SEIU Code of Ethical Practices

Adopted by the SEIU Local 509 Joint Executive Board on September 9, 2008
SECTION 1. This Code of Ethical Practices shall be applicable to SEIU Local 509.

SECTION 2.  All officers and managerial employees of SEIU, whether elected or appointed, have a trust and high fiduciary duty to honestly and faithfully serve the best interests of the membership.

SECTION 3.  No officer or managerial employee of SEIU shall, to the best of his/her knowledge, have an ownership or other substantial financial interest which conflicts with his/her fiduciary duty. In particular, it shall not be permissible for any officer or managerial employee to:
(a) have a substantial ownership or financial interest in any firm that engages in collective bargaining with SEIU or any of its affiliates, unless that ownership or financial interest complies with applicable law and has been fully disclosed to the International President and International Secretary-Treasurer and they have determined that it does not compromise the officer’s or employee’s ability to act in the best interest of the SEIU and its members; or
(b) have a substantial ownership or financial interest in any firm which does business or seeks to do business with SEIU or any of its affiliates, unless that ownership or financial interest complies with applicable law and has been fully disclosed to the International President and International Secretary-Treasurer and they have determined that it does not compromise the officer’s or employee’s ability to act in the best interest of the SEIU and its members; or
(c) be the sole or effective decision-maker concerning SEIU’s relations with a firm in which his/her parent, spouse, spousal equivalent or dependent child of that relationship, grandparent, grandchild, brother, sister, first or second cousin, mother-in-law, father-in-law, sister-in-law, brother-in-law, daughter-in-law, step-parent, step-sibling, foster parent, foster child, or business partner has a substantial ownership or financial interest; or
(d) engage in any self-dealing transactions with SEIU or any of its affiliates, such as buying property from, or selling property to SEIU, without the informed approval of the International Secretary-Treasurer obtained after full disclosure, including an independent appraisal of the fair market value of the property to be bought or sold.
(e) For purposes of these rules, a “substantial ownership or financial interest” is one which either contributes significantly to the individual’s financial well-being or which enables the individual to significantly affect or influence the course of the business entity’s decision making. A “substantial ownership or financial interest” does not include stock in a purchase plan, profit-sharing plan or ESOP.

SECTION 4.  No officer or managerial employee of SEIU shall accept any non-de-minimis personal payment or gift from any employer that engages in collective bargaining with SEIU or its affiliates or from any business or professional firm that does business or seeks to do business with SEIU or any of its affiliates, other than regular pay and benefits for work performed, except as may be otherwise permitted under the terms of applicable federal law.

SECTION 5.  No officer or employee of SEIU shall convert or divert any funds or other property belonging to SEIU to such individual’s personal use or advantage.

SECTION 6.  No officer or managerial employee of SEIU shall receive compensation of any kind from a fund established for the provision of health, welfare, or retirement benefits for serving as an employee representative or labor-designated trustee on such employee benefit fund or plan, except for reimbursement of reasonable expense properly and actually incurred, provided uniformly to such representatives or trustees. It is not a violation of this provision for an officer or managerial employee who is not a full-time employee of the SEIU or of an affiliate to be a lawfully paid employee of a retirement, health or welfare fund, as long as such employment is consistent with applicable legal restrictions.

SECTION 7.  No person shall serve as an officer or managerial employee of SEIU who has been convicted of any felony involving the infliction of grievous bodily injury or any felony involving abuse or misuse of such person's position or employment in a labor organization or employee benefit plan to seek or obtain an illegal gain at the expense of the members or the beneficiaries of the employee benefit plan, except for the limited exceptions as may be set forth in applicable federal law.

SECTION 8.  As long as there is compliance with the terms of Section 3 above, this Code is not intended to preclude officers or employees of SEIU from owning publicly traded shares of any employer that SEIU or an affiliates seeks to organize or that does business with or that engages in collective bargaining with SEIU or its affiliates, through a mutual fund, national securities exchange or other similar investment vehicle, provided that all transactions affecting such interests are consistent with rates and terms established by the open market. Further this Code does not apply to investments held in a blind trust.

SECTION 9.  Any allegation that this Code has been violated should be brought to the attention of the International President or International Secretary-Treasurer, who shall refer the matter to the SEIU Legal Department for appropriate further action or investigation.