Airbnb Plans To Use Union Labor For Its Developments
Airbnb has pledged to use union construction labor for its real estate developments, particularly workers who are part of the United Brotherhood of Carpenters and Joiners of America.
The company didn't specify which of its future projects will employ union labor, though there might be as many as 10 that Airbnb will invest in by 2023, and maybe more after that, The Wall Street Journal reports.
The move comes as San Francisco-based Airbnb struggles with skeptical local governments and citizens, some of whom have banned or restricted the concept of short-term house sharing. In November, for instance, Jersey City, New Jersey, residents voted overwhelmingly for stricter regulation on short-term rentals in the city.
In the contest to pass the Jersey City regulations, Airbnb was bested partially by the Hotel Trades Council. The hotel workers union, which urged voters to support the new rules, spent about a $1M to get the message out. Airbnb spent about $4M opposing the measure.
Other cities have passed similar measures, including Los Angeles, Paris and Vancouver, British Columbia. Even in the company's hometown of San Francisco, hosts are required to register with the city, a rule which caused listings to drop by half.
Among other projects, the company is working on its Niido brand of apartment buildings, which allow their tenants to rent their units on the Airbnb platform, as well as the Natiivo brand, which are condo hotels that are also rentable.
The first Niido buildings are up and running in Nashville and Orlando, while Natiivo projects are underway in Miami and Austin.
Airbnb is also reportedly preparing its initial public offering for sometime this year, though the details are uncertain. The company might underwrite its own securities, with Morgan Stanley and Goldman Sachs as lead advisers, CNBC reports.