July 18, 2025
On June 25th, the San Diego City Council’s “Cost of Living Committee” voted 3-0 in support of a $25 minimum wage for the hospitality and tourism industry. This includes hotels, event spaces, zoos, amusement parks, as well as restaurants, concessionaires, and others who lease space with these entities. Chamber President and CEO Chris Cate spoke in opposition of the ordinance at the committee, elevating concerns about the proposal’s effects on our local economy and workforce. The Chamber previously hosted a press conference with business partners and stakeholders, to voice concerns about the proposal and urge the Council to oppose the increase. Chris Cate was joined by Sara Arjmand, representing the San Diego Chapter of the California Restaurant Association, Steve Pinard, small business owner who runs Action Sports Rental, and Caroline Perry, COO for the San Diego Padres.
As it stands, this proposal will negatively impact our regional economy and poses serious risks to San Diego employers and residents. The increase will undermine San Diego’s competitiveness as a destination city, decrease City revenue, and further inflate the cost of living. Small businesses – which make up over 98% of our local economy- will be hit the hardest. Many businesses are already struggling with rising operational costs, growing regulations from the City and the State, and global economic uncertainty. This added burden would force them into difficult decisions, including operational cuts, layoffs, or shutting down entirely. Local nonprofits and service providers have also voiced concerns about their ability to absorb the added costs. Ultimately, this proposal would increase prices for San Diegans across the board – whether they’re visiting the Zoo attending a Padres game or supporting local restaurants and businesses.
The Chamber will continue to help lead efforts to oppose this proposal as it moves forward to full Council for consideration. To get involved or for any questions, please reach out to Justine Murray, Executive Director of Public Affairs, at jmurray@sdchamber.org. 