LADWP union alleges ‘double dipping’ when retired workers take pension and then work for another city agency

The union representing Los Angeles Department of Water and Power employees filed a legal action against the city Tuesday, saying it wants to bar the practice of “double dipping” that the union claims threatens the solvency of the employee retirement system.

The Los Angeles Superior Court petition filed by the International Brotherhood of Electrical Workers Local 18 also alleges the practice creates extra burdens on both the tax and utility payments made by residents.

According to the petition, the city charter prohibits people who have retired from city service and who are receiving a pension from being paid a municipal salary at the same time.

“This plain charter language was affirmed by the City Attorney’s Office in 2005,” the union said in a statement. “Suddenly, and without explanation, in late 2023 the city attorney opined that the charter’s definition of ‘city’ does not apply to LADWP” when it comes to the practice.

A representative for the City Attorney’s Office did not immediately reply to a request for comment.

“LADWP and the Water and Power Employees Retirement System were both established by the city charter, so it’s just plain nuts for city officials to allow the city attorney to say that LADWP jobs are not city jobs,” Local 18 Business Manager Gus Corona said in a statement. “It will be Los Angeles residents who pay the price for this bizarre decision through their tax dollars and utility payments.”

Additionally, the labor agreement between the city and the union “clearly requires that this action, which has deep implications for the department’s employees and their pension system, must be addressed through collective bargaining,” according to the union statement.

“The city’s actions in this matter clearly violate the contract between the union and the city and show a disregard and disrespect for basic worker rights,” Corona said. “The taxpayers and ratepayers of Los Angeles are the same people and they will pay the price if this decision is allowed to stand.”