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Minimum wage rises to $22.50 in July 2025 and will reach $30 in the hotel and airport sector

by Sandra V
August 18, 2025
in Economy
Minimum wage rises to $22.50 in July 2025 and will reach $30 in the hotel and airport sector

Minimum wage rises to $22.50 in July 2025 and will reach $30 in the hotel and airport sector

It’s official—California, New York, Washington, and 16 other states are raising the minimum wage in 2026, and millions of workers will feel the change in their pockets

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Minimum wage in Los Angeles is about to see one of its biggest jumps ever — and it’s going to make a big difference for the people who keep the city’s tourism industry running. For years, many workers in the hotel and airport sector have struggled with LA’s high cost of living since basic things like rent, groceries, and gas keep getting more expensive. For a lot of them, every dollar counts, and even a small raise can mean the difference between falling behind and finally catching up.

However, these workers will experience a payment rise. By 2028, many hotel and airport workers in Los Angeles will earn $30 an hour. For some, that means covering rent without stress, paying bills on time, and maybe even saving a little. It could also mean having a bit more freedom — like taking the kids out for a weekend treat or being able to fix the car without dipping into rent money. Let’s break down what’s changing and when.

The New Minimum Wage Timeline

This increase isn’t happening overnight. However, minimum wage will get higher a bit each year, giving workers a steady boost. This is how it will work:

  • July 2025: $22.50 an hour
  • July 2026: $25.00 an hour
  • July 2027: $27.50 an hour
  • July 2028: $30.00 an hour

Starting in 2029, the minimum wage will adjust each year for inflation so that workers don’t lose buying power as prices go up.

Who Gets the Raise?

The ordinance covers hotel and airport employees who receive health insurance through their employer. But those without employer-provided healthcare will still see a significant pay bump — starting with an extra $7.65 an hour this year. After that, their pay will go up based on state economic indicators.

Why the Change Now?

City leaders say wages in these jobs haven’t kept pace with inflation for years. Even when pay went up a little, it often wasn’t enough to keep up with LA’s rising housing, transportation, and food costs.

They also noted that fair pay can lead to better productivity and morale. In an expensive city like Los Angeles, where many hospitality workers struggle to afford housing or healthcare, this minimum wage increase is meant to create more stability.

LA’s Tourism Future

This wage hike comes as Los Angeles gets ready for some massive events: the 2026 FIFA World Cup and the 2028 Summer Olympics. These will bring millions of visitors and billions of dollars into the city, meaning more work — and more importance — for tourism workers.

Right now, tourism is down. Visit California predicts a 9.2% drop in statewide tourism this year. But the outlook improves in the next few years:

  • By 2026, tourism should return to pre-decline levels.
  • By 2027, numbers should match pre-Trump-era levels.
  • By 2028, the industry should still be growing, even if visitor numbers don’t beat 2024.

And even if fewer people visit in 2025, those who do are expected to spend more.

More Than Just a Raise

This isn’t just about numbers on a paycheck. It’s about making sure the people who keep LA’s hotels, airports, and attractions running can actually afford to live here.

For workers, the new minimum wage could mean a better quality of life. For employers, it’s a challenge — but also a chance to keep good employees in a competitive industry.

And if you’ve ever checked into a hotel after a long day of travel or had an airport worker help you find your gate, you know exactly how much these jobs matter. The next time you travel through Los Angeles, you might just meet someone whose life has been changed by this minimum wage raise.

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