By Jorge Casuso

May 28, 2026 -- Santa Monica's hotel workers will have to wait an extra two years until 2030 before seeing their minimum wage increase to $30, mirroring the wage schedule approved by the LA City Council this week.

That's because an ordinance approved by the Santa Monica Council in 2016 ties the City's wage law for hotel workers to the annual increases for their Los Angeles counterparts.

As a result, Santa Monica will follow the wage schedule set by the LA City Council with an 11 to 3 on Tuesday -- $25 per hour starting on July 1, 2027; followed by $27.50 by July 1, 2028; $29 by July 1, 2029, and $30 by July 1, 2030.

The Santa Monica City Council is expected to take up the new wages at an upcoming Council meeting, City officials said.

The LA Council's vote came after the hospitality industry threatened to move ahead with a ballot measure to repeal an $800 million-plus business tax to help balance the struggling City's budget.

In exchange for delaying the $30 "Olympic Wage" expected to take place for the Summer Olympics in 2028, sponsors agreed to withdraw their initiative, which had gathered enough signatures to be placed on the November ballot.

Tuesday's vote was approved without discussion after the Council voted on April 19 to give the measure a preliminary approval.

The vote was a victory for a coalition that included the LA Alliance for Tourism, Jobs and Progress; the American Hotel and Lodging Association, small business and trade associations and United Airlines.

The opponents noted that the proposed wage hike comes at a time when LA's tourism industry is struggling and that increasing costs could lead to layoffs, reduced hours for workers and price hikes for customers.

The vote was a major blow to UNITE HERE Local 11, which mounted an intense lobbying campaign for a measure that would have reached a $30 per hour living wage by the 2028 Summer Olympics.

Union leaders called the vote to delay the wage a "betrayal" and a "shakedown. In a statement issued after last week's preliminary vote, the union wrote:

"The hotel and airline industry’s successful shakedown sends a dangerous message: Any time workers win meaningful improvements, powerful corporations can threaten the city’s finances and strong-arm elected officials into taking back wages and healthcare that workers fought to win.”

Councilwoman Imelda Padilla pushed back, criticizing the labor union for “creating” the issue, then "not allowing council members to ask questions and negotiate better," according to the LA Times.

The latest delay comes one year after the LA City Council paused the "Olympic Wage" after a coalition of hospitality and tourism groups submitted signatures for a referendum to overturn the wage hike.

According to Santa Monica's Municipal Code, "the hourly wage for hotel workers in the City shall match the hourly wage set for hotel workers in the City of Los Angeles."

Under the wage ordinances in both cities, union hotels are exempt.