Showing posts with label Tyrone Freeman. Show all posts
Showing posts with label Tyrone Freeman. Show all posts

Friday, March 29, 2019

Guess Who's Back? Shady Rickman... Again. WTF!?



In 2008, Rickman Jackson became a household name across Southern California after the Los Angeles Times revealed he’d stolen more than $30,000 from the low-wage homecare members of SEIU Local 2015.

At the time, Jackson served as the “Chief of Staff” of the union’s president, Tyrone Freeman. Together, they stole thousands of dollars from the union’s members. Jackson personally accompanied Tyrone on union-funded adventures to “the Grand Havana Room in Beverly Hills for $175 glasses of cognac” and other felonious funfests, including Freeman’s union-funded wedding at a Hawaiian resort.

Freeman was sentenced to 33 months in a federal prison. And Jackson was stripped of his union position.

What’s the latest?

SEIU Local 2015 -- the scene of Rickman’s corruption -- just hired Rickman as the Director of its Organizing Department, according to a source inside SEIU Local 2015.

WTF!

Union officials reportedly announced Jackson’s hiring during a member conference call on February 25, 2019. Tasty’s source provides the following details:
His hiring was announced in a member conference call that takes place every Monday. This particular call, on February 25, made no mentioned of his hiring until the end of the call, with no discussion for members. The following week, April Verrett, president of 2015, discussed the hiring of Rickman where several members stated their opposition to his hiring because of what happened with Tyrone. Make no mistake, April did not say what Rickman did and only classified his actions as an error like a clerical mistake, because Rickman signed something he shouldn't have signed. She tried to justify his hiring as part of the union's Restorative Justice agenda, as if Rickman's corruption could compare to racist policies that make millions of people of color criminals rather than Rickman stealing from home care workers. Members were also angry there was no transparency because the executive board did not about this hiring, much less a discussion. April lied when she said the decision to hire Rickman was also because it was hard to find a director for external organizing. She said the union had been looking for 18 months for a director to fill the vacancy but the director had actually left around September 2018. When she was told Rickman had not re-paid the local, she denied this but did not provide any evidence. She said she would provide the evidence at a later time and to the member who asked instead of the general membership.

For those who may have forgotten the details of Rickman’s corruption, reporter Paul Pringle described them in a 2008 Los Angeles Times article that detailed the findings of an investigation led by former state Atty. Gen. John Van de Kamp and an SEIU audit.

Freeman steered vast amounts of union money into union-created nonprofit organizations, which then used fake transactions to deposit cash into the pockets of Tyrone and others. One of these nonprofit organizations -- the Long-Term Care Housing Corp -- made lump-sum payments to Freeman while also paying Rickman $2,500 a month to supposedly “lease” Rickman’s personal home to serve as the organization’s offices. All told, Rickman pocketed $33,500 from this scam.

(Paul Pringle, “SEIU accuses local union leader of misusing funds,” Los Angeles Times, September 18, 2008.)

In October of 2008, SEIU stripped Rickman of his position and “exiled” him to Canada while keeping him on payroll. (Paul Pringle, “SEIU leader loses post over scandal,” Los Angeles Times, October 15, 2008.)

What idiot at SEIU would hire someone who stole tens of thousands of dollars from the union’s own hard-working members?

Its mind boggling, right?

SEIU’s leaders are clearly pathetic, but this level of corruption and disdain for its members is shocking even to those of us who’ve waded neck-deep through purple muck and mire for years.

Tuesday, December 18, 2018

Top SEIU Official to Leave at End of Month


Laphonza Butler and Mary Kay Henry

Laphonza Butler -- the President of SEIU Local 2015 -- is quitting her job at the end of December.

Readers will recall that she was appointed to run the union after its former president, Tyrone Freeman, went to jail for a massive corruption scandal. 

During Butler’s tenure, more local unions were merged into the mega-union including 65,000 long-term care workers transferred from Dave Regan’s SEIU-UHW. Butler also serves on SEIU’s International Executive Board and is reportedly a close ally of Mary Kay Henry.

So why is Butler leaving her position atop a giant union with hundreds of thousands of members? 

Here’s what she’s saying publicly: “The time has come for new leadership to take Local 2015 to its next great victories.”

What’s the real story?

