News Summary
The L.A. Alliance for Tourism, Jobs and Progress’s attempt to repeal Los Angeles’ newly enacted $30 minimum wage for hotel and airport workers did not gather enough signatures. With nearly 9,000 short of the required 93,000, the proposal is now at risk. The ordinance, approved four months prior, will gradually increase wages to $30 an hour by 2028, coinciding with the upcoming Olympic Games. City officials view this as a win for organized labor amid wider debates over wages and business interests in the area.
Los Angeles — An effort by the L.A. Alliance for Tourism, Jobs and Progress to repeal the city’s recently passed $30 minimum wage for hotel and airport workers has failed to qualify for the ballot due to insufficient signatures. The interim City Clerk, Petty Santos, announced on Monday that the referendum needed approximately 93,000 signatures but fell short by nearly 9,000, leaving the business group’s proposal in jeopardy.
The Los Angeles City Council had approved the wage ordinance just four months earlier, in May, after a two-year campaign led by labor organizers. Under the terms of this ordinance, the minimum wage for workers in hotels and airports is set to gradually increase over the next several years, reaching $22.50 an hour in July 2024, $25 in July 2026, $27.50 in July 2027, and ultimately $30 an hour by July 2028. This increase is strategically timed to implement just prior to the Olympic Games scheduled to take place in Los Angeles.
Financial backing for the L.A. Alliance came from major corporations including Delta Air Lines, United Airlines, and the American Hotel & Lodging Association. The alliance argued that the wage ordinance could put jobs at risk, lead to hotel closures, and significantly reduce tax revenue at a time when the city is gearing up for the 2028 Olympics. The business group expressed concerns that the wage increase could negatively impact the tourism industry and stall new hotel construction throughout Los Angeles.
In response to the failed referendum, City Councilmember Hugo Soto-Martínez indicated that the outcome sends a significant message to corporate interests about the strength of organized labor and working people. Meanwhile, the supporters of the wage increase, known as the Defend The Wage LA Coalition, celebrated the refutation of the business group’s petition as a historic victory. The coalition noted that the business group had expended over $3 million in efforts to oppose the wage increase.
Opponents of the wage hike voiced strong concerns about potential layoffs within the tourism sector and a slowdown in new hotel construction projects. Unite Here Local 11, the union representing hotel workers, claimed they successfully mobilized voters to withdraw their signatures from the petition submitted by the business group. In light of the situation, the alliance has alleged that their referendum faced fraudulent activity from opponents, leading to a request for an investigation by the Los Angeles County District Attorney’s office.
This recent episode is part of a broader ongoing conflict in Los Angeles between organized labor and business groups over various proposals that could significantly affect wages and business taxes. Unite Here had additionally submitted proposals aimed at raising the minimum wage for all workers in Los Angeles to $30 by 2028 and mandated voter approval for real estate projects.
As for the business group, they are exploring potential proposals that could mitigate operational costs within the city, including efforts to repeal the city’s business tax, which could potentially remove $800 million from the city’s budget.
Following the City Clerk’s announcement regarding the failed referendum, the minimum wage ordinance is set to take effect as soon as the process surrounding the referendum has concluded. Among the signatures submitted by the L.A. Alliance, totaling approximately 140,774, around 56,767 were invalidated due to issues such as duplicates or voter withdrawal.
The debate surrounding this minimum wage ordinance has been marked by intense accusations of misinformation and fraudulent tactics from both sides, demonstrating the high stakes involved in the evolving labor and economic landscape in Los Angeles.
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Additional Resources
- Los Angeles Times: Bid to repeal L.A.’s $30 hotel minimum wage fails to qualify for the ballot
- Wikipedia: Minimum wage
- Hotel Dive: Los Angeles $30 minimum wage proceeds
- Google Search: Los Angeles minimum wage
- Hotel Investment Today: LA minimum wage moves forward
- Encyclopedia Britannica: Minimum wage
- LAist: LA minimum wage boost for tourism workers moves forward
- Google News: Los Angeles minimum wage 2025
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LOS ANGELES STAFF WRITER The LOS ANGELES STAFF WRITER represents the experienced team at HERELosAngeles.com, your go-to source for actionable local news and information in Los Angeles, Los Angeles County, and beyond, specializing in "news you can use" with coverage of product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise from years of dedicated reporting and strong community input, including local press releases and business updates, while delivering top reporting on high-value events like the Academy Awards, LA Auto Show, and Los Angeles Marathon, extending coverage to key organizations such as the Los Angeles Area Chamber of Commerce and the Los Angeles Tourism & Convention Board, plus leading businesses in entertainment and technology like Warner Bros. and SpaceX, and as part of the broader HERE network including HEREAnaheim.com , HERECostaMesa.com , HEREHuntingtonBeach.com , and HERESantaAna.com , providing comprehensive, credible insights into Southern California's dynamic landscape. HERE Anaheim HERE Beverly Hills HERE Coronado HERE Costa Mesa HERE Hollywood HERE Huntington Beach HERE Long Beach HERE Los Angeles HERE Mission Viejo HERE San Diego HERE Santa Ana
