Malaysia

Hotel woes far from over despite tourism growth in Penang

Hoteliers claim worker shortage with many having migrated to manufacturing sector

Updated 5 years ago · Published on 17 Oct 2021 6:00PM

Hotel woes far from over despite tourism growth in Penang
Lockdowns due to the Covid-19 pandemic has resulted in the migration of workers from the hotel sector to the manufacturing industry, leaving hotels in the state with an acute shortage of staff. – equatorial.com pic, October 17, 2021

by Ian McIntyre

GEORGE TOWN – If you think the worries of hoteliers are over now that tourists are flocking to Penang, think again.

What has emerged from several lockdowns and a dampened economy is the migration of workers from the hotel sector to the manufacturing industry, leaving hotels in the state with an acute shortage of staff.

This has led to some hotels operating below capacity despite the warm reception from domestic tourists returning after some 18 months of lockdown.

The Malaysian Association of Hotels Penang chapter chairman K. Raj Kumar confirmed that the state is facing a persistent shortage of workers, particularly in housekeeping and cleaning services.

“When hotels began laying off workers last year, many hoteliers found employment in the manufacturing sector, which saw a demand for products especially in the electronics and electrical industry.

“While hotels are now registering an average occupancy of more than 90% over the past three days, many properties chose to operate below capacity with reduced room inventory since only 50% of their guests are allowed to dine in.

“This is also to compensate for the inability to get workers as those retrenched are reluctant to return to the hospitality industry. They are enjoying better benefits on the manufacturing side,” Raj told The Vibes.

He expects the problem of manpower shortage to persist unless the Human Resources Ministry intervenes to mitigate the issue.

Among his suggestions are to expedite the recruitment of migrant workers for housekeeping and sanitation services.

Raj also urged authorities to incentivise the hiring of local workers by allowing hotels to reduce operating costs and redirect savings into increasing the wages of local workers so they can be persuaded to work in the tourism sector again.

“The operating costs can be reduced in terms of licensing fees and other forms of taxation, including utilities.

“The savings can be redirected towards investing in human capital,” Raj said.

State Tourism and Creative Economy Committee chairman Yeoh Soon Hin praised tourism industry players for abiding to standard operating procedures such as enforcing strict physical distancing and wearing masks.

“Tourism has returned in a big way in Penang where brisk sales have been recorded at the state’s famed eateries, street food parlours and hawker centres,” Yeoh said, adding that he is glad there has been no overcrowding and unruly behaviour among tourists. – The Vibes, October 17, 2021

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