Corporate mergers and acquisitions activity (M&A) has skyrocketed in recent years. By some estimates, global deals are projected to surpass $4 trillion by the end of 2018, which would be the highest amount ever recorded in a single year. The hospitality industry has seen a similar surge in mega-deals over the last several years. While economic factors have contributed to this rise, hospitality has also been shaped by industry-specific influences that are driving companies to acquire and consolidate with others. This article will examine common legal issues that arise during M&A transactions involving hospitality companies and will offer guidance on how both sides of a deal should address the risks and liabilities. READ MORE
HOTEL BUSINESS REVIEW
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A persistent labor shortage means the hospitality industry is facing tough workforce questions: How can a hotel deliver the level of service it promises with a smaller staff? Will tougher competition for workers impact average wage rates in a historically low-paying industry? What solutions, like cross-utilization, can hotels implement now? And what solutions will require larger-scale legal and societal change? Among the more transformational ideas this article will explore are rethinking current minimum shift requirements and looking to nontraditional sources, from retirees to training the formerly incarcerated, for future hospitality work. READ MORE
Hotels go to great lengths to present a carefully crafted image to their guests and, hotel employees play an integral role in making a mere marketing strategy become a revenue generating reality. One way to ensure that employees effectively communicate the hotel's desired image can be accomplished by a written dress code and personal appearance policy. This policy can be as detailed as management desires. Regardless, to avoid liability, hotels need to be aware of both state and federal laws that govern gender, gender identity, gender expression and religious expression, in the workplace and how those laws interact with their dress code policy. READ MORE
The California Consumer Privacy Act of 2018 is a threshold event that will change how all businesses collect, retain and treat personal information. No industry is more challenged by the law than the hospitality industry, where the "heads in beds" part of the equation is driven by guest data. The Act will impact how hotels do business, ranging from their reservation procedures to new challenges on their ability to implement guest loyalty programs, one of the key means of creating brand loyalty. Hotel companies, whether they be owners, managers or brands, must act now to comply with the Act. READ MORE
The California Legislature had a busy year in 2019, once again enacting a number of new laws that significantly affect California employers and their businesses, most of which will take effect on January 1, 2020. With the new year fast approaching, hotel executives and human resource professionals should take the time to educate themselves about these new laws, review their employee handbooks and evaluate current practices to ensure they are in compliance. Cox, Castle & Nicholson attorneys Dwayne McKenzie and Cathy Moses provide a brief summary of the most notable laws as well as best practices for hospitality companies. READ MORE
In the competitive hotel industry, it is sometimes hard to successfully market a property's history and heritage in a cost-effective manner. In 1989, the National Trust for Historic Preservation created Historic Hotels of America, a marketing organization specifically charged with capturing the heritage tourism market. Thirty years forward, the organization has grown to represent 300 properties nationwide, including nearly every major brand. The success of HHA can also be found in the average daily room rate and per room revenues. This article explores both the growth of heritage hotels and the programs of HHA. READ MORE
- Hospitality Law
- ACA Compliance and the Hotel Industry: How to Streamline Reporting and Prevent Penalties
Businesses in the hotel industry, and the executives that lead them, face countless challenges each day: navigating the ebbs and flows of the market, employee retention, managing inventory, and remaining compliant with all IRS regulations and reporting. And, these challenges are compounded by the very nature of the hotel business. Shift work, seasonality and employees working across multiple locations increase the complexity of meeting requirements, especially those mandated by the Affordable Care Act. This article will discuss what leaders in the hotel industry can do to successfully navigate the nuances of Affordable Care Act compliance and avoid any costly fines. READ MORE
A persistent criticism of American business is that a significant gap exists between the wages paid to men and women for performing similar work. According to a report from the U.S. Department of Labor, a variety of occupations in the hospitality industry suffer from this problem. Although federal legislation guaranteeing equal pay regardless of gender has existed for years, commentators claim that these measures are inadequate. A proposed law is pending in Congress that would substantially rewrite the current federal requirements governing equal pay. A number of states have pushed ahead in this area and enacted their own laws. A hotel manager today faces the challenge of staying abreast of rapidly changing equal pay obligations at the federal, state and local levels. READ MORE
