The Real Deal New York

Waldorf Astoria strikes $149M deal with union

The deal precedes the conversion of part of the hotel into luxury condos

June 28, 2015 05:00PM

The Waldorf Astoria

The Waldorf Astoriaal

The hotel workers union has stood in the way of plans to convert a portion of the Waldorf Astoria into luxury condos, ever since its $1.95 billion sale to a Chinese firm earlier this year. But the new owner and the workers have now struck a $149 million deal. Some employees are eligible for more than $300,000 payouts and one worker will receive $656,409.68.

The hotel’s 1,221 union workers are protected by the Waldorf Astoria’s contract with the New York Hotel and Motel Trades Council. But the union and the hotel have now agreed to a severance package deal for the workers with an average payout of more than $142,000, according to the New York Times.

“It is a great deal,” Peter Ward, the head of the Trades Council, told the Times. “There are people of retirement age, hundreds of them, that are getting over $200,000 in severance.” [NYT] Christopher Cameron