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AAHOA backs move to delay LA hotel wage mandate
The proposed delay would extend the timeline for a $30 minimum wage for hotel and airport workers from 2028 to 2030.
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Malvika Choudhary - Thu, 14, May 2026
- 18:09 EDT
- 31
AAHOA / Facebook
The Asian American Hotel Owners Association backed an effort by the Los Angeles City Council to potentially delay implementation of the city’s proposed hotel and airport worker wage mandate, citing concerns over the financial impact on hotel operators.
In a statement issued May 14, AAHOA said the City Council voted to advance an ordinance that could postpone the implementation timeline for a proposed $30 minimum wage from 2028 to 2030, while negotiations continue among city officials, labor groups and hospitality industry stakeholders.
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The proposed ordinance would raise hotel worker wages from $22.50 in 2025 to $30 an hour by 2028 and introduce mandatory healthcare benefit payments beginning in 2026.
AAHOA said the City Council’s action carries particular significance because its members own more than 1,100 hotels across Greater Los Angeles, giving the association a major stake in the outcome of the proposed wage mandate.
“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 Rahul Patel, chairman of AAHOA.
“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,” Patel added.
Opponents of the wage increase, including AAHOA, gathered enough signatures to place a measure on the Nov. 3 ballot seeking repeal of the city’s gross receipts tax.
City officials have said repeal of the tax could remove an estimated $740 million from the city’s general fund in its first year, affecting funding for public services including police, fire and homelessness programs.
Supporters of the ballot measure, including hotel and airline industry groups, have indicated they could withdraw the effort if the city delays or halts implementation of the proposed wage increase.
“The hospitality industry remains a critical economic driver for Los Angeles, supporting jobs, tourism, and local communities,” said Laura Lee Blake, president and CEO of AAHOA.
“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,” Blake said.
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