Will Oracle Allow Equal Access?

From: Worklife Education Resource Center <worklife_at_igc.apc.org>
Date: 06 Jul 93 19:53 PDT
Message-ID: <1607100009_at_igc.apc.org>


From: Worklife Education Resource Center <worklife> Subject: Will Oracle Allow Equal Access?

Open Letter to: Philip Wilson, Senior Vice President Human Resources, Oracle Corporation 500 Oracle Parkway, Redwood Shores, CA 94065

From: Jon Barton, Coordinator of Organizing, Justice for Janitors c/o SEIU Local 1877, 186 E. Gish Rd, San Jose, CA 95112

June 29, 1993

Dear Mr. Wilson,

Members of Justice for Janitors have received copies of your memo dated 6/10/93 denying the allegations of abuses suffered by the janitors working for Service by Medallion at Oracle. We feel it is important that we have an equal opportunity to respond.

We understand that this memo was circulated on e-mail, via "sendmail" to all employees at Oracle. At the moment, Justice for Janitors has no means of establishing similar communication with all of Oracle's employees. As a result, many have been exposed only to one side of this discussion. This is clearly an imbalanced flow of information.

We believe this imbalance is inherently prejudicial and unfair. In the interests of fairness, we believe that Oracle employees should have equal access to both sides of this debate. Otherwise, it would be impossible for them to make fully informed decisions or sound judgements regarding the janitors' situation at Oracle.

It is clear that Oracle has gone to some effort to investigate and disseminate Medallion's position that everything is fine and there have never been any problems - although these denials of abuse have not been substantiated. By contrast, it is striking that Oracle has not extended any effort whatsoever to investigate or disseminate the janitors' position. We would like to rectify these imbalances.

Attached, you will find three documents: a detailed response to your June 3rd memo, substantiating the janitors' allegations of abuse; one janitor's personal testimony of the working conditions he faced working for Medallion at the Oracle buildings; and the original article from CPSR's newsletter.

We request that you circulate this letter and all three attachments to all of Oracle's employees, via "sendmail" or an analagous mechanism. We specifically request that you circulate the article to which you responded in your memo, as not all Oracle employees received this article, and may not have read the original allegations. A cc to "worklife_at_igc.apc.org" with headers and footers intact would be sufficient documentation to verify full circulation.

Given Oracle's stated concern over the seriousness of these matters, I hope that we find you supportive of this request for a full, open dialogue. However, should you refuse this request, we would appreciate a full and immediate explanation of your position.

Sincerely,

Jon Barton Coordinator of Organizing

cc: James Abrahamson, Co-Chairman, Board of Directors

               Robert Shaver, Vice President of Administration

               Computer Professionals for Social Responsibility

               Public Networks: WELL, LaborNet, PeaceNet, Activ-l

Attachment # 1:

ORACLE MAKES $1.2 BILLION - JANITORS LIVE IN POVERTY The janitors who clean the Oracle Systems headquarters work for janitorial contractor Service by Medallion. Many workers at Medallion make less than $11,000/year BEFORE TAXES. Yet San Mateo county is one of the most expensive places to live in the country.

Health insurance for a single mother with two children costs over $3,200/year at Medallion, as Oracle learned in their own recent investigation of the contractor. Most janitors take their chances and use the public hospitals when they, or their children are sick. Isn't it ironic that people who work in the buildings of one of Silicon Valley's most successful companies are forced to use county hospitals, draining county resources in a time of severe budget shortfalls?

Janitors a few miles north in San Francisco ear almost twice as much per hour and receive full health benefits for themselves and their families.

LAWLESSNESS AT ORACLE?

WHY IS ORACLE DEFENDING SERVICE BY MEDALLION? On the week of June 7th, Oracle's Human Resource Department circulated a memo in which they expressed concern over the janitors' situation. The memo then distorted the allegations of abuse under Service by Medallion, and characterized them as "misleading" and untruthful; denied receipt of the janitors' petitions; and reassured that "the treatment extended by Medallion to its staff is fair, equitable, and respectful."

