On May 27, the City of Los Angeles passed amendments to the Living Wage Ordinance (LWO) and the Hotel Worker Minimum Wage Ordinance (HWMO). The development of these amendments began in December 2024, and since then have been the subject of debate and public comment.

Here is what hotel and airport employers need to know about the amendments.

Hotel Worker Amendments

The amendments include increases to the minimum wage, an hourly health benefit payment, and training for covered hotel workers.  These amendments apply to workers in hotels with at least 60 guest rooms.  The provisions of the ordinance may be waived pursuant to a bona fide collective bargaining agreement but only if the waiver is expressly set forth. 

The minimum wage rates will increase as follows:

Effective DateMinimum Wage
July 1, 2025$22.50
July 1, 2026$25.00
July 1, 2027$27.50
July 1, 2028$30.00
July 1, 2029, and annuallyAdjusted based on Consumer Price Index

Furthermore, effective July 1, 2026, if a hotel employer does not provide a worker with health benefits, the worker must be paid the wage rate indicated above plus an additional hourly wage rate equal to the health benefit payment in effect for an employer servicing LAX.

In addition to the above entitlements, hotel workers must be provided at least 6 hours of live and interactive instruction covering the following topics:

  • Hotel worker rights and hotel employer responsibilities.
  • Best practices for identifying and responding to suspected instances of human trafficking, domestic violence, or violent or threatening conduct.
  • Effective cleaning techniques to prevent the spread of disease.
  • Identifying and avoiding insect or vermin infestations.
  • Identifying and responding to other potential criminal activities

The training requirements take effect December 1, 2025.

Airport Employee Amendments

The amendments also increase airport employee minimum wage and health benefit payments as follows:

DateMinimum Wage
July 1, 2025$22.50
July 1, 2026$25.00
July 1, 2027$27.50
July 1, 2028$30.00
July 1, 2029, and annually          Adjusted based on Consumer Price Index

Beginning on July 1, 2025, the hourly health benefit payment provided to an airport employee must be at least $7.65 an hour. On July 1, 2026, the hourly health benefit payment will be adjusted by a percentage equal to the percentage increase in the California Department of Managed Healthcare’s Large Group Aggregate Rates.

If you have questions about the City of Los Angeles’ recent changes to these ordinances, please contact a Jackson Lewis attorney to discuss.

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Photo of Susan E. Groff Susan E. Groff

Susan E. Groff is a principal in the Los Angeles office of Jackson Lewis P.C. She is co-leader of the firm’s California Advice and Counsel resource group. The group delivers legal and practical guidance to assist employers in navigating what are frequently multi-disciplinary…

Susan E. Groff is a principal in the Los Angeles office of Jackson Lewis P.C. She is co-leader of the firm’s California Advice and Counsel resource group. The group delivers legal and practical guidance to assist employers in navigating what are frequently multi-disciplinary issues.

Susan counsels management on a host of labor and employment issues, including wage and hour laws, disability and leave management, harassment and discrimination complaints, workplace investigations, reductions in force, litigation avoidance, and discipline and termination questions.

Due to California’s nuanced and numerous disability and leave requirements, Susan dedicates much of her practice to advising employers on federal and California requirements for disability accommodation and protected leaves of absence. Importantly, she partners with employers not only on these technical disability and leave laws, but also on practical solutions in handling the same.

Susan also provides guidance to employers on California’s challenging wage and hour laws. In addition to day to day advice, she assists with employer audits, compensation plan reviews, and policies in this area.

Photo of Cecilie E. Read Cecilie E. Read

Cecilie E. Read is the knowledge management (“KM”) attorney for Jackson Lewis P.C.’s California practice and Privacy, Data and Cybersecurity group, and is based in the Los Angeles, California, office of Jackson Lewis P.C. She uses her expansive understanding of the complexities of…

Cecilie E. Read is the knowledge management (“KM”) attorney for Jackson Lewis P.C.’s California practice and Privacy, Data and Cybersecurity group, and is based in the Los Angeles, California, office of Jackson Lewis P.C. She uses her expansive understanding of the complexities of employment law to ensure all Jackson Lewis attorneys are consistently ahead of the curve and working efficiently to serve clients.