Urging The Department Of Business, Economic Development, And Tourism To Establish A Program To Provide Grants For Hotel Employees, Or Entities Entirely Owned By Hotel Employees, To Purchase Hotels And Convert Them Into Employee-owned Cooperatives.
Impact
If implemented, this resolution could significantly alter the landscape of hotel ownership in Hawaii. By supporting employee ownership, HR78 has the potential to enhance job security and mitigate unemployment, particularly in cases where hotels are in financial distress. The proposed program would require participating employees or entities to match the grant funding dollar-for-dollar, fostering a sense of investment and responsibility among employees while encouraging the sustainable operation of hotels.
Summary
House Resolution 78 urges the Department of Business, Economic Development, and Tourism (DBEDT) in Hawaii to establish a program aimed at providing grants to hotel employees or entities fully owned by such employees. The goal of these grants is to facilitate the purchase of hotels and their subsequent conversion into employee-owned cooperatives. This initiative recognizes the vital role of the accommodation and food services sector in Hawaii, which employed over 113,000 individuals as of 2020, and seeks to address challenges posed by current ownership models dominated by multinational corporations.
Contention
The resolution appears to advocate for a shift towards cooperative business models, which have been proven successful in various sectors across the United States and globally. However, potential contention may arise from traditional hotel ownership associations and financial institutions, which could be resistant to the decreased control associated with employee ownership. The success of this initiative will depend on the willingness of hotel employees to actively engage in the purchasing process and the availability of matching funds.
Same As
Urging The Department Of Business, Economic Development, And Tourism To Establish A Program To Provide Grants For Hotel Employees, Or Entities Entirely Owned By Hotel Employees, To Purchase Hotels And Convert Them Into Employee-owned Cooperatives.
Requesting The Department Of Business, Economic Development, And Tourism To Commission A Statewide Disparity Study Regarding The Participation Of Woman- And Minority-owned Businesses In State Contracting Derived From Federal Sources Of Funding.
Requesting The Department Of Business, Economic Development, And Tourism To Commission A Statewide Disparity Study Regarding The Participation Of Woman- And Minority-owned Businesses In State Contracting Derived From Federal Sources Of Funding.