While it is nice to see Oracle's concern, it is strange to see Oracle defending a contractor with so many problems. Many other high tech companies in Silicon Valley use contractors that have no legal problems, provide living wages and affordable benefits, and respect their workers.

SUPPORT JUSTICE FOR JANITORS
Ask Oracle why they support a company like Service by Medallion.

Write to:

Chairman James Abrahamson: jabraham_at_oracle.com

Oracle Corporation World Headquarters

500 Oracle Parkway, Redwood Shores, CA 94402

(415) 506-2106

Justice for Janitors - c/o SEIU Local 1877

186 E. Gish Rd, San Jose, CA 95112

(408) 452-8515 worklife_at_igc.apc.org


Attachment #2

***Personal Testimony - Mario Rivera - June 23rd,1993***

My name is Mario Rivera. I worked as a janitor for Service by Medallion cleaning the Oracle buildings for three years. I am not afraid to tell my story only because I no longer work for Medallion.

I worked in Oracle Building 500 cleaning the second floor and the kitchen.

I earned $5.00/hour. In nearly three years, I didn't receive a single raise. Finally, around November of 1992, I got a raise to $5.50.

I began work every night at 8:00 pm, and most days I didn't leave until 5:00 or 5:30 in the morning. Sundays were worse; we started at 7:00 am and we didn't leave until 5:30 or 6:00 pm. Sometimes we didn't leave until 7:00 pm.

Even so, I was only paid for 8 hours a day. I was never paid overtime. I was told I had to finish my area, no matter how long it took. I was afraid I would lose my job if I didn't stay to finish. They always wanted the work done well.

I live in San Jose with my wife and four children. We came to the U.S. in 1989 because I wanted my children to be able to go to school, to be able to improve themselves. My son is just finishing high school now. He wants to go to college. He wants to study computers or engineering, but we don't know if he'll be able to do it; college is very expensive.

We live in a house with three bedrooms. Now there are almost 20 people living there because the rent is so high. Sometimes there have been up to 30 people living there. Can you imagine the line for the bathroom?

When I worked at Medallion, I didn't have any health insurance. It was too expensive. I made so little money that we qualified for Medi-Cal, so I got that instead.

They always treated us badly at Medallion. They made us bring the dirty towels and rags to our own homes to wash them. They told us we couldn't even heat our food in the microwaves, that we had to eat our food cold. They told us that we couldn't eat inside, that we should go ouside in the parking lot to eat.

I hope that people who work for Oracle will realize what it is like for the janitors there, because it is the people who work there who can make a difference for us. Martha Aragon, the property manager, has to respond to Oracle and what the people at Oracle want.


Attachment #3:

SILICON VALLEY: A DIVIDED WORKFORCE Silicon Valley's high-tech industry is known worldwide as a mecca for skilled programmers, engineers, and technicians. It is an industry that leads the world in innovation, creativity, and constant improvement. Silicon Valley is a model of joint ventures between the private and public sectors, an experiment in high skills and high wages. Clinton has called Silicon Valley the future of America.

Silicon Valley has another side, however. This side is ugly and exploitative. It is a side that is barely known, even by those who work in the world of high-tech. It is the world of the low-wage immigrant worker.

THE INVISIBLE WORKFORCE Although the Valley's success is visible to the world, the janitors who come at night to clean the Valleys' gleaming towers are nearly invisible. These janitors are not directly employed by the high tech companies, but rather by cleaning service contractors, which are even less visible than the workers themselves. The workers suffer for this invisibility. Abuses that go unseen go unchallenged.

Skilled workers in the computer industry, like programmers and engineers, can expect salaries ranging from $40,000 to $100,000, with generous benefits. They can expect paid vacations, flexible hours, and room for advancement. The average, non-unionized janitor working in the computer industry can expect a wage of $11,000 per year for full time work, with no affordable health benefits. In some cases, janitors have reported paying as much as $500/month for family health benefits. Anyone who has tried to raise a family in the Bay Area on a programmer's pay can imagine what these sub-poverty wages mean for working parents.

