A group of New York City elected officials have asked Great Neck-based Namdar Realty Group to uphold industry standards and employee compensation after staff wages and benefits for their Manhattan property were slashed last year.
“For several years, 529 employed a responsible cleaning contractor that provided middle-class wages and benefits to the hard-working cleaners who show up every day to keep the building clean,” the Jan. 23 letter states. “A recent change to an irresponsible contractor has resulted in massive wage and benefit reductions to dedicated employees who have spent years servicing the property.”
Executive Vice President Denis Johnston of 32BJ SEIU, the union representing the impacted employees, expressed appreciation for their support.
“We are heartened by the support of elected officials across multiple levels of government who are standing with contracted cleaners who service Namdar Realty buildings,” Johnston said. “Namdar can do the right thing and commit to upholding New York City labor standards within the commercial real estate industry. Family-sustaining jobs are good for tenants, workers, as well as building owners who benefit from a stable, experienced workforce with the skills and resources to adapt to changing conditions in buildings and the city.
Efforts to solicit comment from Namdar Realty Group were unavailing.
The letter was signed by New York City Council Member Keith Powers, state Sen. Liz Krueger, Manhattan Borough President Mark Levine and state Assembly Member Alex Bores. It cites “significant concerns” with Namdar’s property at 529 Fifth Ave. in Manhattan.
Namdar’s property at 529 Fifth Ave. has been under scrutiny for months by the staff employed at the building after their wages were cut in half and medical benefits revoked, union representatives said.
“This slash came before the holiday season,” the letter states. “This means instead of focusing on family and joy, these workers spent last months of the year falling behind on rent and wondering if they can afford medical care.”
Namdar Realty Group, with its headquarters based in Great Neck, owns and manages many properties in the New York Metro area and other states as far away as California and Texas. It is considered one of the largest retail landlords in the country with more than 70 million square feet of commercial real estate.
Namdar’s portfolio includes the 20-story office building at 529 Fifth Ave. that it bought with Empire Capital Holdings in 2023 for $105 million, according to the Commercial Observer, which was the target of a July strike and continued pushback.
Union 32BJ, which is the largest property service workers union in the country with more than 175,000 members. Members include cleaners, property maintenance workers, doormen, security officers, window cleaners, building engineers, and school and food service workers.
32BJ received a new four-year contract in December 2023, achieved in tandem through bargaining with building owners, but Johnston previously told Schneps Media Long Island that Namdar has not abided by that contract.
At Namdar’s property on 529 Fifth Ave., Johnston previously said a former contractor who worked with the union was removed by Namdar, who then hired a different one. The new contractor, L&J Janitorial, then cut worker wages in half and revoked medical benefits, Johnston said.
He said the cuts put workers at a poverty level of income.
The letter states the company has also violated industry standards set through “created in collaboration between owners, contractors, and employees over decades.”
“Tens of thousands of New Yorkers have dedicated time and energy to creating a real estate economy where all parties can thrive,” the letter states. “Challenging that is dangerous to the entire market.”
The union has pushed back against these cuts, including strikes and rallies. Johnston said their fight isn’t stopping.
“Namdar can do right by workers,” Johnston said. “We at 32BJ SEIU will not stop fighting to defend and expand the wage and benefit standards for essential workers across New York.”
