Wednesday, May 21, 2025

"L.A. council backs $30 minimum wage for hotels, despite warnings from tourism industry"

As always, the reductio ad absurdum question is: "Why not $60?"

From the Los Angeles Times, May 14:

The Los Angeles City Council voted Wednesday to approve a sweeping package of minimum wage increases for workers in the tourism industry, despite objections from business leaders who warned that the region is already facing a slowdown in international travel.

The proposal, billed by labor leaders as the highest minimum wage in the country, would require hotels with more than 60 rooms, as well as companies doing business at Los Angeles International Airport, to pay their workers $30 per hour by 2028.

That translates to a 48% hike in the minimum wage for hotel employees over three years. Airport workers would see a 56% increase.

On top of that, hotels and airport businesses will be required to provide new or increased hourly pay for their workers’ healthcare. Council President Marqueece Harris-Dawson said he expects that amount will reach $8.35 per hour in July 2026.

The package of increases was approved on a 12-3 vote, with Councilmembers John Lee, Traci Park and Monica Rodriguez opposed. Because the tally was not unanimous, a second vote will be required next week.

Rodriguez, who represents the northeast San Fernando Valley, told her colleagues that the proposal would cause hotels and airport businesses to cut back on staffing, resulting in job losses. The same thing is happening at City Hall, with elected officials considering staff cuts to cover the cost of employee raises, she said.

“We are right now facing 1,600 imminent layoffs because the revenue is just not matching our expenditures,” Rodriguez said. “The same will happen in the private sector.”....

....MUCH MORE