SANTA MONICA, CA A study of Santa Monicas living wage proposal contends that workers at the citys luxury beach side hotels, restaurants and retail shops live at or below the poverty line, while business revenues and hotel occupancy rates have boomed.
The release of the city-commissioned report adds to a controversial proposal being considered by the Santa Monica City Council. If passed, the proposal would require that the 2,477 workers at the 72 beach-area businesses receive pay hikes to a $10.75-an-hour minimum.
Service employees, such as housekeepers, at the 11 beachside hotels now earn an annual income of $19,000/year, according to the study. The Los Angeles-area poverty line is $21,475 for a family of three.
Meanwhile, Santa Monicas high-end hotels have increased their nightly room rates by 68.5%, from $143 in 1994 to $241 in April 2000, the report states. (8/31/00)
Source: LA Times