Royal Lahaina Resort reaches labor deal
By Frank Cho
Advertiser Staff Writer
Maui's Royal Lahaina Resort yesterday reached a tentative labor agreement with the union representing its about 300 hotel workers after 10 months of sometimes heated negotiations, but some labor issues remain.
Workers have filed more than 100 labor grievances against the hotel in the past year and the International Longshore and Warehouse Union Local 142 has filed five separate charges with the National Labor Relations Board, charging several violations including a refusal to negotiate in good faith and unilateral increases in the workload without negotiations.
"We will be reviewing all of those charges. And while we may drop some, some are going to continue," said Eusebio Lapenia, president of Local 142, which represented the workers.
The Royal Lahaina Resort is owned by Ed Hogan, founder and chairman of Pleasant Travel Service. Hogan also runs wholesale tour companies, including Pleasant Hawaiian Holidays.
"What happens in these kinds of things is a lot of information will be passed on to the National Labor Relations Board for investigation," said Ken Phillips, a spokesman for the hotel's owner. "But we are very happy that we could come to terms, and things for the property look very good."
The new labor agreement says that workers will split a $50,000 bonus up front, followed by a 16 percent increase in wages over the next three years.
The agreement is still subject to a ratification vote, which has not been scheduled.
The contract, which runs until Sept. 20, 2003, includes a 50 percent increase in tips for restaurant waiters, a 25 percent increase in tips for luau waiters, similar raises for bellmen and housekeepers and no loss in medical benefits.
"This is a great victory for Royal Lahaina employees. They stuck together through a long, hard fight and came out with a great contract," Lapenia said.
During the tourism slump of the mid-1990s, the hotel had won concessions from the union to help it cut costs and keep operating. But that put Royal Lahaina workers near the bottom of Maui's hotel industry in terms of pay, Lapenia said.
After a record year for visitor arrivals in 2000, hotel workers said they wanted a bigger share of profits. The union had sought $15.33 an hour for workers, matching the average wage at the Hyatt Regency Maui in Ka'anapali.
Yesterday's agreement gives them about $15 an hour.
"We are thrilled," said Camilla Lanse, a housekeeper at the Royal Lahaina. "It's too bad it took such a long fight, but we finally got the wages we deserve."
Negotiations between the union and the Royal Lahaina have been ongoing since the contract expired last May. Union members voted Feb. 2 to suspend the contract and had picketed the hotel intermittently since then.
Frank Cho can be reached by calling 525-8088 or by e-mail at fcho@honoluluadvertiser.com