{"id":759,"date":"2026-05-20T04:00:15","date_gmt":"2026-05-20T04:00:15","guid":{"rendered":"https:\/\/california-relocation-journal.com\/?p=759"},"modified":"2026-05-20T04:00:15","modified_gmt":"2026-05-20T04:00:15","slug":"in-deal-with-business-leaders-30-minimum-wage-for-l-a-hotel-and-airport-workers-will-be-delayed","status":"publish","type":"post","link":"https:\/\/california-relocation-journal.com\/?p=759","title":{"rendered":"In deal with business leaders, $30 minimum wage for L.A. hotel and airport workers will be delayed"},"content":{"rendered":"<div>\n<p>A $30 minimum wage for hotel and airport workers will be delayed after Los Angeles elected officials persuaded a group of business leaders to drop a ballot measure that would have devastated the city budget. <\/p>\n<p>Read more <a href=\"https:\/\/california-relocation-journal.com\/?p=757\">In growing fight, Steyer\u2019s campaign says pro-Becerra influencers didn\u2019t disclose pay<\/a><\/p>\n<p>On Tuesday, the City Council approved the 18-month delay, which will postpone the wage increase until after the 2028 Olympics and fend off the business-backed initiative to eliminate the gross receipts tax, which is the city\u2019s second-largest revenue stream.<\/p>\n<p>The minimum wage will still increase to $25 in July and continue in increments until reaching $30 in January 2030.<\/p>\n<p>Because the 11 to 4 vote was not unanimous, the new pay schedule will head to a second vote next week. Councilmembers Eunisses Hernandez, Ysabel Jurado, Nithya Raman and Hugo Soto-Mart\u00ednez cast the \u201cno\u201d votes.<\/p>\n<p>In May 2025, the council approved a proposal that would have increased the minimum wage to $30 in July 2028 and also raised an hourly payment for healthcare coverage.<\/p>\n<p>In response, a coalition of airline and hotel businesses gathered enough signatures to place a measure on the Nov. 3 ballot that took aim at the city\u2019s gross receipts tax, which is imposed on a vast array of businesses, including entertainment companies, child-care providers, law firms, accountants, healthcare businesses, nightclubs and many others.<\/p>\n<p>If approved by voters, the measure would have stripped $740 million from the city\u2019s general fund over the first year, according to city officials, and over five years would have amounted to a $860 million loss annually on average. <\/p>\n<p>City officials, hotel and airport businesses and labor unions had been in continuous negotiations since last Wednesday, when the council narrowly approved an initial postponement of the wage increase to allow time to reach an agreement. The business coalition agreed to withdraw the measure if the council permanently approved the delay.<\/p>\n<p>In addition to delaying the $30 minimum wage, the council on Tuesday pushed back the hourly healthcare payment to start at $8.15 an hour for airport workers in July 2027 and $4.25 for hotel workers July 1 of this year.<\/p>\n<p>The council also voted to set up a committee to study possible changes to the business tax structure.<\/p>\n<p>\u201cImposing wages and benefits without bringing business to the table is not reasonable,\u201d said Nella McOsker, president and chief executive  of the downtown business group Central City Assn., at the council meeting. \u201cIt is reasonable to ask us to partner together to be on the other side of the table and negotiate, but it is not OK to do so without that process.\u201d<\/p>\n<p>Kurt Petersen, president of Unite Here Local 11, which represents the hotel workers, accused city officials of giving \u201cinto blackmail.\u201d <\/p>\n<p>\u201cThey now have a playbook. The next time workers win something, they\u2019ll threaten to blow up the city,\u201d Petersen said of the business coalition. \u201cIt\u2019s a bad day for workers.\u201d<\/p>\n<p>Read more <a href=\"https:\/\/california-relocation-journal.com\/?p=755\">California, other states sue over new Trump limits on loans for nurses, PAs, therapists<\/a><\/p>\n<p>Council President Marqueece Harris-Dawson described the process as painful but nearing a conclusion.<\/p>\n<p>\u201cI think we walked away from the negotiating table, like many negotiating tables, where no one was happy about the outcome, but everybody came away better than when we started off,\u201d he said. <\/p>\n<p>Shortly before the council vote, Mayor Karen Bass issued a statement that said she was called in by both business and labor leaders to close the deal. <\/p>\n<p>She called the proposed repeal of the gross receipts tax \u201can existential threat to the city budget and the services it supports,\u201d including street repairs, public safety and efforts to clean the city.<\/p>\n<p>\u201cThis agreement ensures workers are paid fairly and that businesses that create jobs can continue serving L.A. and hiring Angelenos,\u201d Bass said.<\/p>\n<p>On Tuesday, the council chamber was filled with union workers in red, purple and yellow shirts. <\/p>\n<p>Laura Esquivel, a janitor at Los Angeles International Airport, expressed frustration that council members were not standing by their earlier commitment.<\/p>\n<p>\u201cWe\u2019re sick and tired of being exploited,\u201d Esquivel said. \u201cSome members of the council that are here, now we know, do not stand with workers.  We are not giving up, we will continue to fight and we\u2019ll be back here in 2028.\u201d<\/p>\n<p>Before voting against the delay, Soto-Mart\u00ednez, a former Unite Here organizer, called it sad and enraging.<\/p>\n<p>\u201cI cannot support anything that is going to take away money from workers,\u201d he said.<\/p>\n<p>Councilmember Imelda Padilla, who spoke in Spanish, was critical of the way the negotiations unfolded.<\/p>\n<p>\u201cIf this thing about the gross tax receipts passes, we don\u2019t have a city,\u201d Padilla said. \u201cThe business community has us by our necks.\u201d<\/p>\n<p>Read more <a href=\"https:\/\/california-relocation-journal.com\/?p=753\">Volvo to pay $197 million after hidden pollution device found in California truck engines<\/a><\/p>\n<p>She said workers deserve the wage increase, though she voted for the delay.<\/p>\n<p>\u201cNext time, let\u2019s negotiate, and let\u2019s negotiate well,\u201d she said. <\/p>\n<p><i>Times staff writer Suhauna Hussain contributed to this report.<\/i><\/p>\n<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"<p>The minimum wage will still increase to $25 in July and continue in increments until reaching $30 in January 2030.<\/p>\n","protected":false},"author":1,"featured_media":758,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[],"class_list":["post-759","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-politics"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.5 - 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MAY 14, 2025 - Ahead of Wednesday's City Council vote on a proposal to boost the city's minimum wage for hotel and airport workers to a nation's-high $30 an hour by 2028, airport,hotel and tourism workers rallied inside and outside City Hall in support of the measure on Wednesday, May 14, 2025. (Allen J. 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