05-04-2021 Hazard PayCity of Federal Way Hazard Pay Ordinance
CITY OF
Federal Way
Federal Way City Council Regular Meeting
May 4th, 2021
Staff Report by: Steve McNey
04V OF
COVID 19 Emergency Declarations
February 29, 2020 - Governor Jay Inslee
March 9, 2020 - Mayor Jim Ferrell
March 11, 2020 - World Health Organization
March 13, 2020 -The President of the United States
04V OF
Relief Offered & Rollback
Throughout the COVID Pandemic, governments at all levels
have offered relief on everything from rental assistance,
medical assistance, assistance for businesses, enhanced
unemployment, PPE, and hazard pay.
Earlier today, Governor Inslee paused all WA phases, but
there is still potential for rollbacks in the coming weeks.
Findings
One of the principle methods of reducing spread of COVID-19 has been
to limit public gatherings and where possible require workers to perform
their duties at home.
During this pandemic, many workers who provide services deemed
essential to the continued functioning of society cannot do their jobs
remotely from home and have continued to work jobs that require contact
with the public outside of their homes resulting in increased personal risk
of exposure to COVID-19 for themselves and their families.
Findings cont...
According to the Brookings Metropolitan Policy Program, the United
States' top retail companies, including grocery businesses, have generated
record -breaking profits during the pandemic, with these profits at least in
part due to the efforts of grocery employees and other essential workers
working despite a lethal pandemic and an above -average risk of exposure
to COVID-19 in their workplace
Finding cont..
In a study conducted by researchers including Dr. Justin Yang, an
assistant professor at Boston University School of Medicine and
researcher at Harvard TH Chan School of Public Health, found that the
positive rate of infection among grocery employees was five times as
likely for those who interacted with customers than for those who did
not.
Currently paying their employees hazard pay:
Employees at Costco currently receive $2.00 an hour in hazard pay.
Trader Joes pays their grocery workers $4.00 an hour in hazard pay.
Association way
TRADER JOE"S°
Source: NW Grocery
7
Mayor's Plan
Apply to all stores with more than 2,500 square feet of retail space and that
have 25% or more of their floor space dedicated to selling grocery items (this
is meant to exclude convenience stores).
Stores between 2,500 and 10,000 square feet can apply to receive a grant
under the yet -to -be established "City of Federal Way Small Grocery Hazard
Pay Grant" program.
The hazard pay is set at $2.50 per hour
40 Any store already giving some amount of hazard pay is credited an offset for
that amount. (For example, if they are currently paying $2.00/hr they would
only need to increase by $.50/hr).
8
Mayor's Plan cont...
Employees are defined as non -executive employees being paid an hourly
wage with the exception of delivery truck drivers. (Salaried employees are
excluded).
Hazard pay will continue for a minimum of 90 days. Council will review the
situation on July 6 at the regular council meeting and take action to either
end hazard pay or extend it on August 10tn
9
Mayor's recommendation
Pass option one.
a7v OF
MOTU wa
10
Hazard Pay
Questions and Discussion
a7v OF
MOTU wa