It turns out she’s jumping ship to become a partner at a political consulting/communications firm based in California, according to a Dec. 7 article in the Los Angeles Times:
“Butler will be a partner in the newly rechristened firm SCRB Strategies, along with veteran strategists Ace Smith, Sean Clegg and Juan Rodriguez. Their clients include Newsom, Oakland Mayor Libby Schaaf and Sen. Kamala Harris (D-Calif.), a frequent subject of speculation in her own right about 2020 presidential ambitions.”

According to the firm’s website, “SCRB also advises Fortune 500 companies, major developers, and sports franchises regarding crisis, PR, and public affairs.” 

One of the firm’s corporate clients is PG&E, which is facing allegations that its faulty equipment sparked the massive wildfires that ravaged California during the past two years and killed more than 100 people. PG&E will no doubt pay a pretty penny to SCRB.

In other words, Butler’s motivation might be summarized as “ka-ching.”

The firm, formerly known as “SCN Strategies,” has added a “B” at the end of its name to indicate its fourth partner, Laphonza Butler, along with partners Smith, Clegg and Rodriguez.

Interestingly, Butler may soon find herself across a table from Dave Regan, whom she reportedly can’t stomach.

How?

Regan has hired the firm to run some of his failed ballot initiatives, including SEIU-UHW’s 2014 ballot initiative targeting the California Hospital Association.

Like planets caught in the same gravitational field, their paths may soon collide again. 




Thursday, August 30, 2018

Ten Years Later...



This month marks the tenth anniversary of some of the headline-grabbing events that led up to SEIU's disastrous trusteeship of SEIU-UHW.

Ten years ago, SEIU-UHW -- then led by president Sal Rosselli -- was one of the most successful healthcare unions in the nation. Labor journalist Steve Early called SEIU’s takeover of SEIU-UHW “the mother of all trusteeships.” Unfortunately, it gave birth to a Frankenstein-like child headed by Dave Regan, who quickly drove the once-powerful union into the ground.

So what happened ten years ago?

During August 2008, a reporter named Paul Pringle published eight articles in the Los Angeles Times detailing a massive corruption scandal perpetrated by Tyrone Freeman, one of Andy Stern’s closest allies.

Freeman’s corruption was stunning. It ranged from union-funded jaunts to Hawaii with his personal assistant, $175 glasses of cognac and cigars at an exclusive cigar club frequented by Los Angeles movie stars, no-show jobs for relatives, and kickbacks from corporations in exchange for deals that sold out low-wage healthcare workers.

During the months leading up to August 2008, Freeman had served as Andy Stern’s attack dog in Stern’s campaign to “implode” SEIU-UHW. A boatload of Stern’s staffers also worked on the campaign, such as Stephen Lerner, Dave Regan, Bill Ragen, Tom DeBruin, Josie Mooney, Debbie Schneider, Steve Trossman and Denise Poloyac.
Andy Stern

Earlier in the summer of 2008, Freeman was riding high after Stern initiated a maneuver to transfer 65,000 union members out of Rosselli’s SEIU-UHW and put them in Freeman’s union… without a democratic vote by the workers. 

Following the transfer, Freeman would have led one of SEIU’s largest local unions… and he then would have delivered all of his union’s votes to Stern at SEIU’s conventions where Stern sought reelection as the international union’s president.

But in August 2008, the curtains were finally pulled back on Freeman’s years-long corruption scandal and he plummeted to earth like a flaming meteor.

Stern, angry at the loss of his loyal ally, announced on August 25, 2008 that SEIU was launching trusteeship hearings against Rosselli’s union. During the preceding years, SEIU-UHW’s members had caught Stern and his DC-based staffers making backroom deals with healthcare corporations that sold out workers and patients, and violated democratic principles.

In 2010, Stern resigned as the President of SEIU after launching yet another disastrous attack, this time against UNITE HERE. Freeman, in turn, ended up in federal prison. "May God have mercy on me," said Freeman at the time of his sentencing. "I am accountable for these bad decisions."

Meanwhile, Rosselli and his crew of rank-and-file leaders launched the National Union of Healthcare Workers (NUHW) as a militant, member-led, democratic alternative to SEIU.

Ten years later, this history stands sharper in our collective memory.

Here’s a link to the series of articles in the Los Angeles Times from August 2008.


Thursday, May 24, 2018

SEIU Staffer Reinvents Himself after Harassment Firing




Last October, SEIU fired Jennings amidst a widening harassment scandal kicked off by revelations about former SEIU Executive Vice President Scott Courtney.

Jennings, a director of SEIU’s “Fight for $15” campaign in Detroit, was fired following allegations he operated as a “mini-Scott Courtney” who “relished bullying people and trying to intimidate them (especially women),” according to an anonymous source.

In 2017, a female SEIU organizer won more than $20,000 in back pay and a reinstatement order from an NLRB judge after Jennings wrongfully terminated her as an organizer in the “Fight for $15” campaign. According to BuzzFeed, Jennings “became violent, ripping [the female organizer’s] work phone out of her hands and subsequently shoving her against a door frame.”

So what’s Jennings doing now?

Here’s a clue:



That’s right. Jennings has become an “expert” in helping to gentrify Chicago by converting multi-unit apartment buildings into AirBnb hotels.

Hey Caleb, that’s super helpful… especially for fast food workers struggling to pay rent.

Not unsurprisingly, Jennings has already raised the ire of Chicago community leaders and anti-displacement advocates.

The contradictions in Caleb's career path are not unusual for SEIU officials. You could say he’s had a lot of "entrepreneurial" role models at SEIU like Andy Stern (who’s been busy padding his pockets as a high-paid consultant for Uber, Airbnb, Handy and other tech companies) and Tyrone Freeman (who's now running a consulting firm to help homecare companies make more profit).

Stay tuned for news of the next SEIU entrepreneur.


Friday, April 20, 2018

This Former SEIU Official Wishes You a Happy 4/20 Day



In celebration of 4/20 Day, Tasty thought he’d pass along the news that former SEIU official Tyrone Freeman has apparently developed an expertise in California’s booming marijuana industry.

According to his consulting firm’s website, Freeman would gladly help you with everything from manufacturing and cultivation to dispensary and distribution.

But wait… you better not dawdle. According to his website,

“Act now! Availability is limited.”

Freeman -- a close ally of SEIU President Emeritus Andy Stern and Dave Regan -- has emulated Stern’s entrepreneurial spirit by setting up his own consulting firm called Maven Innovative Consultancy, LLC.

Of course, business comes naturally to Freeman.

During his federal criminal trial, prosecutors revealed how he made multiple secret deals with corrupt insurance companies, consultants and others to illegally divert buckets of workers’ money into his own pocket.

Freeman, whose love of Cuban cigars helped land him in a prison in South Dakota, is apparently hoping a different sort of smokable product will become his “green gold.”

Who knows? Perhaps Stern – who’s become a high-paid consultant for Uber, Airbnb, Handy and other tech companies – will join forces with Freeman to develop a pioneering marijuana app.

Here’s an excerpt from Freeman’s website:




Friday, November 10, 2017

SEIU’s Tyrone Freeman: Entrepreneur of the Year



Since Tasty’s recent post about Tyrone Freeman, several readers have spotted him in Los Angeles.

What’s Ty up to these days?

Well, it looks like he’s taken a page out of Andy Stern’s “entrepreneurial” playbook.

Freeman, who formerly headed the nation’s largest union of homecare workers (SEIU Local 6434), is now running a consulting firm to help homecare companies make more profit.

No joke.



Tyrone’s firm is called Maven Innovative Consultancy, LLC. The company’s homepage has images like this:
  

And this:


But wait a sec. Tasty thought Tyrone wanted to defend workers?

Nope.

His website says,
“Mr. Freeman specializes in the defense of small business, in the full range of business matters, including advising business owners. In addition, Mr. Freeman is an Executive with substantial business development, management/leadership experience. High premium on providing cost saving management practices… operational cost saving… Maven Innovative Consultancy, LLC – a boutique consulting firm specializing in the exclusive representation of management in business affairs. A large portion of the Firm’s clients are home care agencies and other health-care related employers.”



Tyrone says he’s a “specialist” in “housing development strategies.”

That’s interesting.

When Freeman was the president of SEIU Local 6434 and also a member of SEIU’s International Executive Board, he set up a housing scam that helped land him in jail.

