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HAMMER BLOW: Melia closes doors for two years laying hundreds out of work

THE ENTRANCE to Melia Nassau Beach pictured yesterday. Photo: Terrel W Carey Sr/Tribune Staff

THE ENTRANCE to Melia Nassau Beach pictured yesterday. Photo: Terrel W Carey Sr/Tribune Staff

By RASHAD ROLLE

Tribune Senior Reporter

rrolle@tribunemedia.net

THE Melia Nassau Beach resort will stop operating for 24 months as it undergoes renovations, an action that could make more than 300 people redundant.

Yesterday, Tourism Minister Dionisio D’Aguilar called the announcement a “severe punch in the gut”.

Daniel Lozano, the resort’s general manager, said in a staff letter that operations at the resort will cease on March 1.

“It is our hope that with extending closure of the resort and undertaking a renovation, we are setting the stage for the successful opening of a brand-new resort, one that will promote the much-needed economic relief and stability upon which all of us depend,” he said.

“The toughest part of our decision relates to those whom this decision impacts, which is you, our Melia family.

“We are wholeheartedly thankful to you who have been with us on this long and difficult journey, and we commend your strength, contributions and perseverance through the past 12 months. We look forward to the day when we unveil a new resort to distinguished and valued guests from all over the world, furthering the long-term economic health and prosperity of The Bahamas.”

Mr Lozano said current employees will be invited to apply for a job when the resort reopens.

They will “be given every consideration and opportunity for employment,” he said.

Darrin Woods, president of the Bahamas Hotel Catering and Allied Workers Union (BHCAWU), said Melia employs about 400 people, including management, and has a line staff of over 220 people. 

“Most of (the employees) are in furlough, except a small crew. How that crew will be impacted still has to be fleshed out,” said Mr Woods.

Mr Woods said Melia’s action brings closure to employees, many of whom have sought severance packages for months after finding the government’s unemployment benefits to be inadequate.

“This brings closure to the employees out there,” he said. “They’ve been agitating for things to happen. We’ve been trying for some time to get information from that company about when they will reopen but for a long time we couldn’t. Now we know come March 1st the future of the employees will be set in stone.”

Mr Woods said the redundant workers will continue to receive unemployment benefits from the government.

“Some persons on social media or in the mainstream media have been advocating for unemployment assistance. With this decision by Melia, our work begins to make sure they receive their entitlements. Prior to the letter (from Melia), we got the phone call indicating they spoke to government officials at the highest level and explained what they will do. They have decided to close and pay the people out,” he said.

Melia’s action comes as the hotel industry staggers to reopen amid the COVID-19 pandemic.

Atlantis welcomed 2,500 employees back to work in December but has announced two rounds of furlough activities since then.

Sandals Emerald Bay on Great Exuma and Sandals Royal Bahamian in New Providence plans to reopen to guests on February 24 and March 31 respectively.

Club Med’s Columbus Isle Resort in San Salvador has postponed its reopening until December 2021, with operators expressing concern about the lack of infrastructure on the island.

Mr D’Aguilar said the impact of Melia’s closure is significant.

“No doubt it’s a solid punch in the stomach,” he said. “It’s throwing 300 persons out of work during a time when we’re already experiencing significant unemployment and underemployment in the tourism sector due to the pandemic. Every job was important and while we understand the need to renovate and refurbish, it is a gut punch by this announcement. However, they are on the one side shutting down the Melia, but they are bringing on stream the SLS and the Rosewood (at Baha Mar).

“From a strategic and economic point of view, it makes sense for them to refurbish and renovate that hotel when their business is impacted by the coronavirus and their occupancy is extremely low. You could’ve renovated that hotel and refurbished it by keeping it open but it’s always more costly and it’s always more difficult to do that and in this time of reduced occupancy, when you go out to market a hotel, it’s difficult to attract visitors to travel and it’s going to be doubly difficult to entice visitors to travel under all the drilling that goes on.”

Comments

bahamianson 3 years, 2 months ago

so sad for us. we need to tighten our belts and purchase what we must. just like only the essential workers went to work, you only need to buy the essentials, and save what you can until the economy looks brighter and better. be encourage my fellow bahamians, better days will come. such are the vicissitudes of life. prepare for the good and prepare for the bad.

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tribanon 3 years, 2 months ago

The Venezuelan people have been saying for years now that better days will surely come their way.....but that clearly has not happened. And it will not happen in the case of the Bahamas if we are foolish enough to support either the FNM, PLP or DNA in the next national general election. Be prepared to vote for an independent candidate running in your constituency because the alternative that comes with either Minnis or Davis is decades of suffering like you have never suffered before, with zero hope of it getting better even in grandchildren's lifetime.

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KapunkleUp 3 years, 2 months ago

The pull of a free FNM/PLP T-shirt is too strong!

