(By Liang Yueqin)
The outbreak of the COVID-19 epidemic has caused a plummet of tourists number visiting Hong Kong. Many hotels in Hong Kong have temporarily closed their businesses to stop loss. OZO Wesley in Wan Chai just announced the day before yesterday that it would suspend business for three months. A spokesman for operator ONYX Hotel Group expressed yesterday in an interview with the that the Group would pay close attention to the epidemic situation and market situation, and make an assessment every month to decide the date of reopening. The spokesman emphasized that there are no plans to stop the operation of the other seven hotels and serviced apartments in Hong Kong.
The hotel would close for three months and laid off 30 employees.
The spokesman pointed out that the average occupancy rate of OZO Wesley in the past few months has been less than 30% due to the epidemic. The occupancy rate in March has fallen by more than 60% compared with the same period last year. It is not a healthy and sustainable operating model. Thus, the Group decided to temporarily suspend the operation of OZO Wesley for three months to ensure the safety and health of guests and employees, and at the same time to maintain the sustainability of the business. They have to dismiss 30 employees, with the last appointment date on 9th April. The group has communicated with the affected employees and made compensation arrangements by the employment regulations and relevant guidelines of the Labour Department.
Other hotels and serviced apartments are operated as usual.
ONYX Hotel Group operates a total of 8 hotels and serviced apartments in Hong Kong, including OZO Wesley in Wan Chai, Shama Central and Shama Hollywood in Central, Shama Mid-Levels in Mid-levels, The apartments, Shama Fortress Hill and Shama Hong Kong Island North in District of Hong Kong Island, Shama Tsim Sha Tsui in Tsim Sha Tsui, and Hotel 108 in Mong Kok. They have more than 150 employees. The spokesman emphasized that there is no plan to stop the operation of other hotels and serviced apartments except OZO Wesley.
About the prospects of the hotel industry in Hong Kong, the spokesperson said frankly that it is difficult to assess the development of the epidemic, and it is too early to speculate the future of the hotel industry in Hong Kong. However, the Group estimates that the hotel industry would not boom before the epidemic situation has wholly improved. Enterprises and visitors will wait for a while to regain their confidence in going out for travel or arranging business travel. Then the hotel industry can see a ray of hope. For this reason, the Group will pay close attention to the epidemic and market conditions, and make an assessment every month, to determine the date of the reopening of the OZO Wesley. The Group is currently closely monitoring the situation to determine whether the restart can proceed as scheduled. It will also cooperate with the relevant departments and prepare in this time, to smoothly reopen the related hotel when the relevant departments issue updated guidelines or relieve travel restrictions.
