiating team expressed optimism that they’d alleviated the Chargers concerns about environmental problems during a 90-minute negotiating session on Tuesday morning.
‘Vital Aging’ Conference for Seniors Opens Today
Hundreds of San Diego County seniors are expected to attend a conference today on wellness and aging at Liberty Station in Point Loma and the California Center for the Arts in Escondido.
The county’s “Vital Aging” conference is a part of the “Live Well San Diego” initiative, which promotes a healthier region. The conference will explore how nutrition, exercise, mental stimulation and social connection affect memory, mood and cognitive function in seniors.
Information and resources for families affected by Alzheimer’s disease will also be available.
About 60,000 local residents have Alzheimer’s, and that number is expected to reach nearly 100,000 by 2030, according to county officials. It is the region’s third leading cause of death.
The event features nationally acclaimed speaker Dr. Paul Nussbaum, a neuropsychologist from the University of Pittsburgh School of Medicine and founder of the Brain Health Center.
Officials say San Diego County’s population of people over age 65 is expected to nearly double to more than 720,000 in the next 15 years.
— City News Service
Gov. Brown, Lawmakers Agree
On $115.4 Billion State Budget
Gov. Jerry Brown and legislative leaders announced a $115.4 billion California budget deal Tuesday that sends billions of dollars more to public schools and universities, boosts spending on social welfare programs that legislative leaders have made a priority and creates the state’s first tax credit for the working poor.
The budget deal includes $265 million to add 7,000 state-subsidized preschool slots and 6,800 for child care and extends the state’s health insurance program for the poor to children who are in the country illegally, at a cost of $40 million a year.
“In the way we come together, we can conclude this is a sound and well thought-out budget. Yet our work never ends,” Brown said at a Capitol news conference. “We have to continue to work in a very prudent and careful way. We have to find more resources for our health care and also for our roads and bridges.”
The total spending is far closer to Brown’s proposal in May for a $115 billion budget than the budget proposed by the Democratically controlled Legislature, which passed a $117.5 billion spending plan a day earlier.
The new deal is expected to easily win approval from the Senate and Assembly, which will schedule votes on the package ahead of the July 1 start of the fiscal year.
— Associated Press
Personnel Announcements
FIT Bodywrap Adds Repair Technician
FIT Bodywrap, a San Diego-based company, has named Cody Allen Hundley as repair technician to ensure high quality system operation and assist with product development.
Hundley’s background includes managing IT services for small businesses, including preventative maintenance, and disaster recovery and repairs. His responsibilities include repair, testing and analyzing, and reporting technical developments.
Torrey Pines Bank Hires 4 Vice Presidents
Torrey Pines Bank announces the hiring of three new vice-president-level loan officers and a relationship manager. Barbara Cafaro, Penny Duane, Henry Halleland and Ryan Smith will work with business clients.
Barbara Cafaro is vice president, relationship manager at the Carmel Valley location. She has more than 22 years in the finance industry. working with wide range of local financial institutions. Previously, she was a campaign treasurer for several political campaigns.
Penny Duane is vice president, loan officer in the La Mesa branch. She has more than 20 years of industry experience and previously worked as vice president/branch manager at two San Diego area banks.
Henry Halleland has been hired as vice president, real estate loan officer in the Carmel Valley location. Halleland has been in the financial industry for more than 20 years and has held many senior level positions, most recently as the senior vice president at a local community bank.
Ryan Smith is vice president, loan officer in the Carmel Valley location. Smith has spent 10 years in senior-level positions in the financial industry helping clients with cash management and liquidity solutions.