Transcorp Hotels has said it incurred losses amidst COVID-19 pandemic which caused the global hospitality industry to lose over $46bn in room revenue. This, it said would not deter it from taken measures that would reduce costs with a view to maintaining business continuity notwithstanding unprecedented losses it recorded during the ravaging COVID-19. In a briefing organized, the company dwelled on measures in its pipeline to optimize its operational structure, including restructuring of its workforce and a focused business strategy to adapt to the new normal caused by the COVID-19 pandemic.
Its Managing Director/ Chief Executive Officer, Dupe Olusola, said the impact of COVID-19 on the business was like nothing the company had ever witnessed before. She said: “The hotel and hospitality industry in Nigeria has never faced a crisis that brought travel to a standstill, including the Ebola Virus Outbreak of 2014 and the recession of 2015.
The slow pick up of international travel, restriction on large gatherings, the switch to virtual and fear of the virus, has drastically reduced demand for our hotels to occupancy levels at its lowest of less than 5%. “We responded to the crises by initiating business contingency plans. At the inception of the pandemic, we maintained a 100% salary payment to its over 900 employees in March and April.