Sep. 27--CHICAGO -- A Chicago City Council committee Wednesday advanced a resolution calling on the Daley administration to void a $31 million contract to provide airport security, despite an audit that found the company is paying workers at a rate above the minimum required by the city's living-wage ordinance.
City officials launched an investigation into Universal Security Inc. in July after an outcry from the Service Employees International Union, which represented workers at the company that previously held the contract.
Critics contend Universal Security is not meeting the city's minimum pay rate for large contractors, $10.33 an hour.
City auditor Robert Benson said at Wednesday's Finance Committee meeting that the company was in compliance with the living-wage ordinance, paying workers $10.50 an hour.
But aldermen disputed that claim, saying the company violated its city contract by including pay for benefits such as travel and uniform expenses in the base pay.
Barbara Lumpkin, the city's departing purchasing chief, warned the audit's findings could leave the city open to a lawsuit by the company if the contract is nixed.
To see more of the Chicago Tribune, or to subscribe to the newspaper, go to http://www.chicagotribune.com. Copyright (c) 2007, Chicago Tribune Distributed by McClatchy-Tribune Information Services. For reprints, email firstname.lastname@example.org, call 800-374-7985 or 847-635-6550, send a fax to 847-635-6968, or write to The Permissions Group Inc., 1247 Milwaukee Ave., Suite 303, Glenview, IL 60025, USA.
Chicago officials said Tuesday that they will investigate "credible" allegations that a company recently awarded a $31 million contract to provide airport security is paying its employees a base...
Studies show that airport-are hotel workers are paid 20 percent less than their downtown counterparts and that these hotels are among the city's busiest.
Philadelphia City Council in September unanimously approved a proposed City Charter change that would ask voters to extend the city's 'living wage' requirements to subcontractors on municipal jobs.
Baggage handlers, skycaps, wheelchair attendants, janitors, cabin cleaners, ramp workers, fuelers, passenger assistance reps, low-level security officers, checkpoint screeners earn only the state...