In 2004, Freeman set up a nonprofit housing organization called the “Long Term Care Housing Corp” to supposedly build housing for low-income workers.

Only… it didn’t.

Freeman, who controlled the organization, listed the home of one of his aides, Rickman Jackson, as the organization’s administrative office. Ty then paid Jackson tens of thousands of dollars in “rent,” which Jackson pocketed.

Btw, despite stealing $33,000 from workers, Jackson is still on SEIU’s payroll to this day.

That’s not all.

Freeman also had the housing organization hire him as a “consultant” and pay him tens of thousands of dollars of the in consulting fees, according to an SEIU report described by the Los Angeles Times. (Paul Pringle, “Union-founded nonprofit spent zero on its charitable purpose in two years,” Los Angeles Times, December 13, 2008)

In other words, Freeman is quite an expert in “housing development strategies.”

Which brings us to the elephant in the room.

Why did SEIU’s top officials reportedly devise a scheme to secretly fund Freeman’s legal defense after he was indicted in February 2012 for stealing millions of dollars from SEIU’s own members?

In 2008 -- after the Los Angeles Times published a series of revelations about Freeman’s corruption (remember the Grand Havana Room cigar club?) -- SEIU officials ousted Freeman, banned him for life from SEIU membership, and ordered him to pay back more than $1 million in money he stole from SEIU’s members.

Tasty bets dollars to donuts that Freeman never paid back the $1 million.

So… why the f*ck did SEIU officials secretly give him six and seven figures to fund his criminal defense?

What role did Andy Stern play in the secret payments? What about Mary Kay Henry? She became president of SEIU on May 8, 2010 and presumably was involved in funding Freeman’s legal defense until his appeal was dismissed in October 2014.

SEIU officials are struggling with the union’s widening sexual harassment scandal. They also need to investigate the massive ethical questions swirling around the Freeman scandal. For example, did SEIU officials commit conflict-of-interest violations by diverting SEIU cash to Freeman in order to buy his silence about their involvement in his crimes?

Workers have enough problems with greedy bosses and corrupt politicians. They deserve democratic, transparent and accountable unions. It's time for SEIU to come clean.

Friday, September 22, 2017

Source: SEIU Officials Secretly Funded Tyrone Freeman's Legal Defense for Crimes against SEIU's Own Members




“What ever happened to Tyrone Freeman?,” asks a reader

In late 2013, Freeman -- a close ally of SEIU President Emeritus Andy Stern -- was sentenced to a 33-month term at a federal prison in Yankton, South Dakota

According to a reliable source, Freeman was eventually released from Yankton and transferred to a halfway house in Long Beach, Calif. 

Tasty’s source provided answers to some of the long-standing mysteries surrounding Freeman’s criminal trial:

  • Who was the secret financier who funded Freeman’s multi-million dollar legal defense?
  • Why didn’t Freeman rat out the higher-up SEIU officials -- including Andy Stern and Eliseo Medina -- who were implicated in the crimes for which Freeman was convicted?

Before Tasty offers up the source’s answers, here’s some quick background:

After Freeman was indicted, a team of million-dollar attorneys from Mayer Brown LLP -- a global law firm with offices in New York, DC, London, Paris, Beijing, Dubai, Singapore, Rio de Janeiro, etc -- parachuted into California to defend him.

They included Kelly Kramer, a partner at Mayer Brown LLP who leads the firm’s “White Collar Defense and Compliance Team” and has personally defended former members of the US Congress. According to Super Lawyers, he’s one of the top white-collar defense lawyers in DC.
 
Kelly Kramer, Mayer Brown LLP
After Freeman was convicted, Mayer Brown LLP filed an appeal with the US Ninth Circuit Court of Appeals in San Francisco, and parachuted two more attorneys from the East Coast to try to get Freeman out of jail.

They included Dan Himmelfarb, a partner in the firm’s DC offices, who specializes in appeals and has “filed more than 200 merits and petition-stage briefs in the US Supreme Court and has argued… 12 cases in the US Supreme Court...,” according to the firm's website. Before joining the firm, Himmelfarb was an Assistant US Attorney in the Southern District of New York and an Assistant to the US Solicitor General.

In other words, these guys charge beaucoup bucks -- likely $2,000-$3,000 an hour.

