Judge overturns McCormick reform

USA – Reforms to the McCormick Place labour laws aimed at attracting more events hit a stumbling block last week as a judge declared them invalid.

According to US District Court Judge Ronald Guzman, the National Labor Relations Act prevents state governments from creating laws interfering with the collective bargaining process. The ruling, found in favour of labour unions Teamsters Local 727 and the Chicago Regional Council of Carpenters, will seriously impair the development of more attractive labour rules for exhibitors at the Chicago venue.

The new laws would have given exhibitors the ability to contract out their own catering, build-up and breakdown work. It also limited crew sizes and overtime work.

“All of us at the Metropolitan Pier and Exposition Authority (MPEA) are greatly disturbed at the 31 March ruling overturning the labour reforms enacted by the Illinois General Assembly last May,” said MPEA trustee Jim Reilly in a statement.

“As all observers of the convention and trade show business are aware, the implementation of those reforms has, virtually overnight, transformed McCormick Place from a great convention and trade show facility that was rapidly losing its customer base into an industry powerhouse.

“Not only were our existing customers convinced to keep their events in Chicago, but new shows have been rapidly signing up, and these reforms have had a strong positive impact on the economy of Chicago during these difficult economic times.

“We believe the ruling is faulty in several ways, and are very hopeful that it will be overturned on appeal. On 4 April we will ask the District Court to stay execution of the order pending appeal to the Seventh U.S. Circuit Court of Appeals. We are confident that we have ample grounds to support that request.

“The ruling does not affect other aspects of the reform legislation. These include the Trusteeship, the power of the Interim Board to put in place a private firm to manage McCormick Place, and MPEA’s ability to enter into a lease with Navy Pier, Inc., the recently formed not-for-profit corporation governed by a Board of civic-minded Chicagoans.”

Following the new laws, shows had begun to return to McCormick Place.

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