Smaller
Hotels, Union Aligned
Unlike Bigger L.A.-Area Sites, the Hotel Bel-Air and Others
Accept a 2006 Expiration Date for a Labor Contract
Los Angeles Times - February 10, 2005
By Nancy Cleeland
While
eight prominent Los Angeles-area hotels dig in their heels
in a protracted contract fight with union workers, others
are quietly making labor peace.
The
Hotel Bel-Air, Luxe Hotel Rodeo Drive, Sportsmen's Lodge and
Radisson Wilshire Plaza have accepted the Unite Here union's
demand for a 2006 contract expiration date. Several hotel
managers described the pacts with Unite Here as good deals,
with minimal wage increases and an agreement by the union
to subsidize rising healthcare costs for two years from a
trust fund reserve.
"We
are definitely content with the terms of our agreement,"
Carlos Lopes, managing director of the five-star Hotel Bel-Air,
said Wednesday. "I think it worked out for all the parties."
The
contrast between those easy settlements and the tooth-and-nail
fight between Unite Here Local 11 and the Los Angeles Hotel
Employer's Council highlights the divergence of interests
between independent and small-chain hotels and those in bigger
national chains.
The
council represents the latter. Starwood Hotels & Resorts
Worldwide Inc., which operates hotels under the Sheraton,
Westin, St. Regis and W brands, accounts for two of eight
votes on the council. Hyatt Corp., another major chain, has
two more.
The
union is trying to match the big chains' power by lining up
contracts across the country to expire in 2006. That would
open the door to coordinated job actions, even a national
strike. Major hotel operators are strongly opposed to granting
the union that much power.
But
the independent and small-chain hotels "don't have a
problem with the expiration, because they don't have a multinational
corporation dictating to them what they can and cannot settle
for," said Local 11 President Maria Elena Durazo.
Fred
Muir, a spokesman for the hotel council, said the four hotels
that settled were less likely to be targeted in a big labor
confrontation. Together, they employ 570 union members, versus
2,600 at council hotels.
"The
independents are just standing by and waiting for us to fight
the fight," Muir said. "They know they'll largely
ride our coattails ultimately."
Durazo
said the union offered the same two-year deal to the council
in mid-December. She said it remained on the table, along
with a costlier three-year proposal the council rejected Monday.
Muir,
however, said the four smaller hotels received better terms
than ever were offered to the council. He noted that Local
11 recently signed a five-year contract with the Hilton Pasadena
that guaranteed less in wages and benefits than the council
is currently offering.
"We
would sign that right now," he said.
According
to Durazo, who called the Hilton Pasadena contract substandard,
the union was operating from a position of relative weakness
in negotiating that deal because that hotel's employees only
recently joined Local 11. She added that the Hilton, the only
Pasadena hotel represented by the union, was never included
in the 2006 strategic plan.
The
union's strength in the Los Angeles area varies by neighborhood.
It's strong in downtown Los Angeles, where about 60% of hotel
workers are represented, and to a lesser extent in Beverly
Hills and Century City, where nearly half are in unions. Labor
contracts for most hotels in those areas expired in the spring.
The union also represents about half of hotel workers in Santa
Monica, but their contract isn't up for renewal.
Three
other union hotels with open contracts aren't part of the
council. Durazo said the union would approach them next, starting
with the Holiday Inn in downtown L.A.
Council
members have agreed to negotiate as one until a contract is
signed. In a strike or lockout, they have promised to act
in concert with the majority. Negotiations are set to resume
today, but neither side was optimistic.
Council
members are the Westin Bonaventure, Wilshire Grand Hotel and
Centre, Millennium Biltmore, Sheraton Universal, Hyatt Regency
Los Angeles, Hyatt West Hollywood, Westin Century Plaza and
Regent Beverly Wilshire. A ninth member, the St. Regis, was
converted to condominiums.
Wayne
Williams, an asset manager who negotiated the Radisson Wilshire
Plaza's contract, said owners of that franchised hotel were
not concerned with a strike, national or otherwise.
"Our
relationship with the union in this hotel has always been
on good terms," he said.
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