In 2014 The Los Angeles City Council passed the Citywide Hotel Worker Minimum Wage Ordinance. At the end of May 2025, amendments were passed including a significant minimum wage increase in July 2025 to $22.50 and an hourly health benefit payment starting in July 2026. Soon after the amendments were passed and set to take effect the Los Angeles Alliance for Tourism, Jobs, and Progress—a coalition representing major hospitality interests—launched a referendum aimed at suspending and ultimately repealing the ordinance prior to its implementation.

What Does the Referendum Do? It seeks to suspend the ordinance’s implementation and require that it be submitted to L.A. voters in a citywide election for final approval in November 2026. If the referendum is successful, the ordinance amendments will be put on hold and hotel workers’ wages would remain subject to the city’s standard annual increase—projected to be $21.01 per hour in 2025. The amendments would be paused until it is voted on in a citywide election in November 2026.

How Many Signatures Are Needed? To qualify for the ballot, the petition requires approximately 93,000 handwritten signatures from registered Los Angeles voters by June 30, 2025. On Friday, June 27th the LA Alliance submitted 140,577 signatures for verification. If at least 93,000 signatures are verified by the City Clerk, the amendments will be put on pause until the November 2026 citywide election. The City Clerk is currently reviewing the signatures and has requested 30 days to provide results.

Supports/Opposers Positions Supporters of the referendum argue that the ordinance: disproportionately affects only hotel and airport sectors, rather than applying citywide; warrants voter input due to its substantial economic implications; and should be subject to public review to ensure fairness and long-term viability. Opponents, led by the labor union UNITE HERE Local 11, assert that the ordinance is essential to ensuring a livable wage for hospitality workers. The union is actively opposing the signature drive, urging members and residents not to sign the petition and to report any petitioning activity to the union’s hotline.

What to do? As of July 1, 2025, the minimum wage for hotels with 60+ rooms in the city of Los Angeles is $21.01 per hour. The city approved minimum wage chart can be found here. If the City Clerk validates sufficient signatures, the minimum wage through June 20, 2026, will remain at $21.01. Employers can anticipate and increase in wages of 3% - 4% in July 2026. The amendments will then be voted on in November 2026.

If the City Clerk does not validate sufficient signatures, the amendments will take place likely within 30-45 days. This means the minimum wage would increase to $22.50 sometime this summer. The status of the referendum can be tracked here.

Stokes Wagner will continue to monitor the status of the referendum and any other developments. Please reach out to a Stokes Wagner attorney if you have any questions.

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THIS DOCUMENT PROVIDES A GENERAL SUMMARY AND IS FOR INFORMATIONAL/EDUCATIONAL PURPOSES ONLY. IT IS NOT INTENDED TO BE COMPREHENSIVE, NOR DOES IT CONSTITUTE LEGAL ADVICE. PLEASE CONSULT WITH COUNSEL BEFORE TAKING OR REFRAINING FROM TAKING ANY ACTION.