Hotel Effectiveness, provider of labor-management software, has acquired the business and assets of LobbyLights, a wage comparison data provider for hospitality.
Hotel labor costs have risen by more than 10 percent per year in major markets over the past few years, with additional increases expected in 2019 and 2020. Hoteliers are grappling with higher wages, soaring overtime usage and an increasing reliance on contract labor.
“By giving hotel owners and managers the ability to compare their hourly wage rates with similar hotels, we will deliver even more control over labor costs,” Hotel Effectiveness chief revenue officer Del Ross said in a statement.
With the acquisition, Hotel Effectiveness will offer its hotel clients the ability to compare wages with other local hotels to ensure they are competitively positioned to hire the right talent.
“Over the next several months, we will offer our new wage-comparison tools to existing Hotel Effectiveness labor-management clients,” Hotel Effectiveness CEO Mike Martin said. “Later this year, the products will be integrated and expanded to enhance the overall positive impact we can deliver to our hotels.”