Minimum Wage Law Avoided by Long Beach Hotels

For the past two months, some Long Beach hotels have found ways to work around a law that requires them to pay a $13 minimum wage to their employees.

With over 64 percent of the vote, Long Beach voters approved of Measure N during the Nov. 6 election.

Measure N guarantees that employees at a hotel of 100 rooms or more will be paid about $2,000 a month for full-time work, receive five paid sick days a year and assures that workers receive 100 percent of guest service charges.The Long Beach Business Journal reports that Measure N adds about $7 million annually into Long Beach’s economy.

In reaction to Measure N, some hotels have closed rooms or reduced workers hours so they no longer meet the qualifications needed for the health benefits.

Downsizing from 143 rooms to 99, Hotel Current, 5325 E. Pacific Coast Highway, said they had already planned the change before Measure N’s passage.

Another hotel, the Best Western Golden Sails, 6285 E. Pacific Coast Highway, told its employees that it planned on reducing its room count. The labor group Unite Here Local 11, which was  a staunch supporter of Measure N, said they were told the reduction would drop the hotel room count from 174 rooms to 99.

In the process, the hotel laid off five employees last week, Unite Here said.