The Oliver Hotel concierge Damion Huntoon works at the front desk of the downtown Knoxville boutique hotel on Monday, Dec. 5, 2022. The hospitality industry is projected to have the greatest demand for workers in the Knoxville area in 2023. Kns Winter Jobs Bp
Los Angeles, California – Los Angeles is on track to become the city with the highest minimum wage in the United States after lawmakers approved a proposal to raise hourly pay to $30 for tens of thousands of tourism workers by 2028. The Los Angeles City Council voted 12-3 on Wednesday in favor of the measure, which targets employees at hotels with more than 60 rooms and businesses operating at Los Angeles International Airport.
The wage increase, seen as a bold step to support the city’s tourism labor force, comes as Los Angeles prepares to host the 2028 Olympic Games. According to the American Hotel and Lodging Association (AHLA), the tourism sector is one of the top five employers in Los Angeles County, supporting over 540,000 workers. Despite its size, the industry has not fully recovered from the economic blow dealt by the COVID-19 pandemic. In 2023, the city welcomed only 79 percent of its international visitors in 2019.
Supporters of the wage hike say it will provide critical financial relief to workers struggling with the rising cost of living. At the same time, opponents argue it places an unsustainable burden on businesses still reeling from reduced tourism and staffing shortages. Under the proposed ordinance, wages would rise incrementally from $22.50 in July 2025 to $25 in 2026, $27.50 in 2027, and ultimately $30 in 2028.
Critics, including several hotel and industry groups, have expressed concern about the economic impact. The Hotel Association of Los Angeles called the ordinance “misguided”. It warned that the 69 percent payroll increase—accounting for wages and health care contributions—within a short timeframe could lead to layoffs and even permanent closures. The proposal also mandates that employers offer annual paid training on worker rights, safety, harassment, and discrimination, and contribute $8.35 per hour toward health care benefits starting in July 2026.
The AHLA’s latest report outlines mounting challenges facing the hospitality sector in Los Angeles, including wildfire disruptions, high operational costs, and slow international tourism recovery. The association cautions that without further intervention, the industry may face closures and job losses that would hurt thousands of Angelenos and put major global events like the World Cup and Olympics at risk.
Councilmembers John Lee, Traci Park, and Monica Rodriguez opposed the measure, while Councilmember Hugo Soto-Martínez voiced support. A second and final vote is scheduled for next week. If approved, the ordinance will take effect and begin its phased rollout in preparation for the Olympic Games.
