AAHOA Supports Effort to Delay Wage Mandate Implementation

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ATLANTA, Georgia—AAHOA (Asian American Hotel Owners Association) expressed support for the Los Angeles City Council’s move to potentially delay implementation of the city’s proposed hotel and airport worker wage mandate. AAHOA Members own more than 1,100 hotels in Greater Los Angeles.

The Council voted Wednesday to advance an ordinance that would potentially postpone implementation of the $30 minimum wage timeline from 2028 to 2030, while allowing continued negotiations among city leaders, labor organizations, and hospitality industry stakeholders.

The action follows growing concerns from hotel owners and businesses about the economic impact of the ordinance, which would increase hotel worker wages from $22.50 in 2025 to $30 by 2028, while adding mandatory healthcare benefit payments beginning in 2026.

Opponents of the wage increase, including AAHOA, gathered enough signatures to qualify a measure for the Nov. 3 ballot that would repeal the city’s gross receipts tax. City officials said the measure could remove some $740 million from the city’s general fund in the first year alone, impacting funding for police, firefighters, homelessness programs, and other services. Supporters of the ballot measure, including airline and hotel industry groups, have indicated they would withdraw the effort if the city delays or halts implementation of the proposed $30 hourly minimum wage.

Statements From Leadership

“AAHOA Members support fair wages and strong career opportunities for hotel employees, but policies of this magnitude must reflect the economic realities facing hotel owners,” said AAHOA Chairman Rahul Patel. “Many hotel owners, particularly small business and family-owned operators, continue to face rising labor costs, increased insurance premiums, higher taxes, and ongoing operational challenges. Delaying implementation provides an opportunity for meaningful discussions that can lead to a more balanced and sustainable solution for workers, hotel owners, and the city.”

“The hospitality industry remains a critical economic driver for Los Angeles, supporting jobs, tourism, and local communities,” said AAHOA President and Chief Executive Officer Laura Lee Blake. “This pause creates an important opportunity for policymakers and stakeholders to work together toward solutions that protect workers while ensuring hotels can continue operating, investing in their properties, and sustaining local jobs as Los Angeles prepares to welcome the world in 2028.”

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