City of L.A. v. IBEW, Local 18 CA2/7

California Court of Appeal·Decided July 30, 2026·No. B336981·Unpublished

Opinion

Filed 7/30/26 City of L.A. v. IBEW, Local 18 CA2/7 NOT TO BE PUBLISHED IN THE OFFICIAL REPORTS California Rules of Court, rule 8.1115(a), prohibits courts and parties from citing or relying on opinions not certified for publication or ordered published, except as specified by rule 8.1115(b). This opinion has not been certified for publication or ordered published for purposes of rule 8.1115.

IN THE COURT OF APPEAL OF THE STATE OF CALIFORNIA

SECOND APPELLATE DISTRICT

DIVISION SEVEN

CITY OF LOS ANGELES, B336981 c/w B340065 (Los Angeles County Super.

Petitioner and Appellant; Ct. No. 22STCP03070)

INTERNATIONAL BROTHERHOOD OF ELECTRICAL WORKERS, LOCAL 18,

Real Party in Interest and Appellant,

v.

AMERICAN FEDERATION OF STATE, COUNTY AND MUNICIPAL EMPLOYEES et al.,

Real Party in Interest and Respondent;

CITY OF LOS ANGELES EMPLOYEE RELATIONS BOARD,

Respondent.

APPEALS from a judgment and an order of the Superior Court of Los Angeles County, Curtis A. Kin, Judge. Affirmed and remanded.

Kronick, Moskovitz, Tiedemann & Girard, David W. Tyra and Alec D. Tyra for Petitioner and Appellant.

Schwartz, Steinsapir, Dohrmann & Sommers and Daniel E.

Curry for Real Party in Interest and Appellant.

Rothner, Segall & Greenstone, Hannah Weinstein and Julia Harumi Mass for Real Party in Interest and Respondent.

Beginning in 1980 the Los Angeles Department of Water and Power (DWP) and the City of Los Angeles (City) maintained a reciprocal retirement benefits arrangement (Reciprocity or the Reciprocal Arrangement). This arrangement allowed employees transferring between DWP and the City to carry their pension service credits between the two retirement systems. In 2010, DWP decided to withdraw from Reciprocity. In 2013 the City then adopted Ordinance No. 182824 (the 2013 Ordinance), which suspended the Reciprocal Arrangement.

City employees and their unions1 (collectively the Coalition)

filed an unfair labor relations practice claim before the

1 The Coalition of City of Los Angeles Unions, which represents current and former City employees whose retirement benefits are administered by the Los Angeles City Employees’ Retirement System, consists of: American Federation of State, County and Municipal Employees, District Council 36 and its Local Unions 741, 901, 2006, 2626, 3090, and 3672; Service Employees International Union, Local 721; Laborer’s

Los Angeles Employees Relations Board (ERB). The Coalition alleged the City failed to bargain or meet and confer with the Coalition over the suspension of the Reciprocal Arrangement. The ERB agreed the City violated its duty to engage in “effects bargaining” regarding possible ways to mitigate the effects of the suspension of the Reciprocal Arrangement. The ERB ordered the City to bargain with the Coalition and to make whole Coalition- represented employees who sustained losses, including reduced pension or other benefits, resulting from the City’s unilateral implementation of the suspension, until the City had satisfied its obligation to bargain. The trial court then denied the City’s petition for writ of mandate challenging the ERB’s order and granted the Coalition’s petition seeking to enforce it.

The City does not dispute that it had a duty to bargain over the effects of ending Reciprocity. Instead, it challenges only the remedy ordered by the ERB. It argues the ERB lacked authority to order make-whole relief and, even if it possessed that authority, fashioned an improper remedy that failed to restore the parties to the status quo existing when the City’s bargaining obligation arose. The City further contends the ERB’s order is vague and overbroad, and violates separation-of-powers principles. Finally, it challenges the trial court’s postjudgment award of attorney fees under Code of Civil Procedure section 1021.5. We affirm.

International Union of North America, Local 777; Los Angeles and Orange County Building & Construction Trades Council; International Union of Operating Engineers, Local 501; and Teamsters Union, Local 911.

FACTUAL AND PROCEDURAL BACKGROUND

A. The Different Los Angeles City Retirement Plans and the Reciprocal Arrangement The City provides retirement benefits to its employees through different retirement systems, two of which are relevant here. One is the Los Angeles City Employees’ Retirement System (LACERS), for most City officers and employees. (Los Angeles City Charter, §§ 500, 1102, subd. (a), 1150.)2 The Los Angeles City Council (City Council) has authority to establish or modify LACERS benefits under the procedures set forth in the Charter. (Charter, § 1168.) The terms of the LACERS plan are codified in the Los Angeles Administrative Code.3 (Charter, § 1150, subd. (b).)

The DWP provides retirement benefits through the Water and Power Employees’ Retirement Plan (WPERP). (Charter, § 603.) WPERP operates autonomously, with an independent source of funding and a separate budget. (Charter § 603.) Like the City with respect to LACERS, DWP has authority to modify WPERP benefits, and the WPERP Board of Administration manages and administers the plan and its funds. (Charter, §§ 1102, subd. (c), 1104, subd. (c), 1106, 1186.)

Beginning around 1980, LACERS and WPERP entered into an arrangement governing the transfer of retirement benefits between the two systems. In January 1980, the City Council enacted former section 4.1060 to implement the arrangement between LACERS and WPERP. This code section was later

2 Charter references are to the Los Angeles City Charter. 3 Undesignated section references are to the Los Angeles Administrative Code.

renumbered without substantive change as section 4.1095. Under this arrangement, employees transferring between DWP and any City department (in either direction) could transfer their employee pension contributions and interest on those contributions to the new retirement system. The receiving retirement system treated the transferring employees as if they had spent their entire City career under that retirement system.

Both LACERS and WPERP are defined-benefit plans that calculate retirement benefits based on an employee’s years of service, compensation, and a multiplier. (§§ 4.1005, 4.1007, 4.1080.7.) As a result, the number of years of credited service directly affects the amount of an employee’s pension. Reciprocity allowed the employee to transfer credit for years of employment from one system to another, thereby increasing the employee’s pension.

The Reciprocal Arrangement contemplated that both LACERS and WPERP would participate. Specifically, section 4.1095, subdivision (k), reads: “Reciprocity of Benefit Provisions and Conditions Affecting this Section. It is the intent and purpose of this section to provide, or help to provide, portability between the LACERS and the WPERP. The achievement of complete portability of benefits is dependent upon appropriate action by the governing body of the WPERP. Should the implementation of any provisions of this section be possible only if some specific action is taken by the WPERP, then, and as to such provisions only, the effect of this section shall be suspended until appropriate action has been taken by the WPERP.”

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City of L.A. v. IBEW, Local 18 CA2/7, (Cal. Ct. App. 2026).

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