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SP 3 years, 2 months ago

This is an eye opening classic example of what can happen because Bahamians do not own our economy!

Thank you, PLP and FNM for 5 decades of asinine stupidity, that has now come home full circle to roost.

No need for naysayers and apologists. We are tone deaf to both of you!

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Hoda 3 years, 2 months ago

You decided to work in the same middle to low level job for 10, 20 years and didn’t invest in yourself and none of that is your fault?

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Dawes 3 years, 2 months ago

Though the Melia was originally built and owned by us. And look how that fared. It was sold as it failed.

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tribanon 3 years, 2 months ago

Sadly we only have to look at how the Communist Chinese have treated our brothers in many of the African countries they now control to understand the kind of future we are going to have. Thanks to Ingaham, Christie and Minnis, Bahamians are going to learn the hard way that white supemacists of the violent neo-nazi skin head kind are saintly choir boys when compared to Red China's very sinister and evil yellow supremacists of the communist kind.

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proudloudandfnm 3 years, 2 months ago

Lol. Do you dream about the Chinese too? Damn. You got issues...

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Topdude 3 years, 2 months ago

Tribanon has more than issues. He has an encyclopedia of Ailments, types of depressions, feelings of inferiority, frustrations And failures that no single physician can attempt to address. This is so unfortunate.

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longgone 3 years, 2 months ago

You think The Queen might be prepared to take us back??

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KapunkleUp 3 years, 2 months ago

Forget the queen, let's join up with Omicron Persei 8's lizard people kingdom.

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John 3 years, 2 months ago

The good news is that new corona cases in the US have plummeted by 70 percent since late January. At this rate most cases will be gone by next month (March as I have been saying since last year). The tourists will strengthen by summer and the country will have a booming winter season, especially if winter 2021 is half as bitter as this one. And do you know what that means for an FNM going into an election with a booming tourism industry and a rapidly rebounding economy? So that’s also why there will be no early elections.

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tribanon 3 years, 2 months ago

Those happy pills you are taking may soon be in scarce supply. lol

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John 3 years, 2 months ago

Better the happy pills than the Corona vaccine. Because no one, no one, knows exactly (except rake in Billion$ for the manufacturers and distributors). First they tell you it protects you from getting Corona but you must still wear your mask and follow the safety protocols. Then they say, well some people (or ginuea pigs) have gotten the virus after taking both doses of the vaccine. So now they say, 'the vaccine will not stop you from getting the virus, but it will make your symptoms less severe if you do get the virus, pleeze! So answer this: why have policemen, doctors, nurses, food store workers and other front-line workers stopped getting the virus en masse? Because they have developed herd immunity...and the spurts here and there is the wake of the virus disappearing.

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Bobsyeruncle 3 years, 2 months ago

Simple math - The two best vaccines (Pfizer & Moderna) are both about 95% effective after the second dose, so 5% of those vaccinated could still get infected.

The reason you should still wear a mask after being vaccinated is becuase the vaccine protects you and not others. The vaccine 'teaches' your body how to 'build' the correct antibodies to fight the virus should you get infected. The vaccine doesn't build an invisible force field around your body that the virus can't penetrate. You are still able to 'carry' the virus and pass it on to those who have not yet been vaccinated, or those that choose not to get vaccinated. I think further studies are currently in progress to assess the degree of transmission post vaccination.

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TalRussell 3 years, 2 months ago

Regardless of the degree of incompetence in colony's Labour minister, it's beyond incomprehensible to be asked to believe that Comrade Dion, hadn't known about Melia's 2-years planned shutdown at the time he said, “But since the pandemic started, I am confident based on the evidence that we see in the economy that the unemployment rate has drastically come down because as you know everything was at a standstill and most of the businesses they put their workers on temporary layoffs. How much more of a standstill - could be any worse than a major resort's planned 2-years shutdown?

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ScullyUFO 3 years, 2 months ago

Anyone who has stayed overnight at that venue knows that it is in pretty rough shape. They couldn't even afford to tune the piano in the piano bar.

But anyhow, the bad news is that it should have been shut down a year ago when the pandemic started. Now there is three years wasted instead of just two.

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bogart 3 years, 2 months ago

The nation's continuance of Tourism, being the primary engine over decades and decades, should have the personnel to have done all likely possibilities of producing in advance various options to soften the blow of the hammer. Surprisingly, there seems to have no foresight for disasters and plans of to ease the distress of the one blow.

In this time now upon these workers, the taxi drivers who hhave income from transporting guests, beach vendors, workers who deal with the travel industry , the loss of revenue from Electricity bill to BEC, fewer travellers not flying BahamasAir to and from the now closed hotel, the children of these hotel workers, merchants, farmers and suppliers to the hotel and the hundreds of other Bahamians who benefited, may the Good Lord help them all in these added challenges they face to find a good solution to ease their pain.

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