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Miami Herald
17-06-2025
- Business
- Miami Herald
Union launches dueling ballot measures, escalating fight over LA's tourism worker wage hike
The hospitality union that won a major increase in the minimum wage for Los Angeles hotel and airport workers is escalating its fight with a hotel and airline industry group, which recently launched a campaign to repeal the wage hike. Unite Here Local 11, which represents hotel and restaurant workers, filed paperwork Monday for a pair of ballot proposals. One would raise the minimum wage for all workers in the city to $30 by July 2028. The other would force a public vote on the construction of large hotels or major hotel expansions. That measure would also require a public vote on the development or expansion of "event centers," such as sports stadiums, concert halls or the city's Convention Center. Union officials described the proposed ballot measures as a response to an effort launched last month by a group of airlines and hotel businesses to overturn a city ordinance hiking the minimum wage of hotel and airport workers in Los Angeles to $30 an hour by 2028 by forcing a citywide vote on the measure. Unite Here Local 11 co-President Kurt Petersen said the wage proposal addresses criticism from business groups that the tourism industry had been singled out for wage increases. "We agree that all workers should make more," Petersen said. "We are hopeful since (airlines and hotels) think that only giving a living wage to one group is unfair, that they will immediately endorse it." Petersen said the second proposal would give voters a direct say in major hotel and event center projects subsidized by the city, as well as those that could take up valuable real estate that otherwise could be used to develop housing. The proposal would require that major development projects - including the creation of new hotels with 80 or more rooms, or 80-room expansions to existing hotels - seek voter approval before receiving construction permits. The development of event spaces with more than 50,000 square feet or with a seating capacity of 1,000 seats would similarly require voter approval, as would any development projects that receive a city subsidy, such as a gift of land or tax rebates. Petersen had previously said it was hypocritical for business leaders to fight wage increases at the same time they were pressing the City Council to spend tens of millions of dollars preparing for a renovation of the Los Angeles Convention Center, a decision made in April. The council voted last month to approve the airport and hotel worker wage hikes, which were championed by Unite Here Local 11 and Service Employees International Union-United Service Workers West. The unions billed the proposal as an "Olympic wage," one that would ensure that their members can keep up with the rising cost of food and rent. They also argued that corporations should not be the only ones to benefit financially from the Olympic Games, scheduled to be held in L.A. in 2028. Soon after, a coalition of businesses, known as the L.A. Alliance for Tourism, Jobs and Progress, filed paperwork to halt the law and put the issue on the ballot instead, hoping to persuade voters to repeal the ordinance. The alliance has argued for several weeks that the wage hike will hurt the industry, forcing businesses to lay off workers and thwarting the development of new hotels. On Monday, the group described the plan to require public votes on hotel and convention center projects as "one union killing other union jobs." "The initiative being proposed will kill the Convention Center project that union workers would otherwise have and the tourism industry would benefit from," the alliance said in a statement. "The union can play its games, but we remain focused on protecting L.A. residents from lasting, widespread job loss." One business leader separately voiced alarm about the hotel union's citywide minimum wage wage proposal, warning it would cause companies to pull out of L.A. and relocate to neighboring cities, counties and states. "People will lose their jobs. Businesses will close," said Stuart Waldman, president of the Valley Industry and Commerce Association, which is based in the San Fernando Valley. "The city will become a barren land of empty storefronts and empty office buildings as employers go elsewhere." An official at the city's tourism department declined comment on the event center proposal, saying he had not yet read it. To successfully place the measure on the ballot in an upcoming election, the union and other backers would need to collect about 140,000 signatures within 120 days, organizers said. The hotel minimum wage, approved by the council in 2014, currently stands at $20.32 per hour. The minimum wage for private-sector employees at Los Angeles International Airport is $25.23 per hour, once those workers' $5.95 hourly healthcare payment is included. For nearly everyone else in L.A., the hourly minimum wage is $17.28, which is 78 cents higher than the state's. Copyright (C) 2025, Tribune Content Agency, LLC. Portions copyrighted by the respective providers.
