Stays by oil workers provide lifeline to struggling hotels

A screening booth set up at the entrance of the Cara Lodge hotel
A screening booth set up at the entrance of the Cara Lodge hotel

As businesses in the hospitality sector reel from the impacts of the novel coronavirus disease (COVID-19) pandemic, the major hotels here have said that occupancy is relatively low but some are benefitting from stays by workers from the oil and gas industry.

These hotels, which have strict measures in place to prevent the spread of COVID-19, are accommodating workers who have been working on ExxonMobil and supporting firms’ oil operations offshore Guyana.

Notwithstanding, during a visit by Stabroek News to some of the hotels, it was observed that little activities were taking place as lobbies and dining facilities were empty. It was indicated that mostly a skeleton staff, comprised of mainly management, maintenance and security staff, were working.

Many hotels have been forced to let go of their staff during this period as persons have cancelled bookings or have been unable to travel due to closed ports and restrictions imposed to limit the movement of people in light of COVID-19.

Carlos Montenegro, the General Manager of the Pegasus Hotel, explained to Stabroek News that they have a current occupancy rate of approximately 30 per cent. Most are workers on rotation from working on the oil operations, he said.

“These oil companies are very serious about the measures in place by hotels for COVID-19. They tend to more trust established hotels because we operate with a high standard and this is what they are looking for,” Montenegro said.

He added that the workers would stay for 14 days before returning to the rigs to relieve another set of workers. While the guest are allowed access to all hotel facilities, they are not allowed to freely leave the compound.

“If they have to leave the compound, they cannot use any and all taxi services because it is not clear how they are sanitising the taxi. At the hotel here, the taxis are frequently fumigated and approved by the oil companies to transport staff if the need arise,” the General Manager explained.

According to Montenegro, their facilities remain open for members of the hotel but they are being operated under the strictest measures as large gatherings and excessive social interaction are not allowed. He revealed that the live poolside entertainment, which the hotel is known for, has been suspended until further notice.

Touching on staff welfare and measures implemented by the hotel during this period, Montenegro said staff are allowed to go on annual leave and are being paid their annual incentive.

“Mr [Robert] Badal [the proprietor of the hotel] is very concerned for his staff wellbeing during this time and [has] approved these measures. With these measures, we should be able to keep staff staying afloat for at least two months,” he explained.

Afloat

Meanwhile, another prominent accommodation facility, the Grand Coastal Hotel on the East Coast of Demerara, is also experiencing a low occupancy rate. It has an occupancy rate of approximately 10 per cent.

Maria Khan, the Head of Human Resources at the hotel, told Stabroek News that it has been a tough battle for them as they were forced to release a majority of their staff members.

“At the moment, we have mainly managerial and administrative persons on staff to keep the hotel operations afloat. After we started to receive cancellations and [with] the ports being closed, we had to make the hard decision to ask staff to stay home for a period. I stayed home for some time too,” Khan said, as she explained the impacts of COVID-19 on the industry.

At present, they too are serving workers from the oil and gas industry. These workers, this publication was told, are from the Caribbean and are stranded due to the closure of ports.

The hotel, nonetheless, is happy to accommodate the workers, Khan said. She noted that while the lockdown has been somewhat frustrating for the guests, the hotel has opened up a few of its facilities and they have provided the option for the guest to make special requests to make their stay a bit more comfortable.

On this note, she said, after a guest has finished using any of these facilities, the area would be thoroughly sanitised in a bid to prevent any possible spread of COVID-19.

Further, Khan explained, the hotel has been offering delivery services to customers who would have frequently visited the restaurant prior to the COVID-19 pandemic. Persons, she said, can access their menu online via the website before making orders.

Meanwhile, the Herdmanston Lodge in Queenstown, Georgetown is not in operation after all guests left and bookings were cancelled.

Stabroek News was told that the hotel remains open for business and can accommodate persons if the need arises. In the meantime, necessary maintenance work is being done.

Other hotels accommodating workers from the oil and gas sector include Cara Lodge and the Marriott Hotel. Officials from both hotels were unable to speak with Stabroek News yesterday when approached.

However, at both hotels it was observed that persons are screened for COVID-19 symptoms before being granted permission to enter the compound. At the Marriott Hotel, the security guard is tasked with testing the temperature of persons and another employee is tasked with sanitising persons’ hands before they enter.

At Cara Lodge, persons are asked to wash their hands and their temperature is checked before they can enter.

Turnaround

Mitra Ramkumar, the President of the Tourism and Hospitality Association of Guyana (THAG), told Stabroek News yesterday that occupancy levels in hotels significantly deceased since COVID-19 hit the shores of Guyana.

He said that a number of small hotels have suspended their operations due to low occupancy and cancellations. Ramkumar said too that not just city accommodations are impacted negatively but other hotels including the community-run eco-lodges in the Rupununi.

Ramkumar, however, pointed out that the industry will make a turnaround once borders begin to reopen and persons start to travel.

The THAG president said that should Guyana get a handle on the local situation and reopen its borders; the industry can flourish again. He, however, emphasised that strict screening and monitoring measures will have to be in place for this to happen.

“Many of Guyana’s tourism packages do not require a large group of people. We do not cater to mass tourism and that gives us an advantage. If we look at birdwatching activities and sports fishing; that requires a small group which can be managed. So operations under strict measures can be able to operate if we have a handle on this situation,” he said.

Touching on stimulus packages for workers in the industry, Ramkumar said they have not received any assistance from the government despite an assessment being undertaken by the ministries of Business and Finance.

He said that his association, nonetheless, is considering offering hampers to affected workers.

“Many of our employees in this sector at the moment have no source of income and are in need of relief to be able to survive through this period,” he said.