Skip to content

Search

Latest Stories

Hospitality professionals oppose NYC’s ‘Safe Hotels Act’ at city hall

They warned of devastating impacts on jobs and the economy if the act passes

Hospitality professionals oppose NYC’s ‘Safe Hotels Act’ at city hall

HUNDREDS OF HOSPITALITY professionals gathered at City Hall to oppose Intro 991, the "Safe Hotels Act," highlighting its detrimental effects on NYC hotels, subcontractors, and small businesses. This follows last month’s protest, which drew more than 1,500 attendees.

Intro 991, despite being framed as a safety measure, imposes costly mandates that threaten the survival of the city’s hotels, risking over 265,000 jobs and billions in tax revenue, according to industry associations. Representatives from the American Hotel & Lodging Association and AAHOA were among the protesters.


“Intro 991 targets a single industry and will inflict sweeping harm on the hotel sector, the economy, and hotel guests,” said Kevin Carey, AHLA’s interim president and CEO. “The bill will have devastating, unintended consequences for New York City’s tourism and hospitality industries, forcing many hotels and small businesses to close. We urge the city council to reconsider and find real solutions that protect both safety and livelihoods.”

Since the legislation was introduced in July, AAHOA members have reached out to the council, urging them to reconsider the act. AAHOA Northeast regional director Preyas Patel, past chairwoman Jagruti Panwala, former young professional director Purvi Panwala and AAHOA member Mitesh Ahir addressed the council after the event.

“So proud of the strong leaders in our industry who spoke out against the union-backed Unite Here legislation that threatens to devastate NYC’s travel and tourism sector,” said Miraj Patel, AAHOA’s chairman. “If passed, this bill could force many hotel owners to shut their doors, crippling the local industry and eliminating thousands of jobs. We must protect the future of hospitality and the livelihoods it supports.”

Preyas Patel expressed disappointment that council members claiming to support small and minority businesses would back a bill that threatens minority-owned hotels, unable to afford union demands.

“When Intro 991 was first proposed, it was said to improve guest and worker safety,” Patel said. “I would like to see data showing complaints or crimes increasing only in non-union hotels, as AAHOA members haven’t experienced this. Why move forward if the data doesn’t exist? This bill appears aimed at boosting union presence, without addressing small, minority-owned hotel concerns.”

Patel urged the council to reconsider before advancing a bill that could destroy their businesses and harm the city’s economy.

“Our hotel owners and workers form a close-knit community vital to the city’s tourism and economy—not to mention a crucial resource for moderate-income tourists and New Yorkers with visiting family members,” he said.

Licensing changes harm small businesses

The bill would require hotels to obtain an additional operating license and prohibit subcontractors for core functions like housekeeping, front desk services, and security—restrictions that hoteliers believe would disproportionately harm small, minority-owned businesses.

“When considering subcontractors, we not only check their training and availability, we also provide them with property-specific training, just like direct-hire employees,” said Jagruti Panwala, a first-generation hotelier with hotels across the U.S., including one in the Bronx. “This is prudent to minimize liability and ensure guest satisfaction. Subcontractors are used in many industries—why remove them for hotels?”

Purvi Panwala, co-founder of a boutique hotel group with properties in Brooklyn, noted the challenge of maintaining a competitive workforce.

“To provide the best guest experience, we’ve relied on subcontractors,” she said.

Mitesh Ahir added that the act would impose more regulations, reducing flexibility in hotel management and driving up already-high room rates.

“Higher rates would lower occupancy and reduce revenue, which would hurt both our business and the city’s tax base,” Ahir said.

Impact on minority and small businesses

Panwala stressed that the bill disproportionately affects minority and small business owners, many of whom have invested their life savings into their hotels.

“We’ve built our businesses through hard work, and Intro 991 threatens to dismantle that progress,” she said. “The city council must consider the damage this bill will cause to New York’s diverse hotel community.”

“Small hotels like ours rely on lean operations to provide exceptional service,” said Oksana Rudenko, Hospitality’s director of operations. “This one-size-fits-all bill will push us out of business, with devastating effects on our employees and the local economy.”

