since prohibit Most are short-term leases in 2023, and lodge costs in New York Metropolis are skyrocketing. Now the town is contemplating measure It will nearly definitely pressure costs to rise additional.
The invoice, launched by New York Metropolis Councilmember Julie Menin, would goal non-union lodges and prohibit lodge homeowners from Contract employees are employed for a lot of positions, equivalent to housekeeping, safety, and bartending. The measure would require lodge homeowners to rent these employees immediately somewhat than depend on cheaper subcontracting companies.
Moreover, the proposed regulation would require all lodges to acquire working licenses. As a situation of being licensed, the lodge is required to rent a 24-hour safety guard who can also be licensed.
Many restaurant homeowners mentioned the measure would improve their prices and cut back income, forcing them to boost already excessive costs, lay off employees or shut fully.
‘It is like a nuclear bomb,’ Vijay Dandapani, president and CEO of the Lodge Affiliation of New York Metropolis Tell this big apple publish. “It may destroy a significant a part of the business. It is a bazooka that kills small bugs.”
To this point, the proposal has robust assist from the Lodge and Gaming Commerce Council, an influential alliance representing the hospitality business.
“Frankly, delegation is without doubt one of the strongest and efficient instruments we now have to control our enterprise,” Menin mentioned. Tell publish. “Lodges are an necessary financial driver for the town and we need to guarantee they’re correctly regulated for the advantage of everybody.”
2023, average cost per night Lease for a lodge room in New York Metropolis is simply over $300, an 8.5% improve from 2022. (in response to wall road journalgreater than 11% of the town’s lodge rooms have been contracted Present housing for immigrants.
As a substitute of specializing in measures that will assist decrease costs, equivalent to decreasing the large regulatory hurdle to constructing and working extra lodges and residences, New York Metropolis might as an alternative construct one other barrier that may make the town’s excessive lodge costs even greater .
