Washington, D.C. (March 18, 2015) - Today, the American Hotel & Lodging Association (AH&LA), the sole national association representing all segments of the 1.8 million-employee lodging industry, expressed its disappointment at a federal judge's failure to stop implementation of a law that requires franchised businesses to increase wages faster than other businesses.
"Yesterday's decision to allow this unfair targeting of small businesses is part of a troubling pattern where the franchise model is under attack. Under this law, the mom-and-pop hotels that make up a vast majority of our industry are considered large employers simply because of their affiliation with national brands. Despite this setback, we continue to support the International Franchise Association's challenge to overturn the franchisee provision in the city's minimum wage ordinance, and urge the court to consider the small businesses that will inevitably be harmed by this measure as this case proceeds," said Katherine Lugar, president and CEO of the American Hotel and Lodging Association.
AH&LA has supported the International Franchise Association's challenge of this law since it was initially filed in June 2014.