Chicago ordinance requires labor agreements at nonprofits
Summary and headline written by AI from the source article. How we work
In 2023, the Chicago City Council put the Human Service Workforce Advancement ordinance into effect, requiring city-funded human service organizations with 20 or more employees to enter labor peace agreements with unions.
The ordinance aimed to allow workers to unionize without fear of retaliation or disruption to public services.
These organizations, those contracting with the Chicago Department of Public Health and Department of Family and Support Services, must now notify the city if employees seek union representation and then negotiate a labor peace agreement within 90 days. The ordinance doesn’t require organizations to have a union if none exists or if they already have a collective bargaining agreement.
While public records show the requirement is now part of the city’s contracting process, appearing in recent Requests for Proposals, the city has not released data on how many organizations have actually signed labor peace agreements. Chicago Commons and Howard Brown Health both finalized union contracts, but these efforts began before the ordinance took effect. However, a $1.3 million settlement with Howard Brown resulted from unfair labor practice allegations, demonstrating that increased labor obligations can create financial pressure for nonprofits.
Three years after its passage, it remains unclear whether the ordinance directly caused changes in labor relations or simply reflects existing trends. The city needs more data to assess the ordinance’s impact on nonprofit workplaces and its associated costs.
