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Hotel brand OYO Hotels has revealed that a portion of its UK staff are at risk of redundancy as a result of the Covid-19 outbreak’s impact on the hotel industry.
The hotel group said that there are still “no clear signs or timelines’ for recovery after nearly six weeks of lockdown. Rishabh Gupta, head of hotels for OYO UK, said that as a result the chain is having to “reimagine and reshape” its business and create a new future for its people, customers and the partners it serves.
However, Gupta said this means OYO will need to enter into a consultation period in order to align the costs with the revenue available, meaning some roles in the business are now “at risk of redundancy”.
OYO said that over the next 30 days it will work with representatives elected by the brand’s employees who will relay the “proposed changes” to the rest of the workforce.
Gupta said: “I understand that this brings more uncertainty at an already very difficult time. We will provide you with as much support and information as we can. We are not anticipating an impact to our existing portfolio as we continue to service them with our existing capabilities.
“Personally, the decisions I’ve had to make over the last month have been extremely tough because our team members are the ones who’ve helped build the business and get us to where we are today.”
He added: “The fact that this situation is largely out of our control makes it even tougher to comprehend. In addition, we have decided that we will go on an external hiring freeze for the next six months in the UK and will make any role that might open up available first to any impacted colleagues, who may want to consider re-joining us.”
