While much of my focus the past couple of weeks has been on airlines, the hotel industry is obviously struggling as well, and has asked for $250 billion in government aid. We’ve seen many hotels around the world close temporarily, and those that remain open are largely running occupancy in the single digits.
A few days ago we learned that Marriott will be furloughing tens of thousands of employees at managed properties over the coming months. Now those furloughs are being expanded to Marriott corporate employees.
As reported by the WSJ:
- Marriott will be furloughing about two thirds of corporate employees, both in the US and abroad (this would include contact center employees)
- Most furloughs are expected to last for 60-90 days
- Furloughed corporate employees will receive 20% of their salary, which can be put towards healthcare and other costs
- Corporate employees who stay on will take 20% pay cut and reduced work weeks
I understand Marriott’s need to cut costs, though I would assume that largely there’s more need for corporate employees than ever before, as I assume Marriott properties need more support and guidance than at any point prior to this…
This is awful, and my thoughts are with all those being furloughed.