July 31, 2007
Congress Strikes Back
One of Chicago's newest aldermen, Bob Fioretti (2nd) is taking heat from one of the city's older hotels. The 14-story Congress Plaza Hotel, designed and built to accommodate visitors to the World's Columbian Exposition in 1893, has been embroiled in a strike with UNITE HERE Local 1 since June 2003. According to Crain's Chicago Business, the hotel, owned by Albert Nasser Shayo, a Syrian globe-trotting businessman with residences in New York, Argentina, and Switzerland, who also owns a Philippines sweatshop that produces ladies undergarments for K-Mart and Wal-Mart, is suing Fioretti for blocking a building permit to add a four-story addition, including a pool, restaurant and health club.
After a contentious race which saw several spoilers and an eventual runoff, Fioretti allegedly told Congress President Shlomo Nahmias that “he would not issue or approve any permits” until the stike is settled. According to the suit, former alderman Madeline Haithcock had agreed to support the expansion. UNITE HERE did not back a candidate in the first round of voting in the Second Ward, but it's political action committee did run a series of mailers and pickets opposing her re-election. In the run-off, Fioretti was supported by the labor movement, including Local 1. The Congress Hotel is charging that Fioretti is violating federal labor laws by holding up the permit for expansion. A spokeswoman for Fioretti agreed that he is blocking the permit, but suggested that it was due to repeated building code violations. The suit filed by the hotel quotes Fioretti as saying that blocking the permit was a promise that he had made to the union before he was elected.
When a union goes on strike for four years, one has to wonder about the sanity of both the leaders and the membership. In this case, however, we have to side with the workers. The dishwashers, housekeepers, doormen, and waiters are grossly underpaid - members of a union that was recently cleaned up by federal intervention (by a national government that doesn't really take a shine to workers' rights). The union won a significant pay raise from all the other hotels in the area - including such boutique hotels as Allegro and Hotel 71, and placed striking workers from the Congress in better paying jobs elsewhere around the city. The owners of the Congress are crying poverty; claiming that they can't afford to pay what the other hotels are paying (including Ohio House). Don't believe the hype. The main ownership has been in charge since 1987, and in spite of a 1995 bankruptcy decision, they obviously think that owning the Congress is worthwhile. Perhaps if the owners of this property actually gave a damn about the historical significance and the location of their hotel, they might be able to contribute something to our city. Instead they choose to sit on a prime piece of real estate (overlooking glorious Grant Park) and perpetuate a pissing match with Chicago residents.
image via patrick dentler
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That place needs to be shut down.
If workers from the Congress were placed in better jobs around the city over four years ago through the union; why are there workers striking there now?? I've alway's wondered who these workers are, I always see about 2-4 workers on strike just sitting around with signs by their feet.
After 4 years don't you think you'd cut your losses and move on? The hotel has obviously been functioning without you. Especially with the economic times we've seen; both bad and good since this strike, I would just be thankfull I had a job. And if this in fact was offered to you over 4 years ago, you'll have trouble garnishing a sympathy vote from anyone.
Why cut losses when you can use the coercive power of the state to achieve what you failed to get at the bargaining table?
"In this case, however, we have to side with the workers."
In this case? Has there been a case where you didn't side with the workers?
Not trying to be a smart ass, but actually ask an honest question.
I think I'm with #2 on this one. Move on and get better jobs already.
Fish, I disagree. If all these other hotels in Chicago can afford to pay a decent wage, including a modest place like Ohio House, The Congress can too. It must be doing pretty well if it can get financial backing for an expansion. If it either can't or won't come up with a business model that includes treating the people that run the place decently, then they deserve to be shamed by protesters and negative media attention. The Congress' workers are doing the same dirty work as all the other hotels workers in Chicago so they should be paid a comparable wage to those other workers.
My understanding is that picket lines often aren't entirely made up of actual workers for the business being picketed. The union will ask its membership to picket on their day off, paying the volunteers a stipend and providing lunch.
Should the strike ever be resolved, the workers will undoubtedly be offered the chance to get their job back, and current and future workers will have to join the union.
