Terranea Resort Announces Settlement of Lawsuit Tied to Labor Union Activities

RANCHO PALOS VERDES, Calif., April 26, 2019 /PRNewswire/ -- Terranea Resort announced today that it has signed a settlement agreement that successfully ends a class-action lawsuit that was filed the same day labor union Unite Here Local 11 launched a smear campaign to pressure the resort to submit to a unionization process that deprives employees of their Constitutional rights to decide by secret ballot election whether they want third-party representation.

Terranea settled the lawsuit, denying all allegations, to avoid protracted and costly litigation.

Said Terri A. Haack, President of Terranea: "We are happy to have expediently resolved this matter and avoided a costly and lengthy litigation that would have largely benefited a small group of plaintiff lawyers.  We are confident that we would have prevailed in court, but believe our resources are better spent delivering exceptional experiences at Terranea that support our employees, enchant our guests and strengthen our community. We are pleased that Terranea remains the employer of choice for our valued team members and are committed to their continued fair compensation and treatment."

Terranea has enjoyed a low staff turnover since opening a decade ago because of its culture of mutual respect and fairness.  

Plaintiffs' attorneys, including an attorney who also represents Unite Here Local 11, stand to receive more than $716,000 in legal fees as part of the settlement.  Employees will receive individual sums that are a very small fraction of what the attorneys will receive.

Since the lawsuit was filed, Unite Here Local 11 has continued to try to coerce the Resort to sacrifice employees' freedom of choice.

More than a year ago Terranea formally requested that Local 11 agree to let employees exercise their right to vote in a free and fair democratic election.  Local 11 has rejected the request rather than risk losing a vote.

SOURCE Terranea Resort