July 18, 2019

Senators Duckworth and Durbin Demand CEO of Land of Lincoln Goodwill Industries Disclose Information on Failed Effort to Fire Employees with Disabilities

 

[WASHINGTON, D.C.] – Today, U.S. Senators Tammy Duckworth (D-IL) and Dick Durbin (D-IL) blasted Land of Lincoln Goodwill Industries President and CEO Sharon Durbin’s (no relation) recent offensive comments that sought to pit the well-being of Americans with disabilities against the interests of other hardworking hourly wage workers. In a letter to the Land of Lincoln Goodwill President and CEO, the Senators noted that the initial decision to terminate, or threaten to terminate, Land of Lincoln Goodwill Industries’ employees with intellectual disabilities unless the Governor of Illinois blocked a gradual increase in the minimum wage was misguided and offensive and called into question the CEO’s judgment and fitness to continue serving in her current leadership role.

“While we appreciate the Land of Lincoln Goodwill Industries’ willingness to apologize for [this] harmful effort and reverse course, fixing a manufactured crisis that you created is far from an admirable effort,” wrote Senators Duckworth and Durbin. “We also remain deeply troubled that the Land of Lincoln Goodwill Industries’ statement announcing the reversal failed to address whether, after rehiring all 50 employees with intellectual disabilities, [the organization] will make sure all 50 employees are paid at least the State minimum wage of $8.25 per hour.”

A full copy of the letter is available below and online here.

Ms. Sharon Durbin

President and CEO 

Land of Lincoln Goodwill Industries, Inc. 

1220 Outer Park Drive

Springfield, IL 62704

Dear Ms. Durbin:

We write to express our strong opposition to your offensive public comments that sought to pit the well-being of Americans with disabilities against the interests of other hardworking hourly wage workers. Your initial decision to terminate, or threaten to terminate, Land of Lincoln Goodwill Industries’ employees with intellectual disabilities unless the Governor of Illinois blocked a gradual increase in the minimum wage was wrong. Your actions and statements call into question your judgement, your commitment to the organization’s mission and your fitness to continue serving in your current leadership role.  

While we appreciate the Land of Lincoln Goodwill Industries’ willingness to apologize for its harmful effort and reverse course, fixing a manufactured crisis that you created is far from an admirable effort. We also remain deeply troubled that the Land of Lincoln Goodwill Industries’ statement announcing the reversal failed to address whether after rehiring all 50 employees with intellectual disabilities, you will make sure all 50 employees are paid at least the State minimum wage of $8.25 per hour.

As the leader of a large non-profit with total revenues in excess of $20 million (who received annual compensation of $164,849.00 and other compensation valued at $6,145.00, according to the 2017 Form 990 your organization filed with the Internal Revenue Service), your focus should have been on managing costs in a manner that enabled Land of Lincoln Goodwill Industries to continue employing workers with disabilities as the minimum wage gradually rises, making sure that none of your employees earn less than $8.25 in 2019, and $9.25 per hour in 2020. 

Your unsubstantiated claim that the forthcoming gradual increase of the Illinois minimum wage by $1 dollar per year beginning in 2020 and through 2025 required immediately firing employees with disabilities remains highly questionable – especially since the minimum wage will only rise to $9.25 per hour beginning in January 2020. Furthermore, it is deeply troubling that neither you nor the Board of Directors effectively planned for increasing workforce costs, especially given your organization’s continual growth and aggressive expansion plans in recent years.

The reality for far too many hardworking Illinoisans is that they have gone without a pay raise since 2010. The stagnant minimum wage of $8.25 is too low for any of your employees, and I am alarmed that the Land of Lincoln Goodwill Industries’ financial situation may be so precarious as to prevent your organization from managing an increase in personnel costs without harming your employees with disabilities, especially since you only pay 27 of those individuals subminimum wages.

To better understand the Land of Lincoln Goodwill Industries’ troubling decision to harm its workers with disabilities and make sure your organization is in compliance with all applicable statutory and regulatory requirements, please provide us with the following information:

 

  1. All documents relating to the analysis that justified or informed the decision to cease (or announce the pending cessation of) providing paychecks to workers with disabilities;

 

  1. All documents relating to the Land of Lincoln Goodwill Industries’ compensation for every employee with a disability, including hourly wages per employee for the following calendar or fiscal years (whichever is most efficient to compile): 2018, 2017, 2016, 2015, 2014, 2013, 2012, 2011 and 2010;

 

  1. All documents relating to your executive compensation for the following calendar or fiscal years: 2018, 2017, 2016, 2015, 2014, 2013, 2012, 2011 and 2010;

 

  1. All documents relating to internal Land of Lincoln Goodwill Industries employee communications discussing potential cuts in executive compensation levels to help mitigate increased costs from the rise of the minimum wage from $8.25 to $9.25 per hour in 2020;

 

  1. All documents relating to the recruitment, selection and hiring of Mr. Brian Durbin to be Vice President of Retail Operations at an annual salary of $95,747, including all communications between you and members of the Board of Directors relating to this hire and all communications between you and members of the Compensation Committee that reviews and approves awards of merit increases;

 

  1. All documents relating to the Land of Lincoln Goodwill Industries’ efforts to phase out subminimum wages for 27 employees with disabilities, which you characterized as your organization “progressing away from that” in a July 16, 2019, WCIA news report.

 

  1. All documents relating to how the Land of Lincoln Goodwill Industries’ calculated the cost increase estimate of $2 million annually from the gradual increase of the State minimum wage; and

 

  1. Copies of the Land of Lincoln Goodwill Industries’ financial statement audits conducted for 2018, 2017, 2016, 2015 and 2014.

We strongly urge you to carefully reflect on your comments and harmful course of action in the coming days.

The Land of Lincoln Goodwill Industries would likely be better served in transitioning to new leadership whose commitment to the mission and well-being of its employees would not be subject to suspicion and undermined by past actions. Thank you in advance for responding to our request and we look forward to reviewing your timely response.

                                                                   Sincerely,

 

Tammy Duckworth                                                                              Richard J. Durbin

United States Senator                                                                          United States Senator

 

 

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