In a published opinion that will resonate throughout California’s public safety labor community, the Court of Appeal has reversed a trial court decision and ruled that the Los Angeles County Professional Peace Officers Association retained its statutory right to meet and confer over the County’s plan to outsource security work to a private contractor. Los Angeles County Professional Peace Officers Association v. County of Los Angeles (2026) B338182 (certified for publication April 10, 2026), held that the union did not clearly and unmistakably waive its right to bargain over the County’s decision to transfer bargaining-unit security work to a private contractor.
The dispute centered on Article 16 of the parties’ Memorandum of Understanding, titled “Employee Rights in the Event of Transfer of Functions.” That article provided, in pertinent part:
“In the event the County enters into any agreement with another public employer or private entity which involves the transfer of functions now being performed by employees in this representation Unit or the law provides for the transfer of functions now being performed by employees in this Unit to another public or private agency, the County will advise such public or private entity of the existence and terms of this Memorandum of Understanding and will immediately advise PPOA of such agreement or law. In addition, the County will consult with the employer absorbing a County function to encourage utilization of affected employees by the new employer. When a Department’s Request for Proposal is approved by the Chief Executive Officer, the Labor Relations Office will arrange to meet with representatives of PPOA to advise them of this action within five (5) days.
When advance knowledge of the impact of pending changes in function, organization, or operations is available which will result in the abolishment of positions or when there is any major reassignment of functions from one department to another or to another agency, Management will make an intensive effort to either reassign or transfer affected employees to other position for which they qualify, or train affected employees for new positions in order to retain their services.
It is understood and agreed that Management shall have no obligation to negotiate the decision of any reorganization by the County during the life of this agreement.”
When the County announced its intention to contract out security services at the Kenneth Hahn Hall of Administration, it refused the union’s request to meet and confer on the decision itself. The County asserted that the final sentence of Article 16 constituted a waiver of any obligation to negotiate the decision of any reorganization, which it interpreted to include outsourcing.
The appellate court carefully examined both the contract language and the governing legal standard under the Meyers-Milias-Brown Act. It reaffirmed that outsourcing decisions affecting terms and conditions of employment constitute mandatory subjects of bargaining. The court reiterated that any claimed waiver of a union’s bargaining rights must be clear and unmistakable. After reviewing the full context of the Memorandum of Understanding provisions, the court concluded that neither the transfer-of-functions language nor the general reorganization clause satisfied this demanding standard.
The court explained that the notice and consultation provisions in Article 16, while addressing the consequences of a transfer, say nothing about waiving the statutory right to meet and confer. The court further observed that the management rights clause’s reference to “any reorganization” is vague and ambiguous. It could reasonably be read to memorialize only the County’s right under Government Code section 3504 to make fundamental management decisions, such as internal reorganizations or layoffs, without bargaining. The clause does not expressly mention outsourcing or the statutory meet-and-confer obligation.
The decision underscores a principle of enduring importance in public sector labor law. General management rights clauses serve to preserve traditional managerial prerogatives rather than to operate as silent waivers of the duty to bargain over matters such as subcontracting that directly impact wages, hours, and working conditions. Silence or ambiguous language is insufficient to relinquish important statutory protections. In the court’s view, the County simply failed to carry its burden to demonstrate a clear and unmistakable waiver under the terms of the Memorandum of Understanding.
This ruling therefore provides valuable guidance for public safety unions negotiating memoranda of understanding throughout the state. Agencies will frequently attempt to rely on broad contract language to bypass the meet-and-confer process on critical issues such as outsourcing. PERB is in accord, scrutinizing such claims rigorously and requiring explicit, unmistakable waiver language before finding that a union has surrendered its rights.
California public employee unions can take confidence from the outcome, which reinforces the fundamental protections of the Meyers-Milias-Brown Act and serves as a timely reminder that vigilant negotiation and careful review of proposed contract terms remain essential to safeguarding bargaining-unit work.



