Washington elections return strong results for the hospitality industry.

Washington elections return strong results for the hospitality industry.

(Nov. 5, 2015) After an exciting election cycle consisting of several important issues and races throughout the state, the results are in! The Washington Lodging Association and the Washington Restaurant Association are very pleased with the majority of the outcomes. While there are mail-in ballots that will still be counted, it is unlikely that any of the results below will change with the final tally. This election cycle has strengthened the hospitality industry.
State Races:
 
District 30 
District 30 featured the most anticipated legislative race in Washington state between appointed Democrat Carol Gregory and WRA/WLA-endorsed Republican challenger Teri Hickel. The district includes Federal Way, Auburn and Des Moines and is considered a swing district. Teri Hickel will be a friend to the hospitality industry and we look forward to working with her in the upcoming session on a variety of issues.
  • Teri Hickel – 53.92% *WRA/WLA Endorsed
  • Carol Gregory – 46.08%
District 9
District 9 included two Republican candidates seeking to represent the rural district that includes Adams, Asotin, Franklin, Garfield and Whitman counties as well as part of Spokane County. The voters decided to retain Mary Dye, who was appointed in 2015 to the Legislature, to represent them in Olympia in the upcoming session.
  • Mary Dye – 64.6% *WRA/WLA Endorsed
  • Richard Lathim – 35.3%
Eyman’s Initiative (Statewide Initiative 1366):
 
In 2010, Washington voters supported Initiative 1053, a Tim Eyman-backed measure that required a two-thirds vote by either the voters or the Legislature to increase taxes. In 2013, the Washington Supreme Court ruled this initiative unconstitutional because the Washington State Constitution requires a majority vote, not a two-thirds vote. In order for that initiative to be legal, the state Constitution would need to be amended to require a two-thirds vote to raise taxes. The Legislature is the only body that has the power to make a constitutional amendment.
Tim Eyman’s Initiative 1366 would force the Legislature to put a two-thirds requirement amendment on the ballot or allow Washington state’s sales tax to decrease from 6.5 percent to 5.5 percent. After Tuesday’s results were announced, Eyman’s I-1366 is leading 54% to 46%.
  • Yes – 54%
  • No – 46%
Local Ballot Initiatives:
Honest Elections (Seattle Initiative 122)
Initiative 122 is a campaign reform proposal that is attempting to increase voters’ participation in funding Seattle’s city elections. I-122 does this by tightening campaign finance restrictions and giving registered voters “Democracy Vouchers” of $100 to give to the candidate they support. I-122 also puts a spending cap on how much money each seat may spend in the primary and general, a cash contribution limit of $250 a voter and ban contributions from city contractors, lobbyists and regulated businesses.
Many worry about I-122’s potential for fraud, seeing the paper vouchers as an easy way for special interests to abuse the system. Many also point to the irony of the pro-I-122’s campaign committee raising a large amount of their $1.3 million from out of the state. After Tuesday’s results, Seattle overwhelmingly passed I-122 with over 60% of the vote.
  • Yes – 60.33%
  • No – 39.67%
Tacoma Minimum Wage
To the relief of many businesses and employees, Measure 1B passed, raising the minimum wage to $12 an hour over two years in the City of Tacoma. Voters overwhelmingly supported a minimum wage increase, with question 1 (Yes) receiving over 58% of the vote. But voters were even more adamant that the increase should be a reasonable phased-in increase of $12, as Measure 1B passed with over 71% of the vote.
Tacoma Initiatives 1 & 1B Question 1
(Increase in the minimum wage)
  • Yes – 58.68%
  • No – 41.32%
Tacoma Initiatives 1 & 1B Question 2
  • Measure 1 ($15) – 28.60%
  • Measure 1B ($12) – 71.40% *WRA/WLA Endorsed
To see the results of the Tacoma City Council races, click here.
Worker Bill of Rights (Proposition 1)
Spokane voters have spoken, voting down proposition 1 by over 62%. Proposition 1, a measure backed by the advocacy group Envision Spokane, stated that any business with 150 full-time employees must pay a family wage that would cover housing, food, child care and transportation. The reality of this proposition is it could have increased the minimum wage in Spokane by as much as $28 an hour while crippling Spokane’s economy.
  • Yes – 37.99%
  • No – 62.01% *WRA/WLA Endorsed
Fircrest Sale of Liquor for On-Premise Consumption (Proposition 1)
Fircrest voters decided to end the eighty-year ban on the sale of liquor for on-premise consumption Tuesday evening. Fircrest has been a dry city since the founding of the city in 1925 and the last time residents voted on removing the ban was in 1975, where they unanimously voted to keep the ban. The Washington Restaurant and Lodging Associations are pleased with the outcome of this vote, allowing businesses the right to sell alcohol for on-premise consumption and no longer keeping them at a disadvantage to neighboring cities.
  • Yes (For Sale of Liquor) – 75.81% *WRA/WLA Endorsed
  • No (Against Sale of Liquor) – 24.19%
Seattle City Council Races
 
The Seattle City Council races were of high importance to the Seattle Restaurant Alliance and the Seattle Hotel Association as all seats were up for election and the final makeup of the City Council is critical to the hospitality sector.
With the SRA and SHA officially endorsing eight of nine candidates in the election, the outcome in the General was overall very positive. Six out of the eight candidates endorsed by the SRA/SHA came out on top Tuesday evening, leaving the SRA and SHA optimistic for the upcoming year as they work with legislators to help craft legislation that has the hospitality industry’s best interests in mind. To see the results and the current vote count for Seattle City Council races and Tacoma City Council races, click here.
City of Spokane Mayoral Race
WLA and the WRA are pleased with the reelection of Mayor Condon and look forward to working with him on a host of issues that face the hospitality sector in the City of Spokane in the coming year.
  • David Condon – 62.08%
  • Shar Lichty – 37.01%
 
Make your voice heard. Join the GAC! 
 
Would you like to be more involved? We are recruiting for our Government Affairs Committee! Open to all WLA & WRA members, the committee welcomes participation from anyone willing to engage in government affairs!  Your role will be to provide input when immediate policy decisions are needed and to follow up on calls of action when we need to reach out to elected officials. Your participation will make a difference! If you would like to join the GAC or have any questions for the WRA/WLA government affairs team, please email Government Affairs Manager Marian Ericks at MarianE@WaRestaurant

WLA joins the WRA in supporting a statewide minimum wage increase done the right way.

WLA joins the WRA in supporting a statewide minimum wage increase done the right way.

 

Hi-Resolution JPEG WLA copy
(Nov. 19, 2015) The Washington Lodging Association’s Board of Directors voted on Nov. 17 to support an increase in a statewide minimum wage done the right way. This decision supports the work the Washington Restaurant Association has been doing to move toward a positive solution on the minimum wage issue that will address minimum compensation at the state rather than the local level. WLA and the WRA are currently working together under a Joint Operating Agreement and will launch a unified hospitality association in 2016.

 

wra_LOGO-4cp_3clr_blu

 

(Nov. 5, 2015) The Washington Restaurant Association’s Board of Directors has announced that the member-driven association has decided to go in a new direction with regard to the minimum wage. In a press release issued today, the WRA outlined its desire to find a positive solution that increases minimum compensation on a statewide basis, providing local restaurants with predictability when calculating their costs. Read the full release:

Support for minimum wage increases done the right way.

Winston Churchill once said, “To improve is to change.”

The hospitality industry in Washington state is improving. And local restaurants are finding ways to embrace big changes. With the passage of the minimum wage increase in Seattle, many of the city’s restaurants are making significant changes to their business models that have garnered media attention. Now, restaurants are announcing another change.

The Washington Restaurant Association supports raising the minimum wage statewide in a responsible manner. Local government leaders agree that it’s time to address this important issue in a thoughtful bipartisan manner at the state level.

“We are in support of an increase in minimum wage done the right way. We have learned through local discussions that there are ways to support neighborhood restaurants and raise compensation for employees,” said Anthony Anton, Washington Restaurant Association president and CEO. “However, our state now has multiple different minimum wages with the likelihood of many more to come. It’s creating a checkerboard of wage laws that are difficult on everyone. We are looking for a positive state-wide solution. Restaurants are calling for local and state lawmakers to join together to find an answer.”

Currently, Washington state’s minimum wage is $9.47 per hour. Since 1998, it has increased annually, based on the national consumer price index. But in Seattle and SeaTac, the minimum wage is already higher. Voters just spoke on ballot proposals to increase wages in Spokane and Tacoma. As a result, Tacoma’s minimum wage will increase over time to $12 an hour.

“The City of Tacoma has had robust debates about paid sick leave and minimum wage. My City Council colleagues and I believe these important issues need solutions at the state level,” said Tacoma Mayor Marilyn Strickland. “Statewide policies will benefit workers across the entire state and provide certainty and efficiency for businesses. This will eliminate confusion for consumers and taxpayers because it will allow one organization to enforce and administer the law, instead of dozens of cities setting up a patchwork of regulatory programs. I urge the Legislature to address these issues in its upcoming session, and help uplift workers”

City governments realize that restaurants are vital to communities and local economies. When it comes to wages, restaurant owners, employees and customers are in a symbiotic relationship. Neighborhood restaurants are a pipeline of entry into the workforce, and protecting starting jobs is critical. Restaurants are also the new family dining room. Finding a solution that works for businesses, employees, and customers is key for the health of a city.

“I am concerned about Washington businesses competing on a level playing field. I’m equally concerned about establishing a unique city-by-city wage and benefit regulation and the complex burden that will create for businesses across the state,” said Spokane Mayor David Condon. “Accordingly, I encourage the Legislature to carefully consider ideas to resolve these issues on a statewide basis.”

Anton acknowledges the changes will not be simple and there will be many challenges in adapting to a statewide solution for increasing the minimum wage.

“While business models will have to change to adapt we are already seeing how some restaurants are making innovative changes,” Anton concluded “This coming year, we will see the birth of a new business model in our state. We will be trailblazing and finding ways to do business better – not only to keep our doors open, but also for the growth of our employees and strength of our communities. But if we are going to be successful in this new direction we will need clarity and certainty in this new environment. Washington’s restaurants need state legislators to lead the way for the health of our state. Now is the time.”

 

IN THE NEWS

The Washington Restaurant Association, Spokane and Tacoma Mayors Support Minimum Wage Done the Right Way and Call for State Leadership (PR Newswire, Nov. 6, 2015)

Washington Restaurant Association reverses stance on minimum wage (Business Examiner Media Group, Nov. 6, 2015)

Restaurant group supports increasing state’s minimum wage (The Seattle Times, Nov. 5, 2015)

Washington Restaurant Association declares support for higher minimum wage (kuow.org, Nov. 5, 2015)

Washington restaurant group now pushing for wage increase (king5.com, Nov. 5, 2015)

Don’t miss your chance to advertise in the 2016 Washington State Visitors’ Guide.

Don’t miss your chance to advertise in the 2016 Washington State Visitors’ Guide.

             2015_WVG_CoverSeattle            2015_WVG_CoverWineCountry-smaller

The thirst for travel is back and now, more than ever, publications like the official Washington State Visitors’ Guide are helping people determine where to stay, what to do, and what to experience on their vacations.

Last year Washington saw increases in all visitor spending categories, to over $15.6 Billion. As one recent study showed, 80% of readers who hadn’t yet planned their trips were influenced in their choice of destination after reviewing a visitor guide.  This powerful effect is just one of the many reasons why your business needs a presence in the 2016 edition of the official Washington State Visitors’ Guide, the definitive travel resource for our beautiful state.  Your ad will be seen by travelers in print, online, and on their mobile phones and tablets, allowing your brand to reach prospective guests in a variety of ways as they plan and experience their Washington trip.

With its highly targeted distribution, the 2016 Visitors’ Guide–and your ad–will be:

  • Picked up at visitor centers and tourist locations throughout Washington and in Arizona, California, Colorado, Idaho, Nevada, Oregon, Texas and Vancouver, BC.
  • Sold on newsstands at more than 400 Washington and Oregon retail stores, including Barnes & Noble, Whole Foods and QFC.
  • Downloaded on iPads, tablets and smartphones.

The final deadline is just around the corner.  Be sure to reserve your ad space while you still can.

To reserve your space or to request further information, please contact Jeff Adams at SagaCity Media at 206-454-3007 or by email at jadams@sagacitymedia.com.

 We look forward to partnering with you to drive travelers to your business!
The official Washington State Visitors’ Guide is published by the Washington Lodging Association in partnership with the Washington Tourism Alliance, the Washington Restaurant Association and SagaCity Media, Inc.

AH&LA calls on members to help enact legislation that will roll back NLRB’s recent redefinition of a “joint employer.”

AH&LA calls on members to help enact legislation that will roll back NLRB’s recent redefinition of a “joint employer.”

 

(Oct. 22, 2015) AH&LA President & CEO Katherine Lugar issued the following action alert asking members to contact their representatives in Congress to urge support for the “Protecting Local Business Opportunity Act.”  This legislation would protect the traditional, direct control definition of joint employer.

Dear AH&LA Member,

As you know, an overreaching National Labor Relations Board (NLRB) has upended 30 years of labor law by changing the definition of “joint employer” under the National Labor Relations Act (NLRA). In doing so, they are fundamentally altering what it means to be a business owner or an employer. This marks a very significant liability shift and as an owner or employer, you can now be held liable for actions and activities of employees who are not your own.

This past August, the NLRB issued its decision in a case called Browning-Ferris Industries(BFI) in which the NLRB completely re-wrote the joint employer standard by including “indirect” and “potential” control as part of a new standard. In doing so, the NLRB ignored years of legal precedence and created an environment of uncertainty that will put pressure on primary companies to assert more authority over small businesses to limit new potential liabilities under federal labor law. This short-sighted and highly political decision by the NLRB could impact virtually any business to business contractual relationship and force many larger employers or corporations to stop outsourcing any aspect of their business or limit franchising opportunities.

AH&LA co-chairs The Coalition to Save Local Businesses which has been working aggressively to educate members of Congress on the negative consequences to our industry and urge them to reinstate the previous joint employer standard. Through our collective efforts, legislation entitled: “Protecting Local Business Opportunity Act” has been introduced in the Senate (S. 2015) and the House (H.R. 3459) and would protect the traditional, direct-control definition of joint employer which has been the standard under the NLRA for decades. We need your help to ensure Congress acts on this legislation and moves it to the finish line.

Please take a few short minutes now to urge your member of Congress to cosponsor and support S. 2015/H.R. 3459, the “Protecting Local Business Opportunity Act.” By clicking here,* you will send a letter that helps make this legislation a priority for our industry.

Thank you for your continued support. Together, we can make this happen.

Katherine Lugar
President & CEO
American Hotel & Lodging Association

*Link is for registered AH&LA members.  See below for links to contact your legislators.

Sample Legislator Letter

Subject: Stop the NLRB Overreach- Cosponsor S. 2015
Message
As a member of the hotel industry who will be impacted by changes to the joint employer standard, I urge you to cosponsor and support S. 2015, the “Protecting Local Business Opportunity Act”. This commonsense legislation would address decisions made by the National Labor Relations Board (NLRB), which undermine the National Labor Relations Act (NLRA) and create unnecessary uncertainty for my business and my employees. The lodging industry is one of the nation’s largest employers. With 1.9 million employees in cities and towns across the country, the hotel industry generates $176 billion in annual sales from more than 5 million guestrooms at 53,432 properties. It’s particularly important to note that this industry is comprised largely of small businesses, with more than 55% of hotels made up of 75 rooms or less. For more than three decades, the joint employer standard has been one of the cornerstones of labor law, protecting small businesses like mine from undue liability involving employees over which they do not have actual or direct control.

Unfortunately, through its Browning-Ferris Industries decision, the NLRB has completely re-written the joint employer standard by including “indirect” and “potential” control into its decision. This means that employers can now potentially be held liable for the actions and activities of employees that they do not employ or have any interaction. In doing so, the NLRB has ignored years of legal precedence and has created an environment of uncertainty that threatens my business and the well-being of my employees. As a constituent and an employer in your district, I urge you to cosponsor the “Protecting Local Business Opportunity Act” which will bring much needed certainty back into labor law, reversing the new ambiguous and senseless joint employer standard included in the NLRB’s Browning-Ferris Industries decision. Thank you for your consideration of this critical legislation.

SEND THE ABOVE  EMAIL TO YOUR CONGRESS MEMBERS

Click here to find your Representatives

Click here to find your Senators

CLICK HERE FOR A FACT SHEET FROM THE COALITION TO SAVE LOCAL BUSINESSES.

Congratulations to the 2015 nominees for the Washington Lodging Association’s Stars of the Industry Awards

2015 nominees for WLA’s Stars of the Industry Awards

Congratulations to the 2015 Stars of the Industry Awards nominees

Presented by the Washington Lodging Association and Moss Adams LLP

 

Stars_4C_WLA_LowRes

Each year the Washington Lodging Association invites its members to honor their exceptional employees by nominating them for the Stars of the Industry Awards. Now in its 17th year, the Stars program welcomes another outstanding group of nominees.

