Last week, 5,000 Kids First Maryland/SEIU Local 500 child care providers voted by a margin of more than 30-to-1 to ratify their first contract. After 14 months of negotiations, providers won an increase in subsidy rates without an increase in parent co-pays; accountability for late payments from the state; and access to important decision-making bodies in the child care system.

"It's a historic moment. Providers who help raise and educate Maryland's most vulnerable children now have a seat at the table," explains Merle Cuttitta, President of SEIU Local 500, of the new contract that will cover providers who participate in the state subsidy program. Local 500 child care providers first voted to form a union with SEIU in September 2007 after they gained collective bargaining rights through an executive order signed by Gov. Martin O'Malley.

« Read a letter from the bargaining team & contract highlights.
« Learn more about SEIU Kids First

Five thousand family child care providers who participate in the state's child care subsidy program have settled a historic first contract with the Governor's Office and the Maryland State Department of Education (MSDE). Kids First Maryland/SEIU Local 500 child care providers voted by a margin of more than 30-to-1 to ratify their first contract. After 14 months of negotiations, providers won a nearly three-percent increase in the state subsidy, access to decision-making committees, and the creation of a new Training Committee of state officials and child care providers to recommend future improvements.

"Today the workers who help raise and educate Maryland's most vulnerable children have taken a significant step toward gaining a seat at the table, where they can advocate for themselves and the children in their care - this is a win for providers and families," said Merle Cuttitta, President of SEIU Local 500. The majority of parents receiving state subsidies for their children's care are single mothers entering the workforce or gaining an education through welfare-to-work programs. They are concentrated in Maryland's most underserved communities.

There remains much to be done to mend a system that for too long has pushed quality in-home child care providers out of business. The number of family child care homes in Maryland dropped by 26 percent between 1997 and 2007, due in part to staggeringly low subsidy rates and lack of provider access to affordable health insurance and other benefits. The contract creates additional avenues for addressing these issues, including the creation of a joint committee of state officials and union providers to further explore health care coverage options for family child care providers.

Still, provider-leaders are savoring the victory which they believe is a crucial milestone on their path to the professional respect and fair compensation that they deserve. "We hung in there; it's been more than four years. We're really teaching a great lesson to the children in our care: you work hard and stick with it, and you can accomplish anything," said Crystal Barksdale, Kids First Maryland leader and family child care provider in Baltimore County.

« Read a letter from the bargaining team & contract highlights.
« Learn more about SEIU Kids First

In recent Wal-Mart news, a really disturbing precedent: A Canadian court overturned the UFCW certification granted to Wal-Mart workers in December 2008, keeping alive a five-year-old battle between Wal-Mart and the union.

Workers in Saskatchewan, Canada first voted for union representation over four years ago, and Wal-Mart stalled and threw up every road block they could to keep the workers from getting a fair deal. And now, a Canadian judge has essentially ruled that because labor laws have changed since the Weyburn Wal-Mart workers legally won union representation, these workers are no longer represented by a union. According to the Saskatoon StarPhoenix, the UFCW applied for union certification in 2004 after a majority of workers in the proposed bargaining unit signed union cards. A vote by secret ballot was not required under labor laws in effect at that time. Changes to provincial labor law implemented in May 2008 now require a vote by secret ballot to certify a union--and Justice Peter Foley ruled this past week that the labor relations board erred in certifying the union at the Wayburn Wal-Mart.

Kevin Groh, a spokesman for Wal-Mart Canada, said workers now employed at the store "cheered" when they were told of the latest court ruling. This seems like an odd reaction, since Wal-Mart is not exactly known for offering generous salaries. Business Week reported in April, 2008, that Wal-Mart workers earn an average of $22,500 annually. According to the U.S. Census Bureau, the threshold of poverty in 2006 for a family of four was $21,200.

In this dismal economy, low-wage workers are struggling more than ever to make ends meet. If they had a union, these Wal-Mart employees would be able to negotiate better health benefits, working conditions, and wages above the poverty line. This issue also speaks to the greater problem of the long and arduous process workers are forced to endure to gain union representation and a first contract. Our current labor system for workers trying to form a union has proven its inability to defend workers' rights in a timely manner time and time again. Sadly enough, the 4+ years these Wal-Mart workers endured in their fight for a union is not uncommon. Two years after first voting to form a union, a whopping 37 percent of workers still have no contract.

