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5 things to know for Oct. 25

Today's headlines: Strength in Europe could push Accor over €1 billion in earnings; Las Vegas Sands to invest $8 billion in Singapore resort; LA hotel worker minimum wage could hit $25 an hour in 2025; Chinese officials set meeting to talk next stimulus wave; Jobs hard to find in hurricane-affected areas
Marina Bay Sands, pictured here as part of Singapore's skyline, will soon receive an $8 billion expansion to add a fourth hotel tower. (Getty Images)
Marina Bay Sands, pictured here as part of Singapore's skyline, will soon receive an $8 billion expansion to add a fourth hotel tower. (Getty Images)
Hotel News Now
October 25, 2024 | 2:03 P.M.

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1. Strength in Europe could push Accor over €1 billion in earnings

During the company's third-quarter earnings call, Accor officials said they're slated to bring in between €1.1 billion ($1.19 billion) and €1.125 billion in earnings before interest, taxes, depreciation and amortization for full-year 2024, marking only the second year the French hotel firm has hit that mark, HNN's Terence Baker reports.

Revenues in Europe and North Africa were up 6%, in part thanks to events like the Summer Olympics in Paris.

“In France, Paris RevPAR was clearly boosted by the Summer Olympics. The games period delivered a peak performance, which was in line with our expectations with ADR that was more than double in the period, and we also had 15 [percentage] points of incremental occupancy over the game period,” said Martine Gerow, Accor's chief financial officer.

2. Las Vegas Sands to invest $8 billion in Singapore resort

Las Vegas Sands has announced plans to build a fourth hotel tower at its Singapore resort Marina Bay Sands, investing $8 billion to add "570 luxury suites, [new] gaming areas, a 15,000-seat arena, rooftop pools, food and beverage offerings and 110,000 square feet of space for exhibitions and conferences," Reuters reports.

Chief Operating Officer Patrick Dumont said the project, called IR2, will be "an incredibly powerful tourism driver for the overall complex" and "a very important globally significant asset for tourism."

3. LA hotel worker minimum wage could hit $25 an hour in 2025

While Los Angeles has been the site of high-profile union strikes in recent years, the latest widescale pay increase could come in the form of a new Los Angeles City Council proposal to increase the minimum wages of airport and hotel workers to $25 an hour in 2025, Patch reports. The minimum wage for those workers could jump to $30 an hour by 2028.

The push for higher tourism worker wages is seen as part of the city's plans to prepare for a wave of major sports events — including the Olympics — in coming years.

"We've made an important step. It's not the only step, but an important step," Councilman Curren Price said.

4. Chinese officials set meeting to talk next stimulus wave

Chinese officials are moving quickly to set yet another wave of stimulus to help their economy rebound, and CNBC reports China's parliament will meet to discuss the topic from Nov. 4 to Nov. 8.

China’s Minister of Finance Lan Fo’an has previously said the country still has "room to increase the deficit and issue more bonds," the news outlet reports.

On the latest episode of the Hotel News Now podcast, STR's Jesper Palmqvist discussed how China has more power to influence an economic rebound than most similarly sized countries.

"It's one of the few countries that can turn around something real quickly," he said. "They have the power to influence spend very quickly compared to other countries its size and the policy-making to do that."

5. Jobs hard to find in hurricane-affected areas

After two major hurricanes hit the Southeast U.S. in quick succession, there was a rush to get vital supplies and support in place for those the most affected. But now it seems one of the things remaining in short supply will be something that affects the long-term rebound the most: jobs.

The Tampa Bay Times reports many people who found out they were out of work by seeing their workplaces destroyed are struggling to replace that income, and this is particularly true for hospitality and service workers.

The newspaper highlighted some of those workers, including Taylor Reynolds, who worked as a bartender at Bilmar Beach Resort on Treasure Island before five feet of storm surge caused massive damage to the property.

“My income is gone, my home was destroyed, and all of my bills are still due,” she said.

Read more news on Hotel News Now.