Hotel Employees on Strike – Bad News for Business

It’s the news no hotelier wants to hear –Inefficient performance is one thing – guest
union staff have voted to walk out. Not only do yousafety, entirely another.
have to find interim help that’s willing to crossIf your hotel business has union workers, chances are
picket lines; you have to find guests who are alsoyou’ll face a contract negotiation standstill at
willing to do so.some point. In many cases, misunderstandings and ill
A work strike could cost your company more thanfeelings can be offset with a strong internal
just dollars. As with the case of the downtowncommunications process. For Sheraton workers, the
Chicago Sheraton hotel locations facing such a strikeissues were benefits cuts and job losses. While
the last week of October 2009, staffing shortagesit’s unknown how well Sheraton’s
could seriously impede your business as usual. In themanagement handled each issue, it stands to reason
case of the Sheraton unionized workers, over 1,000that an informed employee is a more content
staffers were set to vote on whether to walk.employee.
Finding replacement help – adequate replacementWork with your hotel insurance broker to discuss the
help – is a crippling task. What’s more,processes of dealing with union workforces. In most
interim staff have a higher risk associated with them.cases, the hotel insurance broker will recommend a
Because they’re not familiar with your businessrisk management assessment or consultation, which
model, there’s a good chance your guestcould reduce significantly your exposure to
relations ratings could suffer. Not to mention thestrike-related losses. Also, if your workforce is in
variables you can’t control – temporarydanger of striking, check with your hotel insurance
employee unreliability, theft, and the chance thatbroker to understand your coverage options and
these employees weren’t vetted properly.additional coverage requirements during any strike.