The Modern Honolulu hotel slapped with federal charges for worker lay off

(eTurboNews) – The Modern Honolulu recently notified 78 workers—nearly 30% of the workers at the hotel—that they will be laid off within the next 30 days. Federal charges assert that The Modern violated employees’ federal labor law rights and refused to bargain in good faith with the union.

 

Scores of employees to be laid off at Waikiki hotel

(Hawaii News Now) – HONOLULU (HawaiiNewsNow) – Some 78 workers at the Modern Honolulu have received pink slips as the property seeks to convert into a timeshare.

The Modern Honolulu’s laid-off workers are getting severance packages

(Honolulu Star-Advertiser) – By Allison Schaefers. Las Vegas-headquartered Diamond Resorts said today that it is offering severance packages to employees impacted by a recent layoff announcement at The Modern Honolulu.

Modern Honolulu layoffs coming, union says

(Honolulu Star-Advertiser) – Diamond Resorts has notified 78 workers at The Modern Honolulu that their positions are to be eliminated in the next 30 days, according to Unite Here Local 5, the labor union representing the workers.

UNITE HERE Local 5 condemns Diamond Resorts’ decision to lay off 78 workers at The Modern Honolulu

Press Release for May 2, 2019

Media Contacts:
Paola Rodelas
Cell Phone: (808) 333-4782
[email protected]

Bryant de Venecia
Cell Phone: (808) 546-0024
[email protected]

UNITE HERE Local 5 condemns Diamond Resorts’ decision to lay off 78 workers at The Modern Honolulu

The decision comes after Diamond Resorts CEO Mike Flaskey told Fox News that his company is benefiting from the Trump administration’s tax cuts and deregulation

(Honolulu) – UNITE HERE Local 5 condemns Diamond Resorts, a timeshare company headquartered in Las Vegas, after its decision to lay off 78 workers at The Modern Honolulu—nearly 30% of the workers. The layoff impacts multiple departments like housekeeping, banquets, pool, in-room dining, reservations, and food & beverage. The 78 workers received a letter from the company that their positions will be eliminated within the next 30 days.

The decision comes soon after Diamond Resorts CEO Mike Flaskey told Fox News that his company is benefiting from the Trump administration’s tax cuts and deregulation. In March, Diamond Resorts failed to issue paychecks to workers on time, resulting in workers incurring fees and penalties.

Local 5 represents over 270 workers at The Modern Honolulu, one of 21 hotels and timeshares within Diamond Resorts’ international network of managed or affiliated properties. Diamond Resorts purchased The Modern in April 2018.

The Modern is a full-service hotel, but Diamond Resorts has expressed interest in partially or fully converting the property into a timeshare. They also plan on cutting guest services like daily room service, banquets, meetings, and catering. However, they have not received timeshare registration approval from the Department of Commerce and Consumer Affairs or the permits needed to build or renovate hotel rooms into timeshares, so it is unclear why this layoff is necessary at this point.

“When tourism is our #1 industry, we need to ask ourselves: which companies are benefiting Hawaii’s people and which ones are hurting us? Timeshares have shown over and over again that they hurt Hawaii more than they help. They pay less than hotels, the work is harder, and they provide less jobs. They negatively affect the guests’ experience in Hawaii by charging exorbitant maintenance fees while cutting guest services. Companies like Diamond Resorts are bad for Hawaii. They’re going to destroy the lives of 78 local families,” says Gemma Weinstein, President of UNITE HERE Local 5.

“I have three children and work three jobs to support them. This is my only job that provides family medical coverage. Being laid off so suddenly is going to hurt my family,” says Mary Glen Fuerte, a housekeeper at The Modern Honolulu.

Diamond Resorts has been accused of unethical high-pressure sales tactics, including preying on the elderly. In 2016, the State of Arizona investigated Diamond Resorts for violating the Arizona Consumer Fraud Act after receiving hundreds of consumer complaints against Diamond Resorts.

Local 5 is looking into its legal options. Workers at The Modern are ready to take action and will be calling on the community to support their campaign to protect good jobs and make one job enough to live in Hawaii.

Local 5 represents approximately 11,000 workers throughout Hawaii who work in the hospitality, health care and food service industries and is an affiliate of UNITE HERE, an international union that represents over 250,000 workers throughout the U.S. and Canada. For more information, visit www.unitehere5.org.

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The Modern Honolulu to lay off 78, according to Local 5

(Pacific Business News) – By Christina O’Connor. According to hospitality and healthcare union Unite Here Local 5, Diamond Resorts, which purchased The Modern in 2018, will eliminate the positions of 78 union members within 30 days. The union reported that the eliminations will affect departments including housekeeping, banquets, pool, in-room dining, reservations, and food and beverage.