Hotels in Tiruchi effect job cuts, as occupancy rates fall

Facing uncertainty over the fresh restrictions on account of the third wave of COVID-19, hotels and restaurants in and around Tiruchi have started trimming down their staff strength by nearly half yet again.

Being located at the centre of the State and well-connected by roads, air and rail, Tiruchi receives both business and tourist travellers in large numbers. Thanks to the several well-known ancient temples in and around its peripheries, it has been a favourite destination for temple tourism for long. It receives pilgrim tourists from Malaysia, Singapore and Sri Lanka too.

Though the tourist arrival from Malaysia and other countries is almost down to nil due to curbs on air travel, the city witnessed a good flow of domestic travellers after lifting of restrictions. Besides tourists from different parts of the State, Andhra Pradesh, Telangana and Karnataka made a pilgrimage to the city.

The hotels that faced one of the toughest periods over the last two decades due to the extended closure of business for many months began to operate with their full capacity following good pick-up in occupancy rates in November and December.

The closure of places of worship on Fridays and weekends and stringent travel restrictions has again put a break on the recovery of the hospitality industry, which is said to be one of the highest livelihood generators.

According to sources in the industry, there are about 120-130 hotels and there are about 3,000 rooms in Tiruchi. The imposition of fresh restrictions by the State government has had an immediate impact on the occupancy rate. It has come down to 20% to 30% from the modest 60%. There are hotels that have recorded zero bookings on weekends.

The unhealthy business scenario and the huge loss have forced many hotels to lay off their employees. The range of job cuts is said to be between 30% and 50%.

“We get bookings mainly for holidays, weekends and auspicious days for marriages. Where do we get guest when places of worship are shut on weekends? Hence, we have no other options but to reduce the staff strength till the situation becomes normal,” said a proprietor of a hotel in Chathiram Bus Stand.

S.A. Mubashir, joint secretary, Tiruchi Tourism Federation, said it was unfortunate that the hospitality industry continued to face the brunt of the COVID-19 restrictions. Irrespective of small and medium-term players it had hit every stakeholder in the industry. The latest restrictions would bring fresh hurdles to its long-term revival.