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HOSPITALITY business hits by COVID-19 pandemic, the Indonesian Hotel and Restaurant Association said about thousands of hotels were closed due to the COVID-19 outbreak.
According to Deputy Chairperson of the Indonesian Hotel and Restaurant Association (PHRI) Maulana Yusran stated that as many as 1,200 hotels are currently closed due to the COVID-19 outbreak affected.
“The number is estimated to still be increased if the COVID-19 pandemic continues for a long time. This impact is felt by hotels in all areas because there are really no guests. There are only a few,” Maulana said Saturday (4/4/2020).
Maulana noted, hoteliers had lost their market when the Corona virus began to enter Indonesia. The condition was felt flat overall in all regions.
He revealed the main factor was because the biggest consumers of hotels were domestic guests who mostly stayed for business purposes.
“The total number of domestic guests also reached up to 300 million visits. With the COVID-19 pandemic, official trips were temporarily stopped. That automatically affects hotel occupancy,” Maulana said.
He added, the closure of a number of hotels was caused by the inability of operators to bear operational costs without any income from cash flow. I also do not deny that this condition causes a number of hotels to lay off their employees.
“There are those who do layoffs (termination of employee relations), but not many. Most do an unchecklist, because if layoffs they need more costs (to pay for layoffs),” he concluded. [business.com/photo special]
