What is the Atwell Suites licensee's obligation regarding the number and qualifications of employees at the Hotel?
Atwell_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
Licensee must ensure suitable, qualified individuals are employed at the Hotel in such number as is sufficient to staff all positions at the Hotel in accordance with the Standards.
None of Licensee's employees will be considered to be IHG's employees.
Licensee acknowledges and agrees that Licensee, or its management company engaged to operate the Hotel, as may be applicable, is the sole employer of the employees working at the Hotel and that IHG does not directly or indirectly control employment policies, discipline, recruitment or termination and that Licensee is solely responsible for all employment decisions, regardless of whether Licensee has received guidance with respect to such matters from IHG.
Neither Licensee nor any of Licensee's employees whose compensation Licensee pays may in any way, directly or indirectly, expressly or by implication, be construed to be IHG's employee for any purpose, including but not limited to with respect to any mandated or other insurance coverage, tax or contributions, or requirements pertaining to withholdings, levied or fixed by any city, state or federal governmental agency.
IHG will not have the power to hire or fire Licensee's employees.
Licensee expressly agrees, and will never contend otherwise, that IHG's authority under this License to approve certain of Licensee's employees for qualification to perform certain functions for the Hotel does not directly or indirectly vest in IHG the power to hire, fire or control any such employee.
Source: Item 23 — Receipts (FDD pages 99–486)
What This Means (2025 FDD)
According to the 2025 Atwell Suites Franchise Disclosure Document, the licensee is responsible for ensuring that the hotel employs a sufficient number of suitably qualified individuals to staff all positions in accordance with the brand's standards. This means the franchisee must hire and maintain a workforce capable of meeting the operational demands and service quality expectations of an Atwell Suites hotel.
The FDD clarifies that the licensee or their management company is the sole employer of the hotel's employees. Atwell Suites (IHG) does not directly or indirectly control employment policies, discipline, recruitment, or termination decisions. The franchisee is solely responsible for all employment decisions, even if they receive guidance from IHG.
Furthermore, the agreement specifies that neither the licensee nor their employees can be considered employees of IHG for any purpose, including insurance coverage, taxes, or withholdings. IHG does not have the power to hire or fire the licensee's employees. While IHG may approve certain employees for specific functions, this approval does not give IHG the power to hire, fire, or control those employees. This reinforces the franchisee's role as the employer and their responsibility for managing their staff in compliance with brand standards and applicable laws.