Lotte Hotel Executives Return 10% of Salaries Due to COVID Impact... Encourage Unpaid Leave for Employees

[Asia Economy Reporter Kim Hyo-jin] Lotte Hotel announced on the 21st that its executives have decided to return 10% of their salaries for three months in response to the impact of the novel coronavirus infection (COVID-19) spreading to the hotel industry.

Lotte Hotel also decided to encourage all employees to take unpaid leave on a weekly basis between March and April.

The unpaid leave is to be used voluntarily by employees of domestic Lotte Hotels who wish to participate.

This decision is a self-help measure prepared as difficulties in hotel operations, such as reservation cancellations, have increased due to COVID-19.

According to Lotte Hotel, from the 23rd of last month, when the COVID-19 situation intensified, until the 17th of this month, the number of room cancellations at 30 domestic and overseas hotels operated by Lotte Hotel reached 50,000.

Previously, during the 2015 MERS (Middle East Respiratory Syndrome) outbreak, Lotte Hotel also encouraged employees to take unpaid leave, with about 30% of employees participating.