L.A. Mayor, City Council: Best Advertisement For The Move To Texas
LA WATCHDOG-On Wednesday, the Herb Wesson led City Council approved the Citywide Hotel Minimum Wage Ordinance without considering the impact on the hotel industry, the Convention Center, and the City’s well deserved “business unfriendly” reputation that has alienated employers and investors who create jobs.
As a result, on July 1, nonunion hotels with 300 or more rooms will be required to increase its hourly wage rate for all employees, including “tipped” employees, to at least $15.37, one of the highest rates in the country. On July 1, 2016, this mandated increase will apply to all nonunion hotels with 150 or more rooms. This minimum wage will also be subject to cost of living adjustments.
Unfortunately, the predisposed City Council did not engage in any real discussion or analysis of the proposed increase, ignoring the reports of three consulting firms that were only made available on Monday afternoon, hardly time for the Economic Development Committee and the City Council to digest the impact of this huge wage increase. More than likely, only a few of the Councilmembers even bothered to read the reports.
As the Editorial Board of The Los Angeles Times put it, “It’s been clear for months that the proponents of the [hotel minimum] wage on the council have no desire to have a real debate on the merits of raising pay just for hotel workers. Instead, they’ve ignored unfavorable economic studies, tuned out valid industry concerns, and overridden their own existing laws in an effort to enact what is in fact bad public policy.”
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