Mourning Coworker’s Death, Employees Demand HMS Host “Pay Up” for Healthcare

LAX’s largest food service company faces a million-dollar bill for worker health insurance

Los Angeles: Fluttering a massive banner reading “HMS Host Pay Up” down a parking structure across from Terminal 4 yesterday, LAX airport workers said the airport food service giant has failed to make the financial contributions to extend health care coverage for its laid-off employees.

“We’ve carried this company on our backs for years to make them successful,” said Carlos Castillo, a 21-year bartender for HMS Host at LAX who, like most of his coworkers, has been laid off since March.

While Mr. Valencia had healthcare coverage during the pandemic and at the time of his death, former coworkers say the loss underscores the importance of ensuring that laid-off HMS employees and their families have healthcare coverage throughout the duration of the pandemic.

Last month, a health benefit fund covering HMS Host employees in Los Angeles informed the company that it is delinquent in paying more than one million dollars in benefit contributions required under a City rent relief program for airport concessionaires.

“HMS Host needs to do what other airport companies have done and pay what they owe for their laid-off workers’ healthcare,” said Robin Rodriguez, organizing director at UNITE HERE Local 11. “It’s reprehensible for HMS Host to contribute to workers’ uncertainty during this time. The company has access to billions while their laid-off workers are struggling to stay healthy and housed.”

In October, HMS Host workers filed a class action lawsuit against the company alleging it failed to pay wages they are owed under the Los Angeles Living Wage Ordinance, despite numerous complaints from employees. The still-pending lawsuit also alleges that HMS Host also failed to comply with California labor laws requiring employers to pay final wages to terminated employees immediately.

HMS Host is the largest operator of airport concessions in North America and at LAX. Its parent company, Autogrill (BIT: AGL), is owned by a family of Italian multi-billionaires whose holding corporation had assets valued at $13.8B last year.

HMS Host workers at LAX are over 90% people of color (including over 20% Black) and live in the communities hardest hit by the COVID-19 pandemic. Most of its LAX workforce remains laid off.

Workers of LAX Giant HMS Host Call on Company to “Pay Up”

Concessionaire faces wage class action and a million-dollar bill for worker health insurance, while hundreds of airport workers remain laid off

Los Angeles, CA: Sixty laid off LAX workers took to their cars Thursday to caravan through the airport with horns, lights, and signs that say “HMS Host Pay Up.” The protest came ahead of a move by the airport authority Board of Airport Commission to grant the company a valuable lease extension. HMS Host has been the subject of controversy and criticism from its own employees in recent months.

Workers picket at LAX wearing signs that say, "HMS Host: Pay Up!"

“During the pandemic, HMS Host has repeatedly failed to live up to its most basic obligations towards its workers. When its workers needed them most, HMS Host turned its back,” said UNITE HERE Local 11 Director Robin Rodriguez.

This October, Host workers filed a class action lawsuit against the company alleging it failed to pay wages they are owed under the Los Angeles Living Wage Ordinance, despite numerous complaints from employees. The still-pending lawsuit also alleges that Host also failed to comply with California labor laws requiring employers to pay final wages to terminated employees immediately.

Following worker complaints, the Los Angeles City Council voted down a financial package for HMS Host estimated to be worth tens of millions of dollars in lease extension-related revenue and rent relief.

Workers are now drawing attention to HMS Host’s alleged failure to make healthcare contributions to help maintain health care coverage for its laid-off workers. A health benefit fund covering its employees has informed HMS Host that it is delinquent in paying more than a million dollars in benefit contributions required under a City rent relief program for airport concessionaires.

“My family and I have had to make many sacrifices during this pandemic to make ends meet and it scares me to think I could lose my healthcare if HMS Host does not pay up what it should,” said Carlos Castillo, a bartender at HMS Host at LAX for 21 years.

HMS Host is the largest operator of airport concessions in North America and at LAX. Its parent company, Autogrill, is owned by a family of Italian multi-billionaires whose holding corporation had assets valued at $13.8 billion last year.

HMS Host workers at LAX are over 90% people of color (including over 20% Black) and live in the communities hardest hit by the COVID-19 pandemic. Most of its LAX workforce remains laid off.

LA City Council Votes NO on Millions in Relief to Airport Concessions Giant

Workers Applaud LA City Council Vote on Relief for Billionaire HMS Host

Los Angeles, CA: Today, the Los Angeles City Council stood with workers and unanimously voted down a relief and lease extension package for airport concessions giant HMS Host. The deal was estimated to be worth tens of millions in lease extension-related revenue and rent relief for HMS Host.

HMS Host workers install themselves outside Los Angeles City Hall

“I stand with hard-working Angelenos, and not multinational corporations that try to exploit them and steal their wages. I am happy to support struggling businesses at LAX that treat their workers properly, but refuse to offer that assistance to a company that has violated the living wage ordinance meant to protect LAX workers. I am proud that the City Council stands united in this effort,” said District 11 Councilmember Mike Bonin.

HMS Host at LAX worker Donisa Robinson shares her experience in a poster outside LA City Hall“I want to thank the Los Angeles City Council for standing with me and my coworkers. This pandemic has been devastating for many of us and to be seen and heard by our elected officials means so much to us,” said Donisa Robinson, a laid-off Sushi Chef at HMS Host.

After weeks of hearing from laid off airport workers about the devastating effects the COVID-19 pandemic has had on workers and their families, the LA City Council once again did the right thing and stood by workers.

As detailed in a report released earlier this week by UNITE HERE Local 11, HMS Host is the largest operator of airport concessions in the United States. It is wholly owned by Italian corporation Autogrill, which increased its cash balance by 60% in the first six months of 2020. Its laid off workers say they are now struggling to survive, provide for their families, stay safe, and keep their housing.

“Thank you to the leadership of Councilmember Mike Bonin, Nury Martinez and the entire council for standing with laid off LAX workers today and not giving a massive and undeserved handout to HMS Host. We need more elected leaders willing to stand up to big corporations and the hospitality industry who since day one have been doing nothing but taking advantage of the pandemic to hurt workers instead of help them,” said Kurt Petersen, Co-President of UNITE HERE Local 11.

Last week, HMS Host workers filed a class action lawsuit alleging the company failed to pay workers the minimum living wages for airport workers required by Los Angeles’s Living Wage Ordinance. The suit also alleges that HMS Host failed to pay workers their vacation time when it carried out a mass layoff in March and April 2020. California law requires employers pay employees all earned wages and accrued vacation time immediately upon layoff.