That said, the Congress is an embarrassment. I hear that it's pretty much one step removed from a flophouse - dirty, poorly maintained, etc. I don't get how the owner makes money off of it. Who would stay there? Maybe it does lose money and the owner uses it as a tax write off (while sitting on a very valuable piece of land)?
And if a shitbag hotel like the Ohio House can pay its workers the union wage, the Congress can. Pay the workers and renovate the Hotel. It could be every bit as great a place as the Michigan Avenue Hilton or the Palmer House.
".....Pay the workers and renovate the Hotel. It could be every bit as great a place as the Michigan Avenue Hilton or the Palmer House..."
The Congress Plaza Hotel will get renovated as soon as the workers stop their ill-conceived strike. They have not been successful and that is a known consequence of choosing to strike. The ability of the Congress to operate a hotel without being extorted will actually help future workers at the hotel and help the local economy, thus helping the many business that serve the hotel. Their actions, and not those of the Congress owners, is hurting Michigan Avenue.
On another note, the move by Fioretti is disturbing because of his "I won't be bought by developers" stance. Let's see. He won't be bought by developers but he will be bought by unions.
#4: While I am generally inclined to support workers and unions, there have been cases where I thought the union was making a mistake. The UAW at Caterpillar, Paperworkers at Staley. I'm also pretty unsympathetic toward the craft workers in the city and the county.
There hasn't been much on the labor side that I've disagreed with that has been worth writing about. But during the election and aldermanic runoffs, I wrote about the racism in the craft unions in the context of the 2nd, 3rd, and 16th Ward aldermen.
I did a short stint (1 gig at the Shedd) working for Food Team, a catering staffing company. In the training, the manager of the Chicago office went on and on about how they are the exclusive staffing agency for the Congress Hotel. Working for food team, you will make about $10/hr. with no benefits. Many of the people I worked with had families to take care of, and we all know that $10/hr won't go very far to that end. I guess they could always get another job, but for most of them it is already a second job.
I also know that the Congress Hotel must have a pretty good income stream from weddings. I believe the minimum for having a wedding reception there is $25k.
It does seem a little silly for people to be picketing for 4 years, especially when their presence seems so weak and half-assed, but I'm on the side of the workers. Businesses should be held accountable for how they treat their workers, especially when they basically constantly hire temp workers -- that way there is no loss when one of them gets sick or gets hit by a bus.
Ah, our regular dose of union propaganda from Kevin Robinson.
Ward Up: "The Congress Plaza Hotel will get renovated as soon as the workers stop their ill-conceived strike..."
I'm sorry, but I have to call bullshite on that one. First of all, they've had 20 years to do "renovations." The place has seen city code violations like you wouldn't believe - http://www.columbiachronicle.com/back/2004_spring/2004-01-05/citybeat2.html to name a few. Plus - have you ever stayed there? Frankly, it's not being held up to the standards it should be or deserves to be, when considering it's significance and location. The place should be sold and remade, before it becomes like the Blackstone was for so many years.
I have read the article regarding the Congress Hotel and find that most of the statements made by indivuals are very union biased. As former Chicago residents now living in Florida. We visit Chicago and our friends every summer. We have always considered the Congress Hotel as our home away from home. We've been staying at the Congress Hotel before the strike and now during the strike. We find an enormous improvement in the operation and service of this beautiful Hotel. It has been constantly renovated. Our room has always been clean, well equipped with everything we may need during our stay. We have in the past recommened the Congress to all our friends who have stayed here and they have experienced the same satisfaction as we have. We will continue to come back with our friends at this top notch hotel. Keep up the good works Congress Plaza Hotel. We commend you and all your staff.
OK, #12 must work for the hotel. Go to orbitz or expedia to read unbiased reviews. This place is a dump. A friend of mine once got a room there via hotwire. When she saw the condition of the room, she called hotwire to cancel. They said that happens all the time.
I have stayed at the Congress Hotel on many different occassions. I am not familiar to the unhappy opinions of this hotel, since each time I have stayed there I felt very much at home! The people are pleasant, the service was always sincere and personal, and the improvements over the years in the hotel have always been improving. The only complaint I have is when I go outside, it is very annoying to see these union workers striking making fools of themselves and selfishly looking out for their best interests and never caring about how unpleasant it is for the people paying to stay there!
