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To request that the Chief Administrative Officer cause to be conducted a study of the fiscal, operational, and other considerations associated with requiring janitorial and security contractors under contract to provide services to the City to pay the City’s minimum wage, currently $20.00 per hour, to their employees who are performing work under City contracts, and to provide the Council with any recommendations for implementing such a requirement by no later than Nov. 1, 2025.
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WHEREAS, as of January 1, 2025, the City’s minimum wage for all City employees was increased to $20.00 per hour, one of the highest in the Commonwealth and well-above the state’s minimum wage of $12.41 per hour; and
WHEREAS, some City services are provided by third-party contractors through contracts awarded by the City through Chapter 21 of the Code of the City of Richmond (2020), as amended, including contractors performing janitorial and security services in City facilities; and
WHEREAS, a requirement that janitorial and security services contractors under contract to provide services to the City must pay the City’s minimum wage to their employees who are performing services under those City contracts could increase costs for said services, may require the City to renegotiate its service contracts, and may have other fiscal or operational implications; and
WHEREAS, the City Council believes it is in the City’s best interest that janitorial and security services contractors performing services for the City fairly compensate their employees who perform work under those City contracts, and that there should be an analysis conducted of how best to achieve this goal;
NOW, THEREFORE,
BE IT RESOLVED BY THE COUNCIL OF THE CITY OF RICHMOND:
That the Council requests that the Chief Administrative Officer cause to be conducted a study of the fiscal, operational, and related considerations associated with requiring janitorial and security contractors under contract to provide services to the City to pay the City’s minimum wage, currently $20.00 per hour, to their employees who are performing services under those City contracts, and to provide the Council with any recommendations for implementing such a requirement including:
1. Consideration of the fiscal impacts of requiring janitorial and security contractors under contract to provide services to the City to pay the City’s minimum wage to their employees who are performing services under those City contracts;
2. Consideration of the operational or other concerns related to implementing such a requirement in existing agreements with janitorial and security contractors under contract with the City to provide services at City facilities;
3. Consideration of fiscal, operational, or other impacts of bringing janitorial and security services for City facilities “in house,” to be performed by City employees in the future; and
4. A proposal for implementing, as soon as possible, the requirement that janitorial and security contractors under contract to provide services to the City must pay the City’s minimum wage to their employees who are performing services under those City contracts.
BE IT FURTHER RESOLVED:
That the Chief Administration Officer is hereby requested to submit a report on the results of this study to the Council by no later than November 1, 2025.