|
U.S.
Hotel Jobs Grow by Nearly 50% Since 1984,
But Wages Remain Low, Institute Study Finds
“The
study demonstrates the real difference unions can make in
the lives of workers. Unions can help raise hotel workers’
wages and reduce wage gaps between high- and low-wage workers.
Even more importantly, the study shows that the hotel workers
who benefit most by participating in a union are those who
traditionally make the lowest wages.”
—John
W. Wilhelm, president of the Hotel Employees and Restaurant
Employees International Union (HERE), which represents approximately
265,000 hospitality industry workers |
While hotel
jobs have risen nearly 50 percent nationwide since 1984, hotel wages
have remained well below national norms, according to a new study
on the hotel industry by the AFL-CIO Working for America Institute.
An estimated
1.8 million people worked in the U.S. hotel industry in 2000, 48
percent more than in 1984, the report found. Of these workers, however,
half made less than $8.62 an hour in 2000—more than $3 below
the overall U.S. median hourly wage of $12.03 an hour. In addition,
hotel workers’ benefits have fallen in recent years, declining
by 3.7 percent from 1995 to 2000, after adjusting for inflation.
The report also
found that unions improve hotel wages substantially. In 2000, hotel
workers represented by unions earned a median hourly wage of $10—$1.50
more than non-union workers’ median wage.
Union representation
is especially beneficial to minorities and women employed in the
hotel industry, according to the report. In 2000, non-white hotel
workers represented by unions earned $2.30 more per hour than non-whites
without union representation; women represented by unions earned
$2 per hour more; and foreign-born union workers earned $2.37 per
hour more than their nonunion counterparts. Unions represent close
to 12 percent of U.S. hotel workers.
Unions
Are Making A Difference in Hotel Industry |
A
new study by the AFL-CIO Working for America Institute shows
that union workers are making more than their counterparts
throughout the hotel industry.
Union
representation is especially beneficial to minorities, women
and foreign-born workers in the industry, according to the
study. |
Median
Hourly Wages of Union and Nonunion Hotel Workers in 2000 dollars |
| |
Union
|
Nonunion
|
Percent
difference between
union
and nonunion wages |
All
hotel workers |
$10.00 |
$8.50
|
17.6% |
White |
$10.00 |
$9.00
|
11.1% |
Non-white |
$10.30 |
$8.00 |
28.8% |
Male |
$10.69 |
$9.50
|
12.5% |
Female |
$10.00
|
$8.00 |
25.0% |
Native
|
$10.00
|
$8.70 |
14.9% |
Foreign-born
|
$10.37
|
$8.00
|
29.6% |
| Source:
WAI report, U.S. Hotels and Their Workers: Room for Improvement |
The report examines
changes in the U.S. hotel industry with a special focus on jobs,
wages, union representation, geographic composition, business organization
and competition since 1979, and offers a number of policy recommendations
to improve the industry.
“This
report offers an in-depth look at the quality of jobs being
created in the hotel industry and offers new insights on the
importance of tying public subsidies for new hotel construction
to creating good jobs in the industry. This kind of research
is critically important as we undertake the task of creating
more good jobs—jobs that can sustain families and help
build stronger communities.”
—Nancy
Mills, Executive Director, AFL-CIO Working for America Institute |
Among
other findings:
- Between
1989 and 2000, hotel employment increased the most in southern
and western states, most notably in Mississippi and Nevada. In
Mississippi, hotel jobs increased from 7,900 to 35,568 or 350
percent. In Nevada, during the same period, hotel jobs increased
from 128,162 to 216,512 or 69 percent.
- The pay gap
between high- and low-wage hotel workers has grown during the
last two decades. In 2000, high-wage hotel workers earned 325
percent of what low-wage hotel workers earned; in 1979, high-wage
hotel workers earned 240 percent of what their low-wage counterparts
earned.
- The high-wage/low-wage
gap was larger in hotels than in several industries with similar
overall wage levels, including meatpacking, nursing homes, building
services, laundry services, department stores, grocery stores
and child care.
- Managers
have been increasing as a share of hotel employees, while waiters
and waitresses have been declining.
- Hotel workers
have more occupational injuries than private sector workers as
a whole. From 1992- 2000, hotel workers averaged about 8.9 injuries
per 100 full-time workers, compared to 7.0 injuries per 100 full-time
workers in the private sector as a whole.
- The percentage
of Hispanic hotel workers more than doubled during the last two
decades. In 1979, 8.5 percent of hotel workers were Hispanic.
By 2000, this percentage had grown to 21.8 percent. In contrast,
only 11.3 percent of all U.S. workers in 2000 were Hispanic.
- Compared
to U.S. workers overall, hotel workers are younger, have less
formal education, are more likely to be women and are more likely
to be immigrants.
Major
Policy Recommendations
The
Institute’s new hotel study offers a number of policy
recommendations to improve the Industry. The report urges
government and private foundations to:
- Support
protections for workers’ right to form and join unions
- Help
raise salaries for low-wage workers by supporting a higher
minimum wage, living wage laws and job quality standards
attached to publicly financed hotel projects
- Assist
in integrating education, training, workforce development
and career path development more fully into welfare reform
- Promote
wage and benefit parity for full- and part-time workers
who do equivalent work
- Provide
funding for multi-employer union-management partnerships
to raise job quality and create meaningful career ladders
for hotel workers
- Support
the collection of detailed industry data for regions where
hotels are especially important to the local economy
For
a detailed discussion of these recommendations, read the full
report, U.S.
Hotels and Their Workers: Room for Improvement. |
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