What's Happening?
Union activity in the hotel industry has significantly decreased in 2025, with only around 400 workers involved in strikes compared to over 10,000 in 2024. The ongoing strike at Hilton Americas-Houston in Texas is a notable exception, initiated after the expiration of workers' contracts in June. The union Unite Here is advocating for better wages, highlighting financial struggles faced by workers. Despite the decline in visible union actions, underlying tensions suggest a potential resurgence.
Why It's Important?
The decrease in union activity reflects a shift in labor dynamics within the hotel industry. While the quieter tone in 2025 may seem like a temporary calm, industry experts warn that significant activity is occurring beneath the surface. Hotel owners are advised to remain vigilant and proactive in their union-related strategies to avoid negative impacts. The political landscape, including changes in the National Labor Relations Board under the Trump administration, has influenced union activities.
What's Next?
Several high-profile citywide union contracts are set to expire ahead of major events, such as the 2028 Olympics in Los Angeles. Unions are advocating for industry-specific minimum wages, aiming for $30 an hour for hotel workers by the time of the Olympics. Efforts by the American Hotel & Lodging Association to repeal these wage rules through a ballot referendum have failed. The association is urging the mayor to find a solution to avert potential job losses and hotel closures.
Beyond the Headlines
The current lull in union activity might be temporary, with potential for resurgence as major events approach. The hotel industry must navigate the complexities of labor relations, balancing the need for fair wages with economic sustainability. The political and economic implications of union actions could have long-term effects on the industry, influencing labor policies and business strategies.