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The 378 unionized workers at the Plaza Hotel will have to find work elsewhere for at least four years beginning in January, as the landmark Manhattan hotel closes for an extensive facade restoration that city officials say follows reports of unsafe conditions on the building’s exterior.
In a conversation with The Chief, an official with the Hotel & Gaming Trades Council, which represents the hotel’s workers, said the union wouldn't publicly on the closure, but described the union’s efforts to help employees find interim work and ensure they receive benefits during the closure.
Under provisions negotiated by the union in its collective bargaining agreement with hotel management, the roughly 380 workers affected by the closure will have the right to return to their jobs when the hotel reopens, regardless of how long it remains closed.
The contract also gives laid-off workers priority for placement in other hotel jobs as positions become available, putting them ahead of other job seekers. In addition, workers are entitled to extended medical coverage during the furlough, although the precise duration of that coverage remains to be determined, the HTC official said.
Fairmont Hotels & Resorts, the hotel’s operator, announced last week that the Plaza would close in January 2027 for comprehensive repairs and restoration of its landmark-protected facade, citing the complexity of the work and its impact on hotel operations.
Fairmont announced plans for “landmark-protected façade restoration to ensure long-term care and public safety.”
“Because of the project's complexity and operational impact, the hotel announced it will close for at least four years starting in January 2027 while the work is completed,” the operator said in a statement.
The HTC official added that the union was aware of the closure before it was publicly announced but could not specify how far in advance workers had been informed.
The Plaza Hotel was acquired by Qatar-based Katara Hospitality in 2018, placing the landmark property under the ownership of a state-backed hospitality company. The purchase followed earlier ownership changes, including its 2004 sale to Israeli developer Elad Properties, whose plan to convert much of the hotel into condominiums triggered a major labor dispute.
In 2005, the Hotel Trades Council launched its “Save the Plaza” campaign to preserve hotel rooms and jobs, ultimately reaching a compromise with Elad that retained 348 hotel rooms, protected roughly 350 jobs and preserved prominent public spaces, including the Palm Court and Grand Ballroom.
The city’s Department of Buildings told The Chief it had not ordered the hotel to close, emphasizing that the decision to pause its operations was the property owner’s. However, the agency confirmed that the Plaza’s most recent facade inspection reports, submitted by the owner’s hired inspector, cited unsafe conditions.
The building, at 768 Fifth Ave. overlooking Central Park, is subject to the city’s Facade Inspection Safety Program, which requires periodic inspections of its walls to flag potential hazards.
An application to restore the facade was submitted to the Department of Buildings in 2023, but the property owner has not obtained the permit needed to carry out the repairs, according to the agency.
Fairmont did not mention the project’s cost or provide a detailed breakdown of the planned repairs.
Opened in 1907, the Plaza is one of New York City’s most recognizable luxury hotels. Designed by Henry Janeway Hardenbergh, who also designed the Dakota on the Upper West Side, the building features textured, rusticated marble along its base and lower floors, contrasted with smooth, polished marble on its upper levels. The rougher marble is more vulnerable to weathering and typically requires repair or restoration every two decades – the hotel’s last major renovation was in 2008.
The New York City Landmarks Preservation Commission is working with the hotel on the project to ensure that repairs maintain the building’s historic architectural character.
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