The Accor group logo - Francois Mori / AP / SIPA
The economic crisis resulting from the coronavirus pandemic affects all sizes of businesses, and more so in the tourism sector. The French hotel giant Accor announced on Tuesday significant losses in the first half of the year which will result in the loss of 1,000 jobs worldwide. The group, which has brands such as Ibis, Sofitel, Novotel, Mercure or Pullman, had been forced to close a large part of its hotels for several months because of the Covid-19.
Establishment of training
Accor will therefore set up a savings plan aimed at reducing its recurring costs by 200 million euros by 2022. This will result in layoffs among the 18,000 employees of the group, according to figures given by the CEO assistant, Jean-Jacques Morin. “1,000 people will have to reposition themselves, we will help them,” he explained, referring in particular to the establishment of training. These job cuts will "affect all of the group's entities", even if it is still too early for Accor to give geographical indications.
According to results released on Tuesday, the world's sixth-largest hotel group swung into the red in the first half with a net loss of 1.5 billion euros, mainly due to write-downs in the value of some of its assets due to the pandemic . Above all, the contrast is obvious if we compare with the months preceding the appearance of the coronavirus. Accor had indeed generated a profit of 141 million euros over the same period last year. As for the turnover, it was halved, to 917 million euros.
Despite this difficult context, the group opened 86 hotels, representing 12,000 rooms, over the semester, recalled Jean-Jacques Morin. This brings its global hotel base to 747,805 rooms in 5,099 hotels.
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- Covid 19
- Economic crisis