The 2015 nominees share a passion for providing guests with quality service; they show up each and every day with a determination to do the very best job they can, and they are both leaders and team players. Together, they exemplify the very best in Washington hospitality, and they make our industry proud.

Selecting winners in each category will be a difficult task for this year’s Stars judges, who are led by Roy Cupler, CPA, a partner with Stars of the Industry Awards presenting sponsor Moss Adams LLP.

Winners will be celebrated on Monday, November 16 at the Stars awards dinner which is one of the highlights of WLA’s Annual Convention & Trade Show. The Convention takes place at the Hyatt Regency Bellevue, and if you haven’t yet registered there is still time to be a part of this premier lodging event. Learn more here.

 

 

Hi-Resolution JPEG WLA copy                                Moss-Adams-LLP_2C_Descriptor

 

Congratulations to these outstanding nominees for the 2015 Stars of the Industry Awards:

OUTSTANDING GENERAL MANAGER
Recognizes a hotelier who has demonstrated superior professionalism in operating a WLA-member property and taken a leadership role in the industry by actively participating in association, community, or industry programs.

  • Warren Beach, General Manager/Vice President of Operations, Holiday Inn Express & Suites Everett
  • Tonya De La Cruz, General Manager, Coast Gateway Hotel, SeaTac
  • Melissa Blasdel, General Manager, My Place Extended Stay Hotel, Pasco
  • Keith Coleman, General Manager, Springhill Suites, Bellingham
  • Dana Ottoboni, General Manager, LaQuinta Inn & Suites Vancouver
  • Toni Skinner, General Manager, Holiday Inn Express and Suites, Sequim

 

OUTSTANDING MANAGER
Honors exemplary professionalism and exceptional service by an employee in a supervisory position. Nominees are judged on undertaking special services, showing outstanding leadership qualities, and consistently adding to the general well-being of guests.

Full Service

  • Anna Chon, Hotel Manager, Arctic Club Hotel-a Doubletree by Hilton, Seattle
  • Cora Eifert, Food and Beverage Operations Manager, Sleeping Lady Mountain Resort, Leavenworth
  • Aaron Lingley, Front Desk Manager, The Maxwell Hotel, Seattle
  • Kim Peterson, Director of Catering & Event Management, Sheraton Seattle Hotel

Limited Service

  • Magdalena Correa, Executive Head Housekeeper, SpringHill Suites by Marriott Kennewick/Tri-Cities
  • Kacey Lacic, Assistant General Manager, Courtyard by Marriott Richland Columbia Point
  • Bill Rode, Area Director of Sales – Group Sales, 360 Hotel Group, Lynnwood
  • Sharon Wagner, Sales Manager, Holiday Inn Express Downtown Spokane

 

OUTSTANDING LODGING EMPLOYEE
Honors a non-management employee who goes above and beyond normal job responsibilities. Nominees are judged on outstanding and unusual service to the property, guests, and the community.

Full Service

  • Bert Hayward, Shuttle Driver/Bellperson, Embassy Suites by Hilton Seattle-Tacoma International Airport
  • Gwendolynn Leituala, Guest Services Agent, Radisson Hotel Seattle Airport
  • Cory Rothwell, Executive Meeting Specialist, Sheraton Seattle Hotel
  • Joe Sullivan, Banquet Set-up Supervisor, The Westin Bellevue
  • Mervat Sbait, Regency Club Concierge, Hyatt Regency Bellevue

Limited Service

  • Vong Chantha, Housekeeper, University Inn, Seattle
  • Katlin Glenn, Front Desk Agent, University Inn, Seattle
  • Dzenana Prozorac, Breakfast Bar Manager, Holiday Inn Express Downtown Spokane
  • Brian Roland, Houseman, Best Western Plus Heritage Inn, Bellingham

 

RISING STAR
Honors an outstanding individual for his or her exceptional efforts to serve and enhance the experience of the traveling public. Nominees are new to the industry and/or to their position and embody the essence of hospitality.

Full Service

  • Merri Christiani, Grand Club Attendant, Grand Hyatt Seattle
  • Rebecca Doll, Front Desk Agent, The Maxwell Hotel, Seattle
  • Chloe Lee, Cook 1, Fairmont Olympic Hotel, Seattle
  • Andrew Park, Manager on Duty, Cedarbrook Lodge, Seattle
  • Jeff Wilbur, Front Office Manager, Arctic Club Hotel-a Doubletree by Hilton, Seattle

Limited Service

  • Megan Greenawalt, Front Office Supervisor, Springhill Suites, Bellingham
  • Brennan Payne, Night Auditor, Hotel 5, Seattle
  • Jared Tess, Front Desk Agent, University Inn, Seattle

 

Stars of the Industry Awards are also given to properties that not only perform at a high level of excellence but that also make a contribution to the industry and to their community.

COMMUNITY SERVICE
Awarded for to a WLA-member property for demonstrated engagement in the community.

  • Grand Hyatt Seattle
  • Pan Pacific Hotel Seattle
  • Radisson Hotel Seattle Airport
  • Sheraton Seattle Hotel

 

GOOD EARTHKEEPING
Recognizes WLA-member properties that have integrated superior environmental management practices that improve everyday operations and the bottom line, while maintaining quality service and meeting guest expectations with success in two or more of the following areas: energy conservation, solid waste reduction, effluents and emissions, water conservation, purchasing, and business issues.

  • Pan Pacific Hotel Seattle
  • Sleeping Lady Mountain Resort, Leavenworth
  • Best Western Plus Heritage Inn, Bellingham

PRISM DIVERSITY
Recognizes the programs, initiatives, and corporate culture that lead to an environment of inclusion amongst all employees and/or guests, regardless of race, gender, creed, or physical ability.

  • Embassy Suites by Hilton Seattle-Tacoma International Airport

 

 

Seattle Hotel Association endorses candidates in upcoming City Council elections.

Seattle Hotel Association endorses candidates in upcoming City Council elections.

SigningBallotEnvelope-002-750px-optimized (Oct. 16, 2015) Under the new districting system approved by Seattle voters in 2013, every Seattle City Council seat is up for election this November. The outcome of these council races, which are all expected to be very close, will have an impact on hospitality businesses in Seattle. If you are a Seattle voter, don’t forget to vote in this important general election! And in deciding on how to vote, support our industry by following the endorsements made by the Seattle Hotel Association and the Seattle Restaurant Alliance.

SHA and the SRA have been working together for more than a year on the elections. Together they are supporting candidates who have made a commitment to learn about the economic challenges facing the hospitality businesses and are willing to engage with the hospitality industry. After an extensive candidate evaluation process, the two organizations endorsed the following candidates:

District 1 (West Seattle): Shannon Braddock

District 2 (Southeast Seattle): Bruce Harrell

District 3 (Central Seattle and Capitol Hill): Pamela Banks

District 4 (University District): Rob Johnson

District 5 (North Seattle): Debora Juarez

District 6 (Ballard, Fremont, Green Lake and Crown Hill): Catherine Weatbrook

District 7 (Downtown, Magnolia and Queen Anne): Sally Bagshaw

At-Large, Position 8: Tim Burgess

Many of these candidates will need help with last minute election efforts such as door-belling, phone banking and fundraising. We encourage you to engage in these efforts! They are great opportunities to meet and talk with the candidates about the issues important to you and your business. Candidate contact information can be found on their individual websites.

King County ballots were mailed on October 13 and must be postmarked or returned to a ballot box by November 3. If you do not receive your ballot by October 20, call King County Elections at 206.296.8683. Click here for ballot box locations.

If you are in Seattle, help elect the candidates that have the hospitality community’s best interests in mind. Don’t forget to vote!

For more information on candidates endorsed by SHA and SRA and their districts, click here to view our candidate map. For more information or questions, contact Morgan Hickel at morganh@warestaurant.org.

WLA joins lawsuit against Washington State Liquor and Cannabis Board over rules restricting options for negotiating liquor pricing.

WLA joins lawsuit against Washington State Liquor and Cannabis Board over rules restricting options for negotiating liquor pricing.

liquor law suit-full(Oct. 11, 2015) The Washington Lodging Association joined the Washington Restaurant Association in a lawsuit filed last week against the Washington State Liquor and Cannabis Board (LCB) over new rules that would restrict options for negotiating liquor prices. Northwest Grocery Association and Costco have also joined the suit.

The rules, which the LCB adopted in September, establish a strict system of uniform quantity discounts for spirits that specify when and how volume discounts can be calculated. Businesses are prohibited from taking advantage of product promotion and pricing specials, including “family plans,” and from establishing a customer relationship beyond a single, one-time order. The rules are harmful and unfair to restaurants and hotels, and WLA and the WRA believe the courts will ultimately find the rules to be illegal.

“We think it’s pretty simple – price should be determined by the willingness of a customer to pay the price, and the willingness of the buyer to sell at that price, the way it works for ‘goods of all kinds,’ as permitted under the law,” said Bruce Beckett, WRA’s Director of Government Affairs.

Over the last two years, the WRA has been in vocal opposition to a barrage of LCB rules that appear to violate Initiative 1183, the liquor sale privatization measure passed in 2011. As a result, the LCB has received dozens of detailed comment letters and heard from more than 150 local restaurants about the harm the rules will cause, including price increases for customers. It is unfortunate that the LCB has not chosen to acknowledge the concerns of these Washington businesses.

“It was frustrating when the LCB violated the law during the implementation of privatization three years ago. But our objections were affirmed in court when the LCB rule to restrict purchasing options for restaurants was overturned,” said Beckett. “This will be the second time the Board has ignored the impact on small business, and the second time we ask a court to overturn rules that violate the law and impede restaurants and bars from legally acquiring product to run their business.”

Airbnb announces it will collect Washington lodging and sales taxes.

Airbnb announces it will collect Washington lodging and sales taxes.

(Oct. 2, 2015) Airbnb announced this week that on October 15 it will voluntarily start collecting lodging and sales tax on behalf of Washington state hosts who use Airbnb as a platform to rent out their home and properties on a short-term basis.  While Airbnb’s announcement is a step forward, WLA joins the American Hotel & Lodging Association in calling for all lodging establishments, including those in the “sharing economy,” to be held to the same regulatory, licensing, insurance and taxation requirements to protect the health, safety and well-being of their guests.

In a statement submitted for today’s congressional hearing on the “sharing economy,” AH&LA raised concerns about short-term online rental companies. AH&LA stated that these companies have obligations to uphold, including taking reasonable steps to facilitate compliance with commonsense safety, security, health and fire standards. It highlighted that some newer market players in the short-term online arena are significant commercial enterprises – indeed, illegal hotels and inns – that need to be reined in.

In some jurisdictions, these short-term rentals are illegal, while in others they may violate existing zoning, licensing or other laws in place to protect consumers and the safety and integrity of communities. AH&LA called on state and local jurisdictions to ensure that:

  • Hosts register and obtain a business license and other applicable transient occupancy or vacation rental permits.
  • Short-term online companies are not enabling or encouraging illegal activity.
  • Basic health, safety and cleanliness standards are met.
  • All taxes and fees are paid.
  • Zoning laws are followed.
  • Appropriate levels of insurance are in place to protect homeowners, guests and communities.

To date, more than 22 states and 100 municipalities are in the process of working on legislation to achieve uniform taxation and public safety standards.

Neighbors for Overnight Oversight, a coalition of concerned residents, community leaders, businesses and policymakers, is also speaking out for sensible rules and oversight of the short-term online rental market.  The group has posed an online toolkit, which includes sample letters to the editor and useful information on the issue of unregulated and unlicensed accommodation.

Washington’s state minimum wage will stay the same in 2016.

Washington’s state minimum wage will stay the same in 2016.

(Oct. 1, 2015) Washington state’s minimum wage will not increase in 2016, remaining at $9.47 an hour.  This is only the second time Washington has not had a state minimum wage increase since voters approved a 1998 initiative that requires annual recalculations based on the national Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI). The CPI decreased by 0.3 percent over a 12-month period ending Aug. 31, 2015.  As a result, Washington will no longer have the nation’s highest minimum wage, replaced by California and Massachusetts which will reach $10 per hour on January 1.

SeaTac and Seattle have passed ordinances that set even higher minimum wages than the state, and Tacoma will have two minimum wage initiatives on its November ballot, one calling for a phased-in increase to $12 an hour and another that would immediate require a $15 an hour minimum wage on Jan. 1, 2016.

WLA joins the Washington Restaurant Association supporting the $12 initiative, and it calls on voters to be careful about how they vote on what will be a confusing ballot. The WRA created a video to clarify the two votes needed to defeat the $15 an hour measure. View the video here.

Additional Resources:

Washington State Department of Labor & Industries

City of Seattle’s Minimum Wage Ordinance

City of SeaTac’s Employment Standards Ordinance

$12 for Tacoma campaign website

Connect with these sponsors and exhibitors at WLA’s 2015 Convention & Trade Show

Convention & Trade Show Sponsors

WLA’S ANNUAL CONVENTION & TRADE SHOW

NOVEMBER 15-17, 2015

DOJ approval of Expedia’s acquisition of Orbitz means 95% of all online travel agency bookings will be controlled by two players.

DOJ approval of Expedia’s acquisition of Orbitz means 95% of all online travel agency bookings will be controlled by two players.

Much to the disappointment of the American Hotel & Lodging Association (AH&LA), the Department of Justice has approved Expedia’s acquisition of Orbitz. AH&LA has lobbied against the deal because it consolidates almost all bookings by online travel agencies, or OTAs, in a duopoly.

“By approving this deal, only two players control the online marketplace: Priceline and the behemoth Expedia, now owning Orbitz, Travelocity, Hotels.com, Hotwire, Cheap Tickets, and Trivago,” says Katherine Lugar, AH&LA’s President & CEO. Priceline owns Booking.com, OpenTable and Kayak.

“As we’ve said all along, this transaction will result in significant negative consequences for consumers and also the large number of our members who are small businesses and independent hotels. It could lead to increased distribution costs for independent hotel owners who risk seeing booking commissions rise by double digits.”

The association’s advocacy has raised public awareness about the negative impact of online travel consolidation and garnered prominent national media attention in the press. Lugar promises that AH&LA will continue to take action on decisions that threaten the industry and harm guests. The Expeida/Orbitz debate has increased awareness follows the association’s significant work on deceptive online practices, which has generated more than 300 million media impressions.

 

Additional Resources:

American Hotel & Lodging Association statement on the Department of Justice approval of Expedia’s acquisition of Orbitz (September 16, 2015)

“Expedia and Orbitz are merging. Here’s what it means for you.” (The Washington Post, September16, 2015)

Completion Of $1.6B Orbitz, Expedia Merger Further Whittles Down Online Travel Agency Options (The Consmerist.com, September 17, 2015)

Tacoma Paid Leave 2016: Implementation options available to employers

Tacoma Paid Leave 2016: Implementation options available to employers

Tacoma(September 16, 2015) The Paid Leave Ordinance approved by the Tacoma City Council on January 27, 2015, goes into effect on February 1 of 2016.  The ordinance ensures that everyone working in Tacoma can earn Paid Leave to use when they need temporary time off from work to take care of issues related to their own health or the health of a family member. Under the ordinance employees may  use paid leave to take care of their own needs, or their family’s needs, resulting from domestic violence, sexual harassment, assault or stalking.

The paid leave ordinance applies to all employees working within the boundaries of Tacoma.  Employees will start earning paid leave 180 days after becoming employed: 1 hour for every 40 hours worked, up to 24 hours a year.  At the end of the year, up to 24 hours of unused paid leave can be rolled over to the next year, but use of paid leave is limited to 40 hours in that year.

 

Options for Compliance

The paid leave ordinance provides employers with option on how to meet the law’s requirements. These have different implications in terms of cost and administration. Your options are to:

  • Option 1: Establish a program to provide employees with paid leave available under the Ordinance.  This option requires you to track, and maintain records of, each employee’s time worked in Tacoma, accrual of paid leave, and use of paid leave.  You must also provide regular notice to each employee of their accrued, used, and unused paid leave.  There are various other requirements set forth in the Ordinance and Rules as well.
  • Option 2: Establish a Universal PTO Policy that combines all types of paid leave available to employees (e.g., paid vacation, paid sick leave, Paid Leave per the Ordinance).  Employers who choose this option must still comply with all of the components of the Ordinance.  While combining all types of leave into a Universal PTO policy may be more streamlined than trying to track each type of leave separately, having a Universal PTO policy will still require tracking accrual and use of Paid Leave, record-keeping, and providing regular notice to employees of their use of Paid Leave.
  • Option 3: Establish a Premium Pay Program under which employees who are included in the Program are paid a higher amount of pay for time worked in Tacoma, instead of providing them Paid Leave under the Ordinance.

Establishing a Premium Pay Program may be more attractive than the other two options.  While the Premium Pay will cost more in terms of wages paid, such increased wages should be relatively modest, and such a Program is likely to be substantially less burdensome from an administrative standpoint.  For example, it will relieve you of the obligation to track accrual versus use of Paid Leave per employee paid Premium Pay.  At the very least, due to some challenges in having the Paid Leave program apply to employees who are exempt from overtime, you may consider having those employees on a Premium Pay program in lieu of providing them with Paid Leave.  Applications for Premium Pay Program proposals must be submitted for review at least 90 days in advance of the intended start date.  We recommend submitting your proposals before November 1st. Click here for the online application.

