Article Summary: From the desks of the Hotel News Now editorial staff:
From the desks of the Hotel News Now editorial staff:
Primary Category: 5 Things to Know
Secondary Categories: News
U.S. job growth remains strong: The U.S. economy added 128,000 jobs in October, easily beating economists’ expectations for the month, although the jobless rate increased slightly to 3.6%, The Wall Street Journal reports. The newspaper’s economist survey projected just 75,000 new jobs for the month.
The healthy job growth happened even at a point when thousands of GM workers were on strike and thus not counted in the job statistics.
“While job creation has cooled this year, the latest data shows the labor market remains healthy,” The Journal notes. “Employers have added an average 167,000 jobs to payrolls each month this year, a slowdown from the 223,000 jobs added each month, on average, last year. Next month’s hiring will get a boost with auto workers returning to the job.”
Hyatt results hurt by Hong Kong: Hyatt Hotels Corporation has made investing and growing in Greater China a heavy focus in recent years, and Hyatt executives said during their third-quarter earnings call that they saw an outsized negative impact from unrest in Hong Kong, HNN’s Danielle Hess reports.
“We see resilient demand for our brands in the face of the recent challenges, and our full-service hotel market share in Greater China was (up) approximately 110 basis points in the quarter,” President and CEO Mark Hoplamazian said. “While there is uncertainty as to when the disruption in Hong Kong may end or when the trade concerns will dissipate, we continue to have great confidence in the long-term prospects in Greater China, and we are excited about our growth plans there.”
Del Coronado laying off employees amid major reno: The San Diego Union-Tribune reports The Hotel Del Coronado might lay off up to 160 employees during a $200-million renovation of the resort property. The Blackstone-owned hotel was once part of the Strategic Hotels & Resorts portfolio but could not be sold to Chinese Anbang Insurance Group with the rest of the portfolio due to its proximity to a major U.S. military base.
The newspaper notes layoffs are likely to come in under 160, but it’s unclear what the exact number will be because plans for another stage of renovations are not yet finalized. They layoffs could last up to six months.
“Once completed by the end of 2021, the revamped property will have a new palm tree-lined entry, 25,000-square-foot conference center and great lawn, two parking garages, 142 more guestrooms, a major transformation of 97 California Cabana rooms, and a redo of the popular ocean-view sun deck,” the newspaper reports.
Could drilling bans hurt hotel demand?: A new report from Reuters notes that oil drilling has been a boon for rural parts of New Mexico, inducing new hotel development in the process. But that can be threatened by a new political push for bans on drilling.
New Mexico specifically has also seen a tax revenue windfall that is expected to boost school systems.
“Without the energy effort in this state, no one gets to make education the top priority,” New Mexico Governor Michelle Lujan Grisham said.
Chinese consumer spending tightening: The Associated Press reports the Chinese economic growth is being threatened by a dip in consumer spending.
“Economic growth sank to a three-decade low of 6% over a year earlier in the quarter ending in September,” the news agency reports. “That is stronger than most major countries but a strain for Chinese companies that need to repay debt.”
Compiled by Sean McCracken.
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Headline: 5 things to know: 1 November 2019
Article Date: 11/1/2019
Article Time: 9:33:00 AM