Hospitality group Banyan Tree lays off 15% of its global workforce as part of “right-sizing” exercise

Singapore-based hospitality group Banyan Tree Holdings recently announced that it is undertaking “right-sizing” and restructuring to adapt to post-covid-19 industry outlook.

In an exchange filing, the company said that it is undertaking a series of right-sizing and cost-saving exercises that has affected 10 to 15% cent of its global workforce.

The development was first reported by The Straits Times which said that the company is laying off about 30% of its workforce in Singapore. The company employs 11,000 staff across 47 hotels under various brands. In its home country, the company has around 180 people in its headquarters.

A Banyan Tree spokesman told The Straits Times that firms like Banyan Tree have borne the brunt of the pandemic. She said: “International travel has ground to a halt, so what reason do people have to stay in hotels for travel or business reasons?”

She added that everyone in the industry is affected and that the company has introduced measures to manage costs.

However, the group said it is committed to supporting this transition with transition packages recognising its employees’ years of service and contribution, and has set up a flexible-employment platform to provide associates with operational roles where possible, both within the company and through industry contacts.

Complimentary classes for reskilling and upskilling are also being offered. It also has an alumni database to help associates in corporate and support functions in finding new roles, it said.

“These measures are aimed not only at short-term savings, but at continued efficiency and flexibility, enabling the company to operate effectively into the future. These measures have also been planned such that the company’s ability to operate and respond to market demand at any time is not compromised, it said.

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