We’ll cover the finer points of these options and provide some example policies in future posts.  Until then, feel free to call us if you have any questions: (360) 956-7279.

Resources for Implementation of Tacoma’s New Paid Leave Ordinance

Resources for Implementation of Tacoma’s New Paid Leave Ordinance

TacomaTacoma’s new paid leave ordinance is set to take effect February 1, 2016.  In order to help you through this transition, we’re starting a web series on how to implement this new law. We’ll be posting a new edition weekly, so keep checking back. At the bottom of this page, you’ll find links to these guides along with links to outside resources.  This paid leave guide is our interpretation of the ordinance and should not be considered a substitute for legal counsel. We are here to be your resource and help you succeed, so feel free to contact us if you have any questions: (360) 956-7279.

 

Weekly Articles:

Implementation Options

Premium Pay Programs

Accrual of Paid Leave

Resources:

Tacoma Paid Leave Ordinance

Tacoma Paid Leave Rules

Paid Time Off Policy Checklist

Paid Leave Ordinance FAQ

Premium Pay Program Application

Notice to Employees

CityofTacoma.org Paid Leave Page

If you would like to subscribe to receive weekly update as a WLA member outside of Tacoma, or would just like more information, please email SamanthaL@warestaurant.org.

Join WLA and the WRA at key events that will strengthen our industry and help us enhance the success of your business.

Join WLA and the WRA at key events that will strengthen our industry and help us enhance the success of your business.

Next month the Washington Lodging Association and the Washington Restaurant Association begin joint operations, and your participation at a number of key events this fall will help set the course for successful collaboration on all fronts. Here’s what’s on the WLA/WRA calendar:

 

Alcohol Summit 2015
Wednesday, September 16
Noon to 3:00 p.m. followed by a social hour.
Rhein Haus, Seattle
REGISTER HERE!
Join fellow WRA and WLA members in giving direction to your expanded Government Affairs (GA) team on alcohol beverage regulation in Washington State. The summit will focus on a variety of policy areas, including spirits & wine market reforms, credit terms, licensing and education & enforcement issues. You’ll hear privatization updates and have the opportunity to tell the WRA/WLA GA team how they can help your business succeed. Lunch is on the house!

Golf FORE! Education
Tuesday, September 22
10 a.m. to 7 p.m. (includes lunch and is followed by awards dinner)
Washington National Golf Club, Auburn
REGISTER HERE!
The WRA’s popular Golf FORE! Education supports scholarships and ProStart, a nationally accredited high school culinary arts program. ProStart is changing lives at more than 50 public high schools in Washington, and you can help make a difference by registering to play. Plus, you’ll have plenty of fun! Registration include golf scramble, golf cart, lunch, and a chance to win the longest drive, the closest to the pin and prizes for 1st, 18th and 36th place. Learn more

Government Affairs Committee Regional Meetings
Throughout October
RSVP HERE
The WRA/WLA Government Affairs Committee wants to hear from you! In October regional meetings will be held throughout the state to brief members on the next legislative session and to get member input on 2016 legislative priorities. After the briefing, you’ll also have a chance to meet your state legislators, who have been invited to hear about our industry’s priorities. Look for upcoming emails with details on these informative meetings which are from 10:30 a.m. to 1:00 p.m. and includes lunch, except for the Spokane meeting which will be from 3:00 to 5:30 p.m. Please email shannong@warestaurant.org to RSVP for one of the following meetings:

  • Tacoma (October 7)
  • Tri-Cities (October 12)
  • Spokane (October 13)
  • Bellevue (October 19)
  • Seattle (October 20)
  • Vancouver (October 26)
  • Mount Vernon (October 28)

WLA’s Annual Convention & Trade Show
November 15 to 17
Hyatt Regency Bellevue
REGISTER TODAY!
WLA’s popular convention will continue to provide Washington’s lodging owners, operators and managers with high-caliber professional training, information on critical industry issues, updates on government regulations and opportunities to network. It also features the Northwest’s only trade show dedicated to meeting the needs of hoteliers.

Presentations include “Great Leaders, Great Teams: Management Lessons from Highly Successful Hotels,” “What City-Based Employment Laws Mean for Hoteliers,” “Leveraging Sports Mania to Drive Business,” “Best Social Media Practices to Increase Engagement and Avoid Litigation,” and “The Art and Craft of Hotel Ownership, Investment and Portfolio Management.” Learn more.

Congress is negotiating legislation that includes repeal of drastic cuts to the military per diem rate and representatives need to hear from you.

Congress is negotiating legislation that includes repeal of drastic cuts to the military per diem rate and representatives need to hear from you.

(Sept. 4, 2015) Earlier this year, the Department of Defense dramatically cut the military per diem allowances for employees on long-term travel assignments, and a repeal of these drastic cuts is in the offing. AH&LA has been advocating for a repeal of this harmful policy, which cuts the per diem allowance for workers who are on assignment for more than 30 days by 25 percent, and for those traveling for more than 180 days the per diem was cut by an astounding 45 percent. You help make this repeal a reality.

The military per diem policy is distinct from the per diem rates announced recently by the General Services Administration (GSA), and these lower rates could be very damaging to hotels that cater to military bases. It also sets a bad precedent for per diem policy in general.

Representative Derek Kilmer (D) of Washington State’s 6th District introduced bi-partisan legislation to repeal the policy, and worked with Representative Mark Takai of Hawaii to get the legislation added to the National Defense Authorization Act. The Act was approved by the House of Representatives, while the Senate version of the NDAA includes a requirement that the Pentagon study the impact of this policy, which is not nearly as strong as the House provision.

The Senate and House are currently negotiating a final version of the NDAA to send to the President, and it is vital that hoteliers push Congress to preserve the House legislation which would repeal the Pentagon cuts to per diem allowances. That’s why Congress needs to hear from you. Adding your voice to this discussion will help ensure that we preserve these important allowances.

Contact your Members of Congress now by clicking here. It only takes a few minutes and will have a profound impact on our industry and those federal workers and their families who benefit from these allowances.

For more information or if you have any questions, please contact Craig Kalkut, AH&LA’S vice president of government affairs at ckalkut@ahla.com.

AH&LA condemns the National Labor Relations Board decision on joint employers as threat to the franchise business model.

AH&LA condemns the National Labor Relations Board decision on joint employers as threat to the franchise business model.

1099_14th_Street_–_National_Labor_Relations_Board_-_sign-cropped(Sept. 1, 2015) In one of its biggest decisions under the Obama Administration, the National Labor Relations Board (NLRB) ruled last week that companies can be held responsible for labor violations committed by their contractors. The American Hotel & Lodging Association (AH&LA) says the ruling creates a dangerous new legal precedent and threatens to undermine franchise owners’ control over their businesses.

The controversial ruling was released on August 27, when NLRB found waste management firm Browning-Ferris should be considered a “joint employer” with a Phoenix-based staffing agency that provided contracted employees for a Browning-Ferris recycling facility.

This decision is a sharp departure from previous NLRB decisions that stated companies were only responsible for employees who were under their direct control. Under this new standard, joint employment now exists even where one company only has the right to exert indirect or potential control over the terms and conditions of another company’s employees.

This new ruling could have significant repercussions for any business using contracted employees.

“With the 92 percent of lodging properties in the United States owned by franchisees and small businesses, we are very concerned that these changes to the joint-employer standard will have a profound negative impact on economic investment and job growth across our industry. The NLRB’s decision to expand the definition of joint employer could severely limit opportunities by diminishing the autonomy of millions of small business owners and dissuading potential entrepreneurs from wanting to start a new business,” said Katherine Lugar, AH&LA’s president and CEO.

“For more than 30 years, the franchisor/franchisee relationship has been based on the fundamental understanding that franchisors and franchisees are not joint employers because they do not exercise direct control over the same employees’ responsibilities. Now, many of our small business owners could very well lose their ability to make decisions about what is best for the men and women they work with every day. The focus of the government should be to encourage and empower businesses, not stifle them.” Read the full statement here.

According to a legal alert released by WLA allied member Fisher & Phillips, any employer that retains the right to impose even indirect control over the working conditions of temporarily placed employees runs a serious risk of being deemed their joint employer – not only for bargaining purposes, but potentially for unfair labor practice liability as well.

As a result of this decision, the legal alert notes that “employers and temporary service providers alike should scrutinize the parameters within their written service agreements and their underlying practices for reference to right to control. This includes an analysis of pre-employment qualification and hiring standards, assignment and retention of individual temporary employees, shift schedules, workload and pace of work, and wages and benefits.” Click here for the full legal alert. 

AH&LA, which co-chairs the Coalition to Save Local Businesses, announced that it will fight to protect the current joint-employer standard through all legislative, regulatory and legal options available to us. It will be hosting a members-only webinar in the coming weeks to provide a thorough analysis of what this decision means for our industry and what you can do to prepare for potential changes. For more information, contact Brian Crawford, who handles workforce issues, at: bcrawford@ahla.com.

 

Additional Information

Hoteliers, associations slam NLRB decision (HotelNewsNow.com, August 28, 2015)

NLRB rules against business in pivotal joint-employer decision (TheHill.com, August 27, 2015)

NLRB Starts Down The Slippery Slope With Controversial New Joint Employer Ruling (Fisher & Philips LLC, www.laborlaw.com, August 28, 2015)

 

Photo: “1099 14th Street – National Labor Relations Board – sign” by Geraldshields11 – Own work. Licensed under CC BY-SA 3.0 via Commons

 

 

Joint WLA/WRA Operations to Begin October 1

Joint WLA/WRA Operations to Begin October 1.

(September 2, 2015) This week the Washington Lodging Association and the Washington Restaurant Association signed a joint operating agreement and a master services agreement establishing a framework for working collaboratively on all fronts. Under the agreements, the WRA will provide management services to WLA out of its Olympia office, and current members will have dual membership in both associations.

Joint operations, which begin October 1, will leverage the WRA’s extensive staff resources. The membership and business development teams have already begun reaching out to WLA members to help them take advantage of expanded opportunities that come with dual membership.

Joining forces gives the hospitality industry a stronger voice and increases the capacity to address challenges at both the state and local levels. By working together, WRA and WLA will have an expanded government affairs team which includes staff and contract lobbyists as well as local representatives in key areas.

While the WLA and WRA Boards of Directors will remain in place over the next year, Directors from both organizations will begin working together on committees this Fall. A Joint Executive Committee is in place and the first joint Board of Directors meeting will be held in November in conjunction with WLA’s Annual Convention & Trade Show.

WRA’s CEO & President Anthony Anton will lead both associations, and Matt Van Der Peet, WLA’s chair and the general manager of Sheraton Bellevue Hotel, will serve as WLA’s president. The leadership of both associations remain committed to launching a unified hospitality association in 2016.

2014 Stars of the Industry Awards Photos

WLA’S ANNUAL CONVENTION & TRADE SHOW  2014 STARS OF THE INDUSTRY AWARD WINNERS

254_WLA-GeneralManager-BillWeise-2

Outstanding General Manager of the Year Bill Weise, Silver Cloud Hotel

Seattle Stadium

 

 

 

 

250_WLA-OutstandingManager-MickeyNiland-1

 

250_WLA-OutstandingManager-MeghanforMelissaChurch

Holiday Inn Express & Suites Pullman General Manager Meghan Wiley

accepting the Outstanding Manager of the Year Award for Sales Manager

Melissa Church

 

237_WLA-PSAV award

Jaymes Toycen, PSAV Regional Vice President of Operations, with Paul

Kovach, Director of Event Technology at DoubleTree by Hilton Seattle

Airport and the Hilton Seattle Airport & Conference Center, who

nominated PSAV for the Allied Partner of the Year Award

239_WLA-Kalaloch Lodge 2

Good Earthkeeping Award being accepted by Environmental, Health,

Safety & Interpretive Manager Alec Bartolai for Kalaloch Lodge, Olympic

National Park.

240_WLA-Special Events_Mayflower-1

Roy Cupler congratulates the Mayflower Park Hotel team for their

Special Events Award.

 

243_WLA-Community Service-Embassy Suites

The Embassy Suites Seattle-Tacoma International Airport

team with their Stars Award for Community Service

GSA FY2016 per diem rates increase across the board for Washington state.

GSA FY2016 per diem rates increase across the board for Washington state

(August 20, 2015) The General Services Administration (GSA) has released federal per diem rates for FY2016, and many areas in Washington will see significant increases. The daily rate for the Vancouver area will jump by as much as 10%, followed by Spokane with a 9% increase. For the Seattle area, the high season rate was increased to $202 and in FY2016 extends from May through October. This means the Seattle per diem rate for May, September and October will see an increase of 29.5%.

The standard continental United States (CONUS) rate, which will now be reviewed every year, increased by 7.2% from $83 to $89 per night for lodging and the meals and incidental rate increased by 10.9% to $51/day. Skagit, Island and San Juan counties were moved to the CONUS rate.

Federal per diem rates, used by government travelers to obtain hotel rooms at a standard discount, are established each year based on actual market data compiled and provided by Smith Travel Research.

Click here for Washington state FY2016 per diem rates

Click here for a comparison of FY2015 and FY2016 per diem rates for Washington state.

New chip-based credit card standards could leave you with the bill if you haven’t upgraded your credit card reader.

New chip-based credit card standards could leave you with the bill if you haven’t upgraded your credit card reader.

(August 13, 2015) Be prepared, hoteliers. On October 1, new rules related to credit card fraud take effect, and if you haven’t upgraded to chip-reading technology for your credit card processing, you could be liable for fraudulent payments. It’s all a part of the roll out of new chip-based cards under the EMV (Europay, MasterCard and Visa) global interoperability standard, and new compliance language will place the liability for fraud with whichever party is using older technology.

That means if you have a chip-enabled reader and your customer only has a magnetic strip card, the bank that issued the card is liable for fraud. The opposite is also true. If you haven’t upgraded to the new technology, and there is fraud with an EMV card, you’ll be left paying the bill.

The shift to chip-based cards and readers makes sense.

The U.S is the world’s last major market that still uses the old-fashioned swipe-and-sign magnetic strip cards, and consumers and merchants are paying a serious price. The antiquated card technology is a major reason why the U.S. has nearly half of the world’s credit card fraud, as revealed in a 2014 U.S. Senate Judiciary Committee hearing, despite it being home to only approximately a quarter of all credit card transactions.

“EMV isn’t a mandate,” said Janette McGrath, vice president with MasterCard’s U.S. Product Strategy Division in a recent National Restaurant Association webinar on the new credit card standards. “There isn’t a penalty if you don’t meet the October 1 date. We really are trying to create an incentive to get everyone to move to this more secure payment system.”

Security is, indeed, the major consideration for the shift to chip-based cards. The traditional American credit card store personal information in a magnetic stripe on the back of the card, whereas EMV cards store information on a secure computer chip, which generates a one-time-use security code for every transaction. According to the EMV Migration Forum, a consortium of industry players that support EMV chip implementation across the United States, this makes counterfeiting virtually impossible.

Chip cards also require a pin number, further securing each transaction. These cards also protect against point-of-sale breaches like the Target breach in 2013.

“If there’s a tamper detected, the card will erase all the information that’s stored on its chip,” said Michael English, executive director of product development at Heartland Payment Systems, at the same EMV webinar attended by McGrath. “The card uses cryptograms that authenticate the user and the card.”

Switching to EMV is, however, a major undertaking not to be taken lightly.

“The training of staff is going to be imperative because these cards are going to be relatively new to the consumers as well,” said English. “It’s going to take a lot of patience on both sides to make the transition.”

Additional Resources

“Are you ready for EMV card adoption?” (HotelNewsNow.com, August 13, 2015)

“The coming credit card liability shift – What you need to know” (Washington Restaurant Market Watch, May 13, 2015)

Revenue optimization, pricing science, reputation management and more at WLA’s Annual Convention, November 15-17 at the Hyatt Regency Bellevue.

Revenue optimization, pricing science, reputation management and more at WLA’s Annual Convention, November 15-17 at the Hyatt Regency Bellevue.

Now, once silo’ed revenue disciplines are merging in integrated revenue strategies, and the savviest practitioners are effectively using big data, social media engagement, loyalty programs and pricing science to optimize revenue and build sustainable profit streams. At WLA’s 2015 Convention & Trade Show, you’ll learn from an expert on how this is best done.

 

RLHC_Jason_Thielbahr_3x4_BWJason Thielbahr, CRME, is senior vice president of revenue optimization & distribution services at Red Lion Hotels Corporation, and at the Convention he’ll review the technology and innovative strategies that make RLHC a leader in revenue management. A frequent speaker at industry conventions, Jason will also present a workshop on pricing science and reputation management.  

Register now  for the Convention and get ready to learn from leaders like Jason who are advancing the industry and perfecting the art of hospitality. 

 

For more information or to register by phone, please call 206-306-1001. 