What do you think of this ruling? Was the Canadian court's decision to overturn the UFCW certification justified?

Workers join together and unionize to improve their wages, benefits, and working conditions. Yet a full year after voting to form a union, 52 percent of new unions still haven't been able to secure any improvements because their employers have used delay tactics to avoid signing a first contract.

It stands to reason that if a majority of workers vote to form a union in their workplace, then a union they shall have! Yet the sad reality is that all too often, employers do not respect the outcomes of union elections. The current labor law is grossly slanted in favor of employers and anti-union corporations who engage in unproductive "bad faith bargaining" or delay tactics to keep workers from getting a fair deal. The resistance to collective bargaining has only gotten worse in recent years. Even in cases when workers do successfully win their union election, over half of of new unions still have no contract one full year later after they are certified because companies refuse to negotiate in good faith. And two years later, 37 percent of workers still have no contract.

Congress needs to stand up for the workers who deserve the chance to gain fair first contracts. As a new ad by American Rights at Work points out, any legislation to reform our current labor system must include an arbitration option to push management to complete negotiations in a fair, timely manner---and stop anti-union corporations from gaming the system.

This is the third ad in the series by ARAW making the case for arbitration as a critical part of the Employee Free Choice Act. The ad will run in Roll Call, The Hill, Politico and CQ. Read more about ARAW's ad campaign and view their first two ads here.

The "first contract arbitration" portion of the Employee Free Choice Act seeks to stop employers from using endless foot-dragging against workers who have voted for a union, but have yet to secure a contract. The legislation says that if employers and workers can't reach an agreement in a reasonable amount of time--120 days--either side can bring in a neutral, private-sector arbitrator to settle the dispute.

In March of this year, the Chamber of Commerce called Consumer Arbitration, "Fair, Inexpensive, and Unbiased."
Many corporations--like the Chamber-- are happy to support arbitration when it's in their best interest, and put arbitration provisions into 75 percent of consumer contracts.

But when it comes to creating a contract that works for workers, companies often refuse to negotiate a first agreement, or use stall tactics and gimmicks to delay the process for years. They praise arbitration when it favors them, but oppose it in settling first contracts--and will use any tactic they can to avoid paying their employees better wages and benefits.

Under the NLRA, 44 percent of new unions still don't have contracts two years after they are certified because companies refuse to even negotiate in good faith. Our current labor system for workers trying to form a union has proven its inability to defend workers' rights in a timely manner time and time again. Supporters of the freedom to form unions are fed up with delays that favor employees, and American Rights at Work has launched a campaign to point out the hypocrisy of Big Business on arbitration.

American Rights at Work launched their first print ad last week demonstrating how corporations are attacking the idea of arbitration when it involves their employees--while supporting arbitration in a variety of areas where it benefits them. Today, the second print ad in their series is out. Here's a preview of the ad that is running in Politico, CQ, Roll Call & The Hill:

Ad text:

Big Business is happy to support arbitration when it's in their best interest. But when it comes to negotiating contracts with their workers, Big Business would rather use delay tactics to avoid paying better wages and benefits. It's only fair that corporations agree to arbitration for workers who are trying to negotiate a first contract after forming a union. Arbitration is a key part of the Employee Free Choice Act that will let both sides reach a fair agreement.

Providers win first contract with higher state rates, new role in system and voice for quality care: 5,000 family care providers in Maryland won their first contract with the Department of Education and the Governor's Office yesterday. The historic contract includes a nearly three-percent increase in the state subsidy, access to decision-making committees, and the creation of a new Training Committee of state officials and child care providers to recommend future improvements.

"We hung in there; it's been more than four years. We're really teaching a great lesson to the children in our care: you work hard and stick with it, and you can accomplish anything," said Crystal Barksdale, Kids First Maryland leader and family child care provider in Baltimore County. More contract details on this contract victory for SEIU Local 500 child care providers.