A new group of South Asian immigrant hoteliers is speaking out against proposed legislation they say would “destroy” New York’s hospitality industry and undermine their American dream.
The Indian Americans behind the New York City Minority Hotel Association, which owns about 120 non-union hotels, mostly in suburban Manhattan, are opposed to a controversial plan that would ban them from outsourcing tasks such as housekeeping.
“Our coalition represents the American Dream: hardworking immigrant families who came to this country, seized the opportunity to start a small business, and over decades built a community within the walls of their hotels,” said Mukesh Patel, a New York City hotelier and founding member of the group who emigrated from India 30 years ago.
“As currently imagined, [the bill] This bill would destroy all the progress we’ve made, put thousands of people out of work, and potentially close small businesses across the city.”
He said the Safe Hotels Act is an attempt to force hotels to unionize and drive up costs.
The bill, sponsored by Assemblywoman Julie Menin, an Upper East Side Democrat, would require hotels to apply and reapply for licenses annually and would put the city’s Department of Consumer and Worker Protection in charge of regulating them.
The bill, supported by the Hotel Labor Council, a union representing hotel workers, would prohibit hotels from outsourcing cleaning and front desk services to private contractors.
“I don’t think the majority of city council members realize how this bill will impact the hotel industry,” Patel said.
“We have not yet fully recovered from the COVID-19 pandemic. We are still struggling.”
He said the new licensing powers could lead to unjustified licence revocations and that uncertainty would discourage banks from lending to hotels.
Patel also said HTC, as well as city, state and federal governments, outsource certain services to private companies and that hotels should have the same option.
“What is the benefit here? This is wrong,” he said.
Hoteliers said their employees, whether directly hired or contracted, already receive awareness and other training on sex trafficking.
“Our industry supports thousands of families across New York City, many of them hard-working immigrant and minority families looking to find stability in this great city, but the City Council is trying to politicize their lives,” said Nikul Patel, a New York City hotelier and one of the founding members of NYCMHA, no relation to Mukesh.
Mennin defended the bill, pointing to support from five district attorneys and the city’s Police Benevolent Association, who argue that stricter regulations would increase safety and curb crimes such as sex trafficking in and around hotels.
“39 murders occurred in hotels and 14,000 complaints were filed with the NYPD.” [since 2019]”There’s a reason why five district attorneys and the PBA support the Safe Hotels Act and why cities across the country have been successful in approving hotels,” said Mennin, who is running for the next Assembly speaker position.
HTC agreed with Menin.
“Founded by hoteliers whose hotels have faced criminal charges resulting from hundreds of 911 calls, this association is why we need legislation to improve health and safety standards,” HTC spokesman Austin Shafran said. “Some hoteliers don’t want to be held accountable, but hotel workers, guests and neighbors deserve better.”
