The City of Los Angeles has put the minimum wage increase for hotel workers on hold.  Certain provisions were to take effect on July 1, 2025. This decision comes after a referendum petition against the ordinance was filed with the City Clerk’s office on June 27, 2025.

The ordinancewouldincrease wages and healthcare benefits for hotel and airport workers, along with requiring the provision of specified training for hotel workers. The referendum petition, filed by opponents of the ordinance, has triggered a suspension of the ordinance’s implementation.

The City Clerk’s office (the Clerk) is determining whether the petition contains the required number of signatures.   As a result, the ordinance is suspended and will not take effect while the petition is under review.

If the Clerk determines that the petition does not contain a sufficient number of signatures, the ordinance will take effect the following day of such determination. Conversely, if the petition contains the requisite number of signatures, the ordinance will remain suspended until approved by voters in an election called by the City Council.

For now, the hotel worker minimum wage will increase to $21.01 pursuant to the original ordinance effective July 1, 2025. If the amendments take effect, then the minimum wage rate will increase to $22.50 for hotels with 60 or more rooms.

Jackson Lewis will continue to monitor developments related to this ordinance. If you have questions about this or related issues, 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.