The Ala Moana Hotel and the union that represents nearly 300 workers have reached a tentative contract agreement.

The agreement was reached Wednesday night. Terms of the tentative deal were not released, but officials with UNITE HERE Local 5 said they were pleased.

"This settlement agreement maintains important elements of the union's contract standard and workers at the Ala Moana, who have been behind for 20 years, can now begin the process of catching up with the rest of Waikiki," said Eric Gill, Local 5 financial secretary/treasurer.

A ratification vote is pending. Workers have been without a contract since May 2006.

Local 5 spokesman Cade Watanabe said negotiations were difficult because the Ala Moana recently converted to a "condotel," where units are sold individually and owners in turn can rent them to vacationers. The hotel is managed by ALM LLC, an affiliate of Outrigger Hotels, and Watanabe said management contended the conversion meant less revenue for the hotel and it couldn't meet union demands.

"We heard things from the other side that things are different here. 'We only get a certain portion of the revenue, we can't afford this, we can't afford that,' " Watanabe said. "But they wouldn't have agreed to it if they didn't have the money."

Ala Moana Hotel general manager Grant James said in a statement that he was "pleased" with the settlement.

"We believe this agreement shows our deep commitment to our employees, many of whom have worked for the hotel for many years," James said. "Our employees know we have always been committed to treating them fairly and with the respect and dignity they deserve."

Reach Curtis Lum at culum@honoluluadvertiser.com.