To make rent payments and care for their families, janitors often take second and even third jobs. Some still have to collect food stamps to make ends meet. Without health benefits, janitors are often forced to rely on public clinics and emergency rooms when their children are sick or hurt. Those who ask for raises, or complain about health and safety, or try to organize are routinely fired.

At this moment, the Oracle Corporation in Redwood Shores offers a stark example of this divided workforce. Oracle is not an unusual case, although the extremes are shocking. The conditions at Oracle are representative of the conditions that janitors face throughout the high tech industry.

THE ORACLE CORPORATION Oracle is a $1.2 billion company. It is the world largest and fastest growing producer of database software.* Last fall, Oracle posted $10 million in profits.** Their president posted a $279 million gain in his Oracle shareholdings last Christmas.*** In recent years, Oracle has doubled its revenues every twelve months.*

Oracle has a reputation in the Valley for treating its employees well. Salaries are high and benefits are plush. Oracle has its own travel agency, cafe, and catering services. The company health club includes a gymnasium, aerobics rooms, Nautilus and free-weight rooms, a swimming pool, and even a volleyball court. Oracle employees are entertained with New Games, stilt-walking events, and outdoor buffets.****

Oracle also has a reputation for progressive thinking, and has reason to be proud of many of its policies. Oracle employees volunteer to serve the poor and homeless in food kitchens. They deliver meals to homebound people with AIDS. They go on environmental clean-ups in Marin. They sponsor competitions to raise money for local food banks, and volunteer at neighborhood schools throughout the Bay Area. Oracle is also concerned about recycling. Oracle works hard to create the image of a social conscience when it comes to poverty, homelessness, AIDS, education, and the environment.****

However, Oracle appears to draw the line on its concern for fairness and social justice when it comes to the low income and immigrant workers who come to clean their offices each night. Janitors at Oracle have sent petitions to, and tried to meet with, the facilities managers to request fair treatment, a living wage, and respect for their legal rights. Not only has Oracle ignored these requests, but the janitors report that they have been subjected to repeated threats and intimidation from their supervisors for daring to speak out. Several say they have been told outright that they will be fired if they attempt to organize.

The janitors do not work for Oracle. They work for a janitorial contrator called Service by Medallion. Service by Medallion is currently under investigation by the US Department of Labor for violating Federal laws on overtime, child labor, and minimum wage. The National Labor Relations Board recently found evidence that Medallion has illegally interrogated employees who tried to organize against abuses.

A GLITTERING SWEATSHOP The glass towers of Silicon Valley can be seen from miles around. Inside these towers, for as little as $40 a night, janitors clean the equivalent of a single family home every twenty minutes. In the janitorial industry, the grueling pace and powerful cleaning compounds make back injuries, chemical burns, and other hazards part of the nightly routine. Building services is an industry designed for abuse. Wage and hour, health and safety, and child labor laws are frequently ignored to meet productivity goals. Sexual harassment is not uncommon for the many women janitors who work alone at night, and who speak little or no English. Those who protest are routinely threatened or fired.

PASSING THE BUCK In building services, tenants wash their hands of responsibility for the workers, who are employed by a contractor. The contractors in turn blame the landlords for the low-bid system that they say forces them to pay poverty wages, while workers regularly report violations of wage and hour laws, and health and safety regulations. The landlord then points the finger at the tenant for not allowing rent increases, and around and around it goes. While landlords, tenants, and contractors pass the buck, the janitors suffer the consequences.

THE LOW BID SYSTEM: EXPLOITATION JUSTIFIED? Janitorial contractors like Service by Medallion fight to survive under fierce competition, and continuously underbid each other to win contracts. Since it is a labor-intensive industry, competition means cutting wages and benefits, speeding up the work, and cutting corners on health and safety. Janitors frequently report that their employers don't even supply gloves, even though janitors work with caustic cleaning compounds every night.

