A physical wall has been built to separate union and nonunion kitchen workers at The Westin Providence, keeping banquet workers who are union members apart from nonunion kitchen workers, who are now subcontracted, according to Aubrey Ramsat, a union spokesperson.
That wall symbolizes the strong differences in perspective about the ongoing labor dispute over a contract that expired Oct. 31, 2009 – and the differing views on the effectiveness of a boycott authorized by union workers in March – between Westin owners The Procaccianti Group of Cranston, and Unite Here Local 217, which represents the union workers.
One of the root issues for The Procaccianti Group is its desire to subcontract work as a way to control hotel costs. Subcontracting at the Westin could result in more than $1 million in cost savings, according to company officials.
The union, in turn, opposes subcontracting, which it says will lead to middle-class jobs being replaced with poverty-level jobs.
Ralph V. Izzi Jr., director of marketing communications for The Procaccianti Group, recently acknowledged that there had been what he called “a modest impact on potential revenue over the past few months” as a result of the labor impasse.
“The Westin Providence is looking great, it is in great shape, and the service continues to be excellent,” Izzi said. “It continues to be the premier flagship hotel in the city, despite the existence of this labor dispute.” Izzi did not provide specific figures.
Labor disputes at hotels are not uncommon these days. Izzi cited Chicago, New York City, Philadelphia, Pittsburgh and San Francisco as city destinations with such ongoing labor problems. “Potential business will not shy away from attending a conference in any city because of a labor dispute,” he said.
Kristen Adamo, vice president of marketing and communications at the Providence-Warwick Convention and Visitors Bureau, said that there had been only one convention, Netroots Nation’s national conference, which had been lost from the 2011 schedule as result of the ongoing labor dispute.
At the bureau, she said, “we tend to book conventions that come from out of state. We occasionally get a question [about the labor dispute]. Recently, San Francisco had some labor issues. It’s part of the convention game, unfortunately.”
On July 29, the National Labor Relations Board’s general counsel found merit in the union’s charge that the sweeping changes made by the Providence Westin’s owners in March – imposing wage cuts, tripling health care costs and subcontracting workers – were illegal and violated the duty to bargain in good faith, according to the union.
Ramsat pointed to the recent decision by the National Association of Secretaries of State to move its national conference out of the Westin and into another venue in Providence as an example of the boycott’s effectiveness. “It was estimated to bring the Westin a half million dollars; the hotel didn’t see any of that revenue,” she said.
She also cited the decision by Netroots Nation not to hold its national conference in Providence. “It would have brought in tons of money,” she said.
Adamo, however, said that there has been little effect to date on ongoing meetings and convention business in the city as a whole. Further, she said that she was unaware that the boycott had been extended to the Hilton Providence hotel, another property owned by The Procaccianti Group.
In general, business is getting better in Providence, Adamo said.
“Hotel occupancy has increased over the past several months. In 2010, there has been a steady increase from 2009, January through June,” she said.
According to figures provided by Adamo, hotel occupancy rates in April were 62.8 percent, an increase from 55.7 percent in April 2009. In May, occupancy rates were at 68.6 percent, compared to 58.1 percent in May 2009. And, in June, occupancy rates were at 76.7 percent, compared to 64.5 percent in June 2009. •
