New York City Mayor Eric Adams speaks at a news...

New York City Mayor Eric Adams speaks at a news conference Monday in City Hall before signing a bill adding new regulations for hotels. Credit: Olivia Falcigno

New York City hotels must now obtain a license to operate while most will be required to directly employ a "core" group of employees, including front desk staff and housekeeping instead of relying on subcontractors, according to legislation signed Monday by Mayor Eric Adams.

The Safe Hotels Act, which was approved by the City last month by a vote of 45-4, was heralded by supporters as a critical step in protecting the safety of hotel workers and guests. But some industry officials insist the measure will hurt the city's tourism industry.

At a bill signing ceremony Monday at City Hall, Mayor Eric Adams said the legislation "creates safer hotels for employees and visitors and bolsters the city's tourism industry." 

The Washington, D.C.-based American Hotel & Lodging Association was among several industry groups lobbying against the bill that were able to extract some changes to the final legislation.

Even with the changes, Kevin Carey, president and chief executive of association, last month called the measure a "special interest power play that will do irreparable harm to the city’s hotel industry and tourism economy."

The legislation stipulates that all hotel operators in the city be required to obtain a license from the Department of Consumer and Worker Protection or risk civil penalties. The $350 license, which must be visibly displayed in the hotel, would last for two years.

Meanwhile, each hotel would be required to have continuous coverage of its front desk at all hours or, during overnight shifts, have a security guard monitor the premises while any room is occupied. Operators of hotels with more than 400 guest rooms would be mandated to have at least one security guard on duty, the bill states.

Hotel employees would also be equipped with panic buttons and be required to receive training on human trafficking recognition. Hotels would also be required to clean all rooms on a daily basis unless a guess declines the service.

The most controversial element of the legislation mandated that hotels with 100 or more rooms "directly employ their core employees," including front desk staff and housekeepers rather that utilize subcontracted workers or rely on management companies or staffing agencies.

Changes to the bill exempted food and beverage staff, security and engineering positions and hotels with less than 100 rooms.

City Councilwoman Julie Menin (D-Manhattan), the bill's lead sponsor, said the measure will protect the estimated 64.5 million annual city visitors. 

"The Safe Hotels Act marks a historic step toward enhancing public safety and ensuring worker protection in the city's hotel and hospitality industry," Menin said in a statement. "This landmark legislation requires hotels to obtain a license to operate in New York's five boroughs, implements crucial safety measures such as panic buttons for housekeepers, human trafficking recognition training, and subcontracting restrictions for critical, public-facing hotel staff."

The bill takes effect in 180 days. In the interim, the Department of Consumer and Worker Protection is expected to set rules on how to enforce the measure, officials said.

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