Los Angeles Times
17-06-2025
- Business
- Los Angeles Times
Union launches dueling ballot measures, escalating fight over L.A.'s tourism worker wage hike
The hospitality union that won a major increase in the minimum wage for Los Angeles hotel and airport workers is escalating its fight with a hotel and airline industry group, which recently launched a campaign to repeal the wage hike. Unite Here Local 11, which represents hotel and restaurant workers, filed paperwork Monday for a pair of ballot proposals. One would raise the minimum wage for all workers in the city to $30 by July 2028. The other would force a public vote on the construction of large hotels or major hotel expansions. That measure would also require a public vote on the development or expansion of 'event centers,' such as sports stadiums, concert halls or the city's Convention Center. Union officials described the proposed ballot measures as a response to an effort launched last month by a group of airlines and hotel businesses to overturn a city ordinance hiking the minimum wage of hotel and airport workers in Los Angeles to $30 an hour by 2028 by forcing a citywide vote on the measure. Unite Here Local 11 co-President Kurt Petersen said the wage proposal addresses criticism from business groups that the tourism industry had been singled out for wage increases. 'We agree that all workers should make more,' Petersen said. 'We are hopeful since [airlines and hotels] think that only giving a living wage to one group is unfair, that they will immediately endorse it.' Petersen said the second proposal would give voters a direct say in major hotel and event center projects subsidized by the city, as well as those that could take up valuable real estate that otherwise could be used to develop housing. The proposal would require that major development projects — including the creation of new hotels with 80 or more rooms, or 80-room expansions to existing hotels — seek voter approval before receiving construction permits. The development of event spaces with more than 50,000 square feet or with a seating capacity of 1,000 seats would similarly require voter approval, as would any development projects that receive a city subsidy, such as a gift of land or tax rebates. Petersen had previously said it was hypocritical for business leaders to fight wage increases at the same time they were pressing the City Council to spend tens of millions of dollars preparing for a renovation of the Los Angeles Convention Center, a decision made in April. The council voted last month to approve the airport and hotel worker wage hikes, which were championed by Unite Here Local 11 and Service Employees International Union-United Service Workers West. The unions billed the proposal as an 'Olympic wage,' one that would ensure that their members can keep up with the rising cost of food and rent. They also argued that corporations should not be the only ones to benefit financially from the Olympic Games, scheduled to be held in L.A. in 2028. Soon after, a coalition of businesses, known as the L.A. Alliance for Tourism, Jobs and Progress, filed paperwork to halt the law and put the issue on the ballot instead, hoping to persuade voters to repeal the ordinance. The alliance has argued for several weeks that the wage hike will hurt the industry, forcing businesses to lay off workers and thwarting the development of new hotels. On Monday, the group described the plan to require public votes on hotel and convention center projects as 'one union killing other union jobs.' 'The initiative being proposed will kill the Convention Center project that union workers would otherwise have and the tourism industry would benefit from,' the alliance said in a statement. 'The union can play its games, but we remain focused on protecting L.A. residents from lasting, widespread job loss.' One business leader separately voiced alarm about the hotel union's citywide minimum wage wage proposal, warning it would cause companies to pull out of L.A. and relocate to neighboring cities, counties and states. 'People will lose their jobs. Businesses will close,' said Stuart Waldman, president of the Valley Industry and Commerce Assn., which is based in the San Fernando Valley. 'The city will become a barren land of empty storefronts and empty office buildings as employers go elsewhere.' An official at the city's tourism department declined comment on the event center proposal, saying he had not yet read it. To successfully place the measure on the ballot in an upcoming election, the union and other backers would need to collect about 140,000 signatures within 120 days, organizers said. The hotel minimum wage, approved by the council in 2014, currently stands at $20.32 per hour. The minimum wage for private-sector employees at Los Angeles International Airport is $25.23 per hour, once those workers' $5.95 hourly healthcare payment is included. For nearly everyone else in L.A., the hourly minimum wage is $17.28, which is 78 cents higher than the state's.
