Subject: Hotel workers quit Central Labor Council - Crain's New York Business
From: "Eric Schwerin" <[email-masked]>
To: "Hunter Biden" <[email-masked]>
Date: Thu, 3 Mar 2011 16:25:46 -0500

http://www.crainsnewyork.com/article/20110302/FREE/110309977#

Hotel workers quit Central Labor Council

New York City Central Labor Council President Jack Ahern refused to bow to pressure from two influential union presidents to resign, and now one of those officials has withdrawn his union from the umbrella organization that represents 1.4 million workers in the five boroughs,Crain's has learned.

The Hotel Trades Council left the group after President Peter Ward delivered the message to Mr. Ahern last week that he would quit if Mr. Ahern did not resign. Mr. Ward confirmed his union's withdrawal, but would not comment further.

A labor source said 32BJ SEIU President Mike Fishman signaled his intention last week to leave unless Mr. Ahern stepped aside. It wasn't immediately clear how long the powerful building service union would give Mr. Ahern before following through on the threat, though it appeared the union was hoping other labor leaders would join the call for his resignation before making a final move.

Mr. Ahern, however, indicated he felt the building service workers had already joined the hotel workers in leaving the Central Labor Council. “I have regretfully accepted both resignations with an appreciation that leadership in times of crisis requires tough decisions and even a tougher skin,” he said.

Dissatisfaction with Mr. Ahern's leadership has been mounting since late last year, when the Village Voice published an article by Tom Robbins that detailed a doubling of Mr. Ahern's Central Labor Council stipend and alleged misconduct tied to his role as president of the International Union of Operating Engineers Local 30. 

The departure of the Hotel Trades Council and potential withdrawal by 32BJ follow a report last week in the Daily News that said George Miranda, secretary-treasurer of Teamsters Local 210, had resigned as the Central Labor Council's vice chairman.

The Building and Construction Trades Council of Greater New York is also believed to be a group that could leave the Central Labor Council, but President Gary LaBarbera declined to comment on internal union business.

Mr. Ahern, who took over as president in 2009, changed the Central Labor Council constitution last year to double his stipend and extend his term to four years from three without gaining approval from delegates. He's also the subject of an investigation by the operating engineers' independent ethics officer into alleged misconduct, including union scholarships given to his children and an extra salary he receives as a chairman of the Northeastern Engineers Federal Credit Union.

A labor insider said that Mr. Ahern does not believe he has done anything wrong and has no plans to throw in the towel, even in the face of calls from other union leaders for him to step aside. Several key Central Labor Council personnel, unhappy with his leadership, have resigned in recent months, including the group's spokeswoman, its political director and its chief of staff. Mr. Ahern has moved to fill the void left by their departures by retaining Rubenstein Associates and courting political consultant Hank Sheinkopf.

Mr. Ahern has also been criticized as being missing in action in key battles surrounding both public-sector workers and Walmart's proposed entry into the city. But he has become more visible of late, seemingly in an attempt to assert himself in the face of the growing discontent with his leadership. He bashed Walmart earlier this year at a City Hall rally and Tuesday morning issued a press release criticizing the company for a mail campaign he says is designed to divide the labor movement.

He has regularly sent out press releases in recent weeks, on subjects ranging from attacks on workers in Wisconsin to City Council Speaker Christine Quinn's State of the City address and the upcoming 100th anniversary of the Triangle Shirtwaist factory fire.

“Across the country and here in New York, unions are being demonized and libeled,” Mr. Ahern said. “I intend to continue my job of answering those attacks with integrity, candor and the facts.”

Eric D. Schwerin
Rosemont Seneca Partners, LLC
1010 Wisconsin Ave., NW
Suite 705
Washington, DC 20007
(202) 333-1880
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