DOWNLOAD A REGISTRATION FORM HERE

RESERVE YOUR PLACE AS AN EXHIBITOR

REGISTER ONLINE HERE!

AH&LA says Expedia’s proposed acquisition of Orbitz would create duopoly, restrict consumer choice and harm small, independent hotel owners.

AH&LA says Expedia’s proposed acquisition of Orbitz would create duopoly, restrict consumer choice and harm small, independent hotel owners.

(August 6, 2015) Katherine Lugar, president & CEO of the American Hotel & Lodging Association (AH&LA), released the following statement announcing the association’s opposition to Expedia’s proposed acquisition of online travel booking company Orbitz.

Today, the American Hotel & Lodging Association is announcing its opposition to the proposed acquisition of Orbitz by Expedia. We believe this transaction and the resulting consolidation of the online travel marketplace will result in significant negative consequences, particularly for consumers, but also for the large number of our members who are small business owners and franchised properties.

“With 480 online hotel bookings per minute, the hotel industry welcomes the innovation, convenience and competition that online bookings provide. The hotel industry was among the first industries to encourage consumers to book online. Consumers expect, and hotels offer, a variety of choices and diversity in their online travel selections.

“However, this proposed acquisition would severely reduce consumer choice in the online marketplace. It would result in Expedia, and its numerous associated brands, which would include Orbitz, Travelocity, Hotels.com, Hotwire, Cheap Tickets, and Trivago, controlling nearly 75 percent of the U.S. online travel agency (OTA) business. The loss of Orbitz could be detrimental for many reasons. First, as a search platform and potential distribution partner, it would reduce the number of OTAs willing to work on innovative promotional efforts that benefit consumers. Secondly, hotels currently pay Expedia on average 11% higher commissions than they pay Orbitz. The acquisition could result in Orbitz raising its rates to that level, further driving up distribution costs for hotel operators. Finally, should this acquisition go forward as proposed, it will result in a duopoly with over 95 percent of the online travel agency bookings in the United States being controlled by two competitors, Expedia and Priceline.

“Beyond severely restricting consumer choice, we believe the acquisition could exacerbate the problem of deceptive practices by rogue OTA affiliates posing as direct hotel booking sites. Both companies have affiliate relationships with thousands of smaller websites that offer hotel rooms for booking, some of which have misled consumers who think they are booking directly with a hotel. According to our latest research, there are some 2.5 million misleading bookings a year.

“Deceptive practices harm consumers, who don’t get what they want or expect, suffer the loss of reservations, or face unexpected charges and fees. This concern was raised by the Federal Trade Commission which recently warned consumers about these deceptive practices through two consumer alerts highlighting the scams and offering tips to avoid misleading booking sites. These practices also damage hotel reputations and reduce consumer confidence in the online booking process.

“Finally, this acquisition would result in increased concentration among the OTAs that could adversely affect many independent and small hotel owners who rely on OTAs to reach consumers directly. Indeed, as a result of previous OTA consolidation, as well as this proposed acquisition, the small, economy and mid-scale hotel segments have become increasingly reliant on an ever-shrinking number of OTAs that have the potential to impose steep commissions and demand restrictive contract provisions.

“AH&LA believes the proposed acquisition will accelerate these trends, which are likely to increase distribution costs and ultimately reduce value to consumers. We also believe the combination of Expedia and Orbitz will cause small and independent hotels to pay significantly more to advertise online in the increasingly pay-to-play ecosystem of online search. Taken together, these effects could substantially drive up the cost of doing business for small and independent hotels to the ultimate detriment of consumers.

“We look forward to the results of the Department of Justice’s careful review of this proposed acquisition.”

Magazine focusing on WLA and WRA merger mailed to members.

Magazine focusing on WLA and WRA merger mailed to members.

(July 21, 2015) This month week every WLA member business will receive a special edition of Washington Restaurant and Lodging Magazine, which focuses WLA and WRA joining forces in a new hospitality association. It includes a timeline for launching the new organization, an outline of the new governance structure, details on programs and events, and an introduction to the area coordinator system which will ensure that members have local representatives dedicated to their success.

Read the magazine online or download as a PDF.

 

Articles on various aspects of the transition to a unified hospitality association include:

Area coordinators: your local connection to new unified hospitality association and member benefits.

Area coordinators: your local connection to new unified hospitality association and member benefits.

In the unified hospitality association being formed by WRA and WLA, member services will draw on WRA’s successful area coordinator system. There will be 10 area coordinators based around the state, giving members a close connection to the association no matter where they live. As part of the transition WRA’s current area coordinators will begin reaching out to WLA members in August.

A unique model of engagement
When the Washington Restaurant Association developed the concept of area coordinators in 1996, the idea was borne from the need to connect. Since then, area coordination has become one of the key concepts that defines the WRA’s operations and sets its organizational model apart from many other associations.

“Part of the original plan was to engage restaurateurs directly, connect them with legislators and catalyze the beginning of a grassroots advocacy program,” said Anthony Anton, president and CEO of the WRA.

The WRA learned from its members that they wanted a relationship with the association that went beyond information and news reports. They wanted someone they could call, someone they knew, someone who would get the ball rolling for them in whatever direction their current needs dictated. Members needed someone to guide them through the noise, someone with a clear understanding of the industry and a menu of solutions for the ills a restaurant might encounter.

What members needed was a first response team, a restaurant 911.

“At its core,” said Anton, “the heart of the area coordinator program is to enact better community connection and stronger political influence within the hospitality sector.”

When asked if the creation of area coordinators had worked as he hoped it would, Anton replied, “In my mind, it’s a wild success, but there has been a definitive learning curve. From the get go, the program has achieved what we set out to do, and along the way, we have refined the system and calibrated it based on feedback from members and area coordinators. After each iteration, we come that much closer to ‘spectacular.'”

In fact, members who enjoy close ties to their area coordinator list that relationship as one of the great benefits of being a member of the WRA.

Initially, the association assumed that the best candidates for the position would be people with a background in sales. The WRA also hoped that area coordinators would aid retention initiatives.

“We thought experience selling memberships would be a critical skill for the position,” said Anton. “What we learned was that the most crucial ingredient for an area coordinator to meet with success was a deep commitment to hospitality, in general, combined with a caretaker attitude. We wanted people that involved their hearts and passions. Initially, figuring out just who exactly was the right person to be an area coordinator was our toughest challenge. Now, however, we have a clear understanding of the type of professional who fits best in the AC role. Essentially, we want our members to feel like they have another strong and dedicated member on their team.”

More members, more support
The WRA area coordinators have given a personal touch to WRA for almost two decades, and this model will be expanded in the new combined hospitality association and extended to WLA members.

As part of the transition, the WLA and WRA membership teams are merging, in July, and area coordinators will begin reaching out to WLA members in August to introduce themselves and the area coordinator system. The plan is for 10 area coordinators, each locally based to support members throughout the state with close, personal ties to the association. And as the membership of the new association grows, so will the area coordinator team.

Cathy Fox, the area coordinator for South King County, looks forward to working with more hoteliers.

She came to the WRA with a strong background in hospitality, an academic education in political economy and personal experience running a small business. She is passionate about analyzing profit and loss scenarios in micro-economic climates. Most of all, she likes talking to business owners and operators, finding out what makes them tick, how they interface with the public and what their growth plans look like for the future.

“I am fascinated by how our members anchor communities,” Fox said. “As an area coordinator, I get to see the good work that they do beyond their walls every day.”

Area coordinators are trained to take note and pay attention to the details of your unique organization, from your operational and economic challenges to the values at the foundation of your business. From her perspective, the two most important ingredients a successful AC can bring to the table are tenacity and good listening skills.

“Good listening allows me to really find out what is on a member’s radar as an important issue,” said Fox. “Tenacity helps me be a powerful advocate for my members, but it also connects me to a community that is traditionally very hard to connect with. Business owners have limited bandwidth, and being tenacious about solutions to help them in their operations helps me help my members.”

Donna Tikker, the WRA area coordinator for the Spokane area, also takes her role seriously.

“I have a motherly attitude,” Tikker said. “I want to help people succeed, and that desire comes right out of my heart. ACs are interested in members. They ask questions and they have a deep curiosity, and they have a tool kit to move an operator toward success.”

One of the ways Fox, Tikker and the entire AC team will help members is to connect them with all of the benefits and programs available through the association. Whether it is credit card processing, health insurance or music licensing, to name just a few of the items on the menu of cost-saving programs available to members, ACs have solutions that help members save time and money.

The desire to strengthen grassroots action within communities across the state was a key factor in the creation of the WRA area coordinator lineup, and ACs will play a critical role in engaging members in government affairs in the new association. They reach out when calls to action are critical to the industry’s success in Olympia, and they strengthen relationships between members and lawmakers by encouraging participation in the annual legislative Hill Climb.

WRA area coordinators are also a decisive means for association members to share their point of view and issues of concern, whether it is something that only affects their business or affects the industry as a whole. They are a great conduit, and although members have multiple channels through which they can contact the association, a real meeting with a real person is a great way to share information and find effective solutions.

All members—new or old, WRA or WLA, hotels, restaurants or allied vendors—are encouraged to connect with their area coordinators. Take their calls when the reach out to you or give them a call and invite them for a cup of coffee. Start a conversation. Tell them and us what is important to you on a daily basis. What keeps you up at night? Your area coordinators want to know. They are ready to listen.

For more information on membership in the new association, Area Coordinators contact Jennifer Hurley, the WRA’s Membership Administrator by emailing jenniferh@warestaurant.org or by calling 360.956.7279.

Governance of new hospitality association: expanding capacity and opportunities for innovation

Governance of new hospitality association: expanding capacity and opportunities for innovation

Like any wise couple contemplating a wedding date, the Washington Restaurant Association and the Washington Lodging Association are not rushing into marriage. Indeed, the union between these two key players in the hospitality industry has been carefully thought out in great detail since discussions on working more closely together began in 2012. A good example of the careful planning that went into this combining of forces can be seen in the new, united organization’s proposed governance structure.

The new organization’s combined leadership capabilities and viewpoints will create more opportunities for innovation, as well as expand its ability to effectively represent the hospitality industry.

“We need to be stronger together,” said WRA president and CEO Anthony Anton. “We can spend more money on member value and less on administration. I am most excited about our ability to strengthen our industry through our industry connections to each other, our community and relationships and your association.”

The details
“A great deal of time was spent making sure that we all have good representation on the Board, geographically and across our industries,” said Matt Van Der Peet, WLA Board chair. “Whoever will be part of the Board will be individuals who are fully engaged. It will be a Board that well represents all entities within the new association.”

When combined operations begin on October 1, the governing Board will be made up of WLA and WRA’s current Board members and officers. In July 2016, a new 30-member board will take office. For the first two years, there will be dual chairs, vice chairs, treasurers and immediate past chairs, one from the WLA, one from the WRA. In 2017, the full Board will have 26 seats with the chair, vice chair, secretary/treasurer and immediate past chair as officers. The Executive Committee will be made up of these voting officers, the president/CEO plus the chairs of the Education Foundation and the Member Services Corporation.

Nine Board members will be elected based on the number of employees in their restaurant or hotel; three allied members; six at-large members, including the chairs of the RETRO Committee and the Education Foundation; and four additional Board members – one each from the Seattle Restaurant Alliance and the WRA’s Spokane Chapter and one each from the Seattle and Spokane lodging associations. With the exception of officers, Board members will be limited to two terms of three years. Officers will have one-year terms and be eligible for reelection to a second one-year team.

The Board Development Committee, which will have equal representation from the two associations, will nominate candidates for the new Board, who will be elected by a twothirds majority of the Board.

“We’re really looking at this as an opportunity to have all the best minds in the same room,” said Phil Costello, WRA Board chair. “The Board is going to be made up of the right people, no matter where they’re from.”

Best and brightest
“Having a unified board will provide much stronger representation for the hospitality industry,” said Stan Bowman, president and CEO of the Washington Lodging Association. “The greatest strength is the balance between sectors of the hospitality industry. We will seek the most talented members to represent us on the board.”

Prospective Board members will be chosen from those who distinguish themselves on committees.

“The leadership of our organizations asked ‘How do we get the best and brightest on our Board to provide the vision needed to lead hospitality to great heights?'” said Anton. “This means getting away from outdated structures that dictate percentage of makeup, and focusing on developing the great leaders of our community.”

According to Bowman, one of the great strengths of the new organization will be the opportunities to get involved and connect.

“WRA has great experience with committees, and the new association will similarly tap into the talents and skills of members who want to serve the industry,” Bowman said.

“We recognize that people still need to know the association speaks for them,” said Anton. “To do this, we’ve guaranteed chapter leadership slots on the Board as well as a minimum of two executive committee members from each industry on the seven person executive committee and alternating chairs. I think this is a great blend of the needs of a great Board.”

A letter from WLA and WRA’s presidents and CEOs: A new association for a new era.

A letter from WLA and WRA’s presidents and CEOs: A new association for a new era.

(July 1, 2015)  WLA and WRA presidents and CEOs Stan Bowman and Anthony Anton published the following letter in the July 2015 edition of Washington Restaurant and Lodging Magazine, updating members on the plan to launch a new, combined hospitality association in 2016.

The Washington Restaurant Association and the Washington Lodging Association have served the hospitality industry since the 1920s. Over time the differences between the needs of our members and how we serve them have faded. There is now much more that unites than divides us. In fact, increasing challenges to our businesses and our industries made it imperative that we work together to rethink our future.

Critical policy issues have been shifting away from the state capitol to city halls and the ballot box as unions mobilize with other political forces to introduce extreme labor laws at the local level. New issues are arising at an ever faster pace and gaining the attention of policy makers in months not years. Our quickly evolving industry and workforce require rapid research and new information systems, and today’s communication needs demand greater investment in ever-changing technology.

Just like your business, associations must adapt or become irrelevant. We can’t simply stick to the old way of doing things: We must meet all of these challenges, and we need to find ways to get more resources on the ground in local communities and to make major investments in new technology.

That’s why the Boards of Directors and professional leadership at WRA and WLA have made the decision to join forces in a new unified hospitality association. After a careful due diligence process with considerable input from the industry, past presidents and our members, we are proud to be uniting in a single, stronger organization.

We are not alone in seeking to have a greater voice for the hospitality industry and to be even more efficient and effective in serving our members. More than 50 percent of the states have combined restaurant and lodging associations, and they have provided us with valuable roadmaps on how to best strengthen our industry and enhance the success of our combined membership.

If we were in your shoes, there is a lot we’d want to know about the new association, not the least of which is how this merger will benefit your business. Here is what our Boards of Directors aspire to achieve:

An association with an even stronger, more united political front to protect and enhance the hospitality business climate.

An association with more efficient operations that delivers even greater value to members.

An association with even greater buying power to provide stronger member education and to offer an even greater array of benefits and money-saving programs.

An organization with expanded leadership capabilities and a wider range of viewpoints that will create more opportunities for innovation and expand our ability to be the primary source of information for the hospitality industry.

Your new hospitality association will deliver on this promise, whether it is with a larger team of area coordinators, a stronger government affairs team and a more secure RETRO program.

Earlier this year, both Boards approved a memorandum of understanding to make this a reality, and we are working to combine operations, on October 1, under Anthony Anton’s leadership. The new hospitality association, with its new name and brand, will launch in 2016. If you have a comment or question, or would like to get involved, please e-mail us. We really would love to hear from you.

 

Stan Bowman                                                                                    Anthony Anton
President & CEO                                                                               President & CEO
Washington Lodging Association                                                 Washington Restaurant Association
bowman@walodging.org                                                                anthonya@warestaurant.org

Seattle Minimum Wage: You might be a larger employer than you think

Seattle Minimum Wage: You might be a larger employer than you think

The Washington Lodging Association and Washington Restaurant Association commissioned a legal analysis of Seattle’s Minimum Wage Ordinance to help their members understand and comply with the complex new law. The result is the Seattle Minimum Wage Ordinance Guide (MWG), which gives an overview of all aspects of the wage law. This article is part of a series that looks at various aspects of the law.

 

If you are a franchisee in Seattle, chances are high that you’re considered a large employer and face a faster schedule for reaching the $15 minimum wage than small employers. Businesses that employee temps or contractors, as well as owners of multiple businesses, also may be considered large employers given the complicated way the city counts employees.

Under the new law, Seattle considers all the employees who work for franchises under your franchisor toward your employee count, not just those who work for you.  If your franchisor has franchises that together have more than 500 employees nationwide, your business is considered a large or “Schedule 1” employer. As such, you have to follow the large employer schedule to reach the $15 minimum wage.

Even if you are not part of a traditional franchise, there are other ways you might be considered a large employer.  If you own separate business entities considered by the city to be an “integrated enterprise,” then the employees of these entities will all count toward the 501-worker threshold.