JUSTICE DENIED? Building owners claim they can't afford more for janitors' wages and benefits - that raising rents will drive tenants out. This is truly a case of crying wolf. Tenants don't flee buildings when janitors' are paid a living wage because janitors' wages represent only a fraction of the five cents of each rental dollar that goes towards cleaning services, a cost which landlords already pass through to tenants in the form of "leasing services." Most often, the increases that janitors fight for represent no more than a penny of each dollar of rent passed between million dollar companies.

WHAT WOULD IT COST? According to a 1992 industry survey of commercial real estate in San Mateo County, average office space rents for $1.45/square foot/month. Janitors' payroll is 5% of rent or $0.07/square foot/month.***** For an extra penny and a half, janitors could have health benefits and live at the poverty line instead of below it. As a cash figure, this penny and a half would add up to about $90,000 per year to improve conditions for Oracle's janitors. This figure is about 0.0075% of Oracle's $1.2 billion in annual revenues. That is 3/4 of 1/100th of 1% of Oracle's revenues. It is very difficult to understand why any company that publicly professes such concern for its own employees and the surrounding community wouldn't spare these tiny crumbs so that janitors and their families could live.

CHALLENGE THE ABUSE! SUPPORT JUSTICE FOR JANITORS! Right now, janitors at Oracle are organizing to protest the horrible conditions they face every night. They are part of a larger organizing campaign in Silicon Valley and the San Mateo Peninsula led by the Justice for Janitors union, Service Employees Local 1877. In this campaign, low-wage, immigrant workers struggle against the inequities in the high tech industry. The campaign is driven by coalitions of human rights groups, community-based organizations, churches, and unions. Its focus is to make these invisible members of our community visible and to create the base of support that they need to organize and win justice in their workplaces.

WHY ORACLE? WHY NOW? The janitors who clean Oracle's buildings occupy a key position in the campaign; their fate will have a broad impact on other low-wage immigrant workers in Silicon Valley. Service by Medallion is the largest non-union contractor on the Peninsula, and Oracle is one of their largest accounts. Service by Medallion's competitor has just gone union. However, so long as Service by Medallion remains non-union, they can continue to undercut the wages of janitorial workers across the Peninsula and Silicon Valley.

Although Oracle is Service by Medallion's largest and most important account, it is not their only one; Service by Medallion janitors report similar conditions at Adobe Systems, Solectron, Next, Motorola Communications, and Xerox. Among the Valley's most successful high tech companies, Oracle stands out in its policy of supporting non-union contractors. Apple, Hewlett-Packard, Tandem, Sun Microsystems, Amdahl, AMD, Seagate, Applied Materials, and National Semiconductor all rely on unionized contractors who adhere to minimum standards of fairness, decency, and respect for their workers' legal rights.

WHAT CAN I DO? You can support the janitors' struggle just by asking the Oracle Corporation if they really intend to support exploitation under their own roof. Although Oracle has so far refused to consider the workers' requests for fair treatment, change is possible. Programmers, engineers, and other skilled high tech workers can play a critical role by bursting the bubble of invisibility that allows the abuse to go unchallenged.

Just send e-mail to: President & CEO, Lawrence Ellison at: lellison_at_oracle.com Co-Chairman, James Abrahamson, at: jabraham_at_oracle.com VP of Administration, Robert Shaver at: rshaver_at_oracle.com

Regular mail can go to: Oracle Corporation World Headquarters 500 Oracle Parkway, Redwood Shores, CA 94065 (415) 506-7000

You can contact the Justice for Janitors campaign at:

SEIU Local 1877, 186 E. Gish Rd, San Jose, CA 95112 (408) 452-8515 email: worklife_at_igc.apc.org

United for Justice, a Peninsula Coalition for Social Justice PO Box 1725, Palo Alto, CA 94302 (415) 322-7190

Received on Wed Jul 07 1993 - 04:53:00 CEST

Original text of this message