LA Hotels Fight Back Against $38 Wage

At least eight Los Angeles hotels are poised to withdraw from an agreement to provide discounted rooms for the 2028 Olympics if the city finalizes a plan to raise the minimum wage for tourism workers to $30 an hour.

The hotels have notified LA28, the Olympics organizing committee, of their decision to pull out of the Olympic room block agreement, according to the Hotel Association of Los Angeles. More hotels may follow if the City Council approves the Olympic Wage Ordinance in a final vote this Friday, May 23, and the mayor signs it into law.

The move threatens to complicate LA28’s lodging plans for Olympic officials, media and sponsors, who were expected to rely on the thousands of pre-negotiated hotel rooms across the city. Hoteliers say those rates were agreed to under very different labor cost assumptions and can no longer be sustained under the new wage mandate.

Source: LA Hotels Revolt as City Approves $38 Minimum Wage