22 September 2020
As part of her business sustainability strategy in the face of Covid-19 pandemic, Transcorp Hotels Plc has disclosed that she will lay off forty percent of her work force as well as diversify her portfolio NEGROIDHAVEN has garnered.
According to the Managing Director of the Hotelier, Ms. Dupe Olusola, 'we cannot continue to keep more than 40 per cent actively engaged at the hotel.'
Speaking earlier Olusola disclosed that Transcorp Hotels which has 1000 permanent staff and 500 contract staff with a pay roll cost of over N2 billion has suffered cumulative business losses of N4.9 billion and decline in revenue amounting to N9.4 billion since March this year.
Olusola informed that 'The slow pick up of international travel, restriction on large gatherings, the switch to virtual meetings and fear of the virus, has drastically reduced demand for our hotels and occupancy levels to its lowest of less than five per cent.
'There was a time we were down to five per cent occupancy for a hotel that has 677 rooms. We were faced with the dilemma to shut the hotel like other hotels across the globe were doing.
'We have not even seen above 17 per cent occupancy even at this point. So we are still recording very, very, low revenue. We are struggling and embarked on cost saving measures, renegotiated our contracts, reduce the lift two three'.
The MD said that the FG is yet to give tax rebate and payroll support.
