News from the Business Legislative Committee
AB 1074 OPPOSE. AB 1074 is an unprecedented expansion of current law with the potential to further harm the already decimated lodging industry.
Hotels are significant enterprises which require a number of specialized services provided by companies that tailor to tailor to their particular needs. Changing contractors is not a proposition hotels take lightly, as the change can be an expensive and time consuming proposition. However, when a contractor no longer meets a hotel’s needs, the hotel may need to seek alternative service providers to maintain their operational requirements (i.e., a guest booking service doesn’t accept a currency the hotel wishes to honor, so the hotel switches systems). Under this measure, the new contractor would be required to hire the previous employees and navigate statutory barriers erected around operational positions, staffing redundancies, technical abilities, and staffs’ general ability to meet the hotel’s needs.
Full Letter: