One day before a crucial City Council vote, Councilmember Sean Elo-Rivera rallied with hospitality workers, union leaders, and small business owners to announce their support for the proposed Hospitality Minimum Wage Ordinance.
This ordinance, championed by Elo-Rivera, aims to gradually raise the minimum wage for San Diego’s hospitality and tourism workers to $25 per hour over the course of five years.
As detailed in the staff report, this measure would specifically apply to larger hotels with at least 150 rooms, as well as major amusement parks, including SeaWorld, and event centers like Petco Park.
At a press briefing, Elo-Rivera declared, “For decades, the tourism industry has known that city hall worked for them, much more than the city worked for its workers and everyday San Diegans. Those days are over. No more. We work for the people. We work for San Diegans, and because we work for San Diegans, we’re going to fight to ensure that every worker in the city has the dignity they deserve, the fairness they deserve, and the future that San Diego’s working families deserve.”
Although originally slated to implement the $25 minimum wage starting January 1, 2026, the ordinance has been modified to reflect a gradual increase following significant pushback from local hotels, businesses, and the San Diego Regional Chamber of Commerce.
Opponents of the wage increase argue that it could lead to higher prices and job cuts, negatively impacting businesses and the local economy.
However, labor researchers and small business advocates at the rally contended that the wage increase would benefit the economy.
Satomi Rash-Zeigler, executive director of UC San Diego’s Labor Center, stated, “Research shows that increasing wages not only lifts individuals and families out of poverty, but it also boosts local economies. When workers earn more, they spend more in their communities on groceries, healthcare, education and housing, invigorating our local businesses. An increase to $25 per hour would enable nearly 70% of hospitality workers to afford basic essentials.”
Rash-Zeigler also highlighted that a substantial portion of hospitality workers in San Diego face financial struggles, revealing that 75% spend more than half their income on rent and nearly a third have experienced homelessness.
Emily Renda, board chair of Business for Good and a local business owner, emphasized the advantages of a higher minimum wage for businesses.
At the briefing, she remarked, “What’s good for workers is good for business. At Business for Good, we reject this outdated thinking because we’ve seen the evidence in our own companies. When workers earn living wages, they become better employees, more stable, more motivated, with lower turnover. That means better service for customers and lower hiring costs for employers.”
Speakers also pointed out that multinational hospitality chains are strongly opposing the ordinance.
Brigette Browning, president of the San Diego and Imperial Counties Labor Council, emphasized the economic impact of the tourism industry, stating, “According to the San Diego Tourism Authority, the tourism industry had a $22 billion impact in San Diego last year. If corporations can afford billions in stock buybacks for wealthy shareholders, they can afford to pay the workers who generate that wealth at least a basic wage. $25 is a compromise. The real living wage in San Diego is over $30 an hour. This ordinance is a modest, necessary step toward allowing workers to survive in the city that they help make prosperous.”
The ordinance specifically excludes small hotels and local businesses, targeting larger, more profitable companies like Hilton, Hyatt, and SeaWorld.
Genoveva Aguilar, vice president of the Service Employees International Union’s California sector, insisted that the $25 minimum wage represents a basic expectation for workers in the industry.
“San Diego indeed is a beautiful city, but the workers who make our city an attractive destination for so many tourists cannot afford to be tourists in their own city,” Aguilar stated.
She added, “Raising the floor for hospitality workers raises the floor for every worker in San Diego. The time is now for the billionaires in the hospitality industry who are cashing in tremendous profits to pay workers what they deserve. It’s an issue of fairness, of dignity, and respect. Workers who make San Diego a wonderful place to visit also deserve to enjoy all the amazing sights our city has to offer.”
image source from:timesofsandiego