A Local Law in relation to severance pay for hotel service employees

Summary

The bill would require severance pay for hotel service employees in the event of: 1) the closure of a hotel to the public, provided that the hotel has not, by October 11, 2021, recalled at least 25% of employees and reopened to the public by November 1, 2021; or 2) a mass layoff of at least 75% of employees. Employees eligible for severance pay would be owed $500 per week, for up to 30 weeks. This requirement would not apply to a hotel that has closed permanently and has or is in the process of converting to an alternate use, provided that employees are offered severance of at least 20 days pay per year of service and provided that the severance is specifically tied to the conversion. The obligation to provide severance would end when an employee is recalled, or, for a closed hotel, when the hotel reopens to the public and recalls 25% of employees.

Official summary of legislation · NYC Council