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00 - Closed Session - Correspondence

Newport Beach City Council
June 14, 2022

Document
00 - Closed Session - Correspondence
Meeting
June 14, 2022
Body
Newport Beach City Council
Pages
5
Text extracted from the city's file for reading and search. Open the original on ecms.newportbeachca.gov. That file is the official record.

Received after Agenda Printed
June 14, 2022
Closed Session
From: Rieff, Kim
To: Mulvey, Jennifer
Subject: FW: ANBOL (for Tuesday"s Closed Session)
Date: June 14, 2022 7:44:58 AM
Attachments: NBLG Entry Level Paypdf
From: Peter Belden
Sent: June 13, 2022 9:26 PM
To: Dept - City Council
Subject: ANBOL (for Tuesday's Closed Session)
[EXTERNAL EMAIL] DO NOT CLICK links or attachments unless you recognize the sender and know the content is safe.

Dear Newport Beach City Council Members,
I am writing this email on behalf of ANBOL. I've been gathering information about the starting hourly pay of neighboring lifeguard agencies as well as private sector jobs within the city and surrounding areas.

I hope that the insights in the attachment below will shed some light on the current issues facing the City and the Association in current negotiations. With this knowledge I'm hoping both parties can work together to find common ground on a new contract.

If you have any questions, please feel free to contact me or the ANBOL President, Dan Moody at (949) 751-8379.

Thank you,
Peter Belden
(949) 375-2461

6/12/22
A.N.B.O.L
Association of Newport Beach Ocean Lifeguards
The Adverse Effects of CA Minimum Wage Growth & Competing Lifeguard Agencies on Newport Beach Lifeguarding
This Summer, an unskilled 16-year old with no work experience will make more money scooping Orange Chicken at Panda Express than a Newport Beach Lifeguard.' There are countless entry level positions throughout Orange County that either pay more and/or offer far more attractive benefits like tuition reimbursement, medical/dental insurance, flexible work schedules, and free meals. And those jobs do not come with the inherent risk of working in a dangerous environment that could cost you your life, as we saw happen in 2014. These discrepancies are leading to lifeguard shortages within the city and are currently affecting our staffing ability. This is the new reality of the entry-level job market in Orange County.

This trend started in 2017 when the California Minimum Wage Order went into effect and the pay gap between Newport Beach Lifeguards and CA minimum wage was $7.12. From 2017-2022, minimum wage rose $4.50. During that same period, Newport Beach Lifeguard wages rose 71 cents to where it is now at $18.51/hr, shrinking the pay gap to $3.51. And that gap doesn't include jobs receiving tips that often result in an additional $5 - $10/hour. And now, due to current inflation rates, the minimum wage in California will increase to $15.50/hr in 2023. But it likely won't stop there. The California Living Wage Act of 2022 has collected enough signatures and will be on the ballot this November. If that passes, the minimum wage will rise an additional $1/hr each year until 2025 when it reaches $18/hour. If that passes, the pay gap at the end of the proposed contract will be $2.22.

CA Minimum Wage vs. NB Lifeguard 1
$25.00
$22.50
$20.00
$17.50
$15.00
$12.50
$10.00
$7.50
$5.00
CA Minimum Wage — NB Lifeguard 1
2017 2018 2019 2020 2021 2022 2023 2024 2025
1 See Attachment A

But for those who still want to be a Lifeguard and are willing to take a pay cut while risking their lives, most neighboring cities offer a higher hourly wage than Newport Beach.' This has caused a dramatic decrease in the quantity and quality of applicants that try out to be a Newport Beach Lifeguard. And to make matters worse, Lifeguard Management requires an unnecessary and overbearing work commitment for first year lifeguards that has resulted in the firing of some of our best rookie lifeguards and encourages prospective lifeguards to seek employment at competing agencies. Right now, we are averaging five unstaffed towers every day on the roster along with zero Safety Cadets for the Junior Lifeguard Program. (There's usually 5-15 Cadets per day.) This is a critical staffing shortage.