Who paid for these attorneys?

It sure wasn’t Freeman.

After all, when Freeman's wife appeared in court during Freeman's criminal trial, she was assigned a Public Defender because she couldn’t afford a private attorney.

So who paid Freeman’s legal bills?
 
Dan Himmelfarb, Mayer Brown LLP
Here’s what Tasty’s source says:

When Freeman was first indicted on multiple criminal charges, a clutch of nervous SEIU officials met with him to discuss his options.

Option #1: Freeman could try to beat the rap by pointing the finger at the higher-up SEIU officials who were apparently complicit in the crimes.

‘But don’t do that,’ argued the SEIU officials. ‘We’ll offer you a better option: SEIU will hire you the best attorneys in the whole damn country and we guarantee you’ll never see a day of jail time. But you can't implicate any of us.’

Of course, we all know that Freeman chose Option #2. And that’s why, during the trial, he never ratted out the SEIU higher-ups who, after all, were paying for his lawyers.

In the end, SEIU officials didn’t come through with their end of the deal -- their fancy attorneys didn’t keep Freeman out of jail.

Freeman has gotta feel burnt by his SEIU handlers, right?

Which leads Tasty to wonder whether SEIU officials might now be slipping him some hush money, given that Freeman has stayed silent even after getting out of jail.

Although Tasty’s source has provided answers to some of the long-standing mysteries, others remain unanswered:
Andy Stern, SEIU
  • How much money did SEIU officials pay for Freeman’s defense and appeal?
  • After the Los Angeles Times outed Freeman's corruption scandal, SEIU officials publicly condemned Freeman for stealing from low-paid SEIU members. Why did SEIU officials turn around and secretly fund his criminal defense for crimes committed against SEIU's own members? Isn't this proof that SEIU higher-ups are implicated in Freeman's crimes? After all, why else would they have funded his defense against stealing money from SEIU members?
  • Who authorized SEIU's payments to Freeman's attorneys? What role did Andy Stern, Anna Burger and Mary Kay Henry play?
  • Will Freeman tell his story to the public?
  • Or is SEIU currently paying hush money to keep Freeman silent?



Thursday, March 9, 2017

Corruption Allegations Prompt Mary Kay Henry to Put SEIU Healthcare Michigan in Trusteeship


Notice of trusteeship posted on door of union's office
Last month, SEIU President Mary Kay Henry placed SEIU Healthcare Michigan under an “emergency trusteeship” amid allegations of financial malpractice, according to a statement from SEIU that’s posted on the local union’s website. A copy of the trusteeship order, signed by Henry, is available below.

Henry removed Marge Faville Robinson, the union’s president, who is also a member of SEIU’s International Executive Board.

Later this month, an SEIU-appointed “Hearing Officer” is scheduled to conduct a hearing where evidence will be presented about alleged corruption and improprieties.

Here’s how SEIU described the rationale behind the trusteeship in a post on SEIU Healthcare Michigan’s website. Apparently, an unknown whistleblower reported the alleged corruption. (“SEIU Healthcare Michigan Placed into Emergency Trusteeship”)
After someone with knowledge of the local reported potential financial malpractice at Healthcare Michigan, representatives of the International Union conducted a review of the local union’s books and records and found information indicating abuse of the local union’s loan and paid time off/earned vacation policy. Following this review, President Henry concluded that it was necessary to place the local into an emergency trusteeship to protect the interests of members and to allow for a full investigation to determine all the facts.

“An SEIU spokeswoman declined to comment on whether police were involved in the investigation,” according to an article published by MLive, an online news site operated by Booth Newspapers, which publishes eight newspapers in the state of Michigan. (Stephen Kloosterman, “'Financial malpractice' alleged at Michigan healthcare union,” MLive, February 22, 2017)

In comments to a Detroit TV station, Inga Skippings (Mary Kay Henry’s Chief of Staff) stated that President Marge Faville Robinson and Secretary-Treasurer Shalaya Bryant were removed from their positions while SEIU officials investigate.
"The union took steps to bring in trustees at the local and launch a pretty expansive investigation into what could have been going on here," Skippings said.
The union says a whistleblower came forward telling representatives to look at the books leading to claims of abuse of finances specifically in the union's loan and vacation policy.
"There was initial work done to suss out the credibility before we took the action we did," Skippings said.
The union won't give a dollar amount, but clearly it was enough evidence to warrant both Robinson and Bryant being removed from their position while the union looks at how long and how deep this potential fraud goes.

