since prohibit Most are short-term rentals in 2023, and hotel prices in New York City are skyrocketing. Now, the city is considering a measure that would almost certainly force home prices to rise even further.
The bill, introduced by New York City Councilmember Julie Menin, would target non-union hotels and prohibit hotel owners from Contract workers are hired for many positions, such as housekeeping, security, and bartending. The measure would require hotel owners to hire these workers directly rather than rely on cheaper subcontracting services.
Additionally, the proposed law would require all hotels to obtain operating licenses. As a condition of being licensed, the hotel is required to hire a 24-hour security guard who is also licensed.
Many restaurant owners said the measure would increase their costs and reduce profits, forcing them to raise already high prices, lay off staff or close entirely.
‘It’s like a nuclear bomb,’ said Vijay Dandapani, president and CEO of the Hotel Association of New York City this new york post. “It’s going to destroy a major part of the industry. It’s a bazooka that kills small insects.”
So far, the proposal has strong support from the Hotel and Gaming Trade Council, an influential alliance representing the hospitality industry.
“Licensing is frankly one of the most powerful and effective tools we have to regulate our business,” Menin said. post. “Hotels are an important economic driver for the city and we want to ensure they are properly regulated for the benefit of everyone.”
The average nightly cost of a New York City hotel room in 2023 is just over $300, an 8.5% increase from 2022. Cities are required by law to provide housing for immigrants. (according to wall street journalmore than 11% of the city’s hotel rooms have been contracted to accommodate foreign workers.
Instead of focusing on measures that would help lower prices, such as reducing the huge regulatory hurdle to building and operating more hotels and apartments, New York City may instead erect another barrier that will make high hotel prices in the city even higher .
