The Los Angeles City Council has voted to increase the minimum wage for hotel and airport workers to $30 an hour, a decision that has been heavily criticized. The increase will be implemented incrementally over the next few years, starting at $25 an hour on Feb. 1, 2025, and culminating at $30 an hour in 2028. Critics argue that this government-mandated pay hike will lead to job losses in the industry, as businesses may scale back operations, cut employees, or turn to automation to cope with the higher labor costs. Similar increases in the minimum wage for fast-food workers in California have already led to over 6,100 job losses, as businesses struggled to afford the higher wages. A survey found that the majority of fast-food operators had already raised menu prices, cut employees’ hours, and reduced staff to cover the added labor expenses. The decision by the City Council has been described as a “five-diamond mistake” that will have negative consequences for the tourism industry in Los Angeles. Critics argue that the council members should have learned from the state’s mistakes and reconsidered their decision.
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Daily News: Implementing a $30 Minimum Wage in Los Angeles Would Be a Costly Mistake
