Tuesday, July 29, 2008

LA City Council is Demanding LAX Hilton to raise its Employees Wages

The L-A-X Hilton is challenging the legality of having to pay airport-area hotel employees a “living wage.”

The law requires hotels near L-A-X to pay its employees a minimum of nine dollars and 39 cents per hour with health insurance.

Or pay employees ten dollars and 64 cents per hour without benefits.

The lawsuit claims the ordinance violates the National Labor Relations Act and state equal protection guarantees.

Spokesman for L-A-X Hilton-- Rueben Gonzales says specific hotels are being unfairly treated by this ordinance.

Gonzales says the main objection is that the city has unfairly targeted a law that only affects twelve businesses on one street.

So that any other business even a block away from the street that is a competitor of the Hilton does not have to follow the same law and it’s not fair.

The lawsuit makes clear that the law violates state and federal guarantees to equal protection under the law.

Hotel General Manager Grant Coonley says the city can not force wages when the company has no financial or contractual relationship with the city.

Council members Janice Hahn and Bill Rosendahl disagree.

They say the city spends Millions of dollars to upgrade L-AX and hotels near the airport receive added business because of its proximity.

The L-A City Council approved the “living wage” ordinance back in February of 2007.

However, the law has never been in effect because of challenges from hotel owners and business leaders.

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