Jeff Hart, General Manager of the Los Angeles Airport Marriott explores airport hotels and their unique advantage to meetings and events. Hart discusses tactical tips and strategies that airport properties can take to stand out as a premier event destination. From challenges to opportunities, Hart gives a 360-degree look at the unique ways in which travel hubs can bring a destination to life and tell a story to potential clients that extends beyond near convenience and proximity to the airport. According to Hart and the team at the Los Angeles Airport Marriott, airport hotels are raising the bar, and now is the time for properties to look at the ways (small or large) in which they can level up their spaces, offerings and approach. READ MORE
Hotel brands these days have much to gain by integrating a corporate social responsibility (CSR) program into their core business strategy. Doing so benefits their profitability, increases trust with their target audience, and can significantly boost a hotel or chain's reputation. A strong CSR program enhances brand awareness and traveler loyalty, while providing the essential ingredients to build a competitive advantage in the market. Employees also benefit from the opportunities offered to give back to the community, and CSR can be a powerful way to retain top hotel talent. Discover some of the novel ways different types of hospitality properties have implemented CSR strategies, and how their activities are benefitting local (and not-so-local) communities. READ MORE
- Guest Service / Customer Experience Mgmt
- Beyond Service with a Smile: Niquesa Travel Transforms the Guest Experience
Niquesa Travel is dedicated to providing clients with hyper-bespoke travel experiences, aimed less at where they want to go and more at how they want to feel while there. It believes that travel should be transformational, attending to each desire or need of guests. These intensely personal requirements demand an exemplary level of client care; gaining their confidence and intuiting their needs to curate the experience that they are seeking. Mark Allvey, Managing Director and Founder of Niquesa Travel, outlines its approach to guest service which goes above and beyond the expected from the outset. READ MORE
No business is immune to a cyberattack. Hotels handle guest personal information and credit card information. They also handle numerous transactions in person and via the Internet. If one hotel employee were to fall victim to a sophisticated phishing scam, the hotel's reputation and revenue stream could be deeply affected. To avoid this, hotel owners and operators need to identify and understand their risk exposures. As hackers get more sophisticated with each passing day, it's important to reevaluate a business's risk regularly. In this article, we discuss recent cyberattacks affecting hotels and the repercussions, as well as what hotel owners and operators can do about it. READ MORE
Some of the worst news a hotel owner can receive is that guestrooms or other facilities within the hotel are noticeably contaminated by excessive mold growth. This article, written by an industrial hygienist and an attorney, explores the physical dangers and legal liability caused by excessive mold growth in hotels, means of preventing this problem, and steps hotel owners and operators should take to minimize damage and liability upon discovery of excessive mold growth. READ MORE
The annual budgeting process should involve much more than preparing a simple operations budget. An effective budget is a tool to communicate both goals and expectations. Budgets provide operational objectives for your team and help them stay on track and they are both a standard for comparison and a baseline for future planning. A well-organized budget involves a business plan that includes marketing and new programming, as well as capital expenditures which contribute to the long-term vision beyond the next operational year. In this article I outline a plan of action that every hotel spa director can benefit from. READ MORE
The U.S. unemployment rate is at a near record low yet the hospitality industry is facing a massive labor shortage. There are many incentives which hospitality industry employers can offer their employees to maintain their current workforce but taking a lax approach to employee discipline should not be one of them. Engaging in disparate disciplinary treatment likely will result in the filing of employment lawsuits or labor grievances which otherwise may have been avoidable. Lodging industry professionals should ensure that their management team consistently administers disciplinary policies and procedures in an evenhanded manner and provide training which identifies and explains the consequences of disparate discipline. READ MORE
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