A Chipotle Mexican Grill in Lansing is getting flagged by the federal government for illegal labor practices after employees there became the first in the restaurant chain to unionize.
The National Labor Relations Board signaled it would file a formal complaint against the company unless it settles with affected employees at the location on the city’s west side.
“Chipotle violated the National Labor Relations Act by telling employees that Chipotle couldn’t provide raises because they were unionized, and that it unlawfully withheld raises because they were unionized,” stated Kayla Bolden, spokesperson for the U.S. labor board.
In 2022, employees at the Chipotle in Lansing voted to unionize with the International Brotherhood of Teamsters Local 243, making it the first among the fast food chain’s 3,200 locations.
Employees there say they’ve since been denied raises because they are unionized and disciplined for organizing.
“They saw me getting a worker to sign a petition,” said employee Atulya Dora-Laskey. “And when they saw me get this worker to sign this petition, they wrote me up for solicitation reasons.”
The NLRB says the employees’ union busting allegations are valid but dismissed a separate complaint regarding withheld credit card tips. The labor agency is still reviewing an allegation that Chipotle unlawfully surveilled workers.
Union officials are also accusing the company of failing to make a good faith effort to reach an agreement with employees.
“We want to get wages raised, but they don’t want to hear any of it,” said Scott Quenneville, president of Teamsters Local 243. “They offered us three cents an hour raise and up to a nickel if you are an excellent employee.”
Employees are also bargaining to gain greater access to Chipotle’s tuition reimbursement benefit. Chipotle offers up to $5,250 for tuition reimbursement annually for employees working a certain number of hours.
Quenneville says the company has intentionally kept the store’s unionized workers from getting that assistance.
“When my members would apply for the college assistance, [Chipotle] would just make them get under the certain number of hours [required] so that they couldn't get it.”
The store’s bargaining team is expected to meet with Chipotle officials next month to continue discussions for a contract.
A representative for the company says the restaurant chain has been bargaining “in good faith” with its workers.
“We respect our employees' rights to organize under the National Labor Relations Act and are committed to ensuring a fair, just, and humane work environment that provides opportunities to all,” said Laurie Schalow, chief corporate affairs officer for Chipotle, in a statement.
Schalow said the union has not been cooperative in its meetings.
“There have been a long delays in scheduling by the union to meet us at the table, which is occurring yet again and we are now planned to resume negotiations later this fall,” she said.