Sarah Bratko, AHLA’s vice president of government affairs, emphasized that the industry takes the safety of employees and guests seriously.

“If there are issues, we want to be part of the solution,” she said. “In 2019, AHLA launched the ‘No Room for Trafficking’ initiative, with over 1.8 million training sessions completed by hotel employees. We also worked with prevention groups to pass a New York law mandating human trafficking training for hotel staff. While we thank Councilwoman Menin for meeting with us, this version of the bill will still devastate the lodging industry and small businesses in New York City.”

Hospitality industry associations, along with subcontractors, hotel owners, and small business advocates, urge the City Council to reconsider Intro 991. As the hotel industry recovers from the pandemic, the bill would add unnecessary strain, jeopardizing thousands of jobs and businesses critical to the city's economy and tourism sector, the statement said.

The Hotel Association of New York City recently dropped its opposition to the union-backed bill after securing changes, though its president, Vijay Dandapani, had previously called it a “nuclear bomb.” Some owners reportedly raised $20 million to lobby against it.

More for you

Marriott Outdoor Collection

Marriott unveils 'Outdoor Collection'

Summary:

  • Marriott launches Outdoor Collection and Bonvoy Outdoors platform.
  • First two brands are Postcard Cabins and Trailborn Hotels.
  • Platform features 450+ hotels, 50,000 homes and activities.

MARRIOTT INTERNATIONAL RECENTLY launched the brand “Outdoor Collection by Marriott Bonvoy” and introduced “Marriott Bonvoy Outdoors,” a digital platform that lets travelers plan trips by destination or activity. The first two brands in the Outdoor Collection are Postcard Cabins and Trailborn Hotels.

Keep ReadingShow less
Peachtree adds six hotels to its third-party management platform
Photo credit: Peachtree Group

Peachtree picked to manage six hotels

Summary:

  • Peachtree adds six hotels to third-party platform.
  • Five are owned by La Posada Group, one by Decatur Properties.
  • Third-party portfolio totals 42 hotels.

PEACHTREE GROUP’S HOSPITALITY management division added six hotels to its third-party management platform. Five are owned by La Posada Group LLC and one by Decatur Properties Holdings.

Keep ReadingShow less
AHLA Foundation scholarships

AHLA Foundation awards $710K in scholarships

Summary:

  • AHLA Foundation distributed $710,000 in scholarships to 246 students.
  • Nearly 90 percent of recipients come from underrepresented communities.
  • The foundation funds students pursuing education and careers in the lodging sector.

AHLA FOUNDATION DISTRIBUTED $710,000 in academic scholarships to 246 students at 64 schools nationwide for the 2025–2026 academic year. Nearly 90 percent of recipients are from underrepresented communities, reflecting the foundation’s focus on expanding access to hospitality careers.

Keep ReadingShow less
U.S. government shutdown
Photo by Kevin Dietsch/Getty Images

Congressional deadlock shutters government

Summary:

  • The U.S. government shut down at midnight after Congress failed to agree on funding.
  • About 750,000 federal employees will be furloughed daily, costing $400 million.
  • Key immigration and labor programs are halted.

THE FEDERAL GOVERNMENT shut down at midnight after Republicans and Democrats failed to agree on funding. Disputes over healthcare subsidies and spending priorities left both sides unwilling to accept responsibility.

Keep ReadingShow less
WTTC travel report

WTTC: U.S. tops travel sector with $2.6T GDP

Summary:

  • The U.S. led global travel and tourism in 2024 with $2.6 trillion in GDP, WTTC reported.
  • India retained ninth place with $249.3 billion in GDP.
  • The sector supported 357 million jobs in 2024, rising to 371 million in 2025.

THE U.S. LED global travel and tourism in 2024, contributing $2.6 trillion to GDP, mainly from domestic demand, according to the World Travel & Tourism Council. Europe accounted for five of the top 10 destinations, while India ranked 9th.

Keep ReadingShow less