NYC Hospitality Industry Rallies Against Hotel Licensing Bill: Thousands Protest Potential Job Losses and Economic Devastation
Hotel Dive2 months ago
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NYC Hospitality Industry Rallies Against Hotel Licensing Bill: Thousands Protest Potential Job Losses and Economic Devastation

BUSINESS
hotel
licensing
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nyc
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Summary:

  • Over 1,500 hotel and hospitality professionals protested a proposed bill in NYC that would require hotels to obtain a license to operate.

  • The bill, dubbed the “Safe Hotels Act,” has sparked widespread outrage from the industry, who fear it will have devastating consequences for jobs and the city’s economy.

  • Industry leaders argue the bill will add significant costs to hotels, jeopardizing their ability to operate, and strain the city’s tourism industry.

  • The Protect NYC Tourism Coalition claims the act would threaten tens of thousands of jobs and billions of dollars in economic development.

  • The NY/NJ Hotel & Gaming Workers Union supports the legislation, arguing it would “curb the use of exploitive subcontracting agencies in most hotels.”

NYC Hospitality Industry Fights Back Against Hotel Licensing Bill

Over 1,500 hotel and hospitality professionals took to the steps of New York City Hall to protest a proposed bill that would require hotels to obtain a license to operate in the city. This legislation, dubbed the “Safe Hotels Act,” has sparked widespread outrage from the industry, who fear it will have devastating consequences for jobs and the city’s economy.

The bill, proposed by City Councilperson Julie Menin in mid-July, would require hotels to maintain continuous front-desk coverage and employ their core staff directly, prohibiting the use of subcontractors for functions like housekeeping, front desk, and security.

Industry Concerns and Potential Impact

Multiple hotel associations, including the Asian American Hotel Owners Association (AAHOA) and the American Hotel & Lodging Association (AHLA), have condemned the bill, arguing it would be “destructive” and “devastating” for New York’s hotels and the city’s economy. They argue the bill will add significant costs to hotels, jeopardizing their ability to operate, and strain the city’s tourism industry.

The Protect NYC Tourism Coalition, which organized the protest, claims the act would threaten tens of thousands of jobs and billions of dollars in economic development.

Unions Support the Bill

However, the NY/NJ Hotel & Gaming Workers Union supports the legislation, arguing it would “curb the use of exploitive subcontracting agencies in most hotels.” The union believes the act would safeguard health and safety protections for workers, such as panic buttons, daily room cleaning, and enhanced security measures.

What's Next?

The protest aimed to urge the City Council to “kill the bill” and preserve jobs. Several industry leaders are calling for the City Council to reconsider the bill and work towards solutions that support economic growth and job creation. The bill’s public hearing, initially scheduled for July 30, was postponed and a new date hasn't been announced.

It remains to be seen whether the City Council will address the concerns of the hospitality industry or move forward with the legislation. The outcome will have significant implications for the future of New York City's tourism and hospitality sector.

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