Labor issues have stalled plans to rebuild a much-needed hotel at Kennedy Airport, The Post has learned.
The protracted talks to reopen the 487-room Ramada Plaza hotel at the airport entrance are costing the Port Authority millions in forgone lease payments while the abandoned property languishes since the last guest checked out in December 2009.
And another Port Authority plan to create a hotel at JFK's landmark TWA terminal has been gathering dust for four years.
"The fact is, JFK needs an on-airport hotel to compete with major airports across the country," said Joseph Sitt, a developer and chairman of the Global Gateway Alliance, a nonprofit advocacy group that works to improve the area's airports.
The Port Authority, which owns the former hotel, chose New Castle Hotels & Resorts to redevelop the property. But the company was unable to make a deal with the hotel-workers union, according to a source familiar with the talks.
The union wanted New Castle to pay higher Manhattan-style wages to staffers, the source said.
A spokesman for the New York Hotel Trades Council confirmed wages were a major issue.
"The union tried to make it work. We offered them a contract that reflected the reality of the marketplace and they wanted a minimum-wage contract," John Turchiano said.
He said the union had not been in discussions with New Castle for more than two years.
The Port Authority would say only that the agency was "in negotiations with a developer."
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