| Background History |
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There is an interesting history behind the benefits and services
that Hotel Trades Council members and their families enjoy. Our benefits and
services, and the funds that make them available have set precedents for
workers in many other cities and in many other industries.
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The creation of our medical fund and the benefits it provides
was not easy. To begin such an innovative program, special New York State
legislation was required. That legislation was enacted through coordinated
efforts of the Hotel Trades Council and the Hotel Association. Those efforts
resulted in the needed legislation being introduced and passed in the State
Assembly and Senate, and then being signed into law by Governor Thomas Dewey in
1949.
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Our Medical Program, which is self-insured, has since served as
the model for many others. Even today, over 50 years after our medical fund was
initiated, other organizations are adopting the concepts of our own program.
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The Industry Training Program (“ITP”) has also served as a model
for similar schools in other industries. It is estimated that more than 25,000
hotel workers and their family members have utilized the school since its
inception.
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Our Dental Program and Optical Program, both of which began in
the 1970’s, are also the result of collective bargaining between the Union and
Hotel Employers. These programs have been expanded over the years. As an
example, free dental service was only available to members of the Union. Now,
of course, the free dental service is also available to spouses and dependents
of members. Our Life Insurance program was initiated in 1978, and the benefits
it pays have been increased in subsequent years.
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In 1985, through collective bargaining between the Hotel Trades
Council and the Hotel Association, two new and unique benefits, the Scholarship
Fund and the Pre-Paid Legal Program were extended to the Union workers and
their families.
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The success of the scholarship and legal programs is unparalleled. The Hotel
Association-Hotel Trades Council Scholarship Fund is the largest college grant
program provided anywhere in the world through a collective bargaining
agreement. Since 1987, when the program began awarding college scholarships to
children of the Union members, over $4 million in grants have been provided to
over 300 students.
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The Pre-Paid Legal Fund has assisted many Union workers and
their family members since services were initiated in 1987. The program
provides expert attorney service, at no cost to members, for a wide range of
legal matters. Like many of our other benefits, the Pre-Paid Legal Fund has
attained an unqualified success that has caused it to serve as a model for
similar legal plans instituted by many other unions and employers.
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The benefits and services enjoyed by Union members and their families are
provided by employer-provided funds, meaning that the Union’s members do not
pay anything to sustain these programs. These benefits and services are jointly
administered by the Council and the Association through each fund’s Board of
Trustees. The Trustees are not only responsible for keeping the funds
financially healthy, they work very hard to try to expand services whenever
possible. Examples of this are the expansion of Dental services to spouses and
dependents in 1979, the expansion of the Training Program to members’ spouses
and to hotel pensioners and their spouses in 1994, the expansion of the
Pre-Paid Legal Fund to hotel pensioners and their spouses also in 1994, and the
expansion of Medical, Dental, and Insurance benefits to domestic partners in
1996.
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In 1998, a Pharmacy benefit was added and the Optical program
vendor was changed so that members’ dependents and pensioners could enjoy the
benefit.
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We hope this brief history of the benefits and services the
Funds provide has proved to be informative.
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