City Councilwoman Julie Menin has struck a deal with large hotels to push through her “Safe Hotels Act,” leaving smaller, mostly minority-owned hotels at a disadvantage.
Despite some concessions made to appease the Hotel Association of New York City, the Hotel and Gaming Trade Council stands to benefit the most by gaining leverage to unionize a significant portion of the industry.
Non-union hotels will be required to close or become emergency city shelters as they won’t qualify for a city license under the new law.
The NYC Minority Hotel Association, formed to oppose the bill, may not have the influence to stop it unless outer-borough council members intervene to protect their constituents.
While the bill is justified by safety measures such as panic buttons, the true intention seems to be favoring special interests at the expense of independent entrepreneurs and thousands of jobs.
With room rates expected to rise citywide, tourism may suffer as a result of the new legislation.
In the end, Menin and the unions emerge as winners, but at the cost of sacrificing smaller hotel owners. This move could potentially backfire on the larger hotels in the future when the union demands more concessions.