Industry NewsThe Road Ahead: What's Next for Hospitality

The Road Ahead: What’s Next for Hospitality

Throughout 2015, the American Hotel & Lodging Association (AH&LA) achieved significant milestones on behalf of its 23,000-strong membership. At the heart of these successes is a core mission of proactive advocacy, which allowed us to move the needle on multiple policy fronts. From inside the capital beltway to national debates playing out in cities and states across the country, AH&LA is experiencing incredible momentum by engaging with key policy and decision-makers, implementing strategic grassroots efforts, strengthening long-standing partnerships with state associations, allied groups and other organizations, and spearheading public awareness campaigns that focus the national spotlight on issues critical to our industry. And there is no question that we will build on this momentum in 2016.

Our core priorities and advocacy efforts focus on establishing our industry as a leader in job creation and career opportunity, as well as making us a vital community partner and an innovative and creative guest service provider. As such, AH&LA will continue its active engagement to ensure a level playing field in the ever-changing and evolving distribution space, from fighting the deceptive advertising practices of some rogue online travel agency (OTAs) affiliates to advocating for these same companies to pay their fair share of local occupancy and sales taxes. We made substantial progress this year, particularly through our public awareness campaign to warn consumers about online booking scams and our advocacy with Congress and the Federal Trade Commission (FTC), which resulted in the FTC issuing two consumer alerts. However, there is more work to be done to ensure that we put an end to the more than 15 million bookings a year affected by these scams. We will also continue to underscore that it’s always safest to book directly with the hotel.

Recognizing that the hotel industry operates under a highly competitive and innovative business model where everyone plays by the same rules, AH&LA will also build on its efforts to stop illegal hotels and ensure that newer market players, and the commercial operators they facilitate, abide by commonsense regulations to ensure the safety and security of guests and consumers, and pay their fair share of taxes. Increasingly, we hear of short-term rental hosts renting out multiple properties year-round, effectively running illegal hotels, while failing to abide by the existing rules and regulations that all other commercial businesses must follow. As a result, guests’ safety may be compromised, the character and security of residential neighborhoods endangered, and tax obligations avoided. The hotel industry has set the standard on how to provide high-quality guest services while fulfilling tax, health, safety, and security obligations at the local, state, and federal levels. The platforms and companies that facilitate these rentals should not enable or encourage illegal actions. Consumers, homeowners, and communities are counting on us to get it right.

With 92 percent of lodging properties in the United States owned by franchisees and small businesses, AH&LA also remains concerned about certain workforce and labor initiatives that could hurt small business owners and jeopardize so many in our industry from achieving the American Dream. We continue to co-lead a broad-based business coalition that aims to reinstate the long-standing definition of joint employer and spearhead an aggressive education campaign among lawmakers to ensure they understand the fundamental consequences for small businesses in the hotel industry. Furthermore, as the industry enjoys five years of consecutive job creation and economic growth, we have seen certain cases where local and state governments have proposed extreme wage increases that target our industry. AH&LA will continue to push back against these discriminatory measures by working with our state and local partners to raise awareness with key policymakers and putting the building blocks in place to ensure these initiatives don’t spread to other cities.

Critical to generating and maintaining years of growth and economic prosperity is the increase of travel and tourism, both from international travelers to the United States as well as domestic travel. Working with the broader travel industry, we remain supportive of policy initiatives that promote tourism, specifically bringing the hotel perspective to issues like per diem rates and the visa waiver program.
On the heels of a successful year and with momentum on our side, we expect to drive the industry forward in 2016. We are making significant progress in uniting our industry around these critical issues and look forward to achieving newer and greater heights in the months and years to come. There’s never been a better time to be a part of AH&LA and we thank you for your continued engagement and support. Together, we are powerful.

About the Author
Vanessa Sinders is senior vice president of government and political affairs at AH&LA. If you would like more information about how you can work with AH&LA in 2016, please visit www.AHLA.com.

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