Despite the currently proposed 3% COLA that will continue to keep our pay below what the market is offering, ANBOL believes the proposed contract will be ratified if the Reserve Hour Requirement is removed and the status quo is kept. Given that no other bargaining group had takeaways in their contracts, ANBOL does not believe the 3% COLA's are adequate to justify the takeaway of changing the Reserve Hours within the MOU. This will lead to unnecessary terminations at a time when our lifeguards are needed most.

So we, as a City, need to decide if attracting the most talented and qualified applicants is a priority. We have by far the most dangerous and diverse stretch of coastline in Orange County and it requires a higher level of skill than neighboring cities like Long Beach ($23.15/hr), Laguna Beach ($19.87), or Huntington Beach ($19.24).

Do Newport Beach residents and visitors deserve the best lifeguards in Orange County?
2 See Attachment B (Ocean Lifeguard 1 - Hourly Starting Pay)

A.N.B.O.L.

Association of Newport Beach Ocean Lifeguards
Attachment A
Entry -Level Jobs in Newport Beach & Orange County
Business
Position
Starting Pay
Benefits
Flexible Schedule, Tuition Reimbursement $525 - $2,500, Free Panda Express
Cook
$23.00
Meals, Medical & Dental Insurance, 401k match.

Kitchen
Flexible Schedule, Tuition Reimbursement $525 - $2,500, Free Panda Express
Assistant
$21.00
Meals, Medical & Dental Insurance, 401k match.

Flexible Schedule, Tuition Reimbursement $525 - $2,500, Free Panda Express
Cashier
$18.00
Meals, Medical & Dental Insurance, 401k match.
$22.00 including
Flexible Schedule, Medical/Dental/Vision, 401k w/ match, Free Marugame Udon
Crew Member
Tips
Meal during shifts.

Hot-N-Juicy
$20 - $23 including
Crawfish
Food Server
Tips
Flexible Schedule, No experience necessary, Health Insurance.

Ice Cream
$20 - $25 including
Bacio di Latte
Scooper
Tips
Flexible Schedule.
$19 - $21 including
Blaze Pizza
Cashier
Tips
Flexible Schedule.
$19 - $21 including
Blaze Pizza
Food Prep
Tips
Flexible Schedule.

Jersey Mikes
Sandwich
$19 - $21 including
Subs
Maker
Tips
Flexible Schedule, Free Meals.

Tuition Reimbursement, Free Meals, Hotel Discounts for friends Hyatt Regency
Lifeguard
$18.00
and families, Flexible Schedule, 401k & Stock Purchase Plan Waterworks
Swim
Flexible Schedule, 401k, Medical & Dental Insurance, Meals Aquatics
Instructor
$17.00 - $19.25
provided.

Tuition Assistance up to $5,250/yr, Free Meals, Flexible Chipotle
Cook/Server
$16.50
Schedule, Medical/Dental/Vision Insurance.

Store
Flexible Schedule, Tuition Reimbursement, Profit-sharing, 401k In-N-Out
Associate
$17.00
matching, Dental/Health/Life/Vision Insurance, & Free Meals.

NB Lifeguard
Trainee
$15.00
None
NB Lifeguard
Cadet
$17.00
Rigid Scheduling, NB Parking Pass
NB Lifeguard
Lifeguard 1
$18.51
Rigid Scheduling, NB Parking Pass

A.N.B.O.L.

Association of Newport Beach Ocean Lifeguards
Attachment B
Ocean Lifeguard 1 - Hourly Starting Pay
City
Position
Starting Pay/hr
LA County
Lifeguard 1
$26.70
Long Beach
Lifeguard 1
$23.15
Laguna Beach
Lifeguard 1
$19.87
HB City
Lifeguard 1
$19.24
Newport Beach
Lifeguard 1
$18.51
San Clemente
Lifeguard 1
$18.24
Seal Beach
Lifeguard 1
$18.17

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