WeWork to offer equity stakes to custodial, support staff

Following strikes and criticism, giant decides to hire service workers

New York /
Aug.August 07, 2015 12:32 PM

After weeks of striking by disgruntled janitors, shared-office company WeWork has now changed track and will hire service workers directly, with higher wages and better perks.

Service workers employed by WeWork’s contractor Commercial Business Management (CBM), along with union activists, began picketing the shared-office company’s headquarters at 222 Broadway in June, calling for a hike in pay from what they claim was around $10 an hour, to the union rate of around $23. The protests, which were widely publicized in outlets such as Buzzfeed and Gothamist, threatened to tarnish WeWork’s self-declared image as a do-good company intent on building a more collaborative work culture.

In a blog post published last night, WeWork’s COO Artie Minson announced that the firm is no longer looking to work with a contractor, and is instead hiring 100 new employees to take over janitorial and building management duties. CBM terminated its contract with WeWork at the end of June. Minson, who joined WeWork in June after quitting his job as CFO of Time Warner Cable, added that the firm will be interviewing all CBM employees for the new positions.

WeWork created two types of positions, and will pay between $15 and $18 per hour. Workers, who will be either “Community Service Associates” or “Community Service Leads,” will also receive bonuses, healthcare benefits, and equity stakes in the company, according to the post.

Local service workers’ union 32BJ SEIU criticized WeWork’s requirement that Community Service Associates have the “ability to communicate in English,” arguing some of CBM’s immigrant workers might not meet it.


Related Articles

arrow_forward_ios
Wendy Silverstein (Credit: Getty Images)
Wendy Silverstein, co-head of WeWork’s real-estate fund, is out
Wendy Silverstein, co-head of WeWork’s real-estate fund, is out
WeWork CEO Adam Neumann (Credit: Getty Images and iStock)
WeWork’s side businesses are fizzling
WeWork’s side businesses are fizzling
Sarah Pontius (Credit: Union College)
Another head rolls at WeWork
Another head rolls at WeWork
WeWork CEO Sandeep Mathrani (Getty)
WeWork’s bleeding continues as firm cuts 40 locations
WeWork’s bleeding continues as firm cuts 40 locations
Joel Schreiber, WeWork’s first investor, under fire on multiple fronts
Joel Schreiber, WeWork’s first investor, under fire on multiple fronts
Joel Schreiber, WeWork’s first investor, under fire on multiple fronts
TRD’s podcast digs into WeWork’s comeback attempt
TRD’s podcast digs into WeWork’s comeback attempt
TRD’s podcast digs into WeWork’s comeback attempt
From left: Jen Cho and Audrey Gelman with 52 Mercer Street
Soho landlord sues Audrey Gelman, The Wing for $1.7M in rent
Soho landlord sues Audrey Gelman, The Wing for $1.7M in rent
WeWork CEO Sandeep Mathrani (Getty Images, WeWork)
WeWork stock has taken a WeDive. Will it resurface?
WeWork stock has taken a WeDive. Will it resurface?
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...