Hotel workers make deal with Sheraton Waikiki

By Karen Blakeman
Advertiser Staff Writer

It appeared late last night that a Waikiki hotel workers strike may have been averted, as cheering union members heard details of a tentative agreement reached with Sheraton management.

Eric Gill, right, head of Local 5, shares the details of the new Sheraton contract with the negotiating committee last night at the union strike headquarters. Eugene Tanner • The Honolulu Advertiser

Gill said negotiations will resume later today with Hilton management. He told his 70-member union negotiations team last night that he thinks Hilton will accept the deal as well.

Keith Vieira, senior vice president of operations for Starwood Hotels & Resorts, Hawaii and French Polynesia, released a written statement last night characterizing the tentative agreement as "amicable for both sides."

Starwood is the parent company for the Sheraton hotels in Waikiki.

The proposed contract would give employees who do not make tips step wage increases that would total $1.60 per hour more over four years. Other employees who do make tips, such as bell captains, would get wage increases totaling 45 cents per hour over the same time.

The contract is backdated to June, Gill said, and pay raises would apply retroactively if approved by the union.

Benefits either remained the same or improved, he said. Company pension contributions were increased by fifty percent.

"They dug deep into their pocketbooks," he said.

Gill said he was particularly pleased with the job security measure built into the agreement.

Wages for contract workers would be raised to the level of other employees over the next five years, he said. Bringing contract worker wages and benefits closer to those of union workers has been among the local's top issues in recent years.

Another clause would allow union members to keep their jobs if a hotel is sold, he said.

The negotiating committee members at strike headquarters on Kapi'olani Boulevard cheered and applauded Gill's announcement, which came at about 11 p.m. after a long day of negotiations yesterday at the Sheraton Waikiki.

"That's our leader," said Dennis Yacavone, hugging Gill.

Union negotiators bargained all night Friday night with Hilton officials, until almost 4 a.m. yesterday — and at one point a strike appeared likely, they said.

At 1 p.m. yesterday they resumed negotiations, this time with Sheraton officials, and bargained until well after 9 p.m.

Attorney Robert Katz represented Sheraton and Hilton throughout the negotiations.

Gill presented the tentative Sheraton agreement to the committee members after 10 p.m.

Local 5 had said a key unresolved issue was subcontracting terms, including Hilton's use of about 150 subcontracted workers for its "Team Clean" operation and Starwood's plan to preserve its ability to shut down restaurants staffed with union members to open up non-union restaurants with subcontractors.

Medical coverage and wages also are critical issues.

About 4,000 workers at the Hilton Hawaiian Village and the Sheraton Waikiki, Princess Ka'iulani, Sheraton Moana Surfrider and Royal Hawaiian hotels are affected by the negotiations.

"The last few months have been very trying for everyone involved and our new agreement has resolved key issues regarding our associates' concerns," said Stanley Takahashi, executive vice president and chief operating officer of Kyo-ya Company Ltd. "We respect our associates and will now need their help in overcoming an even bigger obstacle — the challenges presented by our current economy."

Kyo-ya owns Sheraton Hotels along with Starwood.