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CBS News
3 days ago
- Business
- CBS News
Downtown Oakland remains a "ghost town" on day of city's return-to-office mandate
For most people, the pandemic shutdown ended years ago, but in Oakland, it officially ended on Monday. After several delays, the city of Oakland finally set June 2 as the deadline for city employees working remotely to return to the office. The mandate is supposed to help improve city operations while bringing life back to the downtown area, but it got off to a slow start. Oakland City Center is a food venue across the street from City Hall. Jennifer Gemmel, a State worker, eats there nearly every day. On Monday, she sat alone at a table, looking out onto a plaza of empty tables and shuttered restaurants. But she remembered what it was like before the pandemic. "It was packed. I mean, it was hard to find a place to sit," she said. "You know, Fountain Cafe was open, and Jamba Juice, La Salsa, Max's. I mean, it's just a ghost town now." It's hard to believe what the lunch hour now looks like just across the street from where the city is operated. But the truth is, there aren't many people working in the offices anyway, and haven't been for years. So, in late May, City Administrator Jestin Johnson sent a reminder about June 2, saying, "effective on that date, the City of Oakland will require that all City employees report to the office or workplace a minimum of three work days per work week." It's only three days a week, but there didn't seem to be much response, with one of the employee unions, Local 21, saying that the matter has still not been fully negotiated. In a letter, the union told its members, "If you have a current telecommuting agreement that you would like to keep, fill out the new telecommuting form with the same schedule." "I mean, I think people just don't want to come into the office if they don't have to," said Gemmel at City Center. "People don't want to come to downtown Oakland if they don't have to." But that doesn't do much to revitalize downtown. The city did not respond to a request about the number of remote workers who may have returned to the office on Monday. "Yeah, it's pretty serious," said Sandra Alvarez, who works at the Sandwicheez restaurant at City Center. "It was pretty slow today. We expected everybody to come back to work. It's probably 60 percent less people than there usually are around here. The plaza's empty. You know, everybody's closing down around here. Starbucks closed down too. Starbucks used to do, like, 15,000 a day. They couldn't even keep up business here. There's no sales anymore." But at the Marhabah Cafe, owner Mohamad Hamzeh said he's only making it because his is one of the only places left open. But in years past, he never would have had time to stop to talk to a reporter at lunch time. "Before we were, like, super busy. We don't have time to talk to anybody," he said. "We were like, hustle, hustle, hustle. But now just, like, relaxing. We're just trying to make it day by day." Hamzeh said he is willing to stick it out for one more year, mainly because he loves his city. But he said no one can survive the current situation for long. "Unfortunately, that's what it is right now. That's what happened after the pandemic. And we're waiting for people to come back to the office so we can keep going," Hamzeh said.
San Francisco Chronicle
23-04-2025
- Business
- San Francisco Chronicle
Oakland may have overpaid city workers using the wrong formula. It hasn't fixed the problem
Oakland officials are scrambling to explain why the city appears to have overpaid some city staff by $1.6 million using an incorrect payroll formula, and whether the problem is more widespread amid a city budget crisis. The city auditor released a report in February concluding that between January 2018 and May 2024, Oakland paid employees in the transportation and public works departments excess pay for overtime work. The audit determined that the overpayment problem could have affected other city departments. On Tuesday, the city administrator told members of the City Council's finance and management committee that it had not yet fixed the problem and was seeking help from an outside consultant. The revelation comes as Oakland officials try to close an $89 million budget deficit in the general purpose fund, which pays for police and fire, before the next fiscal year begins on July 1. 'I'm concerned that we're spending money that we don't have,' Council Member Janani Ramachandran told the Chronicle. The February audit determined that the city was using a method for calculating overtime that is different from the requirements of the Fair Labor Standards Act (FLSA), a federal law that sets standards for minimum pay. The city's audit showed that 158 transportation employees and 368 public works employees were overpaid. One public works employee, whose annual salary was $127,691, received $107.44 per hour per the city's formula instead of $80.53 per the FLSA formula – meaning that the employee received 33% more than they should have, according to the audit. On Tuesday, Jestin Johnson, Oakland's city administrator, said that FLSA sets minimum standards, but that the city typically pays above that minimum. 'We pay a higher rate, which can impact the calculation,' Johnson told the committee. Erin Roseman, the city's finance director, said the payroll issues are 'not illegal and it's not inappropriate' as long as it's authorized, which staff are in the process of determining. But auditors found there was no evidence that the overtime pay was ever authorized. 'Neither the City Charter, Municipal Code, City ordinances, nor labor contracts explain the City's method for calculating overtime pay,' the audit said. 'Furthermore, the Finance Department — whose Payroll Division processes payroll and ensures employee compensation aligns with official terms and regulations — could not explain why the City is using this method; neither could the Human Resources Management Department or the City Attorney's Office.' Michael Houston, the city auditor, said Tuesday that his office was unable to determine how the formula was first entered into the city's system and why. In addition to the city's transportation and public works departments, he said officials should also review payments to employees in other departments. 'The calculation applies citywide and it could be a much bigger number, but we can only speak to what we found,' Houston said. 'There is no reason for us to think that it's limited to that.' It's unclear how long the consultant will take to complete their analysis of the city's finance issues. The consultant is currently reviewing the auditor's work, but Johnson said he would ask them to also look at other city departments. Ramachandran told the Chronicle she's confused why an external consultant needs to review the auditor's work. She agreed that the consultant would be necessary to review other city departments that may have been affected. 'I definitely believe in the need to have good salaries for city workers who do a range of core city services,' Ramachandran said. 'But not overpayment beyond what's authorized.'
Yahoo
06-02-2025
- Politics
- Yahoo
Oakland city workers ordered to return to the office
(KRON) — After several years of working remotely, Oakland city workers received orders this week to begin returning to the office. Oakland City Administrator Jestin Johnson sent a memo to staff outlining a timeframe for employees to work in-person four days a week. In the memo, Johnson cited Administration Instruction 594 (AI 594), which created a telecommuting work program in September 2021. At the time, Johnson said, AI 594 was 'a much-needed tool for our employees to help the City maintain service levels while practicing social distancing and pandemic safety.' Then-President Joe Biden declared the pandemic over a year later in September 2022. Ex-Oakland teacher claims she was fired for not calling transgender 5-year-old student by preferred pronouns: lawsuit 'COVID-19 remains an important health safety issue, but we have collectively moved into newer, safer health conditions,' Johnson said. 'As AI 594 states, 'Telecommuting is a privilege, not a right.' Therefore, I intend to discontinue all telecommuting agreements and arrangements and require that all City employees report back to the office.' Oakland city workers will begin returning to office on Tuesday, Feb. 18, according to the city's timeline. That's when unrepresented department directors, assistant/deputy directors, managers and supervisors are expected to begin showing up at the office four days a week. That expectation will be extended to all city workers beginning on Monday, April 7. The city administrator added that flexibility for occasional remote work will be extended to city employees on a 'case-by-case basis.' 'I know this announcement will prompt many important questions, and the City Administrator's Office will work with all our departments and labor partners to address this transition's impacts,' Johnson said. Oakland's return-to-office order follows closely on the heels of around 100 City of Oakland employees receiving layoff notices this week. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
