Connect with us

Coronavirus (Covid-19)

Thai hotels consider temporary shutdown amid low tourist demand

Maya Taylor

Published

 on 

PHOTO: Russell Davies / Flickr

The president of the Thai Hotels Association says many properties are considering shutting down for the low season as a result of the Covid-19 resurgence. Marisa Sukosol Nunbhakdi says smaller hotels that don’t necessarily have the resources of the large chain properties are struggling with cash flow and crippled by low tourist demand. Many are considering shutting up shop between April and October or until demand resumes.

In a Bangkok Post report, the THA chief says April’s occupancy rates are expected to plummet to single digits, as happened in January during the second wave of the virus. She adds that the level of business in the last 2 weeks of the month will determine whether or not many will close. There are now just 400,000 working in the hotel industry, a huge drop compared to just a few years ago.

Marisa says just how bad everything gets, including the number of people laid off, will depend on how quickly the government can control the virus. She says vaccines are the key to reviving the decimated tourism sector, thereby boosting the economy and increasing tourist confidence.

“The government has to speed up vaccines for people employed in tourism, especially hotel staff, and those working in hospitals serving non-critical or asymptomatic patients, alternative state and state quarantines.”

Last month, the THA conducted a survey of 128 hotels which showed that most had still not experienced any financial recovery, particularly in the south of the country. At least 50% have not even achieved 10% of their pre-Covid revenue. Up to 40% of hotels have had to make staff redundant, while others continue to implement policies such as leave-without-pay (77%), mandatory holiday leave (76%), pay cuts (71%), changes to working schedules, (69%), reduced hours (56%), as well as invoking section 75 of the Labour Protection Act to pay 75% of a worker’s salary (20%).

A tiny minority (6%) of 5-star hotels in the southern provinces of Phang Nga and Surat Thani experienced improved occupancy and were able to hire additonal staff. However, the vast majority of properties saw their liquidity in March drop by 20% from February and many can only afford to continue operating for another 3 months. The THA boss is calling on the government to provide a monthly co-payment scheme or a debt holiday, as well as more stimulus packages to boost tourist demand.

SOURCE: Bangkok Post

 

Get more from The Thaiger

📱 Download our app on Android or iOS
👋 Have your say on our Thailand forum
🔔 Subscribe to our daily newsletter
📺 Subscribe / Join for daily shows
👍 Like/Follow us on Facebook
🐦 FOLLOW us on Twitter
📷 FOLLOW us on Instagram

image

Join the conversation and have your say on Thailand news published on The Thaiger.

Thaiger Talk is our new Thaiger Community where you can join the discussion on everything happening in Thailand right now.

Please note that articles are not posted to the forum instantly and can take up to 20 min before being visible. Click for more information and the Thaiger Talk Guidelines.

8 Comments

8 Comments

  1. Avatar

    Big Money

    Wednesday, April 21, 2021 at 1:27 pm

    Sorry but, all the rich tourists are at mr. Anutin’s golf resorts?

  2. Avatar

    luca

    Wednesday, April 21, 2021 at 4:04 pm

    the choice of the dictator’s government to rely on the dictator of China is proving to be a catastrophe for many Thais, I remember a minister of this government who defined western tourists as dirty and smelly, today we know that in China they made a very bad vaccine and administration to one and a half billion people it will take years, it means that even if Thailand manages to vaccinate its population with the vaccines of the dirty farangs, however, it will not see Chinese tourists return, the tourism industry in Thailand is about to die and maybe they will be the dirty farang to save her

  3. Avatar

    TS

    Wednesday, April 21, 2021 at 4:22 pm

    hey!thai hotels association. what happened to your generous ‘hospihotel’ scheme/proposal mentioned a few days ago? No takers or just shot down by your overlords?

  4. Avatar

    Jeusus Monroe

    Wednesday, April 21, 2021 at 5:59 pm

    400,000 still employed………really……..There aint a shitload of tourists coming even when Thailands vaccinated…….it will take years……..so in the meantime skill up bitches on youtube and get creative…….laziness won’t cut it anymore……..

  5. Avatar

    Sanuk

    Wednesday, April 21, 2021 at 10:45 pm

    The funny thing is if you check Agoda, hotel rates aren’t down all that much. Which is odd considering how desperate they are for guests. Tells me the moment things get better and tourists start returning even in small numbers they’ll jack the hotel rates up and screw over the little tourists there are. Don’t bite the hand that feeds you.

  6. Avatar

    Joe Nyomozo

    Thursday, April 22, 2021 at 12:01 am

    Thai hotels and insurance (like AXA that advertises on the Thai Embassy web site) refuse to give you a refund if you are unable to go because of Thai Embassy incompetence, cancelled flights etc. So I am not very sympathetic!