The Minimum Wage Guide commissioned by WLA and WRA can help you determine if you have “integrated enterprises.” As the guide points out, even if businesses have separate names, looks or “feels,” they may be counted as one employer if they:

  • Share common management
  • Have centralized control of labor relations
  • Have some common ownership or financial control

“Joint employment” is another gray area that can trigger the faster increase schedule. You might be considered a joint employer if you have temporary workers through a staffing agency or your business contracts with a landscaping and gardening service. The factors that determine whether or not you must consider these workers in your employee count include 1) the degree of direct or indirect supervision; 2) the power to determine pay rates; 3) the right to (directly and indirectly) hire, fire, or modify employment conditions; and the 4) the preparation of payroll and the payment of wages.

Given the complexity of this classification, if you have the possibility of being a joint employer or having an “integrated enterprise,” you may want to contact the Seattle Office of Civil Rights to ensure that you are following the law. For more detailed information, you should contact a wage and labor lawyer.  Please refer to our vendor partners to find attorneys specializing in hospitality or call our office to connect with advisory network now available through our partnership with the WRA.

 

Additional Articles:

Employer Types and Schedules

Tips

Posting Requirements

 

Additional Resources

WLA/WRA Guide to Seattle’s Minimum Wage

Seattle Minimum Wage Ordinance

Fact Sheet for Large Employers (501 or more employees)

Fact Sheet for Small Employers (500 or fewer employees)

City of Seattle Minimum Wage and Wage Theft Workplace Poster

AH&LA asks members to help fight patent trolls and the risk of frivolous lawsuits.

AH&LA asks members to help fight patent trolls and the risk of frivolous lawsuits.

(July 7, 2015) In the next few weeks, the United States House of Representatives is expected to vote on The Innovation Act of 2015 which will help protect the hospitality industry from frivolous lawsuits brought by patent trolls. The American Hotel & Lodging Association (AH&LA) is urging members to ask their congressional representatives to support this critical legislation.

“Patent trolls” purchases old patents with the sole purpose of using these patents to threaten expensive lawsuits in order to extort money from legitimate businesses. They are hurting the hotel industry by using the threat of litigation to force hotels to settle dubious claims or pay licensing fees.

The Innovation Act of 2015 will help close the loopholes in our legal system that allow trolls to thrive. Of particular importance for our industry, the legislation will:

· Protect end users of products like hotels that offer Wi-Fi service by ensuring claims between a patent owner and the product
  manufacturer go through the legal system first;

· Crack down on abusive demand letters sent by trolls to extract money from innocent business; and

· Deter trolls by giving judges the power to force those who bring frivolous lawsuits to pay all legal fees.

AH&LA has been involved in addressing the problem of patent trolls since 2011 when a company armed with recently purchased patents sent thousands of demand letters targeting hotels and cafes that provided Wi-Fi for customers. The troll demanded as much as $2,500 per location. Wi-Fi router manufacturer Cisco stepped in to defend its customers and reached a settlement in 2014.

The Innovation Act is designed to prevent this kind of trolling. It has strong momentum in Congress, but there are opponents looking to stop the bill in the House. Help ensure its passage by contacting your representatives. Click here to find your representative in Congress.

 

Sample Letter

Subject: Support H.R. 9 – The Innovation Act of 2015

I urge you to support the H.R. 9, the Innovation Act of 2015, when it comes to the House floor. This legislation will take important steps to stop patent trolls from gaming the legal system to extort legitimate businesses like mine.

Patent trolls do not produce goods or services. They contribute literally nothing to the economy. They simply abuse the litigation system and make vague threats to extract money from productive companies.

Patent trolls are hurting the hotel industry. They use the threat of expensive lawsuits to force hotels to settle dubious claims or pay licensing fees. Money paid to trolls for licensing or settlements is money that is not invested in businesses or used to create jobs.

The Innovation Act will close many of the loopholes that allow trolls to thrive. Every reform in the legislation is critical. Only Congress can solve the problem of patent trolls, and I urge to move one step closer by supporting the Innovation Act when it comes to the House floor.

Sincerely,
(Name)
(phone and email address)
(Address)

(You may also include your business name, job title and business contact information.)

Third time is a charm: Record legislative session finally adjourns after Senate reaches deal on closing $2 billion budget hole.

Third time is a charm: Record legislative session finally adjourns after Senate reaches deal on closing $2 billion budget hole.

Washington’s 2015 Legislature adjourned today after a record 176 days and triple overtime session. Despite protracted negotiations and brinksmanship that narrowly averted a partial government shutdown, lawmakers preserved a budget deal that resolved their differences on how to meet the state Supreme Court mandate to put more money into the state’s education system without raising taxes.

Operating budget passed, signed and almost
Last week state lawmakers thought they were heading home after finally passing a budget, yet things did not go according plan. With negotiated agreements on the operating budget, a transportation package and the capital budget in hand, Gov. Jay Inslee and the legislators began last Tuesday expecting they would avoid a government shutdown, complete their work and adjourn sometime Tuesday night. Only the first of those three expectations were met.

Just 30 minutes before a partial government shutdown, the governor signed Senate Bill 6052, making appropriations for the 2015-17 fiscal years. There were big smiles and glowing comments about a “great budget” that lowers college tuition and boosts funding for education, mental health, children’s services and employee salaries without levying new taxes (apart from closing a few “loopholes” and allowing some tax preferences to expire). Those smiles faded fast as legislators returned to their chambers to confront a rising rebellion putting the capital budget, transportation package and even the already passed operating budget seemingly all at risk.

Budget falters on timing of class-size reductions
The budget agreement reached by negotiators assumed Initiative 1351 would be amended to defer its costly requirements. The plan was to delay class-size reductions and changes in the school employee staffing formula for four years, saving an estimated $2 billion. In accordance with that budget agreement, the House passed House Bill 2261, but the Senate was unable to muster the 33-vote supermajority it needed to pass the bill. A contingent of Senate Democrats, largely made up of Senators from the Puget Sound region, withheld their support because they wanted to see a delay in the high school biology test requirement. That created a $2 billion hole in the $38.2 billion state operating budget. This week, however, the Senate passed legislation to delay the high school graduation requirement for two years and to defer class-size reductions for two years.

Agreement found on $16.1 billion transportation package
The budget agreement also faltered on a transportation package that raises revenue, primarily through an increase in the gas tax, to fund new projects and increased maintenance for the transportation system. The 16-year plan spends $8.8 billion on state and local road projects and $1.4 billion on maintenance and preservation. An additional $1 billion would go to non-highway projects, such as bike paths, pedestrian walkways and transit. It also would allow Sound Transit to ask voters to pay for potential expansions of its rail line. This week legislators agreed on an 11.9-cent increase in the gas tax over the next two years and bonds to help cover the costs.

ADA Resources to Help You Comply With New and Existing Regulations

ADA Resources to Help You Comply With New and Existing Regulations

GENERAL ADA RESOURCES

POOL/SPA AND RECREATIONAL FACILITIES

SERVICE ANIMALS

 


Allied member Northwest ADA Center offers free assistance and information to help businesses, organizations and individuals achieve a more disability friendly society. Affiliated with the ADA National Network and the University of Washington, the Center and collaborates with the Center for Technology and Disability Studies and is staffed by experts familiar with disability, rehabilitation, rehab engineering, special education, the built environment, accessibility to buildings and electronic accessibility, civil rights law, and business. Northwest ADA Center’s website has a wealth of information, including:

For more information, please contact WLA allied member:

Conrad Kuehn

Northwest ADA Center
6912 – 220th St. SW, Suite 105
Mountlake Terrace, WA 98043
800-949-4232
kuehnc@u.washington.edu


In recent years, hoteliers, retailers and restaurant owners have become increasingly likely to be slapped with a “drive by” private lawsuit seeking to profit off the Americans with Disabilities Act (ADA). These lawsuits are not brought patrons, but by individuals who visit the establishment for the express purpose of finding a violation of the ADA and filing suit. These actions, known as “drive-by” lawsuits are on the rise and are costing the hotel, retail and restaurant industries millions of dollars per year. Find out from WLA allied member and WLA Allied Member and Cairncross & Hempelmann Attorney Sandip Soli shares important information about this trend.

For more information, please contact WLA allied member:

Sandip Soli, Attorney
Cairncross & Hempelmann
524 Second Ave., Ste 500
Seattle, WA 98104-2323
206-254-4493

Regulations issued in 1991 following the enactment of the Americans with Disabilities Act (ADA) required that public accommodations (which include restaurants, hotels, retail establishments, theaters and concert halls) modify their policies, practices, or procedures to permit the use of a service animal by an individual with a disability. Essentially this means that service animals accompanying persons with disabilities have to be admitted to establishments with policies otherwise excluding pets or other animals. WLA allied member, Fisher & Phillips LLP, shares information on service animals and recent changes to the ADA Accessibility Standards:

Gone To The Dogs: Rules on Service Animals to Become Much Stricter


Act now to save 20% on valuable ADA trainings from AH&LEI, and enjoy a free copy of the article “Tips for Ensuring an Outstanding Guest Experience for Individuals with Disabilities” written by Minh N. Vu and Karen L. Stephenson.

Visit www.ahla.com for additional information on all ADA issues. AH&LA has comprehensive resources, such as Webinars, memos, advisories and other helpful materials for ADA compliance available in the members only section. For more information, contact Kevin Maher, senior vice president for Governmental Affairs, at kmaher@ahla.com or 202-289-3147.


As a benefit of your membership with WLA and AH&LA, order your free copy of Enabling Independence: Service for Guests with Disabilities, distributed by AH&LEI in partnership with Best Western International. Take advantage of this offer while it is available for a limited time only.

This bilingual DVD training program teaches employees how to deliver exceptional service to guests with disabilities. It offers practical guidelines for recognizing a disability, effectively communicating with people with disabilities, offering appropriate accommodations that meet their needs and respectfully assisting them during their stay as well as during emergency situations.

The program includes:

  • 33-minutevideo,presentedinEnglishand Spanish
  • Oneleader’sguideinEnglishfortrainerwithdiscussionquestions,practiceactivities,anaccomplishmentchecklistandanoptional10-question quiz.
  • Onelearner’sguide,companionmaterialinEnglishandSpanishinaside-by-sideformat.(Additionalparticipantcopiescanbepurchased separately.)

To obtain your free copy of Enabling Independence: Service for Guests with Disablilites (limit one per property), please call 1-800-344-4381 and reference offer code BWADA. Please note that this offer may not be redeemed through EI’s online store. The shipping/handling fee of $8.50 is due via credit card upon ordering.

AH&LA’s goal with this complimentary DVD is to generate a greater understanding and awareness throughout our industry on how to better assist our guests with special needs or disabilities.

Make sure to take advantage of this great WLA and AH&LA member benefit. This is just one of many reasons to be a WLA member!

Communications & Employee Updates

Communications & Employee Updates

Why Mediation Is A Preferred Method Of Resolving Disputes
By D. Albert Brannen
Mediation is a helpful process for resolving many types of disputes. With its increased use over the past few decades, mediation has proven to be especially beneficial in resolving emotionally-charged disputes in employment and domestic matters. Let’s take a closer look at what it is, and why it works. Read full labor article from Fisher & Phillips »

California Court: Emails Sent To Plaintiff’s Attorney On Employer’s Computer Are Fair Game
A California appellate court recently decided that an employee’s email messages to an attorney about suing her employer could be used against her at trial. The messages were not protected by the attorney-client privilege, because the employee knowingly sent the messages from her work email account. This unusual legal result was made possible because the employer had a written policy that clearly stated messages sent on the employer’s electronic communications system were not private. Holmes v. Petrovich Development Company, LLC. Read full alert from Fisher & Phillip

NLRB Poised To Rule On Facebook Case
By John M. Polson
On October 27, the National Labor Relations Board’s General Counsel (GC) made national headlines with the issuance of an unfair labor practice complaint against American Medical Response Of Connecticut (AMR) accusing the company of unlawfully discharging an employee for posting critical remarks about her supervisor on her personal Facebook page. The GC’s complaint also alleged that AMR maintained unlawful employment policies regulating employee blogging and Internet postings, prohibiting employee conduct of a “generally offensive nature” and on-premises employee solicitation and distribution. Read full labor letter article from Fisher & Phillips

The Start Of Something Big?
By John E. Thompson
A police officer has sued the City of Chicago (on behalf of himself and others) seeking pay for time spent dealing with work-related phone calls, voice-mails, e-mails, text messages, and work orders via BlackBerry® devices and similar “personal digital assistants.” The officer contends that these activities entitle the group to an award of overtime compensation under the federal Fair Labor Standards Act (FLSA). Read full labor letter article from Fisher & Phillips

Consumer Product Safety Updates

Consumer Product Safety Updates

New Federal Crib Safety Standards Apply to Hotels and Motels on Dec. 28, 2012

The U.S. Consumer Product Safety Commission recently passed new crib safety standards that affect the lodging industry. The new rules, which apply to full-size and non full-size cribs, prohibit the sale of drop-side rail cribs and require stronger crib slats and mattress supports, higher quality hardware and more rigorous testing. These new standards went into effect for manufacturers and retailers on June 28 and will go into effect for hotels and motels on December 28, 2012. After this date, hotels and motels may no longer use traditional drop-side cribs or any crib that does not meet the new federal safety standards.

To view the crib safety standards, click here.

Employment Law Case Updates

Employment Law Case Updates


 
Liability Beyond Your Workers’ Compensation Coverage
By Nicole H. Farley, Daniel P. O’Brien
Pop quiz! True or False? Workers’ compensation is the exclusive remedy for employees pursuing a recovery against their employer. The answer is of course false. The exclusive remedy doctrine provides that when an employee is injured within the course and scope of employment, the employer’s liability is limited to benefits payable under the state’s workers’ compensation statutes; mainly lost wages and medical benefits. Read full article from Fisher & Phillips

Supreme Court Rejects Six Employment Cases, Still Has Full Docket on Tap
Earlier this week, the U.S. Supreme Court declined to review six labor and employment law cases which had been presented. The Court showed no favoritism, denying petitions for certiorari on cases coming out of U.S. Courts of Appeal for the Second, Third, Fifth, Eighth, Ninth, and Federal Circuits and covering substantive and procedural issues, including age claims, disability claims, retaliation, and due process, among others. Despite its rejection of these six cases, the Supreme Court has a full docket of employment law cases for the current term. Read full alert from Fisher & Phillips

New Reporting Requirements May Impact The Settlement Of Employment-Related Claims
By Melinda J. Caterine
Beginning on January 1, 2011, certain employers and insurers were required to report settlements, judgments or awards, where medical expenses are paid to a Medicare-eligible claimant. The requirement applies to settlements, judgments, or awards established on or after October 1, 2010. In order to comply with these reporting requirements, covered entities will need to register with the Centers for Medicare and Medicaid Services (CMS) as soon as they become aware of a reportable claim. Read full benefits update article from Fisher & Phillips

Don’t Believe Everything You See On TV
By Jennifer K. Achtert
While many of you have a wealth of experience with litigation – probably more than you want – other readers have been fortunate enough to go years or even decades in business without being part of a lawsuit. Some have recently moved into a new position that puts you front-and-center for lawsuit-related discussions. Those who are new to lawsuits are frequently surprised by the reality of the law, our court system, and litigation in general. Read full labor letter article from Fisher & Phillips

Food & Beverage Updates

Food & Beverage Updates

Liquor in the Workplace: What Businesses Need to Know
By Greg Duff

Alcohol has been making the headlines over the past several weeks in Washington as the state prepares for Initiative 1183 to take effect. And while the privatization of liquor sales remains a popular topic, another alcohol-related headline deserves some notice from business owners. The Seattle Times recently described a questionable situation caught by KOMO News cameras: beer in the temporary offices of Kiewit, the construction firm responsible for some of the work being done on Highway 520. Partially in response to the pending investigation by the Department of Labor and Industry, clients and other readers have been asking whether a business can have alcohol in the workplace without running afoul of liquor regulations.

As a general rule, a business may not serve liquor to its employees or the public without a permit or license. Two options are, however, available to businesses wishing to serve alcohol on a limited basis. A banquet permit covers a single event where liquor is being provided without charge to private invitees, and is practical for businesses that have very infrequent occasions to serve alcohol. Banquet permits cost $10, and may be purchased online here. For businesses that wish to serve alcohol on a more frequent basis, a Class 4 permit is appropriate. Class 4 permits cost $500 for one year, and liquor must be served in specified hospitality or dining rooms for not more than 24 hours in a given week. Kiewit, and other businesses, are likely violating these requirements even with a Class 4 permit if alcohol is freely available to employees without area or time restrictions. Applications for Class 4 permits can be found here.

