Los Angeles’ Hospitality Employee Wage Increase: Legal Challenges, Worker Rights, and the Broader Fight for Fair Pay in 2025
In May 2025, the City of Los Angeles passed a groundbreaking wage ordinance intended to raise the minimum wage for hotel and airport workers to thirty dollars per hour by 2028, along with phased increases and added health benefit compensation starting in 2026. Known informally as the Olympic Wage Ordinance, this measure was signed into law by Mayor Karen Bass on May 30, 2025.
However, by June 27, 2025, a referendum petition seeking to overturn the ordinance was filed, automatically suspending its implementation while the Los Angeles City Clerk and County Registrar-Recorder verify the validity of the petition’s signatures. This legal challenge has effectively paused the wage increases, leaving workers and employers in a state of uncertainty as of August 2025.
At Fraigun Law Group, we represent workers across Los Angeles County, from hotel and airport staff to freelance professionals and retail employees, who deserve to be paid fairly and protected from retaliation. Whether you are a full-time employee, part-time worker, or independent contractor, your right to fair wages is backed by California law.
Section 1: Hotel and Airport Workers in Los Angeles: Where Things Stand in August 2025
The Olympic Wage Ordinance, adopted by the Los Angeles City Council on May 23, 2025, and published on May 29, was set to:
- Raise the minimum wage for hotel and airport workers to $22.50 per hour beginning July 1, 2025
- Increase the rate annually by $2.50 until it reaches $30 per hour by 2028
- Require a $8.35-per-hour health care credit starting July 2026
- Mandate job training and workforce protections
However, after the referendum petition was approved for circulation on May 30 and filed on June 27, the ordinance was automatically suspended under city rules.
Current Legal and Wage Status (as of August 2025)
- The $22.50/hour wage increase is not currently in effect
- The wage for covered hotel workers remains at $21.01/hour, the prior increase under existing city law
- Healthcare contributions and training mandates are also paused
- The petition verification process began July 22, 2025, and results are still pending
Once verification is complete, the City Clerk will certify the results to the City Council. If the petition qualifies, the Council must choose whether to repeal the ordinance, refer it to voters (likely in June 2026), or send it for further review. If the petition fails to qualify, the ordinance will immediately take effect, and workers could be entitled to back pay for missed increases.
Section 2: A Step in the Right Direction: Pushing for Fair Wages Across All Job Types
While the Olympic Wage Ordinance directly impacts hotel and airport workers, it represents a larger movement toward wage equity across all industries. The campaign to raise wages in Los Angeles is driven by a simple truth: the cost of living has outpaced the paychecks of workers in nearly every sector.
Why the Fight for Fair Wages Matters
- Los Angeles is one of the most expensive cities in the U.S., yet essential workers like those in retail, security, restaurants, and cleaning services are struggling to afford basic living expenses
- Independent contractors and freelancers frequently face late payments, low rates, and no benefits
- Part-time workers are often excluded from workplace benefits, yet still perform critical labor
- Wage stagnation, inflation, and rising housing costs have made livable wages a necessity not a luxury
At Fraigun Law Group, we believe the push for fair wages must go beyond any one industry. Every worker, from front desk attendants and janitors to software developers and delivery drivers, deserves fair compensation, clarity on pay, and the legal right to ask for it.
Supporting Wage Transparency and Open Conversations
In many workplaces, wage secrecy allows underpayment and inequity to thrive. California law already protects your right to:
- Discuss your wages with coworkers
- Ask about compensation structures
- Raise concerns about promised wage increases
- Speak up without fear of retaliation
These rights are protected under California Labor Code Section 232, and employers who try to silence these conversations may be in violation of the law.
Section 3: How to Talk About Wages, Understand Promised Increases, and Enforce Your Pay Rights
Wage laws and ordinances only matter if workers understand them and can hold employers accountable. Whether you are covered by a city wage ordinance or negotiating a freelance contract, here are steps you can take to protect your earnings:
1. Know Your Right to Discuss Pay
California law allows you to:
- Ask when a promised raise will go into effect
- Compare wages with coworkers who do similar work
- Refuse to sign agreements that restrict these discussions
- Report retaliation for wage discussions or complaints
2. Understand Promised Wage Increases
If your employer has committed to a future pay increase:
- Request written confirmation of the wage schedule (e.g., in an email or handbook)
- Follow up respectfully ahead of the scheduled increase
- Document any conversations or policies
- If the increase does not happen, you may have a claim for wage violations or breach of agreement
This is especially important for hotel workers awaiting the Olympic Wage Ordinance to take effect, as back pay could become an issue if the ordinance is ultimately upheld.
3. Freelancers: Follow SB 988 Requirements
As of January 1, 2025, California’s Freelance Worker Protection Act (SB 988) requires:
- Written contracts for work totaling $250 or more
- Clear payment terms and service breakdowns
- Payment within 30 days unless otherwise agreed
- Legal protection from retaliation
Violations can be reported to the California Labor Commissioner at www.dir.ca.gov.
4. Full-Time and Part-Time Employees: Track Your Pay
- Use a spreadsheet or time-tracking app to log hours worked and wage rates
- Request copies of your pay stubs and employer policies
- If you believe your wage is incorrect or that you’re misclassified, file a complaint with the Labor Commissioner or contact an employment attorney
5. Start the Wage Conversation Strategically
- Pick a time when your supervisor is available and not overwhelmed
- Bring evidence, such as your job performance, responsibilities, and current market wages
- Ask for clear timelines for wage increases or eligibility reviews
- Document the conversation in a follow-up email
If your employer denies your right to ask or retaliates, that’s a red flag and potentially a legal violation.
Fraigun Law Group Stands with All California Workers
Whether or not the Olympic Wage Ordinance survives the referendum process, the larger issue remains: Los Angeles workers need and deserve fair, enforceable wages. Every industry, from tourism to tech, must face the reality that workers cannot live in this city without meaningful pay reform.
At Fraigun Law Group, we help workers across California:
- Recover unpaid wages and overtime
- Enforce promised wage increases
- Confront wage theft, misclassification, and retaliation
- Understand their rights in freelance, full-time, and part-time roles
Contact Fraigun Law Group Today
If you believe you are being underpaid, denied a raise, misled about a pay schedule, or retaliated against for discussing your wages; you are not alone. Call Fraigun Law Group today to schedule a consultation. We serve employees across Los Angeles, Van Nuys, Sherman Oaks, Encino, Studio City, San Fernando Valley, Ventura County, Orange County and the surrounding region.