Overseas spending and hotels thriving
Bermuda's hotel trade industry is booming, while overseas spending is also on the increase according to the latest statistics released by Government.
Figures from the Department of Statistics reveal that employment in the hotel sector rose 5.5 percent in the second quarter of 2007 to 3,070 compared to 2,910 for the same time last year.
Despite the 1.5 percent decline in air arrivals, employment in the major resort hotels accounted primarily for the increase in the total figure as the number of jobs for these properties soared 6.2 percent or by 138 workers from last April.
Meanwhile, employment within cottage colonies and housekeeping accommodations climbed 3.4 percent or 22 workers, but the amount of guest house and micro-unit employees remained unchanged.
Major resort hotels continued to be the largest employer within the industry, making up 2,379 workers or 77.5 percent of overall employment at the end of April 2007, while cottage colonies and housekeeping units employed 22 percent of staff in the hotel industry, representing 674 workers.
Guest houses and micro-units continued to take on less than one percent of employees in the accommodation industry, employing only 17 workers.
As a whole, total revenue for the hotel industry rose one percent to $91.9 million in the second quarter of this year as small hotels, cottage colonies and other guest accommodations experienced strong gains in gross receipts.
In contrast to this, however, resort hotels saw a fractional decline in sales revenue of 5000,000 or 0.7 percent, with room occupancy sales totalling $48 million up to the end of April. This was 3.6 percent or $1.8m below earnings from hotel rooms in the same quarter for 2006.
The decrease in revenue from room sales can be partly attributed to the 1.5 percent fall in air arrivals during the second quarter, but, overall, revenues earned from room sales accounted for 63 percent of total revenue earned by resort hotels during the period.
Gross receipts earned by smaller hotel properties advanced 10.1 percent over the same duration last year, reflecting a $1.3m increase in revenue, as sales from room occupancy alone totalled $9.8m, almost three-quarters of total revenues earned by small hotels in the second quarter 2007.
Elsewhere, goods bought abroad by residents was declared at a total value of $17.2m, representing a rise of 8.9 percent or $1.4m above the spending level reached in the second quarter of 2006.
Residents travelling abroad spent an average of $399 per trip on goods purchased overseas, representing a slight 0.3 percent decline compared to the same time last year.
Returning residents reported $9.1m spent on clothing and footwear, an increase of 9.4 percent or $779,000 more when compared to the same quarter last year, with clothing and footwear purchases accounting for more than half of total overseas buys by residents.
Other strong gains in overseas spending for the quarter included computer hardware ($148,000), electronic and photographic equipment ($98,000), toys and sporting goods ($74,000) and jewellery and watches ($64,000).