Like most in the new reality formed and built during the ongoing fight against the pandemic, the real estate sector has been affected by the global health crisis in unprecedented ways, and if we focus on the financial side – the impacts are already felt and visible.
Just this Wednesday, January 20, the Shangri-La Group announced, in a letter attributed to the company spokesperson, that it will be closing its Makati operations temporarily, beginning February 1, 2021.
In a post, the statement read, “Throughout the unprecedented COVID-19 pandemic, our priority has been to preserve as many jobs as possible for our teams.”
The message then continued, “Despite our best efforts, the prolonged recovery timeline has resulted in increasing financial pressure on the company here in the Philippines.” The hotel group also noted that the decision is part of the “reorganization” efforts that unfortunately would mean lay-offs as a result to the raging fight against COVID-19. The statement then continued that it would open Makati Shangri-La at an unspecified later date, “when business conditions have improved.”
Meanwhile, affected personnel will be provided a “fair” compensation package higher than local statutory guidelines and healthcare coverage and grocery support until year-end.
The luxury hotel has long been an iconic and renowned establishment in the country since its opening 30 years ago, playing host to numerous debuts, proms, weddings, and business conferences, in its almost 700 rooms.