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Hilton cuts corporate workforce as travel stumbles

Hilton

Hotel giant Hilton will cut more than a fifth of its head office staff at the company downsizes in the wake of the coronavirus pandemic.
Some 22 percent, or 2,100 jobs, will go at the company, which has been hard hit by a slowdown in travel caused by the Covid-19 outbreak.
Rivals Marriott International and Hyatt Hotels have also laid off or furloughed thousands of employees as bookings plunge.
Hilton said it is also extending previously announced furloughs, reduced hours, and corporate pay cuts for up to an additional three months.
“Never in Hilton’s 101-year history has our industry faced a global crisis that brings travel to a virtual standstill,” Hilton chief executive Christopher Nassetta said in a statement.
“Hospitality will always be a business of people serving people, which is why I am devastated that to protect our business, we have been forced to take actions that directly impact our team members.”
Most hotel operators have signaled that a fall in bookings would hit a bottom in the second quarter.
A a turnaround already taking place in key markets such as China, as the second-largest hospitality market gradually reopens for business.
Employees impacted by the Hilton announcement are expected to receive severance pay, access to Hilton alumni resources, an expedited recruitment process when travel resumes, and extended access to team member travel and loyalty programs.

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