Summer job cuts loom, says top hotel official
seem set to nose dive, it was revealed yesterday.
Latest figures forecast for July, August and September signal even fewer bookings than last year.
And now hotel chiefs are pinning their hopes on a rush of late bookings to bolster the industry.
Yesterday Mr. John Harvey, executive vice president of the Bermuda Hotel Association, described the latest figures as "alarming.'' "At the end of the day there may have to be lay-offs,'' he warned.
But he added: "There has been a pattern of late bookings over the last 18 months.'' Mr. Harvey, also chief executive officer of the Hotel Employers of Bermuda, said the impact of the labour dispute had not yet been assessed.
The danger level for jobs is a below 70 percent occupancy rate for hotels.
Last month the occupancy rate was 81.4 percent compared with 83.6 percent in June 1991.
The Bermuda Hotel Association's projected percentage figures, however, for July, August, and September are 62.2, 39.7, and 38.6 respectively.
These are even lower than the levels forecast for the same three months in 1991.
The final occupancy levels for these months in 1991 were 73.7 percent, 82 percent, and 62.5 percent.
One hotel boss yesterday backed Mr. Harvey's jobs warning against the bleak economic background.
Mr. George Robinson, general manager at Grotto Bay Hotel, said: "We have to trim our sails according to the level of business.'' He said the Island-wide strike had directly affected the country's lifeblood -- tourists.
One recent bright spot, however, was a traditional July 4 bookings spree.
Mr. Harvey yesterday claimed hotel chiefs would have to do "a lot of fancy footwork'' if the forecast levels proved correct.
"In my view the figures are alarming,'' he said.
Although June's figure appeared reasonable, it was historically the best month for hotels, which normally benefited from the Newport-Bermuda yacht race, explained Mr. Harvey.
And he added: "I am still waiting and trying to assess the impact of the recent dispute.'' Mr. Harvey went on to praise the workers who defied the Bermuda Industrial Union's strike call.
His tribute is contained in an open advertisement to be carried in The Royal Gazette on Friday.
It reads: "The members of the Hotel Employers of Bermuda wish to publicly acknowledge and thank those hotel employees who showed great courage, conviction and responsibility in their decision not to withdraw service during the recent dispute between the Bermuda Industrial Union and the Bermuda Forwarders.
"While we are certain that Bermuda's image as a quality resort destination has been tarnished, we are, however, unanimous in our view that even greater damages resulting in the loss of valuable business for our Island home would have resulted, had you, the hotel employees, not recognised all of our responsibilities in providing a service to our guests.
"The entire community is indebted to the workers who stayed on the job unselfishly recognising the need to protect the tourism industry, the lifeblood of the country.'' On the first two days of the national strike between 70 and 100 unionised hotel employees, out of 2,000, failed to report for work.
Mr. Harvey said those who turned up had run the gauntlet of intimidation, threats, and coercion from striking colleagues, who were on hotel doorsteps and "generally milling around.'' "I think they displayed great courage,'' he said.
Mr. Harvey believed most hotel workers disagreed with the strike and were unwilling to "shoot themselves in the foot'' by jeopardising jobs.
Mr. John Harvey.
