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Daily News from New York, New York • 191

Publication:
Daily Newsi
Location:
New York, New York
Issue Date:
Page:
191
Extracted Article Text (OCR)

rn JV paying the city rent and a share of the profits Instead of property taxes. The same year, the city got a big boost from the Bicentennial "Op-Sail" and the Democratic National Convention, and occupancy improved from a dismal 64.2 in 1975 to 72.2 where It hung, like a question mark, la 1977. At that point, city officials offered temporary property tax breaks for new construction to shore np the city's long-term tax base, perhaps planting the aeeds of the current surplus by producing more new rooms than market forces would have. HELMSLEY WON a $6.2 million tax for the Palace in 1977, and $4 million off the taxes on the Harley in 1978. The Parker-Meridien got a $4.9 million break.

Meanwhile, things were looking up for hotels. The "I Love New York" TV ad campaign was drawing domestic tourists. And cheap dollars were pulling foreign tourists and investors. Occupancy rose to 78.8 in 1978. In 1979, it reached a 30-year high of 81.4.

ness in 198041 underscores how fragile the city's economy remains: Occupancy sank to 78.4 in 1980 from a 30-year high of 81.4 in 1979. And the first quarter of 1981 was the worst in four yerfrs, down 5.6 points from 1980, according to the accounting firm of Pannel Kerr Forster. Loew's Corp. recently sold the Warwick and Drake hotels on the belief, that business would drop 10 in 1981. One expert estimates that as few as 40 of the rooms available were actually filled at the three biggest new hotels the Palace, the Harley and Donald Trump's Grand Hyatt in the first ouarter of 1981.

Top rates at the new Vista International at the World Trade Center were slashed by $30. The new Parker-Meridien offered "introductory rates" $16 off prices posted before it opened. And Helmsley cut rates by $30 at the Palace and $28 at the Harley. The origins of all the new hotels can be traced to the city's collapse in 1975-76 the trough of a disastrous decade that cost it 825,533 people, 447,000 jobs, and 20,162 hotel rooms. Harry Helmsley didn't expect to lose 91 million a month on bis luxurious new Helmsley Palace hotel on Madison at 51st in the first three months of 1981.

But he did. He also lost $1 million a month on his new Harley on 42d St between Second and Third. New York's No. 1 real estate mogul with $5 billion In property, Helmsley can afford to be philosophical about dropping a quick $8 million in the This la the Hntt In an occasional aeries that wit focus on various sectors of the city's changing and vulnerable economy. hotel business.

"When It's good, it's very, very good; but when It's bad, It's terrible," he chuckled. But he also fired the Palace's manager In April. The Big Apple's hotel business has indeed been terrible, just as five new luxury inns with 4,352 rooms are opening. It is the first burst of construction since the 196445 World's Fair. Because the $800 million industry with 25,000 employes played a key role in New York City's recovery from economic collapse in 1975-76, its weak mf mm e.

-v The shakeont finished off scores of hotels, but also set the stage for a big bounceback If demand picked op. In May 1976, Trump closed a 40-year deal to rebuild the old Commodore into the new $109 million Grand Hyatt, put Industry loss due to crippling 0 STAGGERING ARE today's costs of arthri tisthe nation's No. 1 cripplng disease that finally U.S. industry is taking the lead in developing innovative programs to help reduce the costs of disability through better use of medical and rehabilitative services. Hailed as the first joint effort by industry, rehabilitation services and an academic medical center to deal with a health problem of profound Impact on employers and employes, the pioneering program involves the creation of staffs of vocational counselors to work with-individual industries.

The goals are: N.C., under the sponsorship of Burlington Industries the world's largest textile manufacturer. Since this disease is the leading cause of industrial absenteeism and second only to heart disease as a cause of disability payments, "our company would rather focus on rehabilitation than on disability," notes Burlington's medical director, Dr. Donald Hayes. Burlington's fight against arthritis began in 1974, but now, reports the Arthritis Foundation, other companies include: General Motors, which is establishing broad educational programs to reach more than 14,000 of its employes as well as workshops for plant physicians and nurses; Johns-Manville Western Electric, and Samsonite. Organizations involved now include Wisconsin Claims Council, Sentry Insurance and Wausau Insurance Companies.

A "plus" is the realization by employers that employes tend to hide their handicap, for fear of being fired. Often the only need is a minor change in the employe's work environment: a new chair, a desk of the correct height, shop tools placed at more convenient levels. But the "bottom line" here is that effective detection and efforts to help can cost pennies while disabled employes can cost a company millions of extra dollars in higher taxes and insurance premiums. The trade-off is so lopsided it can't even by labeled a trade-off. 1X1 Field Enterprise Inc.

ment rehabilitation of the person MORE THAN 31 million Americans are affected by arthritis, a disease which takes about 100 forms. The horrendous costs: 27 million working days lost in 1980 alone, representing nearly $5 billion in wages lost to employes. More than $1 billion in annual disability payments, or about 15 of all Social Security Disability Insurance Payments to workers. $450 million a year in Veterans Administration payments to veterans whose major disability is arthritis or rheumatic disease. $1.4 billion in lost homemaker services a year.

$5 billion a year spent on medical care, including nearly $1 billion annually for quack remedies and unproved drugs and devices. All this, plus about $1 billion in lost federal, state and local income taxes, adds up to an annual price tag of $14 billion and that sum is rising relentlessly day after day, year after year. Industry always has recognized the deeply adverse economic impact of arthritis, particularly in absenteeism, productivity and disability payments; it has been impossible to miss. But doing something about it on the simple premise that the cost of arthritis can be controlled and that it is worth spending money "to have happier people working more efficiently and costing their companies less," as Mitchell puts it that's new! FIRST OF THE Industrial Rheumatology Rehabilitation centers has been set up in Greensboro, CYLVIA Medical screening to I 111 1 1 detect and monitor arthritis in workers; referral to proper health professionals in a company's community; extensive concentration on education of both employer and employe that "something can be done about arthritis if treatment is begun early." The average person waits more than four years from the beginning of arthritis symptoms before seeking proper medical assistance, says the Arthritis Foundation, and that, stresses Dr. Kenneth Mitchell, associate director of the University of North Carolina School of Medicine, "may be too late for employ- Soles lost Ch'g Itk.

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Pages Available:
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Years Available:
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