In a major setback for the hospitality industry, thousands of hotel workers across the United States went on a strike over the Labor Day weekend. These workers went on a strike after months of contract negotiations with their employers failed to yield an agreement. The strike involves around 10,000 employees, including housekeepers, front-desk clerks, kitchen and restaurant staff, bartenders, doormen, and bellhops.
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Details of the Strike
The strike affected hotels in several major cities, including Honolulu and Kauai in Hawaii, along with Seattle, San Diego, San Jose, and San Francisco in California. There is also the possibility that workers in additional cities may join in on the action. It’s worth noting that a majority of the striking employees work at Hilton (HLT), Hyatt Hotels (H), and Marriott (MAR) properties. These hotels have been engaged in negotiations with their union, Unite Here, since May.
Despite the strike, Hilton was hopeful of reaching “fair and reasonable agreements,” while Hyatt assured guests that contingency plans were in place to minimize disruptions. In addition, Hyatt expressed disappointment that Unite Here chose to strike while negotiations were still possible.
Why Have Hotel Employees Gone on Strike?
Unite Here, which represents a wide range of roles within the hospitality industry, has argued that its members have been overworked and underpaid since the pandemic. This led to staffing and service cuts that were never fully restored. The union is demanding higher wages and the restoration of more jobs.
There was a surge in labor strikes last year, which, including this recent action, marks a significant uptick in labor activity compared to previous years.
Which Is the Best Hotel Stock?
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