Operators of Hotels and Resorts Suffering a Devastating Blow 

The operators of hotels and resorts are suffering a devastating blow due to the Movement Control Order (MCO) 3.0 which has been extended till June 28.

Zamari Muhyi

Chairman of the Perak Bumiputra Tourism Operators Association (PPPBP), Zamari Muhyi said the operators are facing devastating impacts such as operating costs, staff layoffs and as a last resort, having to shut down the business if they are continuously unable to generate revenue due to the MCO.

“The operators are grateful for the government’s initiative on providing a one-off stimulus aid, but they still cannot cover the operating costs long term.

“The sad thing is that utility costs are still not reduced, the Wage Subsidy Programme 2.0 and 3.0 have not been received while the rental of premises have to be paid. The moratorium offer is not comprehensively implemented and contributions to the Employees Provident Fund (EPF) must be done as usual. Hence, operators still have to comply and continue to sustain the business as long as they can afford it,” he said in a media statement today (June 17).

He also gave several suggestions to save the hotel industry from closure. He suggested the Wage Subsidy Programme to be continued at a rate of RM1,200 per employee until December 2021.

“The postponement of EPF contributions for both employees and employers until December 2021 should be allowed and the provision of 50 percent discounts on electricity, water and Telekom utilities for hotel and tourism product operators must also be expedited.

“The government should consider a targeted reopening of inter-district borders in phases for tourism product destinations including island resorts, for individuals who have completed two doses of vaccine.

“Besides that, we also wish for continuous additions to the Special Aid Stimulus Package for tourism industry players and operators till this December,” he said.


Rosli Mansor


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