Henry appointed three SEIU officials to serve as trustees: Tom Balanoff (President of SEIU Local 1), Inga Skippings (Henry’s Chief of Staff) and Ed Burke (a consultant who formerly was an SEIU staff member).


Regular readers of this blog know that Faville Robinson is no stranger to controversy. In fact, allegations of nepotism and corruption have swirled about her like detritus in a toilet bowl.

For example, Faville Robinson collects an unusually fat salary from SEIU Healthcare Michigan despite the fact that the union’s membership has nose-dived from 57,239 members in 2009 to only 10,715 members in 2015. In 2015, the union paid Faville Robinson $209,889, according to the union’s annual report filed with the US Department of Labor.

The union also happens to employ Marge’s daughter and niece. In 2015, the union paid her daughter, Norma Kersting, $108,336 for being its “Director of Representation.” Meanwhile, Marge’s niece (Brenda Robinson) was paid $110,679 to be the union’s “Legal Director.” It used to employ her son, Josh, too.

In 2011, the union provided Marge with a union-paid Buick SUV. According to the union’s most recent annual report, it appears the union has continued to give her a swank car. Here’s what a note to the report states: “A vehicle provided to an Officer is used part of the time for personal transportation.”

Several years ago, the National Union of Healthcare Workers (NUHW) -- an advocate of rank-and-file democracy and union transparency -- reported that SEIU Healthcare Michigan was renting a luxury apartment for Marge’s use when she traveled to Detroit.

In 2015, SEIU Healthcare Michigan received a flood of cash when it sold four buildings and properties for $2.3 million, according to reports filed with the Department of Labor.

Faville Robinson has served as the union’s president since 2008.
Andy Stern and Mary Kay Henry

In October 2008, SEIU President Emeritus Andy Stern appointed her to the union’s presidency after her predecessor, Rickman Jackson, was removed from office when the Los Angeles Times revealed he’d stolen more than $33,000 from low-wage homecare workers as part of the Tyrone Freeman corruption scandal.

Stern appointed Jackson and Freeman to their positions atop SEIU locals, where they served as his loyal allies while stealing from SEIU’s members. Jackson, despite his corruption, continues on the payroll of SEIU International, where he collected $138,000 as a “Campaign Organizing Director” during 2015.

In addition to her roles at the local union and SEIU’s International Executive Board, Faville Robinson also served as the President of the “Cassie Stern Healthcare Workers Education and Training Center.” Rickman Jackson named the center for Andy Stern’s deceased daughter.

In 2010, the Cassie Stern Training Center was dissolved by state officials while Faville Robinson served as its president, according to IRS records.

SEIU Healthcare Michigan is the third SEIU local union to be placed in trusteeship or under "monitorship" in recent months. 

In August of 2016, SEIU imposed an emergency trusteeship on SEIU Local 73 in Chicago. In December of 2016, Mary Kay Henry remove the president of Los Angeles-based SEIU Local 99 and placed the union under the control of an SEIU-appointed monitor, Eliseo Medina. In October of 2016, SEIU's International Executive Board held two days of hearings in Las Vegas, Nevada to investigate charges filed against the top officials of SEIU Healthcare Nevada.

More news to follow.



Friday, December 30, 2016

SEIU’s Mary Kay Henry Removes President of SEIU Local 99


In early December, SEIU President Mary Kay Henry removed SEIU Local 99 President Barbara Torres from office and suspended her membership in SEIU for four years, according to notices distributed to union members and also available online. Henry also removed a second officer, Executive Board member Jacqueline Brown, and appointed Eliseo Medina to serve as a “monitor” of Local 99.  

Based in Los Angeles, SEIU Local 99 represents 25,000 public school workers.

According to SEIU, the actions came after “a thorough investigation and hearing by SEIU International” that reportedly was prompted by charges against union officials.

In October, SEIU’s International Executive Board held two days of hearings in Las Vegas to investigate separate charges filed against the top leaders of SEIU Local 1107, according to the Las Vegas Review-Journal. Local 1107 represents approximately 9000 workers in Nevada.

