PETALING JAYA: Mahkota Hotel Melaka in the state’s city centre will close indefinitely with its employees given their two months’ termination notice as stipulated under their collective agreement.
A letter on the closure sighted by FMT, addressed to the National Union of Hotel, Bar and Restaurant Workers, states the employees’ last working day will be on July 31.
The hotel cited the financial impact of Covid-19 and the movement control order (MCO) for its inability to sustain business operations further.
“As a result of the crisis, the continued operation of this hotel is no longer viable.
“It is with sincere regret that we wish to inform that the owners have now decided to close the business of the hotel indefinitely,” the letter said.
It is understood that the hotel employs about 110 people.
The hospitality industry has been crippled by local and international travel restrictions due to the virus, leading to closures and unemployment.
More recently, FMT reported that some five-star properties have even been put up for sale.
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