Updates to Recall and
Retention Protections
January 27, 2026
Item 10-A
January 27, 2026
Item 10-A
January 27, 2026
Background
• July 8, 2025: Council gives direction that staff develop and return with right to recall and labor peace ordinances for full City Council consideration
• September 9, 2025: Council adopts Resolution identifying local fiscal distress due to the current financial condition of the City Item 10-A
January 27, 2026
Item 10-A
January 27, 2026
Background
• October 28, 2025: Council adopts the Santa Monica Realignment Plan, predicated around restoring safety, revitalizing key civic spaces, growing economic activity, rebuilding City organizational strength, and returning the City to fiscal balance
• December 16, 2025: Council discusses the City’s participation in various upcoming world-class events that will bring global audiences, cultural festivals, and hospitality activations to venues throughout the region
Item 10-A
January 27, 2026
Item 10-A
January 27, 2026
Background
• Against this backdrop, the City Manager’s Office and the City Attorney’s Office have spent time since mid-2025 consulting with the sponsors of the Council direction on recall and labor peace regulations • Through those conversations, the Council subcommittee identified a preference to strike a balanced approach focused on encouraging business activity and supporting worker rights
• That policy perspective led to a focus on advancing only Right of Recall and Retention regulations at this time • Protect the Santa Monica Pier, one of the City’s most valuable assets • Protect workers • Furthers the Realignment Plan by encouraging business activity • Reduces disruption during major events Item 10-A
January 27, 2026
Item 10-A
January 27, 2026
Proposed Scope of Additional Worker
Protections
1. Amend Santa Monica Municipal Code Chapter 4.66, Recall of Workers, to provide for recall of laid-off hotel workers on Cityowned property and hospitality workers on the Pier; and
2. Add Santa Monica Municipal Code Chapter 4.69, Retention of Workers, to provide for retention of hospitality workers at the Pier for a period of 90 days after a change in control of the business.
Item 10-A
January 27, 2026
Item 10-A
January 27, 2026
Current Protections for Pier Workers
Chapter 4.66, Recall of Workers
• Adopted in response to economic conditions following September 11, 2001
• Requires employers to first rehire workers that were previously laid off for economic reasons
• Applies to workers within the Coastal Zone and “extended” Downtown core, if the employer had gross receipts of at least $5 million in the year 2000
Item 10-A
January 27, 2026
Item 10-A
January 27, 2026
Current Protections for Pier Workers
Labor Peace Language in Pier Leasing Guidelines
• Existing City guidelines require that new or substantially amended leases include provisions to ensure that Pier tenants will not engage in practices that impede employees’ ability to organize and contract with a labor organization for the purpose of collective bargaining • Of note, existing Labor Peace Provisions in the City’s Leasing Guidelines will not be updated or amended
Item 10-A
January 27, 2026
Item 10-A
January 27, 2026
Current Protections for Hotel Workers
Chapter 4.67, Hotel Worker Protections
• The City also has existing regulations in place to protect hotel workers • Current provisions require retention protections for hotel workers in the City for a period of 90 days following a change in control of the hotel operator
Item 10-A
January 27, 2026
Item 10-A
January 27, 2026
Updates to Chapter 4.66, Recall of Workers
• Through the work of the subcommittee, existing recall regulations in the City’s municipal code would remain in place
• Updates being proposed tonight would apply to operators of:
1) Hotels on City-owned property; and
2) Hospitality businesses on the Pier with five or more workers Item 10-A
January 27, 2026
Item 10-A
January 27, 2026
Updates to Chapter 4.66, Recall of Workers
• If adopted, the proposed worker recall rules would require operators to offer positions that become available after the effective date of the Ordinance to laid off workers who: • Performed at least two hours of work within the geographical boundaries of the City for an employer in a particular week; • Were employed by an employer for six months or more; and • Had a separation date after September 9, 2025, that was due to lack of business, a reduction in force or other economic, non-disciplinary reason.
Item 10-A
January 27, 2026
Item 10-A
January 27, 2026
Addition of Chapter 4.69, Retention of
Workers
• Proposed worker retention regulations would keep existing rules in place for current hotel workers, while expanding those protections as follows: • Requires the retention of workers at hospitality businesses on the Pier with 5 or more workers for a period of 90 days after a change in control of the business • Provides for noticing to workers of the change in control, that offers of employment be made in writing, and that workers shall receive a performance evaluation after the 90-day retention period
Item 10-A
January 27, 2026
Item 10-A
January 27, 2026
Potential Clarifications and Changes
Item 10-A
January 27, 2026
Item 10-A
January 27, 2026
Potential Clarifications and Changes
Item 10-A
January 27, 2026
Item 10-A
January 27, 2026
Potential Clarifications and Changes
Item 10-A
January 27, 2026
Item 10-A
January 27, 2026
Potential Clarifications and Changes
Item 10-A
January 27, 2026
Item 10-A
January 27, 2026
Potential Clarifications and Changes
Item 10-A
January 27, 2026
Item 10-A
January 27, 2026
Potential Clarifications and Changes
Item 10-A
January 27, 2026
Item 10-A
January 27, 2026