  7. Avatar

    James R

    Thursday, April 22, 2021 at 12:32 am

    This is probably the case for most counties which have huge numbers of tourists each year, the UK has 40 million, about the same as Thailand each year

    But we in the UK are not seeing any at the ,moment we won’t until we have all been vaccinate which will be in the next few months as we have vaccinated over 30 million people already and the tourists who come have been vaccinated or from a virus free country.

    It will take time for all countries to see tourists again.

    In the case of Thailand the vaccination rate is painfully slow, so they will be behind many other countries opening again to tourists, the countries who had the foresight to order the vaccines six months or more ago and have not left it until recently to order them will open first.

  8. Avatar

    toby andrews

    Thursday, April 22, 2021 at 10:45 pm

    Those Thai hotels that did not give refunds because airlines were not allowed to fly guests in, will be punished for their greedy attitude.
    They await the tourists return, but will they return to their hotels? I hope not.
    Some people have long memories.

You must be logged in to post a comment Login

Leave a Reply

A seasoned writer, with a degree in Creative Writing. Over ten years' experience in producing blog and magazine articles, news reports and website content.

Follow Thaiger by email:

Pattaya2 hours ago

Bangkok Hospital Pattaya giving expats free Pfizer vaccines

Thailand2 hours ago

Thailand corruption, Mixed vaccines, Delusions, The muppets | Thaiger Bites | Ep. 42

Technology3 hours ago

Facebook plans a name change and rebrand to a metaverse.

Sponsored2 days ago

SO Sofitel Hua Hin opens its doors to welcome all visitors!

Welcome back to Thailand!

Thaiger is getting behind local businesses for the restart of tourism in Thailand - up to 50% discounts across all advertising packages!

Coronavirus (Covid-19)4 hours ago

Covid-19 Wednesday: 79 deaths, infections below 9,000

Coronavirus (Covid-19)5 hours ago

Bangkok authorities and hotels prepare for returning travellers

Weather5 hours ago

Korat’s largest hospital now flooded

image
Join the conversation on the Thaiger Talk forums today!
Bangkok5 hours ago

GPO selling ATKs at 40 baht at 8 centres and online

Crime6 hours ago

Music teacher in Bangkok arrested for allegedly molesting young schoolboys

Thailand6 hours ago

Refund for Fraud victims, Retirement visa changes, Flood warnings | Good Morning Thailand | Ep. 113

Technology6 hours ago

Digital literacy a must for bank card holders after recent cyber fraud incident

Bangkok7 hours ago

93 arrested for alcohol in restaurant across from police station

Thailand7 hours ago

Thailand Top Stories | Requirement for health insurance policy for O-A visa | October 20

South7 hours ago

Senior health official says South must move to Pfizer only to tackle Covid-19 outbreak

Expats7 hours ago

Thailand requires 3 million baht insurance for ‘retirement’ visas

Coronavirus (Covid-19)7 hours ago

70% of Bangkok residents fully vaccinated as capital prepares for re-opening

Thailand1 month ago

Morning Top Stories Thailand | Police to end protests, Human Trafficking | September 14

Thailand8 months ago

Thailand News Today | Thai Airways in rehab, All go for Songkran | March 4

Tourism8 months ago

Phuket’s nightlife. Yes, bars and clubs are still open | VIDEO

Phuket8 months ago

Thailand News Today | Covid passport talks, Thai Airways heads to court | March 2

Tourism8 months ago

Phuket Thai food treats you need to try | VIDEO

Thailand8 months ago

Thailand News Today | Bars, pubs and restaurants ‘sort of’ back to normal | Feb 23

Tourism8 months ago

In search of Cat & Dog Cafés in Phuket Town | VIDEO

Thailand9 months ago

Thailand News Today | Gambling crackdown, Seafood market to reopen, Vlogger challenge | Jan 21

Thailand9 months ago

Thailand News Today | Covid testing for visas, Business impact, Vaccine approval | January 19

Thailand9 months ago

Thailand News Today | Weekend Bangkok bombs, Thailand fires, Covid update | January 18

Thailand9 months ago

Thailand News Today | Stray car on runway, Indonesian quake, 300 baht tourist fee | January 15

Thailand9 months ago

Thailand News Today | Governor off respirator, sex-trafficking arrest, condo prices falling | January 14

Thailand9 months ago

Thailand News Today | Chinese vaccine, Thailand ‘drug hub’, Covid update | January 13

Thailand9 months ago

Thailand News Today | Bangkok may ease restrictions, Phuket bar curfew, Vaccine roll out | January 12

Thailand9 months ago

Thailand News Today | Covid latest, Cockfights closed down, Bryde’s Whale beached | January 11

Trending