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Hotel Del Annapurna is closed down

Amid covid-19, in the past nine months, the hotel has not been able to earn a penny, now cannot afford to pay the staff expenses.

OnlineKhabarHub Desk Published: 2020-12-23 21:26:42

Hotel Del Annapurna

One of the oldest five-star Hotel Del Annapurna is closing down due to the financial crisis amid covid-19. 

Hotel Management has recently decided to shut down the hotel as it has not able to afford employees' expenses and the hotel has not been able to earn a penny in the following nine months. 

Following the lockdown announced by the government in March due to the COVID-19 pandemic, hotels have been suffering badly. The shutdown of Hotel Annapurna is the beginning and this might be seen in other hotels too. 

"We know that hotel is at loss for the last nine months but some of the staff have served the hotel management for more than two decades so while closing management should properly address the hotel staff", an employee from the hotel.  

With the decline of tourists' arrival, the hotel cannot afford the expenses of the employees anymore. During the last nine months, the hotel has not earned anything. As there is no regular income to pay staff salary, the management has reportedly decided to lay off all the staffers and close the hotel.

The hotel has reportedly asked all the employees to tender their resignations and clear their accounts. Following the notice of hotel management, some of the staffers have already resigned. The management has asked employees to resign and clear our accounts.”

Out of 300 hundred staff, more than 50 staffs reportedly tendered their resignation and the management has already cleared the due.

Shreejana Rana, executive director of the hotel, told the press that the hotel has been facing losses for the last nine months and there is no hope to recover the losses any time soon.

“There is no chance of any tourist coming during this pandemic and the hotel cannot keep bearing expenses and accrue losses. Thus, we have asked the staffers to resign,” she told to press.

Rana further said that the hotel might be closed temporally. 

Since the hotel will not be in operation for a certain time, the management team will use that period to come up with new ideas to resume operations in the future. However, for now, the hotel will remain closed.

Hotel Association Nepal (HAN) has stated that it is trying to sign an agreement with the workers’ union regarding layoffs as most of the hotels are unable to pay wages at the moment.


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