Businesses that do not comply with permit and license requirements can be subject to warnings, fines, and administrative violation notices. If you have questions about your business and applicable alcohol regulations, please email Greg Duff, founder of the Garvey Shubert Barer Law Firm Hospitality, Travel and Tourism Group. Visit Greg’s blog: www.duffonhospitalitylaw.com


Lawsuit Serves Up Lessons For Restaurateurs – Employee Defection And Trade Secrets At Issue
By Risa B. Boerner, Brent A. Cossrow
A decision issued this summer by a federal district court in New York provides important lessons for professionals in the food services and restaurant industry regarding employee defection and trade secrets issues. Read full hospitality update from Fisher & Phillips »

OSHA Compliance For Restaurants
By Howard A. Mavity
Restaurants and their trade associations are justifiably proud of their food safety efforts as shown by the July 27, 2011 announcement by the National Restaurant Association celebrating over one million classes of restaurant industry training. But inspections by the Occupational Safety and Health Administration (OSHA) continue to turn up significant shortcomings in restaurant OSHA compliance – and these issues are not limited to the large institutional setting. Read full hospitality update from Fisher & Phillips »

The Future of Tip Credit – And The Businesses That Depend Upon It
By Karen L. Luchka, J. Hagood Tighe
The U.S. Supreme Court is being asked to decide what amounts to the future of tip credit for many businesses – particularly in the hospitality industry. In short, the issue is whether an employer can continue to pay tip credit employees on a tip credit basis if they spend more than 20% of their work time on duties that did not produce tips. Read full hospitality update from Fisher & Phillips »

“Kitchen Tryouts Start Today” . . . Or Maybe Not
By John E. Thompson
Hospitality employers sometimes wonder whether it’s possible for individuals to participate in kitchen activities as unpaid interns or on a tryout basis, typically as chefs or cooks. Among the many questions this raises is whether such people would be “employees” who are subject to the federal Fair Labor Standards Act’s requirements. Read full hospitality update from Fisher & Phillips

SEIU Paints A Bull’s Eye On Fast Food Industry
By Mark S. Ross
It’s common for fast food workers in Canada, Germany, France and Australia to be represented by a union. But in America less than 2% of fast food workers are unionized – and most of them work in stores located on college campuses, in hospitals or in government buildings where labor unions are commonplace. Indeed, until very recently, the conventional wisdom among union leadership was that employees working in freestanding fast food restaurants were simply too short-sighted, too transient, or too timid, to be viable targets for union organizing. Accordingly, even though it promises the possibility of hundreds of thousands of new union members, the fast food industry has gone largely ignored by unions. All of that may soon change. Read full hospitality update from Fisher & Phillips

Bed Bug Resources for Hoteliers

Bed Bug Resources for Hoteliers

According to the Center for Disease Control (CDC) Prevention, bed bugs “should not be considered as a medical or public health hazard.” However, because of the increase in travel they are spreading rapidly, which makes them a growing concern for the travel and lodging industries.

Bed bugs tend to be most common in areas where people sleep and generally concentrate in beds, including mattresses, box springs and bed frames. Other sites where bed bugs often reside include curtains, the corners inside dressers and other furniture, and in cracks of wallpaper (especially near the bed). Bed bugs are especially tenacious and can live for months without food. Here are some resources to help.

GENERAL INFORMATION

 

VIDEOS

 

SOLUTIONS & PREVENTION

WLA Allied Member Sprague Pest Solutions treats bed bugs with the 100% effective and environmentally safe use of heat. Heat kills all stages of bed bugs from the egg to the adult, and the treatment only takes one day.

Hiring & Employment Updates

Hiring & Employment Updates


Supreme Court Upholds Healthcare Reform – It’s Time for Employers To Get To Work
Today the U.S. Supreme Court issued its long-awaited decision on the Patient Protection and Affordable Care Act (ACA). In what is easily the most significant decision this term, and arguably one of the most important rulings in decades, the Supreme Court upheld the so-called “individual mandate” and all of the provisions of ACA that impact employers. NFIB v. Kathleen Sibelius, Secretary of Health and Human Services. Read full article from Fisher & Phillips

Background Checks: There’s An App For That
By Lawrence S. McGoldrick
But Are You Using It Correctly?
In January of this year, the Federal Trade Commission (FTC) issued a warning to three companies that sell mobile applications (apps) which provide background reports, including criminal record reports. The issues are whether those apps and reports are covered by the Fair Credit Reporting Act (FCRA), and whether the providers and their customers – that would be you – are complying with the FCRA’s requirements. Read full hospitality update from Fisher & Phillips

Can You Refuse To Hire A Felon?
By Andria Lure Ryan
Imagine you are a hotelier hiring for a sensitive position – perhaps a night auditor or purchasing clerk. Your practice is to conduct criminal-background checks on all applicants, since almost all of your employees will have some access to your guests and their property. During an initial phone interview the applicant reveals a significant criminal conviction. He tells you that he was recently convicted of a felony involving distribution of narcotics, served a short sentence and is currently on probation. Read full hospitality update from Fisher & Phillips

Interviewing The Pawn Stars Way
By James R. Holland, Michael S. Mitchell
Viewers of the popular television show “Pawn Stars” (The History Channel) know that recently the owner, Rick Harrison, and his father, “the old man,” have been interviewing applicants for the night shift. Here is their exchange when the old man sat in on one of the interviews.
Read full labor article from Fisher & Phillips

State Department Releases New J-1 Visa Requirements
The U.S. Department of State recently released new guidelines for the J-1 Summer Work Travel Program. Under the new rules, student workers from six countries (Bulgaria, Russia, Romania, Ukraine, Belarus, and Moldova) must have a vetted job offer before their visa interview. This means that employers seeking J-1 visa holders must begin the process much earlier. For further information, please visit the Council on International Educational Exchange

Supreme Court: Public Employers May Ask Comprehensive Background Questions Of Employees:
Court ducks Constitutional privacy issue
In a rare unanimous decision, the Supreme Court held that NASA’s background inquiries of its contract employees regarding drug treatment or counseling and other negative “general behavior or conduct” of its contract employees were tailored to the government’s interests in managing its workforce and therefore did not violate the employees’ right to informational privacy. The Court ducked the issue of whether such information is actually protected by any Constitutional right to privacy, leaving that question open for another day. Nelson v. NASA. Read full alert from Fisher & Phillips

A Successful Employment Relationship Starts With A Good Interview
By Michelle I. Anderson
Let’s face it, if you have conducted any number of interviews, you know that all things being equal on paper, the face-to-face meeting with an applicant can be invaluable. For years, I advised job seekers on how to achieve the “fit-in factor” with an employer during an interview. Like it or not, this is often the ultimate hiring criteria. Will this applicant fit in with the corporate culture? Will this person enhance the cohesiveness of out “team” atmosphere? Will this individual grow with the company and contribute towards its goals and success? The fit-in factor! Or, from the applicant’s perspective, the most important response to the question: “Why should I hire you?” Read full labor letter article from Fisher & Phillips

March Mayhem Bracket For Employers: Biggest Workplace Headaches
By Richard R. Meneghello
About this time of year, most of your employees will start wasting a good chunk of their day filling out brackets in anticipation of the NCAA college basketball tournament. Why try to beat them when you can join them? Fisher & Phillips has created a bracket for employers, but instead of predicting basketball results, we want you to tell us your biggest headaches for employers. Read full labor letter article from Fisher & Phillips

Writing An Employee Handbook Your Employees Will Read – And Heed, Part 1
By D. Albert Brannen
Not complying with current law can be expensive in today’s legal climate. Employers should review their employee handbooks and employment-related policies to make sure they are up to date. More importantly, employers should draft their handbooks so their employees actually read them and follow their policies. Read full labor letter article from Fisher & Phillips

“Kitchen Tryouts Start Today” . . . Or Maybe Not
By John E. Thompson
Hospitality employers sometimes wonder whether it’s possible for individuals to participate in kitchen activities as unpaid interns or on a tryout basis, typically as chefs or cooks. Among the many questions this raises is whether such people would be “employees” who are subject to the federal Fair Labor Standards Act’s requirements. Read full hospitality update from Fisher & Phillips

Music Licensing

Music Licensing

Keep your music licensing requirements up-to-date! Click here to download the AH&LA’s American Society of Composers, Authors & Publishers (ASCAP) and Hoteliers Licensing Agreement.

Take advantage of AH&LA negotiated member discounts with ASCAP, SESAC and BMI. Log into the members only section of AH&LA’s website, and click on “discount programs” on the left. Read the two informative articles below and visit the AH&LA Information Center for answers to your questions!


Music & Film Copyright: The Scoop on How They Work in the Hospitality Industry

In the United States, music can be copyrighted by the composer of the music (or his designee). Once copyrighted, music cannot be lawfully performed in a public performance or rebroadcast to the public without a license from the copyright holder. “Public performance” is broadly defined. For example, playing a radio over loudspeakers can be deemed a public performance of the songs played on the radio. Playing a radio in a guestroom is not a public performance. Use of pay-per-view television by a hotel might, however, constitute a rebroadcast, and hence, might be deemed to be covered by the copyright laws. The person sponsoring or causing the public performance (not the performers) are required to be licensed. Thus, if a hotel has a band play in its bar, the hotel, not the band, needs the appropriate license.

There are millions of songs; thus, in theory, one needs millions of licenses, if one wishes to make music generally available to one’s customers. This is obviously impractical. As a result, music licensing “societies” came into being.

In the United States, there are three such societies — ASCAP, BMI and SESAC. These companies enter into agreements with copyright owners and by those agreements (i) obtain the right to license the copyrighted music to other people, and (ii) agree to pay the copyright holder. Each of these companies owns the right to license thousands of songs. These collective rights are known as catalogs.

If you have an ASCAP license, you have the right to play any or all of the thousands of songs in ASCAP’s catalog. If you have a BMI and a SESAC license, you have the right to play the thousands of songs in their catalogs.

The catalogs do not overlap. The thousands of songs in ASCAP’s catalog are different from those in BMI’s catalog and both of their catalogs are different from SESAC’s. The three companies compete to obtain the rights to license songs from the composers, and there is no overlap of songs in the catalogs.

As a result of this, in order to be safe, you need a license from each of the three societies.

Each of the societies has antitrust implications. They are, by definition, a combination of “competitors” — the composers. They have enormous clout because of this. ASCAP and BMI were long ago sued by the federal government for alleged antitrust violations. Each entered into an agreement with the government in order to resolve those allegations. Those agreements — known as consent decrees — remain in effect today.

SESAC does not have such an agreement. It was never sued by the government. It has been around for decades but for a very long time had very little market impact. Its catalog consisted largely of country-western songs and European songs, neither of which got much play.

Over the last ten years, SESAC has become energized. It has expanded its catalog and now licenses songs that are regularly played in the mainstream. Along with this increase in its catalog, it has steadily increased its efforts to sell licenses. Where it has been ignored, it has sued businesses for playing SESAC-controlled music without a license. As a result, it is not safe, or wise, to ignore SESAC. The penalties for copyright infringement — playing a song without a license — can be enormous. They can bankrupt a small business.

For decades, AH&LA has negotiated with ASCAP and BMI to obtain an “industry form” license. AH&LA received governmental approval to do this because it was thought that AH&LA negotiating for the industry was a fair offset to the enormous power of ASCAP and BMI. The form license that AH&LA negotiates is not binding on any hotel. Each hotel can accept or reject it. However, as a practical matter, AH&LA has more clout than any one hotel or hotel company, and hence, as a practical matter, the individual hotels and companies accept the industry form licenses.

AH&LA has not negotiated an industry form license with SESAC. It attempted to do so, but found that SESAC’s negotiating posture was not conducive to negotiation. AH&LA is currently revisiting this issue.

The negotiations are done by AH&LA’s Music Copyright Committee which, when active, consists of volunteers from hotel companies and legal counsel. In order to avoid having to renegotiate each item of the form licenses every five to seven years, the basic deal with both ASCAP and BMI is that their rates will stay the same, but will be adjusted yearly by the cost of living.

Motion pictures are also subject to copyright laws when played in a public forum. For example, there is a case to be made that having a showing of a movie for children at a hotel as part of a vacation package, is a public showing for which a license is needed. A licensing organization named MPA handles this in the United States. AH&LA does not negotiate with MPA because the occurrences of movie showings are not that great at hotels and MPA’s fees are said to be reasonable.


DO YOU COPY? AT ISSUE: MUSIC + FILM COPYRIGHTS

In the United States, music can be copyrighted by the composer of the music (or his designee). Once copyrighted, music cannot be lawfully performed in a public performance or rebroadcast to the public without a license from the copyright holder. “Public performance” is broadly defined. For example, playing a radio over loudspeakers can be deemed a public performance of the songs played on the radio.

The person sponsoring or causing the public performance (not the performers) are required to be licensed. Thus, if a hotel has a band play in its bar, the hotel—not the band—needs the appropriate license.

There are millions of songs; thus, in theory, one needs millions of licenses if one wishes to make music generally available to one’s customers. This is obviously impractical. As a result, music licensing “societies” came into being.

In the United States, there are three such societies: ASCAP, BMI, and SESAC. These companies enter into agreements with copyright owners and, by those agreements, obtain the right to license the copyrighted music to other people and agree to pay the copyright holder. Each of these companies owns the right to license thousands of songs. These collective rights are known as catalogs. If you have an ASCAP license, you have the right to play any or all of the thousands of songs in ASCAP’s catalog. If you have a BMI and a SESAC license, you have the right to play the thousands of songs in their catalogs.

The catalogs do not overlap, however. The thousands of songs in ASCAP’s catalog are different from those in BMI’s catalog, and both of their catalogs are different from SESAC’s. The three companies compete to obtain the rights to license songs. As a result of this, in order to be fully protected, you need a license from each of the three societies.

NLRB Updates

NLRB Updates

AH&LA 4c copy(3)

NLRB Postpones Employee Rights Poster

Deadline Delayed, Congressional Bill Introduced

Following lawsuits filed by AH&LA through the Coalition for Democratic Workplace and several other organizations, the National Labor Relations Board (NLRB) has postponed the Notification of Employee Rights requirement until January 31, 2012, from the initial date of November 14, 2011.

As of January 31, 2012, the NLRB will require employers to post a notice of employees’ rights to unionize, according to the final rule on Notification of Employee Rights under the National Labor Relations Act (NLRA) issued by the NLRB.

A breakdown of the NLRB Poster Rule, including direction on what hoteliers need to do, can be found on AH&LA’s Website.

Next Steps:

AH&LA has been working with Members of Congress to explain the dangerous implications of the recent NLRB decisions. In response, House Committee on Education and the Workforce Chairman John Kline (R-MN) introduced the Workforce Democracy and Fairness Act which would ensure that employers have a voice and are employees are able to participate in a fair union election process. Specifically, the bill:

  • Ensures employers are able to participate in a fair union election process. The legislation provides employers at least 14 days to prepare their case to present before a NLRB election officer and an opportunity to raise additional concerns throughout the election hearing.
  • Guarantees workers have the ability to make a fully informed decision in a union election. No union election will be held in less than 35 days, giving workers a chance to hear both sides of the debate. Important issues that can determine how a worker votes will be decided before ballots are cast.
  • Reinstates the traditional standard for determining which employees will vote in the union election, restoring a standard that was developed through years of careful consideration and Congressional
    guidance.
  • Protects workers’ privacy by empowering workers to choose the type of personal contact information that is provided to the union.

For more information, visit CDW’s Website.

Court Blocks Ambush Elections
On Monday, May 14, 2012, the United States District Court for the District of Columbia agreed with AH&LA and the Coalition For A Democratic Workplace (CDW) in a lawsuit brought against the National Labor Relations Board (NLRB) – blocking the ambush election rule. This huge win for the lodging industry means that workplace representation elections will once again be governed by the long-standing process that was in place prior to the ambush election rule.

In response to the suit brought by CDW and AH&LA, the federal court agreed with the arguments made by CDW in seeking to protect the rights of workers and blocked the ambush election rule stating that since the rule was published without a quorum of at least three NLRB commissioners being present, “the Board lacked the authority to issue it, and, therefore, it cannot stand.”

Since the NLRB issued the ambush rule without the required number of commissioners present, the court did not have to decide whether the NLRB otherwise had the authority to issue the rule or whether it was a desirable policy outcome. AH&LA applauds this decision which protects the rights of workers and employers as well as the integrity of our federal labor laws.

For more information on the ambush election rule, click here or here.

