Sections:

Article

Unfair Labor Practice Filed Against Chicago Teachers Union for Political Spending

John Kugler - April 01, 2023

ULP Charge 14(b)(1) Charge against Chicago Teachers Union for spending money on politics

... the use of CTU’s general operating funds and dues for political purposes does not further the interests of members, and because these funds were solicited from members under false pretenses ...

Charges filed by Mary Esposito-Usterbowski, Froy Jimenez, Phil Weiss, and all similar situated members of the bargaining unit.

Charging Parties request the Illinois Educational Labor Relations Board (“the Board”) find that CTU has engaged in unfair labor practices in violation of Section 14(b) of the Illinois Educational Labor Relations Act (the “Act”) and order:

(i) CTU to cease and desist from using membership dues for political purposes;

(ii) CTU to demand repayment of any outstanding loans made from CTU to any political action committees;

(iii) CTU provide a full and complete accounting of all expenditures of membership dues directed toward political activity;

(iv) CTU and CPS post a notice to employees that CTU will refrain from violating Section 14(b)(i) of the Act; and

(v) seek injunctive relief pursuant to Section 15 of the Act; and

(vi) any other direct and consequential damages and relief the Board deems appropriate and just.

ATTACHMENT TO THE UNFAIR LABOR PRACTICES CHARGE

Introduction

CTU has breached its duty of fair representation to its members.

Despite being expressly promised that membership dues would not be used for political purposes, political financial contribution reports recently filed with the Illinois State Board of Elections by political action committees reveal that Chicago Teacher Union (“CTU”) membership dues are and have been used as either loans or direct contributions to political campaigns. Whether classified as loans or direct contributions, these contributions have diverted membership dues away from representing the needs of members and were instead directed toward political activities. This intentional misuse of funds is a breach of CTU’s duty of fair representation and an unfair practice under Illinois law.

CTU’s Duty of Fair Representation

Like any other labor organization, CTU must abide by its duty of fair representation – the legal duty to serve the interests of all members and to “exercise its discretion with complete good faith and honesty.” See Vaca v. Sipes, 386 U.S. 171, 177 (1967); cited in Paxton-Buckley-Loda Educ. Ass'n, IEA-NEA v. IELRB, 304 Ill. App. 3d 343, 349 (1999).

The duty of fair representation proceeds from a union’s statutory role as the exclusive bargaining agent for its members. Paxton-Buckley at 349. A union’s duty of fair representation for educational employees is the same as the duty of fair representation that applies in the private sector between private sector unions and their members. Jones v. IELRB., 272 Ill. App. 3d 612, 619 (1995) citing Air Line Pilots Association International v O’Neil, 499 U.S. 65 74 (1991); see also Paxton-Buckley at 349.

An educational labor organization violates the Illinois Educational Labor Relations Act (the “Act”) when it engages in intentional misconduct that breaches the duty of fair representation. 115 ILCS 5/14(b)(1). Breach of the duty of fair representation is established through evidence of fraud, deceitful action, or dishonest conduct or deliberate and severely hostile and irrational treatment. Paxton Buckley, at 349 citing Hoffman v. Lanza, Inc., 658 F.2d 519, 522 (7th Cir. 1981).

CTU’s Deceptive Practices

When educational employees employed by Chicago Public Schools apply for membership with CTU, they are provided the option of making voluntary contributions to the Chicago Teachers Union’s Political Action Committee (“CTU PAC”) in addition to their membership dues. (Exhibit A). The “Voluntary Political Action Committee Deduction” section states in relevant part “I voluntarily authorize and direct my Employer to deduct from my salary each month the Voluntary Political Action Committee deduction designated below for the purpose of making political contributions in federal, state and local elections, and to forward that amount to the CTU/PAC.”

When joining CTU, prospective CTU members are provided with a member handbook. (Exhibit B.). The CTU member handbook asks members to “join together in contributing…each month to the CTU Political Action Committee (CTU PAC).” (Exhibit B at 13.) The CTU handbook further states that “[o]ur dues are not used for political purposes – so our PAC relies on extra contributions from our members to support progressive candidates.” (Id. at 13.)

Despite this clear representation that CTU will not use dues for political purposes, Charging Parties have learned that CTU knowingly, intentionally, and without prior notice to the general membership or an opportunity to provide input, diverted membership dues dollars to political action committees for the purpose of making political contributions and influencing elections. CTU’s conduct is in violation of its duty of fair representation to its members.

CTU’S “Loans” and PAC Contributions

Under the Illinois Election Code, financial contributions to political campaigns or political action committees are subject to certain compliance and financial disclosure requirements. When a political committee receives a contribution of $1,000 or more from a single source, the committee must file an “A-1” report with the Illinois State Board of Elections (the “Board of Elections”).

On February 9, 2023, Chicago Teachers Union Local 1 PAC (“CTU PAC”) filed an A-1 with the Board of Elections disclosing that it had received a loan of $275,000 from CTU. (Exhibit C). On the same day, Chicago Teachers Union PAC (Illinois Federation of Teachers) (hereafter “CTU-IFT PAC”) filed an A-1 with the Board of Elections disclosing that it had received a loan of $140,000 from CTU (Exhibit D). The two loans were not voted on or approved by the CTU House of Delegates, and they exceed the campaign contribution limits imposed by the Illinois Election Code.

On February 12, 2023, CTU sent an email bulletin to members explaining that “The loan to the CTU’s Political Action funds simply moves money from when we collect it (after the 2023 municipal election) to the time we need it [during the 2023 municipal election]…The loans will be repaid with political funds we collect between the end of February and the end of June.”

Nevertheless, when the loans came under scrutiny from the Board of Elections for violating the Election Code, a representative for CTU PAC and CTU-IFT PAC sent a letter explaining that the money – which was listed as loans in the February 9, 2023 A-1s and were referred to as loans by CTU in an email to members – were not actually loans. (Exhibit E). Instead, the funds were aggregated, individual dues dollars from union members, a special category of political campaign contribution subject to a different provision of the Election Code not subject to the same caps.

However, regardless of whether classified as loans or individual, aggregated dues, the payments constitute a deliberate and intentional reallocation of CTU’s resources and dues away from the advocating for the interests of members and to political activity. This reallocation is in direction contradiction to the statement in the member handbook that member dues will not be used for political purposes.

Even if any of the Charging Parties individually elected to make contributions to CTU PAC, because the use of CTU’s general operating funds and dues for political purposes does not further the interests of members, and because these funds were solicited from members under false pretenses, CTU’s intentional misconduct constitutes a breach of its duty of fair representation and an unfair labor practice in violation of Section 14(b)(1) of the Act.

WHEREFORE, Charging Parties request the Illinois Educational Labor Relations Board find that CTU has engaged in unfair labor practices in violation of Section 14(b) of the Act and order CTU to (i) cease and desist from using membership dues for political purposes, (ii) demand repayment of any outstanding loans made from CTU to any political action committees, (iii) provide a full and complete accounting of all expenditures of membership dues directed toward political activity; (iv) post a notice to employees that CTU will refrain from violating Section 14(b)(i) of the Act; and (v) injunctive relief pursuant to Section 15 of the Act and (vi) any other direct and consequential damages and relief the Board deems appropriate and just.

Unfair Labor Practice Charge against Chicago Teachers Union for spending dues money on politics filed March 31, 2023

Copyright 2006-2020 by Substance News. All rights reserved.