Kaohsiung-based Grand Hi-Lai Hotel (漢來大飯店) has temporarily cut wages for all employees by 18 percent and is encouraging them to take unpaid leave to withstand a slump in business caused by the COVID-19 pandemic.
The hotel, which features 540 rooms, on Thursday said that it had no choice but to take the steps to stay alive, as it does not see light at the end of the tunnel.
The pay cut, tentatively for three months, would affect all 300 employees, Grand Hi-Lai Hotel general manager Lin Zi-kuan (林子寬) said, adding that occupancy has plunged to less than 20 percent.
Photo: Chang Chung-i, Taipei Times
Hotel officials proposed the measure, which won the support of all staff, Lin said.
The five-star hotel had earlier shut down some floors to save costs, but concluded that further belt-tightening was necessary, Lin said.
The disease is taking a far worse toll on the local hospitality industry than the SARS outbreak in 2003, Lin said, as the number of foreign tourists has dropped to zero, while domestic travelers remain at home to avoid infection.
The industry witnessed a quick rebound 17 years ago, but there have been concerns that a recovery might prove evasive this time, as no cure has been developed for COVID-19 and the development of a vaccine is expected to take 12 to 18 months.
The Grand Hi-Lai Hotel has also encouraged employees to take unpaid leave, and it would distribute NT$5,000 in monthly subsidies and pay for their health insurance until the hotel can resume normal operations, Lin said.
The hotel is also to provide interest-free loans equivalent to 80 percent of reduced wages for two years to help those with cash needs during the transition, Lin said.
In Italy’s storied gold-making hubs, jewelers are reworking their designs to trim gold content as they race to blunt the effect of record prices and appeal to shoppers watching their budgets. Gold prices hit a record high on Thursday, surging near US$5,600 an ounce, more than double a year ago as geopolitical concerns and jitters over trade pushed investors toward the safe-haven asset. The rally is putting undue pressure on small artisans as they face mounting demands from customers, including international brands, to produce cheaper items, from signature pieces to wedding rings, according to interviews with four independent jewelers in Italy’s main
Japanese Prime Minister Sanae Takaichi has talked up the benefits of a weaker yen in a campaign speech, adopting a tone at odds with her finance ministry, which has refused to rule out any options to counter excessive foreign exchange volatility. Takaichi later softened her stance, saying she did not have a preference for the yen’s direction. “People say the weak yen is bad right now, but for export industries, it’s a major opportunity,” Takaichi said on Saturday at a rally for Liberal Democratic Party candidate Daishiro Yamagiwa in Kanagawa Prefecture ahead of a snap election on Sunday. “Whether it’s selling food or
CONCERNS: Tech companies investing in AI businesses that purchase their products have raised questions among investors that they are artificially propping up demand Nvidia Corp chief executive officer Jensen Huang (黃仁勳) on Saturday said that the company would be participating in OpenAI’s latest funding round, describing it as potentially “the largest investment we’ve ever made.” “We will invest a great deal of money,” Huang told reporters while visiting Taipei. “I believe in OpenAI. The work that they do is incredible. They’re one of the most consequential companies of our time.” Huang did not say exactly how much Nvidia might contribute, but described the investment as “huge.” “Let Sam announce how much he’s going to raise — it’s for him to decide,” Huang said, referring to OpenAI
The global server market is expected to grow 12.8 percent annually this year, with artificial intelligence (AI) servers projected to account for 16.5 percent, driven by continued investment in AI infrastructure by major cloud service providers (CSPs), market researcher TrendForce Corp (集邦科技) said yesterday. Global AI server shipments this year are expected to increase 28 percent year-on-year to more than 2.7 million units, driven by sustained demand from CSPs and government sovereign cloud projects, TrendForce analyst Frank Kung (龔明德) told the Taipei Times. Demand for GPU-based AI servers, including Nvidia Corp’s GB and Vera Rubin rack systems, is expected to remain high,
RSS