Yahoo
23-04-2025
- Business
- Yahoo
Long Beach Convention Center operator reaches deal with union after wage complaint
The Southern California union representing hospitality workers has reached a deal to secure employment for about 100 workers at the Long Beach Convention Center. The agreement between United Here Local 11 and ASM Global, the company that operates the city-owned convention center, resolves a dispute that erupted last month after the union accused a subcontractor of underpaying workers and avoiding payroll taxes. After the union filed a complaint with the state about the subcontractor, Costa Mesa-based event management company 1Fifty1 Inc., ASM Global moved to end its ties with the business. The new agreement will cover about 100 dishwashers, cooks, servers, bartenders and cleaners, as well as about 100 workers formerly employed by 1Fifty1 who cleaned public areas such as bathrooms, broke down and set up event spaces and performed groundskeeper services. The deal secures a total wage boost of $12 per hour over the course of the three-year contract, free family health insurance, and a 400% increase in pension contributions, according to the union. The agreement also limits the company's use of temporary agency workers. Union members ratified the agreement in a vote held Friday and Saturday. 'Our members again showed extraordinary courage and unity — they refused to settle until the workers exploited by the temporary agency 1Fifty1 won justice," Kurt Petersen, co-president of Unite Here Local 11, said in a statement. Read more: Long Beach Convention Center subcontractor accused of wage theft, tax evasion Stacey Escudero, a spokesperson for ASM Global, said that the company has reached out to all the former 1Fifty1 employees for whom it has contact information and that many already have been hired. 'We are proud to share that UNITE HERE and ASM Global have reached a new agreement reinforcing our shared commitment to good jobs, fair wages, and outstanding service at the Long Beach Convention & Entertainment Center," Escudero said in an emailed statement. Unite Here Local 11 had filed a complaint with the California labor commissioner's office March 13, alleging that 1Fifty1 paid convention workers under the table with cash in envelopes, violating labor laws that require pay stubs showing hours worked and tax deductions. The complaint also alleged that 1Fifty1failed to pay some employees the minimum wage for Long Beach concessionaire workers, currently set at $17.97 an hour, as well as overtime wages for employees who worked seven- or eight-hour shifts seven days a week. The labor commissioner's office is investigating the claims. 1Fifty1 did not respond to a request for comment on the deal. The company previously said the union's allegations were untrue. Sign up for our Wide Shot newsletter to get the latest entertainment business news, analysis and insights. This story originally appeared in Los Angeles Times.
Los Angeles Times
23-04-2025
- Business
- Los Angeles Times
Long Beach Convention Center operator reaches deal with union after wage complaint
The Southern California union representing hospitality workers has reached a deal to secure employment for about 100 workers at the Long Beach Convention Center. The agreement between United Here Local 11 and ASM Global, the company that operates the city-owned convention center, resolves a dispute that erupted last month after the union accused a subcontractor of underpaying workers and avoiding payroll taxes. After the union filed a complaint with the state about the subcontractor, Costa Mesa-based event management company 1Fifty1 Inc., ASM Global moved to end its ties with the business. The new agreement will cover about 100 dishwashers, cooks, servers, bartenders and cleaners, as well as about 100 workers formerly employed by 1Fifty1 who cleaned public areas such as bathrooms, broke down and set up event spaces and performed groundskeeper services. The deal secures a total wage boost of $12 per hour over the course of the three-year contract, free family health insurance, and a 400% increase in pension contributions, according to the union. The agreement also limits the company's use of temporary agency workers. Union members ratified the agreement in a vote held Friday and Saturday. 'Our members again showed extraordinary courage and unity — they refused to settle until the workers exploited by the temporary agency 1Fifty1 won justice,' Kurt Petersen, co-president of Unite Here Local 11, said in a statement. Stacey Escudero, a spokesperson for ASM Global, said that the company has reached out to all the former 1Fifty1 employees for whom it has contact information and that many already have been hired. 'We are proud to share that UNITE HERE and ASM Global have reached a new agreement reinforcing our shared commitment to good jobs, fair wages, and outstanding service at the Long Beach Convention & Entertainment Center,' Escudero said in an emailed statement. Unite Here Local 11 had filed a complaint with the California labor commissioner's office March 13, alleging that 1Fifty1 paid convention workers under the table with cash in envelopes, violating labor laws that require pay stubs showing hours worked and tax deductions. The complaint also alleged that 1Fifty1failed to pay some employees the minimum wage for Long Beach concessionaire workers, currently set at $17.97 an hour, as well as overtime wages for employees who worked seven- or eight-hour shifts seven days a week. The labor commissioner's office is investigating the claims. 1Fifty1 did not respond to a request for comment on the deal. The company previously said the union's allegations were untrue.