Card Check Legislation and Unions
Card-Check legislation is a serious union threat to your workplace. AH&LA Governmental Affairs’s eight-minute online video teaches your managerial staff about card check, what this proposed law will do to a hotel’s work force and how it will take away your employees’ secret-ballot rights. Learn about organized labor’s plans to unionize America’s small and large lodging properties. View the AH&LA video


Coming Into Focus: An Overview Of The NLRB’s Most Recent Guidance On Social Media And Confidentiality Policies
By Karen L. Luchka
In the last ten months, the National Labor Relations Board has issued three separate reports on social media. The first two reports, which were released in August 2011 and January 2012, left no doubt that the Board was paying close attention to employers’ treatment of social media use by employees and scrutinizing policies that restricted employees’ use of social media. The two reports focused primarily on employers’ discipline of employees for content posted on social media sites and left many employers feeling like the Board’s position on what was acceptable content for social media and related policies was lacking clarity. Read full article from Fisher & Phillips »

April 17th Brings More Bad Luck for NLRB
In the Legal Alert we published yesterday morning, (“Friday the 13th An Unlucky Day For the NLRB”) we referenced the decision of South Carolina District Court Judge David C. Norton last Friday afternoon, which marked the first time the NLRB’s proposed notice-posting rule has been invalidated in its entirety. We also predicted that, in light of that April 13th decision, the U.S. Court of Appeals for the DC Circuit (which had been hearing arguments on the appeal of the surviving parts of this rule from another U.S. District Court) now “has an opportunity to lend some clarity to the picture in the days to come.” Read full alert from Fisher & Phillips

Friday The 13th An Unlucky Day For The NLRB
For months now, the business community has been bracing for the implementation of two key pro-labor initiatives on April 30, courtesy of the National Labor Relations Board: 1) an expedited election rule designed to cut the period between petition and election in half; and 2) a first-ever mandatory-posting requirement that would educate employees as to their representation rights, while laying the groundwork for unfair labor practice charges and extended limitations periods against those employers who fail to comply. The first initiative is proceeding on course, despite ongoing challenges that will ultimately be played out before the courts. But this past Friday, the NLRB’s posting requirement was dealt a serious blow by the U.S. District Court for South Carolina. In a 31-page decision that left little doubt as to his position, Judge Norton invalidated the Board’s posting rule in its entirety, finding a lack of statutory authority in violation of the Administrative Procedure Act. In so doing, he granted summary judgment to both the South Carolina and U.S. Chambers of Commerce. Read full alert from Fisher & Phillips

Responding To The (New) NLRB
By Steven M. Bernstein
For the past 75 years, the National Labor Relations Board (NLRB) has been responsible for conducting union representation elections and investigating unfair labor practice charges. Because the agency is comprised of members who are appointed by the standing President, it has been vulnerable to the occasional pendulum shifts that flow from the political process. That being said, the agency has traditionally steered clear of major controversies by confining itself to the application of long-standing principles that have typically stood the test of time. Read full article from Fisher & Phillips

Court Invalidates Sections of NLRB’s Recent Notice-Posting Rule
Judge Amy Berman Jackson of the U.S. District Court for the District of Columbia invalidated key provisions of the National Labor Relations Board’s “Notification of Employee Rights” rule, under which all covered employers would have been required after April 30th of this year to post an 11″ x 17″ poster, or else to face possible legal consequences. While she left the actual posting requirement intact, she ruled that the proposed penalties attached to the Board’s rule were unlawful under the National Labor Relations Act (NLRA). Read full alert from Fisher & Phillips

It’s 2012 And The NLRB Is Off To A Fast – And Controversial – Start
By Joseph J. Brennan
The 2011 calendar year was one of the more interesting years for the National Labor Relations Board (NLRB). The Board became a lightning rod for controversy and partisan politics due to its controversial decisions to utilize its rarely-used rulemaking authority to rewrite the rulebook on union elections and to require employers to post what many consider a pro-union National Labor Relations Act (NLRA) poster in its workplace. Read full labor article from Fisher & Phillips »

NLRB Moving Forward With New Election Rules
A union organizer’s dream would consist of a “quickie” election in a gerrymandered unit comprised mostly of card signers. Having established such a beachhead, the union could then engage in an ongoing game of dominos, with one company department after another falling in line. In a recent decision (Speciality Healthcare) and a propsed rule change, the Democratic majority of the National Labor Relations Board (NLRB) has signaled its intention to fulfill the organizer’s dream. Read the full article from Fisher & Phillips

If You Build It . . .
By John D. McLachlan
It comes as no surprise that employers in the last several years have been forced to focus on survival in an extremely difficult environment. There have been sharply decreased (or nonexistent) profit margins, falling sales, reorganizations, reductions in force, retrenchment and reversion to the mean. Overall business conditions aren’t really much better now than they were three years ago and nobody really knows when they will improve. With all of these business challenges, who needs another? It is with great trepidation that we suggest the imminent arrival of yet another challenge for the employers of America – unionization. Read full labor letter article from Fisher & Phillips

Going Over The Top At Disneyland: Sleazy Union Tactics In “The Happiest Place On Earth”
By Mark S. Ross
Disneyland is known as “The Happiest Place On Earth.” But UNITE HERE Local 11, the Union that represents the park’s 2,100 hotel employees, is not in a happy place. For close to three years now, it has been bargaining over a new labor contract. During that time, the union has staged protests and walk-outs, had its members engage in a week-long hunger strike and gone on a one-day quickie strike. But no matter what the union has done to force the issue, no new labor agreement has been reached. Read full hospitality update from Fisher & Phillips

SEIU Paints A Bull’s Eye On Fast Food Industry
By Mark S. Ross
It’s common for fast food workers in Canada, Germany, France and Australia to be represented by a union. But in America less than 2% of fast food workers are unionized – and most of them work in stores located on college campuses, in hospitals or in government buildings where labor unions are commonplace. Indeed, until very recently, the conventional wisdom among union leadership was that employees working in freestanding fast food restaurants were simply too short-sighted, too transient, or too timid, to be viable targets for union organizing. Accordingly, even though it promises the possibility of hundreds of thousands of new union members, the fast food industry has gone largely ignored by unions. All of that may soon change. Read full hospitality update from Fisher & Phillips

UNITE-HERE Ups The Ante Against Hotels
By Howard A. Mavity
Hotels and other entities should expect unions to routinely use OSHA citations as an organizing tool and a way to harass hospitality employers. In a recent Hospitality Update, we described a May 12 Houston Chronicle article complaining about the allegedly high rate of ergonomic injuries suffered by hotel employees. Read full hospitality update from Fisher & Phillips

Nondiscrimination Law Updates

Nondiscrimination Law Updates

Here’s Looking At You, Kid” – The EEOC Looks For Beauty Bias
By James J. McDonald
The EEOC is currently investigating Marylou’s Coffee, a chain of Massachusetts coffee shops, for its practice for hiring young attractive women to serve coffee. The EEOC’s investigation was not triggered from a complaint by a rejected applicant or fired employee. Rather, it is a “Commission-initiated investigation” conducted, according to the director of the EEOC’s Boston office, because “it’s possible that applicants or employees might not know that they have been discriminated against.” Read full article from Fisher & Phillips »

10th Circuit Slaps Down EEOC Subpoena
By Gregory D. Ballew
In 2007, two persons in Colorado applied for employment with Burlington Northern Santa Fe R.R. Co. (BNSF). The company extended each applicant a conditional offer of employment, but rescinded each applicant’s conditional offer following a medical screening. Each applicant then filed a separate charge of discrimination with the EEOC alleging that he was perceived as disabled in violation of the Americans With Disabilities Act. Read full article from Fisher & Phillips

“If They Hate You, They Must Hate Me Too”
By Gregory D. Ballew
On February 9, 2012, the U.S. Court of Appeals for the 5th Circuit addressed the issue of whether alleged harassment toward African-American employees could support the claim that there was a hostile work environment for two Hispanic employees. The court concluded it could not in the particular case before it, stating that “if the evidence of the workplace environment for the employees of plaintiff’s race does not show frequent, severe and pervasive hostility, then evidence of hostility towards a different racial group is not much support for the plaintiff’s claim.”
Read full labor article from Fisher & Phillips

Supreme Court Holds That Company May Be Liable For The Discriminatory Motives Of Non-Decision Makers
Today the U.S. Supreme Court held that an employer may be liable for the discriminatory motives of a supervisor who influences but does not make the ultimate employment decision. The Court’s ruling will impact employment discrimination claims where multiple individuals are claimed to have made, caused, or influenced the ultimate employment decision. Staub v. Proctor Hospital. Read full alert from Fisher & Phillips

The Latest On GINA
By C. R. Wright
The new regulations issued by the EEOC under the Genetic Information Nondiscrimination Act of 2008 (GINA) became effective on January 10, 2011. The regulations make clear that the law protects applicants, current and former employees, trainees, and apprentices. The EEOC has already received hundreds of charges alleging violations of GINA. Employers must now post new information and take other steps to comply, including the use of “safe harbor” language when requesting health-related information from an employee or healthcare provider. Read full benefits update article from Fisher & Phillips

OFCCP Gets Tough
By Celia M. Joseph
“We are going to be extremely proactive and aggressive. The message is it’s a new day at the Department of Labor and it’s a new day at the OFCCP,” Patricia A. Shiu, Director of the OFCCP, Feb. 16, 2010.
The Office of Federal Contract Compliance Programs (OFCCP) certainly remained true to these words during the course of 2010. The OFCCP has promised to aggressively enforce its regulatory agenda – and is delivering on its promise. While the federal contractor community awaits revised OFCCP regulations, the following cases, settlements, and program changes announced by the OFCCP since mid-October 2010 are certainly enough to make federal contractors want to ensure that they take all steps to understand and comply with their affirmative action and non-discrimination obligations. Read full labor letter article from Fisher & Phillips

Seattle’s Paid Sick/Safe Leave Ordinance

Seattle’s Paid Sick/Safe Leave Ordinance

Beginning September 2, 2012, employees working in Seattle are entitled to accrue and use Paid Sick and Safe Leave (PSSL) under Seattle’s new ordinance. Below are helpful articles, links and materials which will help you to understand and put into practice these new policies.


logo(2)

Seattle’s Mandatory Paid Sick/Safe Leave Law: Are You Ready for September 1, 2012?
By Rachel A. Sage

The Seattle Office for Civil Rights recently released its final regulations for the new Paid Sick/Safe Time ordinance. They arrived not a moment too soon, because the ordinance goes into effect on September 1, 2012. If you haven’t already started planning for compliance, you should now.

The new law will require businesses to accrue and provide paid sick and safe leave for employees when they or their family members are ill or are a victim of domestic violence. The law also includes notice and posting requirements to employees, as well as record keeping and reporting.

In an earlier posting, we walked through the basic requirements of the law. Here is a more detailed look at the law and tips on how you can ensure compliance. Click here to read full posting.


Summary of Seattle’s new Paid Sick and Safe Leave Ordinance
Source: Seattle Office for Civil Rights

On September 12, 2011, Seattle City Council passed Ordinance #123698, establishing minimum standards for the provision of paid sick and paid safe leave. When the ordinance takes effect on September 1, 2012, covered employers will be required to provide paid sick/safe leave to their employees, with some exceptions.

The Seattle Office for Civil Rights (SOCR) is responsible for developing rules to administer the ordinance, and to enforce the ordinance once it goes into effect. SOCR also is available to provide technical assistance to employers and employees. For more information. Below is a summary of the ordinance’s key provisions. SOCR will release a more detailed FAQ document in December to address a variety of specific questions from employers, employees and the general public. If you have a question you’d like answered, please email public information officer, Elliott Bronstein or call 206-684-4507.

Which employees does the ordinance cover?
The ordinance applies to full-time, part-time, and temporary employees who perform more than 240 hours of work in Seattle within a calendar year. Employees who occasionally work in Seattle are covered if they perform more than 240 hours of work in Seattle within a calendar year. The ordinance does not apply to work study employees and employees of other government employers.

Which employers does the ordinance cover?
Ordinance summary – download version Employers with 5 or more “full-time equivalent employees” (FTEs) are required to provide paid sick/safe leave to covered employees. An employer’s specific obligations depend on the number of the employer’s FTEs.

How do employees accrue the Paid Sick/Safe Leave benefit?
Employees’ accrual rate depends on the size of the employer:

  • Tier One More than 4 and fewer than 50 FTEs: Employees accrue 1 hour for every 40 hours worked, up to a 40-hour cap.
  • Tier Two At least 50 and fewer than 250 FTEs: Employees accrue 1 hour for every 40 hours worked, up to a 56-hour cap.
  • Tier Three Employers with 250 or more FTEs: Employees accrue 1 hour for every 30 hours worked, up to a 72-hour cap.

Articles:

Websites:

  • Materials:
  • PSST poster– Displaying this poster is one way to fulfill the notice requirements of the ordinance.

Service Animal Rule Updates

Service Animal Rule Updates

NWADA logo JPEG

Service Animals: Frequently Asked Questions
If you have questions regarding service animal regulations, read this helpful article which gives answers to frequently asked questions. Questions include: What is a service animal? What is the difference between a service animal and a comfort/emotional support/therapy animal? Read full Northwest ADA Center article on service animals


Acceptable Service Animals Include Miniature Horses

Tip from AH&LA
You may know that dogs can be service animals, but miniature horses are also protected and must be treated like service animals. Never ask for papers or other proof of an animal’s status as a service animal; however, you can ask two questions – is this a service animal required because of a disability, and what work or tasks has this animal been trained to perform.

Gone To The Dogs: Rules on Service Animals to Become Much Stricter
By James J. McDonald
Regulations issued in 1991 following the enactment of the Americans with Disabilities Act (ADA) required that public accommodations (which include restaurants, hotels, retail establishments, theaters and concert halls) modify their policies, practices, or procedures to permit the use of a service animal by an individual with a disability. Essentially this means that service animals accompanying persons with disabilities have to be admitted to establishments with policies otherwise excluding pets or other animals. Read full hospitality update from Fisher & Phillips

Tips, Taxes & Finance Updates

Tips, Taxes & Finance Updates

Click here for a Lodging Business Tax Guide from the Washington State Department of Revenue. Specific guidance for hotels, motels, bed & breakfasts, resorts, and RV parks is available.



FisherPhillipsLogo10-2010

Can A Paid Break Become Unpaid?
By John E. Thompson
Acme Corporation’s longstanding policy is to give non-exempt employees two 10-minute rest breaks each workday. It treats these breaks as paid worktime. Management recently realized that, over the years, most of the employees have gradually come to be spending 15 to 20 minutes or even a little longer on each break. Acme sent out a memo reminding everyone that the breaks are limited to 10 minutes, but it had no effect. Could Acme start considering the over-10-minute extensions to be unpaid time? Read full labor article from Fisher & Phillips »

As The Economy Struggles, EEOC Charges Increase
By Robert K. McCalla
The cataclysmic effects of the longest and deepest recession since the 1929 depression will significantly change many aspects of our society for generations. The devastating impact of the recession on large segments of the workforce can be counted as one of the more significant effects. While it remains to be seen how the recession will change the psyche of this generation over the long term, one objective measure showing one aspect of the change is the large increase in EEOC charges as the economy nose dived. Read full labor article from Fisher & Phillips »

The Future of Tip Credit – And The Businesses That Depend Upon It
By Karen L. Luchka, J. Hagood Tighe
The U.S. Supreme Court is being asked to decide what amounts to the future of tip credit for many businesses – particularly in the hospitality industry. In short, the issue is whether an employer can continue to pay tip credit employees on a tip credit basis if they spend more than 20% of their work time on duties that did not produce tips. Read full hospitality update from Fisher & Phillips»


BullivantHouser

Tip Pooling by Restaurants Gets a Judicial Thumbs Up
by Timothy J. Calderbank and Kyle D. Sciuchetti of Bullivant Houser Bailey PC

The Ninth Circuit Court of Appeals in Cumbie v. Woody Woo, Inc., 596 F.3d 577 (9th Cir 2010) recently affirmed a lower court decision that allows restaurants to require waiters and waitresses to participate in a tip pooling arrangement. Tip pooling is designed to distribute tips to those restaurant workers, such as kitchen staff, who do not ordinarily receive tips. The Ninth Circuit held that such a requirement is not in violation of the Fair Labor Standards Act (FLSA) of 1938.

In Cumbie, a waitress objected to a tip pooling arrangement instituted by her employer and brought a lawsuit alleging that the arrangement violated the minimum-wage provisions of the FLSA. Defendant Woody Woo argued that Cumbie might be correct in her reading of the FLSA if, and only if, the employer in question took a “tip credit” toward its minimum-wage obligation. Woody Woo, however, did not claim a “tip credit” and, therefore, asserted its tip pooling arrangement was permissible so long as it paid her the minimum wage, which it did.

The District Court agreed with Woody Woo and ruled in its favor. The case went up to the Ninth Circuit where the District Court’s decision was upheld. The Ninth Circuit decision provides guidance and certainty to the question as to whether tip pooling arrangements are permissible and under what conditions. This is important to our clients in the Northwest, and particularly to our Oregon clients, given that in 2011 the minimum wage will increase 10 cents to $8.50 per hour. Learn more at www.bullivant.com.


Unemployment Tax Insurance Rates Lowered February 11, 2011

On Friday, February 11, the Governor signed SB 5135 and ESHB 1091, lowering unemployment insurance tax rates for 80% of all small businesses. Part of the Governor’s jobs package, the legislation represents a significant positive step forward for the business community. The legislation contains five distinct components: 1) caps the social tax component of unemployment taxes; 2) adjusts the proportion of taxes paid in each rate class; 3) expands the UI training benefits program; 4) aligns state law to ensure unemployed individuals can take advantage of federally extended benefits fully funded by the federal government; and 5) includes a short-term temporary increase in weekly benefits.

Within the next 45 days, most businesses will receive a revised tax statement from the Employment Security Department identifying that they will pay lower taxes in 2011 than originally notified in December. No business will pay more than identified on the December 2010 tax statement but some will see no change in their payments. This reflects a business’ direct experience with layoffs over the past three years. The tax reductions represent $300 million that will remain in the hands of businesses in 2011 instead of being paid in UI taxes.

