HomeBusinessCovid: Travel sector again pushes for govt help

Covid: Travel sector again pushes for govt help

BSH NEWS

Tourism, travel and hospitality industry associations have once again urged the government to roll out liquidity and other support measures after the government admitted in the Lok Sabha that about 21.5 million jobs were lost in the tourism sector due to the Covid-19 pandemic.

Replying to supplementary questions in the Lower House on Monday on the impact of the pandemic on the tourism sector, Union minister for tourism and culture G Kishan Reddy said 14.5 million jobs were lost during the first wave of Covid-19 infections, 5.2 million during the second wave and 1.8 million during the third wave.

Industry associations feel it is time to implement the announced measures as getting back jobs and a complete recovery for the sector could still be a year or two away.

“The good thing is the government has recognised and has identified this sector as the largely affected sector. We have requested that the ₹60,000 crore loan guarantee scheme for Covid-affected sectors be notified with immediate effect,” said Pradeep Shetty, joint honorary secretary at Federation of Hotel & Restaurant Associations of India (FHRAI).

BSH NEWS Travel, Hospitality Sector Again Pushes for Govt Help

KB Kachru, vice president, Hotel Association of India (HAI), and chairman emeritus and principal advisor South Asia at Radisson Hotel Group, said the industry has been continuously demanding financial support from the government to get back on its feet.

“Due to several restrictions in place during the first and second waves, the hotel industry wasn’t able to operate in full swing. Even with the huge revenue loss, many of the hospitality establishments continued to pay the staff on humanitarian grounds which was unbearable for the industry,” he said. “Some of the hotel units with literally zero-revenue even offered to adjust the salaries and help reduce job losses.”

He said, “The government should consider offering a stimulus package that subsidises hotel employees’ salaries from April 2021-March 2022 as followed by many countries.”

While the industry is expecting the resumption of scheduled international flights to aid the recovery, getting back jobs and a recovery to pre-pandemic levels is at least two years away, said Jyoti Mayal, president of Travel Agents Association of India.

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