Posted on 12/13/2024 5:37:57 AM PST by blueplum
(The Center Square) - Los Angeles City council voted to pass a $30 minimum wage for hotel and airport workers, along with an additional healthcare benefit starting at $8.35 per hour for employees of businesses that do not provide health insurance.
Businesses say the large spike in wages will lead to closures, scaling back employees, and hotels backing out of agreements put in place for the 2028 Olympics — and could threaten the city budget....
Hotels say the new wage increase is unaffordable, especially with income for many hotels flat as other costs rise, and could leave some with no option but to convert to homeless housing....
(Excerpt) Read more at msn.com ...
They never learn.
Wouldn't converting a hotel into a homeless shelter trigger a loan default for breaching a "change of use" clause?
Aren't such restrictions standard in hotel loans to safeguard against potential loss of value?
From my experience raising capital through bond issuance for hotel clients, real estate-secured debt always included such clauses.
Unions love this, because they bargain on a minimum wage plus premium. It pushes up their whole pay scale.
As you know it is all in the fine print—but in most cases you are correct—technical loan default.
Talk. Is. Cheap.
They’ll all do what they’re told as long as Deep State keeps shoveling taxpayer money at them.
It’s that simple.
There is an amazing differential in different states for the retail price of cigarettes:
https://worldpopulationreview.com/state-rankings/cigarette-prices-by-state
This guarantees a thriving black market in the high cost states.
For the lefties, this is the endgame. Convert as many hotels as possible to welfare hotels. It's part of the "fundamental transformation" cesspool.
Starting 2025 in California the minimum wage will be $16.50.
The bill for wages to be $17.50 failed by the voters Soooo the state did it’s gig to make it $16.50.
Going to be a lot of businesses going under because of it.
State won’t call it wet back wages it’s umm for all.
Reads like Babylon Bee. What a world we live in.
So housing the homeless is more profitable than running a hotel?
Only in CA.
Why not $50? $75, does it really matter at this point?
My family stayed in a hotel in Honolulu upon arrival on a ship from San Francisco. We were waiting for Navy quarters. The cigarette vending machine in the hotel lobby sold Marlboro for 30 cents a pack. 1961.
So even if you got your Navy quarters, you'd have been 5 cents short.
LA = Louisiana
L.A. = Los Angeles
When are journalists going to get it right?
LA = Lower Alabama. Get with the program!
It was the first party of any kind that I've attended in the last 15 years. I was there to see my friends. The cost of the food was a one off.
California government has taken over the private sector.
“Hotels say the new wage increase is unaffordable, especially with income for many hotels flat as other costs rise, and could leave some with no option but to convert to homeless housing...”
Which was the council intent all along, no doubt.
$30 min. wage plus $5 (? more) per bag and sheets and to put a paper strip on the toilet. Is it any wonder we haven’t taken a vacation for 15 years. Ya know, I put the suitcase in the car free of charge, I think I can take it out as well and roll it through the lobby.
Well, there goes Mickey D’s prices, too. Lets see, ground beef, homemade thousand island dressing, lettuce, cheese, pickles, onions on a homemade bun but none will miss the sesame seeds, add some jalapenos because why not, fries from a real potato and lemonade because I want it my way. And all the ketchup I want since they always seem to forget even when you tell them twice = $2.
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