Although this legislation was passed within the first five weeks of session, it represents a hard-fought battle by the business community. Early in the discussion over this legislation the labor community brought forward a permanent benefit increase that would have given unemployed individuals an additional $15 per week per dependent. This type of benefit increase would have significantly increased employer tax rates. The business community fought hard against the dependent allowance and was ultimately successful in keeping it out of the final language.

Legislators however, brought forward an option to temporarily increase recipient weekly benefits that would not impact individual employer UI tax rates. The expansion of the existing training benefit program enables the state to receive $98 million in additional federal UI funds. Rather than permanently expanding benefits and increasing employer tax rates, a portion of the federal funds, $68 million, will be used to fund the temporary benefit increase. This strategy will increase UI benefits by $25 per week per UI recipient through November 2011. None of the dollars attributed to the temporary benefit increase will be charged against an individual employer.

Seattle Minimum Wage Guide: WLA and WRA publish minimum wage guide to help Seattle members comply with complex local law.

WLA and WRA publish minimum wage guide to help Seattle members comply with complex local law.

(June 10, 2015) There is nothing easy about Seattle’s new minimum wage ordinance. Employers have to understand a complicated phase-in schedule, figure out if they are Schedule 1 or 2 employers and navigate through a slew of confusing issues. That’s why WLA and WRA have commissioned a legal analysis of the ordinance, which the two organizations recently released. Their Seattle Minimum Wage Guide  helps members better understand and comply with the complex requirements.

The Seattle Minimum Wage Guide (MWG), which is available here, was prepared by an attorney and evaluates the Minimum Wage Ordinance as well as the related Rules and FAQ posted by the City of Seattle. It also includes a discussion of the new Administrative Wage Theft Ordinance and Washington State’s disclosure law concerning service charges. Government action, either through additional legislation or rules, is still needed to clarify several aspects of the ordinance.

The guide isn’t intended as legal advice and is no substitute for legal advice. If you have any questions about the information provided, or if you have any concerns or confusion about how the information below applies to your workplace, we strongly encourage you to seek the advice of a knowledgeable wage and hour attorney.

 

Supporting Articles

Tips in Seattle: Understanding what the new minimum wage ordinance means for employers with tipped employees (June 2, 2015 WAlodging.org)

City of Seattle releases final administrative rules, an FAQ and workplace poster as first wage increases go into effect on April 1 under Minimum Wage Ordinance (March 31, 2015, WAlodging.org)

 

Additional Resources

WLA/WRA Guide to Seattle’s Minimum Wage

Seattle Minimum Wage Ordinance

Fact Sheet for Large Employers (501 or more employees)

Fact Sheet for Small Employers (500 or fewer employees)

City of Seattle Minimum Wage and Wage Theft Workplace Poster

WLA and WRA combine membership and communications teams in advance of combined operations.

WLA and WRA combine membership and communications teams in advance of combined operations.

(June 16, 2015) The Executive Committees of the Washington Lodging Association and the Washington Restaurant Association have approved transition plans for communications, membership and business development in preparation for combining operations by October 1, 2015.

Under the approved plans for member services, the WLA and WRA membership teams will start working together in July, and area coordinators who already work with WRA members will begin reaching out to WLA members in August. The unified hospitality association will have ten area coordinators based around the state working with restaurant and hotel members. WRA’s current area coordinators have close ties to the communities and businesses where they work, and they are well positioned to engage members in the new association.

The WLA and WRA communications teams joined forces in May to expand members’ access to information and resources. In July, WLA member properties and allied member businesses will receive Washington Restaurant, WRA’s monthly magazine, which will have an in-depth look at the merging of the two associations.

A branding process for the new association will kick off next month, and the new name and logo for the unified hospitality association will be unveiled next summer. The WRA and WLA logos and websites will continue to be used until the launch of the new brand.

The business development department will work with allied members to deliver an expanded array of services to members. It will also oversee signature events currently produced by the two associations, including WLA’s Annual Convention & Trade Show and the Northwest Food Services Show.

WLA and WRA are joining forces to deliver even greater value to their members and to increase their capacity to act quickly, with greater resources and greater impact, to meet political and regulatory challenges at both the state and local level. The two organizations signed a memorandum of understanding on April 7 that is serving as a blueprint for combining forces.

If you have questions or comments about the creation of the new hospitality association, please email info@walodging.org

 

ADDITIONAL ARTICLES

Creation of stronger, unified hospitality association moves forward with signing of memorandum of understanding (April 30, WAlodging.org).

Tips in Seattle: Understanding what the new minimum wage ordinance means for employers with tipped employees.

Tips in Seattle: Understanding what the new minimum wage ordinance means for employers with tipped employees.

The Washington Lodging Association and Washington Restaurant Association commissioned a legal analysis of Seattle’s Minimum Wage Ordinance to help their members understand and comply with the complex new law. The result is the Seattle Minimum Wage Ordinance Guide (MWG), which gives an overview of all aspects of the wage law. The two associations are also partnering on a series of articles, the first of which looks at tips. Tips: An overview of the legal requirements.

The Seattle Minimum Wage Ordinance is complex, and how it handles tips is particularly complicated.

First off, you need to know that there are different tip rules for Schedule 1 and Schedule 2 employers. Figure out which type of employer you are here. You’ll see that while the number of employees counts, size isn’t the only difference between the two types.

Schedule 1 employers, also called “large employers,” are allowed to use tips towards meeting the difference between minimum wage and minimum compensation. What are the differences? Click here to learn the difference. (Also, check page 16 of the MWG). Want to know what payments are included in compensation? Check the bottom of page 18 of the MWG).

If you are a Schedule 2 “small employer,” you can apply tips towards an employee’s minimum compensation if the tips are:

• Retained by the employee.
• Reported to the IRS (as all tips should be).

Tips can only bSmall employers can only count tips towOnly counted during time spent by the employee working in a tipped position. (If they do something non-tipped, it can’t you can’t count it. Learn about tipped positions at the top of page 22 in the MWG).
Minimum wage and overtime laws are typically applied on the workweek basis, and we recommend you average tips over the workweek. Averaging tips over the workweek will be more consistent, less confusing, and less likely to be viewed as a violation. (See pages 22 and 23 of the MWG for more on this.)

For large employers, applying tips towards minimum compensation can create complications in calculating the employee’s overtime rate of pay. Find an examplehere. (Also see the MWG page 24 and 25. Overtime calculation rules are on page 11.)

Be sure to keep payroll records for at least three years. Tips that demonstrate the payment of minimum wages and minimum compensation to each employee must be included in your records. (See page 11 of the MWG).

Give written notice if you count tips in wage calculations If you are going to count tips in the wage calculation, you must provide written notice to your employees with specific information or have a poster on display that details this information. You can get a breakdown of that information on pages 26 and 27 of the MWG. Or, you can use these sample letters as a guide:

Sample Letter: Current Tipped Employees
Sample Letter: Tipped Employees At Time of Hire

Finally, there are many ways in which service charges and tips go hand-in-hand. We will be covering service charges in future versions of this email update. For now, you can read extensively about service charges in the MWG.

For more information about the MWG, or help with questions about the implementation of the new Seattle Minimum Wage ordinance, please call WLA at 206-306-1001.

When a dog is not a pet: Five things you should know about service animals.

When a dog is not a pet: Five things you should know about service animals.

It’s been 25 years since Congress passed the Americans with Disabilities Act (ADA), guaranteeing basic rights for people with disabilities, including full and equal access to your property and services. While many ADA requirements are related to physical accessibility, in 2010 the Department of Justice issued revised ADA regulations that clearly define what can and cannot be asked about service animals. Here are five important things your front desk staff should know when welcoming guests with service animals.1. Does our “no pets” policy apply to service animals?
Legally, a service animal is not a pet. You are required to modify your “no pets” policy to allow the use of a service animal by an individual with a disability. A “no pets” policy may be continued, but you must make an exception to your general rule for service animals.

Under the 2010 revisions, service animals are defined as dogs that are individually trained to do work or perform tasks for people with disabilities. Dogs whose sole function is to provide comfort or emotional support do not qualify as service animals under the ADA. The only other animal that can qualify under the ADA as a service animal is a miniature horse. A hotel is allowed to consider certain factors in determining whether a miniature horse can be appropriately accommodated within the hotel facility. These include whether the facility can accommodate the size and weight of the miniature horse and whether the miniature horse is housebroken.

2. We charge a deposit and a pet fee. Can we also require this for a service animal?
No deposit, fee or surcharge can be assessed for the service animal, even if the hotel routinely charges a pet fee. If the hotel normally charges for damages caused by pets, then the hotel may charge for any damage caused by the service animal.

3. How do we determine if it is a legitimate service animal?
There is no ADA requirement that the owner carry any certification papers showing that the animal is a service animal. When it is not obvious what service an animal provides, staff may ask two questions:

1. Is the dog a service animal required because of a disability?

2. What work or task has the dog been trained to perform.

Staff cannot ask about the person’s disability, require medical documentation, require a special identification card or training documentation for the dog, or ask that the dog demonstrate its ability to perform the work or task. No inquiries should be made if the answers are readily apparent (such as a guide dog leading a person who is blind).

4. Can we ask that service animals be kept out of the breakfast room?
Under the ADA, businesses that serve the public generally must allow service animals to accompany people with disabilities in all areas of the facility where the public is normally allowed to go.

5. Can we ever ask service animal owners to remove their animal from our premises?
A service dog’s professional behavior and good grooming are necessary for it to be protected under the ADA. An individual may be asked to remove his or her service animal if it:

• Makes a mess on the floor

• Bites or jumps on another patron

• Wanders away from its owner

A fact sheet on service animals published by the Northwest ADA Center notes that a service animal may be removed if it continuously disturbs patrons; for example, if it is repeatedly barking. However, it should first be made clear that the service animal is not just doing its job. Barking may be how the dog performs its job. Find out first!

For additional information on how the Americans with Disabilities Act applies to hotels in Washington State, WLA members are encouraged to consult their Washington State Hospitality Law Manual (pp. 206-216). To request a replacement copy, click here. To learn more about this WLA member benefit, click here.

Compiled from the Washington State Hospitality Law Manual; the U.S. Department of Justice Civil Rights Division, Disability Rights Section fact sheet on service animals and the Northwest ADA Center.

AH&LA educates lawmakers and consumers about deceptive online booking practices.

AH&LA educates lawmakers and consumers about deceptive online booking practices.

(May 27, 2015) Online travel bookings have grown rapidly over the past several years and now make up 30 percent of all online sales. Unfortunately, fraudulent travel booking websites are also booming.

Rogue sites are tricking consumers into thinking they are booking directly with a hotel, when in fact they may be stealing credit card information or making promises about types of rooms or reward benefits without the hotel’s knowledge.

The American Hotel & Lodging Association (AH&LA) has been working to shed light on the deceptive practices of some third party online travel company affiliates. Its aggressive media campaign and outreach on Capitol Hill is bringing results.

In March, AH&LA launched its campaign with a well-attended panel on Capitol Hill to begin to educate Members of Congress and their staff about these misleading practices that trick consumers into thinking they are booking directly with a hotel. These efforts recently led Senator Grassley, Chair of the Senate Judiciary Committee, to send a letter to the Chairwoman of the Federal Trade Commission (FTC), asking about the Commission’s work on deceptive hotel booking sites. Since the Judiciary Committee has some jurisdiction over the FTC, the Chairman’s letter underscores the urgent need for action by that body.

The letter, which you can access here, highlights AH&LA’s key concerns regarding these affiliates. It follows another letter sent by the Arizona delegation to the Justice Department earlier in May.

AH&LA’s media efforts have also been productive, generating more than 80 million media impressions. The latest news stories include a recent news segment on CBS This Morning by consumer advocate Peter Greenberg, a news story by KGO San Francisco, a Yahoo Travel video story, a column by known consumer watchdog Christopher Elliot in the Washington Post, and articles in the Los Angeles Times and by Mainstreet.com.

Higher state revenue forecast unlikely to resolve budget standoff before end of special legislative session.

Higher state revenue forecast unlikely to resolve budget standoff before end of special legislative session.

(May 29, 2015) Gov. Jay Inslee called legislators back for a second special session today after they failed to resolve the budget impasse in the first special session. The distance between the Republican-dominated Senate and Democratic House is so great that even the 3% increase in the latest revenue forecast did little to bridge the gap over taxes and how to fund education.

TK Bentler, WLA’s government affairs counsel, provided this overview of the key issues going into a second special session:

Is there a need for new taxes or can the budget adequately be funded within current law revenues?
The May 18th Revenue Forecast increased the General Fund State account by $106 million for the 2013-15 biennium and an additional $309 million for 2015-2017. The state also expects more than $100 million extra in federal money for 2015-2017 and potentially an increase in marijuana tax revenue. Republicans say that the new revenues mean there is no need for any new taxes. Democrats disagree. The Governor acknowledged that new revenues mean the size of the tax package that he initially proposed can be scaled back, but he continues to push for new revenues as does House Democratic leadership alleging the Republican budget is unsustainable without additional revenues.

If new revenue is necessary, where should it come from?
During the special session, Democrats focused on two major sources of revenue: a potential capital gains tax on the state’s wealthiest people and a tax/fee on carbon. Republicans adamantly oppose both those sources. Republicans also note their staunch opposition to the increase in the B&O tax on services which was included in the initial House Budget. However, prior to the most recent forecasts, there had been some signal from the Republican leadership that they were willing to consider some of the other, relatively smaller, tax “loophole” changes proposed by Democrats such as the tax on bottled water in exchange for enactment of their “jobs package” which includes extension of some tax preferences for targeted industries.

Funding the McCleary Decision –– Property Tax levies and Teacher Salaries
Both sides are close on the level of appropriation needed to adequately fund education. The biggest difference is that the Senate appropriates less to “catch up” on teacher cost-of-living increases. Greater differences arise from their respective proposals for how to respond to the Supreme Court’s demand that the Legislature address the disparity between rich and poor school districts which results from differing local property tax levy capacity.

Since many districts use local levies to increase teacher pay, the what and how of teacher compensation is also a key negotiating issue. Republicans propose a “revenue neutral” property tax reform package that would lower local property tax levies and raise the state school levy. They would also establish a statewide salary system for teachers with regional adjustments for differential cost of living. Taxpayers in property-rich districts, largely in the Puget Sound corridor could see their taxes increase under that proposal while about 60% of taxpayers would see their property taxes decline.

Democrats oppose the “levy swap,” and instead propose a capital gains tax to raise money for education while further studying how to address the need to equalize funding among rich and poor districts.

Addressing Climate Change – Cap & Trade, Low Carbon Fuel, and the Transportation Budget
The Governor continues to insist that this Legislature must act on his climate change initiative. Republicans have generally opposed taxes on carbon, whether in the form of the governor’s proposed Carbon Pollution Act (CPA) or the Low Carbon Fuel Standard (LCSF). To prevent the Governor from imposing the LCSF by executive order, the Senate’s transportation package included a “poison pill,” which would take money away from transit and other environmental priorities in the transportation budget if an LCSF is imposed. That remains a stumbling block for transportation negotiations.

Though their ideas of a path forward differ from the Governor’s, Democrats in the House and Senate still seem to be pushing hard for some carbon pricing mechanism. The House Appropriations Committee held a hearing on a proposed substitute for HB 1314, the Governor’s carbon pollution market program, but in the face of broad opposition House leadership appears to have put that bill aside. That, in turn, seems to have increased House D commitment to removing the poison pill, perhaps stiffening their support of the low carbon fuel standard.

The Senate proposed a number of transportation system “reforms,” most of which the House and Senate transportation negotiators have been able to work through. But they continue to face a major stumbling block regarding the use of sales tax revenues from highway construction projects. Currently those sales tax revenues are part of the general fund and are relied upon for the operating budget. The Senate shifts those revenues to the transportation budget. The House insists that such a shift cannot be made without identifying an adequate and sustainable source of replacement revenues to keep the operating budget whole. Resolving that issue is essential to reaching agreement on both the operating and transportation budgets.

WHAT’S NEXT?
To avoid a partial government shut-down, Legislators must pass an operating budget before July 1. A second special session convened on May 29 would have to end by June 27. History would suggest that legislators will be unwilling to compromise and unable to conclude their work much before then. But this year there is tremendous pressure to finish before June 12. This is because with the US Open at Chamber’s Bay, legislators cannot count on finding available or affordable lodging near Olympia later in the month and traffic congestion is expected to add hours to their commute times. That may create enough incentive for budget negotiators to quickly reach agreement on the unresolved issues and adjourn in early June.

Negotiators are keeping their cards pretty close to their vest, so it’s difficult to predict what a compromise might look like. However, it is unlikely that the Legislature will adopt any major new taxes, whether a capital gains tax or carbon pollution fee, or increase the B&O tax.

Some new revenue may be brought to the table by allowing some tax “loopholes” to sunset. Negotiators will likely push the property tax levy and teacher bargaining questions forward for consideration next year while reaching a compromise on the amount allocated for teacher cost of living raises. There’s some indication that a compromise could be reached on phasing in a low carbon fuel standard and possibly shifting some portion of future highway construction sales tax revenues to the transportation budget. If not, the transportation package which has been a top priority for the business community for five years could be tabled until 2016.