I work at the Congress Plaza Hotel, I enjoy working here, that's the way I support my family. There are over 350 families being supported by the Congress Plaza Hotel. What about us? We work hard every day and we get great compliments from our guests for the work we do here. This is a great hotel to work for, and getting better every day. Thank You
I hope this gets your attention Alderman.
I don't see how the alderman holding up the improvements in the hotel will do anyone any good. An improved product can command higher rates and give the ownners the ability to get more revenue, which in turn can help them pay hirer wages and more taxes to the city. In addition to that, improvements will give more jobs to the people doing the renovation work.
There are 30 some union hotels downtown. If someone wants to work at a union house, the opportunity is there.
I have worked for the Congress for almost a year, and I look forward to my future here. It is rich in history and has enormous potential... if only those in positions to do so (like Alderman Fioretti) would allow us to move ahead with this. I feel that we are making great strides in order to overcome our adversities in recent years, and it's a shame that there are those out there who want to undermine our efforts (and our RIGHT) to improve ourselves with pettiness.
My job at the Congress ensures I have a roof over my head, clothes on my back, and food on the table. It provides me with affordable insurance, and the opportunity to grow professionally. Alderman Fioretti needs to recognize that he should help us in our efforts... it in not only good for our hotel but good for the City of Chicago.
Being elected to the position he is, he should be interested in how to improve businesses in Chicago, not winning some popularity contest with the Union.
I've worked for the Congress for many years and have always found it to be a warm and welcoming home. The management is fair and does care about their employees. Without this job I would not be able to support my family.
Alderman Fioretti should allow the management to make additional improvements as this is a great landmark for the City of Chicago and will be a great home for future guests for many years to come.
I think the union is living in a dream. The Congress Plaza Hotel is not a chain like Hilton or Hyatt that can afford the $13 per hour that the union is demanding. It is a 2 star hotel, and a damn good one at that. The current wages at the Congress Plaza are $9 per hour which is 10% above the national average for hotel workers and 5% above the average of the Chicago area. If you are so enraged with its current star rating, feel free to cough up the billions needed to buy it and renovate it. I am sure Nasser wouldn't mind.
First of all, a word to the Sun Times - the vast majority of people striking are not unfortunate former employees; they're well paid, by the union, to perform as ex employees.
Secondly, I've been employed at the Front Office of the Congess Plaza Hotel for 15 months and I receive and have documented proof that we get a tremendous amount of compliments about our hotel and staff. Never, in my adult life, have I worked at a Chicago Hotel Property and have heard so many heart felt, great comments, from Guests.
Lastly, my cohorts are wonderful and I feel like a part of a large happy family. That's why employees stay employed here, many cohorts have been here between ten and 20 years!
For location, quality care and price, book a room at the Chicago Congress Plaza.
Since the first time I visited the hotel back in 1997 I am very impressed by seeing the great improvements over the years. The rooms are beautiful and the service is exceptional. The price is very reasonable. I'm looking forward to my next trip to Chicago to stay at the Congress Plaza.
I am currently working at the Congress Hotel and it's a wonderful addition on Michigan Avenue. We have a large european clientle who can appreciate the service and beauty the hotel has to offer. As with all businesses there will be issues so allow us time to correct some wrongs and allow us to expand so that we can offer the city and our guest even more of an enjoyable stay and/or dining experience. As always politics play a role in everything. This just shows the ignorance of the current Alderman. They can be bought and sold for a mere dollar.
In blocking the expansion of the Congress, Alderman Fioretti plays politics to appease a self absorbed local at the expense of the larger community. More, not less, jobs are needed. More, not less, Chicago visitors produce more, not less, local income. The expension would bring both. Fioretti should get out of the way and let the permits issue. Strikers on strike for 4 years should not block people who need work form jobs now
Ok, all of these comments have got to be coming from the hotel. I mean really, what are the chances of this many emplopyees reading Chicagoist and commenting? And not one had anything bad to say.