LA tourism workers could receive possible wage increase

LA tourism workers could receive possible wage increase

Los Angeles Tourism Workers Fast Ahead Crucial Minimum Wage Vote

Could a three-day fast by Los Angeles tourism workers sway the City Council vote on a minimum wage hike? On Wednesday, a key question looms large: will the City Council approve a path to increase the minimum wage for the city’s tourism workers, or will it side with hotel owners who warn about the potential economic consequences, particularly with the 2028 Olympics on the horizon.

The proposed change would see a phased-in increase in the hourly minimum wage for airport and hotel workers, climbing to $25 by February 2025. The proposal includes a health care benefit payment of $8.35. After that initial bump, wages would continue to rise annually, reaching $30 per hour by 2028.

The path to this decision has been anything but smooth. In November, City Council members postponed a vote after an extensive and contentious discussion involving agency staff and representatives from Berkeley Economic Advising and Research, a firm contracted to analyze the Economic Impact on the city.

The study itself left Council members with more questions than answers, and some representatives criticize it for lacking sufficient detail regarding the fieldwork method employed. They argue the study underestimates the impact of the proposed wage increases on local businesses.

A City Divided: Supporters vs. Opponents

The proposal fuels fierce debate. Labor unions like Unite Here Local 11 and SEIU-USWW have long advocated for a wage increase, stress the urgent need to afford housing and basic necessities amidst skyrocketing living costs.

Hotel owners argue that the projected increase, particularly with the upcoming Olympics, presents an untenable financial burden. Some hotel owners, including the Pebblebrook Hotel Trust, which operates nine hotels in Los Angeles, West Hollywood, and Santa Monica, warn they might be forced to scale back operations, shut down hotel restaurants, and convert rooms to residential units.

The Hotel Association of Los Angeles echoes these concerns, arguing that the wage hikes would significantly impact contracts signed with LA2028, raising concerns about their ability to participate in securing hotel rooms for the upcoming Olympics.

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The proposal does include some concessions: it proposes exemptions for smaller businesses with 50 or fewer employees and accommodation for some hotel owners under specific circumstances.

With the city now ready to make a final decision, the tension has reached a peak. Tourism worker advocates, determined to influence the outcome, have organized a three-day fast, culminating in a rally outside City Hall on Wednesday morning.

Whether their fastingprotest will sway the votes remains to be seen.

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