Los Angeles Hotel Owners Seek Referendum to Halt $30 Minimum Wage Ahead of Olympics

Los Angeles has enacted a law mandating a minimum wage increase for hotel and airport workers to $25 per hour starting July 2025, rising to $30 by the 2028 Olympics, alongside new healthcare contribution requirements. The ordinance, supported by labor unions as essential for workers facing high living costs, has sparked fierce opposition from hotel owners and industry groups who warn it could devastate the tourism economy by increasing operational costs, leading to job losses and higher prices for visitors. More than 100,000 signatures were gathered to qualify a referendum petition aimed at delaying or overturning the law, effectively pausing its enforcement while legal challenges over the petition's signature collection proceed. Several hotels have threatened to withdraw from agreements providing discounted rooms for Olympic events, highlighting tensions between fair worker compensation and maintaining a competitive hospitality sector. The conflict has drawn attention from California lawmakers, with unions alleging improper signature gathering and calling for the cessation of the petition process. Depending on the outcome of the legal battle, the wage hike dispute may be decided by a public vote in June 2026.