GEORGE TOWN – The hospitality industry has no other way to go but down unless the relevant authorities come up with a decisive rescue plan, said Malaysian Association of Hotels (MAH) president Datuk N. Subramaniam.
The sector’s fragile position is laid especially bare with the closing of the landmark Hotel Istana in Kuala Lumpur, announced by its management in a circular on Wednesday.
General manager Nooradzzudin Omar attributed the famous hotel’s closure to the Covid-19 pandemic’s impact on the hospitality industry.
Subramaniam said MAH, at the behest of hoteliers and owners, has, on several occasions, written to the Tourism, Arts and Culture Ministry, but there has yet to be a firm strategy to ensure the industry’s survival.
The hotelier, who is based at PCB Resort in Kelantan, said the association has exhausted all its options to alleviate the burden on hospitality properties, which are seeing virtually zero business amid the health crisis.
“There is no way out for now, other than to vaccinate as many people as possible so that tourism can resume, and to ensure strict compliance (with the standard operating procedures) to contain the virus.”
The glittering Hotel Istana, strategically located in the heart of the federal capital’s Golden Triangle, is closing its doors for good due to a poor business outlook.
It follows some 120 hospitality properties that have fallen victim to the pandemic.
The 500-room, five-star establishment is owned by government-linked corporation Tradewinds Corp.
In a viral post, Nooradzzudin was quoted as saying in the circular that the hotel will close by September 1 and employees will be offered a voluntary separation scheme.
“We arrived at this decision after considering the present circumstances and all available options. We are left with little choice but to proceed with this closure.”
Hotel Istana has been in operation since 1992, when it was launched by then prime minister Tun Dr Mahathir Mohamad, and billed as a star attraction in the industry.
Its sister properties are The Danna Langkawi, Mutiara Taman Negara, Petaling Jaya Hilton and Pelangi Beach Resort & Spa.
Up north, the long-serving management of Langkawi Wildlife Park, one of the holiday island’s top tourist attractions, has been ordered out.
The park’s owners have decided to work with a new management firm after 16 months of their tourism receipts taking a hit from Covid-19.
Confirming the matter, outgoing general manager John Teoh Chen Kung blamed the pandemic, as well as previous business challenges, for the change in management.
He said the park and its animal residents have been handed over to a caretaker team.
Association of Tourism Attractions Penang chairman Ch’ng Huck Theng said there is a need for proactive strategies to save the industry.
“We cannot be reactive. We must plan to salvage tourism. If it collapses, it will bring down the economy together with it, as it is a major contributor to gross domestic product and generates a lot of jobs.”
He called on the authorities to reintroduce measures to spur domestic consumption so as to offset the monumental losses incurred in the sector. – The Vibes, July 2, 2021
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