Kempinski has issued a notice of redundancies to their staff as the hotel restructures amid COVID-19. A memo reveals that the hotel is readjusting its staff base to achieve lean, agile teams for the period. Villa Rosa and Olare Mara Kempinski will consolidate teams and positions to maintain proper cost structures. This is after mitigations to the Coronavirus, such as restrictions on travel cut the number of tourists, impacting hotel revenues.
General Manager Roberto says, “the closure of our borders of international flights affected the number of foreign visitors into our country who account for over 80% of our business” The hotel expects minimal revenue on rooms, conferencing, and the restaurant, thus the restructuring.
It is unclear as to the number of staff that will bear the brunt of the changes. However, the statement reveals that the redundancies will affect multiple departments and cadres of employees.
The Kempinski hotels join a list of other players in the hospitality industry who sent their employees home because of dwindling revenues. Recently, Fairmont closed its hotels and fired all employees, whereas Serena sent all its staff on unpaid leave.