The President and CEO of Marriott International shared with the world his observations and the measures taken by the world's leading hotel group.
"Covid-19 is having a more severe and sudden financial impact on our business than 9/11 and the 2009 financial crisis combined".
"In most markets, our businesses are already running 75% below normal levels."
"We have hotels around the wolrd that can't operate without incurring substantial economic losses and risking permanently their ability to reopen when this is behind us".
"This has caused hundreds of hotels to close".
The company has put in place several procedures to limit expenses:
- Hiring freeze except for critical positions
- Stop the developments planned for 2020
- Stop marketing and communication actions
- Bill Marriott and Arne Sorenson will not be paid in the year 2020.
- Executives of the management team will receive salaries reduced by 50%.
- Implementation of working time reduction
- Introduction of short-time working for 60 to 90 days
- For the properties that remain open (depending on their location and occupancy rates), staff will be reduced and some floors will be closed.
Arne Sorenson's message ends on a hopeful note with the timid but gradual resumption of hotel activity in China.