Impact of S.F. ‘living wage’ plan uncertain, Jewish agencies say

Friday, May 7, 1999 | by

JOSHUA SCHUSTER

The two Jewish agencies involved in or considering contracts with the city of San Francisco say a proposed "living wage" of $11 an hour won't mean cuts in their services.

But too many questions remain before the agencies—S.F.-based Jewish Family and Children's Services and Jewish Vocational Services—can take a pro or con stance on the issue.

Supervisor Tom Ammiano proposed on Monday to the Board of Supervisors that a living wage be established for all workers under city contracts. That pay standard would affect businesses and nonprofit agencies providing social services for the city.

The wage hike—which will be debated for several months by the board—would cost at least $15 million and could total as much as $100 million. It's not clear who would foot the bill.

JFCS has no contracts with the city but is currently considering a city proposal valued at several hundred thousand dollars.

Anita Friedman, JFCS' executive director, said the minimum wage proposal could jeopardize the contract.

JFCS already pays workers at or near the proposed $11 minimum wage, but Friedman said that the city standard would likely come with too many strings attached.

"We are afraid the government would have too much control over our budget," she said.

She noted that other nonprofit agencies with city contracts have had difficulties with government officials prying into how the agency is run and injecting politics into how the money is allocated.

Friedman added that the impact of the proposed legislation currently isn't clear since it does not specify whether it affects all workers of the agency or only those doing contract work. Approximately one-third of the city's contract work might have to be cut to meet the wage standard, Friedman said.

"We are in favor of the concept of a living wage, but we don't want the government to control the way we do our work."

Jewish Vocational Services, which has a city contract, already meets the proposed minimum wage for all its employees.

Abby Snay, JVS director, said she'd like to champion the minimum wage since the agency's goal is to help people get jobs with self-sufficient pay.

However, Snay said, she needs "to know more about how the pay hike will affect the general community and the nonprofit sector" before she can definitively support the new wages.

Ann Lazarus, CEO of Mount Zion Health Systems and co-chair of the San Francisco human services task force, has been following the wage issue closely.

She said health programs would have to be cut heavily unless the city puts up the money for the pay increase.

"We're trying to deliver vital health and human services. If the city requires us to pay a wage we can't afford, then where is the money going to come from?" Lazarus said. "The issue is how do we do it, and until that question is answered, we can't be supportive."

Gia Daniller, legal affairs director at the Jewish Community Relations Council, plans to work with the two Jewish agencies to help them present their positions to the city government.

"The proposal might turn out to have a negative effect on agencies that provide valuable services," Daniller said. "We don't want to have services cut."