28,000 hotel workers at Coast laid off on tourism downturn

Corporate News

Tourists arrive in Mombasa last month. International visitor arrivals dropped to 1.35 million last year from 1.52 million in 2013. PHOTO | FILE 

By MATHIAS RINGA

In Summary

• The Kenya Union of Domestic, Hotels, Educational Institutions, Hospitals and Allied Workers (Kudheiha) says about 10,000 permanent hotel workers in the region have been sent home on unpaid leave.
• Kudheiha says other permanent workers have had their salaries reduced by 30 per cent as hotels grapple with lack of business due to low international tourist numbers.

At least 28,000 unionisable hotel workers at the Coast have been laid off following the tourism downturn, a trade unionist says.

According to the Kenya Union of Domestic, Hotels, Educational Institutions, Hospitals and Allied Workers (Kudheiha) national chairman Joseph ole Keyua, about 10,000 permanent hotel workers in the region have been sent home on unpaid leave.

Mr Keyua said that 18,000 members of the union, who were working on contracts, were also laid-off.

He said other permanent workers have had their salaries reduced by 30 per cent as hotels grapple with lack of business due to low international tourist numbers.

“The tourism sector at the Coast is almost on its knees as more than 40 hotels have so far closed down due to lack of business,” he said.

International visitor arrivals dropped to 1.35 million last year from 1.52 million in 2013 and 1.82 in 2011. The sector has been affected by a string of deadly attacks on Kenya’s Indian Ocean coast, Nairobi and Garissa.

The attacks, blamed on Islamist militants, have prompted some Western countries to warn their citizens against travelling to Kenya.

Official data shows that earnings from tourism were down 7.3 per cent to Sh87.1 billion last year.

Speaking to journalists at Travellers Beach Hotel on the sidelines of an International Labour Organisation (ILO) workshop, Mr Keyua warned that the industry could collapse if the Government does not take urgent intervention measures.

READ: Tourism suffers setback from Garissa terror attack

Participants at the workshop included members of Kenya Association of Hotelkeepers and Caterers (KAHC) Coast region and Kudheiha officials.

Kudheiha had invited the hoteliers to deliberate on job losses in the tourism sector. Mr Keyua attributed the slump to rising insecurity and terrorism threats.

Travel advisories, which were issued by the United Kingdom, the US, France and Australia, he said, also dealt a major blow to the sector as European charter airlines pulled out of the Mombasa route.

He called on the Government to address concerns over security raised by Western governments. Mr Keyua urged the government to implement recommendations of the Tourism Recovery Task Force to help revive the ailing sector.

He supported hoteliers’ proposal that the government forms an independent tourism ministry to include wildlife. He urged the government to waive the $50 (Sh4,700) visa fee as well as reduce park and game reserves entry fees to woo more international visitors.