Eliseo Medina’s assignment to Local 99 is his second such gig in a handful of months. In August, Henry appointed Medina as the “trustee” of SEIU Local 73 after she imposed a trusteeship on the Chicago-based union, which represents 25,000 public-sector workers in Illinois and northwestern Indiana.
Medina addressing Local number 73 members in Chicago

Readers may recall that Local 99 has a troubled history of scandals and corruption by its top officials.

In 2004, Andy Stern appointed Bill Lloyd as the trustee of Local 99.

Lloyd, who subsequently took on the job of Local 99's Executive Director, pocketed no fewer than three separate paychecks from SEIU totaling $224,000 a year along with multiple perks including an eight-year-long, SEIU-paid hotel room at the Wilshire Grande Hotel.

Lloyd is also known for his infamous sexual affair with Local 99’s then-president, Janett Humphries, at the same time that she was embezzling tens of thousands of dollars from the union's members. In 2006, Humprhies pleaded guilty in federal court to four counts of embezzlement and one count of conspiracy.

Steve Trossman -- who reportedly covered up Tyrone Freeman’s million-dollar theft from SEIU members for years -- also did damage control for Lloyd. Trossman now works for Dave Regan as SEIU-UHW’s "Communications Director."

In 2012, Lloyd silently disappeared from his job as the Executive Director of Local 99.

Max Arias currently serves as Local 99’s Executive Director. Arias, a former staffer at SEIU Healthcare Illinois-Indiana, parachuted into California in 2009 as part of SEIU’s trusteeship of SEIU-UHW. Arias was initially assigned to nursing homes, where workers reported about his disrespectful attitude towards workers.

Friday, January 15, 2016

Ballot Initiative Backlash: SEIU-UHW's Dave Regan Tried to Snatch Billions from California's Schoolchildren


In a fit of anger, Dave Regan recently sued the California Hospital Association and penned an angry attack against SEIU officials (entitled "The Shame of SEIU") after his erstwhile pals joined hands to introduce a statewide ballot initiative that competes head-to-head with Regan's own initiative.

Regan's initiative is designed to deposit billions of dollars a year into the hospital industry's pocket, a massive payoff he must deliver before industry bosses will allow SEIU-UHW to put tens of thousands of non-non-union hospital workers into cheap, pre-negotiated labor contracts that ban them from striking.

Why did SEIU officials team up with the CHA to undermine Regan's initiative?

It turns out that Regan's ballot initiative was horribly designed. According to one knowledgeable source, "It would have blown a multi-billion-dollar hole in the state budget" by re-directing billions of state tax revenues -- currently used to fund public schools -- into hospital bosses' pockets.

By cutting school funding, Regan also would have destabilized funding for other government services as budget-makers shift budget dollars to make up for lost revenues.

That's why the California Teachers Association teamed up with the SEIU California State Council, headed by Laphonza Butler, to introduce a competing ballot initiative ("School Funding and Budget Stability Act") to preserve funding for public schools.

SEIU represents approximately 95,000 California state employees through its Local 1000. Other locals, such as SEIU Local 99, SEIU Local 521 and SEIU Local 1021, represent tens of thousands of teacher assistants, cafeteria workers, and other public education workers. California's students have suffered devastating budget cuts during the Great Recession that forced massive teacher layoffs and skyrocketing classroom sizes.

So, umm,... who was the genius at SEIU-UHW who wrote a ballot initiative to strip money from schoolchildren and from SEIU's own public-sector members?

Dave Kieffer: ballot initiative genius
Sources say it was Dave Kieffer. 

Kieffer, who was involved in trying to cover up the Tyrone Freeman corruption scandal, was pushed out of his job at the SEIU California State Council in 2013 and now serves as "Director of Governmental Relations" at SEIU-UHW.

He was the architect of an earlier money-for-members scheme by which SEIU officials tried to trade billions in taxpayer-funded Medicaid dollars for tens of thousands of workers at nursing homes.

Way to go, Dave.

All of this helps explain why analysts are penning articles like this one, entitled "Shrinking Political World of UHW President Dave Regan," which begins:

We've been chronicling the ever-shrinking political world of union President Dave Regan, see here, here and here, for a while now, and recent news highlights his dwindling power.