Yahoo
03-03-2025
- Business
- Yahoo
After 101 years, the doors close on L.A.'s Original Pantry Cafe
Downtown Los Angeles on Sunday lost another iconic eatery with the closure of the Original Pantry Cafe, which had been serving up hot coffee, burgers and breakfast platters since 1924. News of the planned closure drew brisk business as patrons sought a farewell meal at the diner on the corner of 9th and South Figueroa streets. The shuttering itself was bitter. Once doors were closed, the diner's remaining 25 workers gathered inside, received manila envelopes containing their final checks and, with support from their labor union, refused to leave. "It's still open from their perspective," said Kurt Petersen, co-president of the Unite Here Local 11 labor union that Petersen said had represented workers at the diner for decades. "They told management they want them to change their mind." The restaurant built its Los Angeles legacy not on elegant fare (it had a mediocre 3.7 rating on Yelp) but on its 24-hour service, making it a haven for night owls and early risers. The diner had survived past threats. It dodged a freeway project in the 1950s, moving its location to make way for an off-ramp. Former Mayor Richard Riordan took over the restaurant in 1981 as part of a larger land deal. 'When I fell in love with the Pantry, I was at breakfast, drinking coffee, and I had a book I was reading,' Riordan was quoted as saying in The Times. 'I was very relaxed and the waiter came over and said, 'If you want to read, the library's at 5th and Hope.' I fell in love with it right then.' But the isolation policies of the COVID-19 pandemic delivered a heavy blow, forcing the diner to limit its hours. Despite $1.7 million in federal loans (all but $500,000 of it forgiven) to preserve 82 jobs at the restaurant, workers said only about two dozen employees remained by Sunday's closure. Los Angeles court records show a proposed class-action lawsuit was filed in April 2023 on behalf of Pantry workers alleging unpaid wages for overtime, rest and meal breaks. Two weeks later, Riordan died. The wage case remained in settlement talks as recently as February, filings show. Ownership of the diner transferred to Riordan's trust, which said it sought to sell the asset to support its philanthropic endeavors. The union attempted to negotiate terms that would require any new owner to honor the existing contract. That didn't happen, and the labor union filed a grievance with the National Labor Relations Board. Read more: The Original Pantry Cafe owner threatens to close historic diner over union contract dispute Attorney Carl McKinzie, chief executive officer of the trust's company that operates the Pantry, declined comment on Sunday. He referred a reporter to a lengthy prepared statement given to media earlier in the week saying sales talks have been ongoing since last summer. After the diner's doors closed Sunday, a representative of the trust arrived and attempted to distribute envelopes containing final paychecks. When workers would not step up to take them, she set them on a table. "They left the envelope on the table and left out the back," said a table server who gave only his first name, Alex. He said he had been employed at the diner 24 years. "No thank you. She don't say nothing." When workers attempted to stay behind, management called L.A. police, and officers eventually arrived to tell employees they faced trespass charges if they remained. The Pantry's workers left without incident, but Petersen from the union remained and was issued a citation, a union representative said. Alex was not certain what might happen next week, other than that the union would have people out front with placards and signs. Union officials said they did not know if there was already a new owner in the wings. The Pantry's online ordering service remained operational Sunday. A Times reporter was able to put in a takeout order for French toast first thing Wednesday. Sign up for Essential California for news, features and recommendations from the L.A. Times and beyond in your inbox six days a week. This story originally appeared in Los Angeles Times.
