New York City Comptroller Lander and Pension Funds Call on Chipotle to Adopt a Policy of Noninterference with Worker Unionizing Efforts

New York, NY – New York City Comptroller Brad Lander, on behalf of the five New York City Retirement Systems, filed a shareholder proposal at Chipotle Mexican Grill, Inc. (Chipotle) calling for the Board of Directors to adopt and disclose a policy of noninterference which clearly upholds worker rights to freedom of association and collective bargaining. The five Systems have a total of 48,870 company shares, valued at $80.46 million as of January 31, 2023.

Chipotle, which was recently ordered to pay more than $20 million to 13,000 workers after the company violated New York City’s worker protection laws, has demonstrated a pattern of anti-union tactics and retaliatory firings. This week, the National Labor Relations Board (NLRB) found that Chipotle violated federal labor law by closing a Maine restaurant where workers voted to unionize; it ordered the company to reopen the restaurant, reinstate dislocated employees’ jobs, and provide back pay.

“Protecting workers’ fundamental rights to organize is not just good ethics, it’s good business. As long-term shareholders we expect responsible employers to respect the labor rights of their workers. Chipotle must catch up with companies like Microsoft that have recognized that noninterference with worker organizing is a basic standard for responsible employers,” said New York City Comptroller Brad Lander.

The proposal requests that the board adopt a noninterference policy aligned with the International Labour Organization’s (ILO) Declaration on Fundamental Principles and Rights at Work. The ILO defines freedom of association as the “right of workers and employers to create and join organizations of their choice freely and without fear of reprisal or interference.” In addition to adhering to ILO standards, the proposal requests that the policy prohibit the company from interfering with workers exercising their right to form or join a trade union and require timely collective bargaining. It also calls for the creation of robust accountability processes if the policy is violated.

As major shareholders representing the interests of hundreds of thousands of retired and current unionized workers, New York City’s five public pension funds are troubled by reports of anti-union behavior by Chipotle and other portfolio companies. The NLRB has investigated numerous complaints of anti-union tactics by Chipotle, including closing restaurants that vote to unionize, firing workers for organizing, and hiring anti-union consultants.

These aggressive, anti-union practices clearly violate international standards on human rights and pose serious long-term reputational, legal, and operational risks to the company and its shareholders.

“Labor unions continue to be at the forefront of the fight for fair treatment of working people, so it is unconscionable for Chipotle to be engaging in its pattern of union-busting tactics,” said Queens Borough President Donovan Richards Jr. and New York City Employees’ Retirement System Trustee. “This shareholder proposal puts Chipotle on notice that its illegal anti-union practices will no longer be tolerated. I fully support this proposal and all efforts to safeguard the ability of unions to secure better lives for their members and their members’ families.”

“Every person in the country has the right to freedom of association. No one should take action to prevent workers from forming a union and engaging in collective bargaining. We support the workers at Chipotle and urge their employer to refrain from interfering in their efforts to organize a labor union,” said Liam Guilfoyle, Captain’s Representative of the Uniformed Fire Officer’s Association and New York City Fire Pension Fund Trustee.

In addition to Comptroller Lander, Borough President Richards and Mr. Guilfoyle, the trustees of the New York City Retirement Systems are as follows:

New York City Employees’ Retirement System (NYCERS): Mayor Eric Adams’ Appointee Bryan Berge, Director, Mayor’s Office of Pension and Investments; New York City Public Advocate Jumaane Williams; Borough Presidents: Mark Levine (Manhattan), Antonio Reynoso (Brooklyn), Vito Fossella (Staten Island), and Vanessa L. Gibson (Bronx); Henry Garrido, Executive Director, District Council 37, AFSCME; Tony Utano, President Transport Workers Union Local 100; and Gregory Floyd, President, International Brotherhood of Teamsters, Local 237.

Teachers’ Retirement System (TRS): Mayor Eric Adams’ Appointee Bryan Berge, Director, Mayor’s Office of Pension and Investments; Chancellor’s Representative, Dr. Angela Green, New York City Department of Education Panel for Educational Policy; and Thomas Brown (Chair), Victoria Lee, and David Kazansky, all of the United Federation of Teachers.

New York City Fire Pension Fund (Fire): Mayor Eric Adams’ Representative Bryan Berge, Director, Mayor’s Office of Pension and Investments; New York City Fire Commissioner Laura Kavanagh (Chair); New York City Finance Commissioner Preston Niblack; Andrew Ansbro, President, Robert Eustace, Vice President, Edward Brown, Treasurer, and Eric Bischoff, Staten Island Representative and Chair, Uniformed Firefighters Association of Greater New York; James Brosi, Chiefs’ Rep., and Christopher Jensen, Lieutenants’ Rep., Uniformed Fire Officers Association; and Peter Devita, Marine Engineers Association.

New York City Police Pension Fund (Police): Mayor Eric Adams’ Representative Bryan Berge, Director, Mayor’s Office of Pension and Investments; New York City Finance Commissioner Preston Niblack; New York City Police Commissioner Keechant Sewell (Chair); Chris Monahan, Captains Endowment Association; Louis Turco, Lieutenants Benevolent Association; Vincent Vallelong, Sergeants Benevolent Association; Paul DiGiacomo, Detectives Endowment Association; and Patrick Lynch, John Puglissi, Joseph Alejandro, and Artie Egner, all of the NYC Police Benevolent Association.

Board of Education Retirement System (BERS): Schools Chancellor David C. Banks, Represented by Karine Apollon; New York City Comptroller Brad Lander’s Representative Alison Hirsh; Mayoral appointees Chantel Cabrera, Lilly Chan, Marjorie Dienstag, Khari Edwards. Gregory Faulkner, Anita Garcia, Anthony Giordano, Dr. Angela Green, Ruth Maria Kenley, Michelle Joseph, Alan Ong, Phoebe Sade-Arnold, Maisha Sapp, Gladys Ward; CEC appointees Naveed Hasan, Jessamyn Lee, Thomas Sheppard, and Ephraim Zakry; Borough President Appointees Geneal Chacon (Bronx); Tazin Azad (Brooklyn); Kaliris Salas-Ramirez (Manhattan); Sheree Gibson (Queens); Aaron Bogad (Staten Island); and employee members John Maderich of the IUOE Local 891 and Donald Nesbit of District Council 37, Local 372.

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