PHILADELPHIA (KYW Newsradio) — Philadelphia City Council is poised to vote on a bill that would set minimum wages and benefits for airport workers.
But, a group of minority concession operators says it could put them out of business, as it would add millions of dollars in costs to businesses struggling to recover from the pandemic.
“We’re upset. We want him to understand the impact it’s going to have on minority businesses,” said Erin Zwiercan, who runs Jack Duggan’s, the corner pub at Philadelphia International Airport. She didn’t know about the bill until it had passed through committee.
Neither she nor others in the Airport Concession Disadvantaged Business Enterprise (ACDBE) program were invited to testify, and she thinks there are things members did not consider.
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“The airport is still in recovery mode,” Zwiercan said. “The experts are telling us we may remain in this mode for three to five years. There’s no way we could survive. It’s just too much too fast.”
The bill would raise hourly pay to $15.05 and require a $4.54-an-hour wage supplement for health care costs.
Concessionaire Jill Dresnin said she offers health insurance, including a plan with no worker premium, and most of her employees opt out.
“That’s where the impact is really coming from,” Dresnin said, noting it makes the minimum wage nearly $20 an hour — higher than the minimum for city workers or those who work for city contractors (the airport is run through the Division of Aviation).
Dresnin and half a dozen other ACDBE concessionaires said they could not sustain wages that high.
“You’re going to eliminate all of the small operators, or the ACDBE operators, out of this program,” said coffee shop operator Irfan Mandani.
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Retailer Jude Nix said that sort of policy should be undertaken more slowly and carefully.
“Let’s do an impact study. Let’s understand the true implications of putting this forward,” Nix suggested. “These are our people. We’re shoulder to shoulder working with them every day, so we certainly want to see and do as much as we possibly can for those folks.”
Councilmember Kenyatta Johnson said workers are his top priority, but he is willing to work with business owners.
“We know the economy is going to rebound, and so we’ll work around a plan that supports those who worked and sacrificed during the pandemic,” said Johnson. “I’m confident we can have a win-win for everybody.”
The bill is on council’s passage calendar this week, though it may not be voted on.