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Diplomat hotel and its union workers in Hollywood agree on three-year work contract

Union workers and management of the Diplomat Beach Resort in Hollywood reached an agreement on a new contract, narrowly avoiding a strike after months of contract negotiations.

Unite Here Local 355, which represents about 450 workers at the 1,000-room hotel, secured a three-year labor agreement with starting hourly wages going from $13.95 to $17, and then to $20 by 2025. That amounts to a 43% jump in minimum pay.

The two sides agreed to the labor accord late Monday night. The Diplomat’s former contract with the union expired on Aug. 31. On Sept. 2, union members had voted almost unanimously to give their leadership the option to call a strike if contract talks broke down.

“This is an incredible victory for workers in South Florida. This was possible because workers decided to fight back, willing to risk it all,” said Wendi Walsh, secretary-treasurer of Unite Here Local 355. “Hospitality workers are the backbone of South Florida’s economy and finally the value of their contribution is being recognized with wages they can live on.”

The Diplomat Beach Resort on Hollywood Beach is the second-largest hotel in South Florida.
The Diplomat Beach Resort on Hollywood Beach is the second-largest hotel in South Florida.

The new contract also prevents Diplomat’s management from outsourcing jobs to non-union employees. With the exception of front desk workers, nearly all of the hourly staff members at the Diplomat are part of the union.

The hotel used to be owned by the United Association, a plumbers and pipefitters union, until it was acquired in 2014 by Brookfield Asset Management, a private equity giant based in Toronto.

Brookfield officials could not be immediately reached Tuesday to comment on the new work contract forged with the union representing many of the Diplomat’s workers at the Broward County hotel.

It’s the second-largest hotel in South Florida after the Fontainebleau Miami Beach.