Painting and Elevator Renovation Costs Soar, Maintenance Expenses Rise
Average Employee Salary Exceeds 100 Million Won... Slow Financial Recovery After COVID-19
The Eiffel Tower, known as the symbol of Paris, is suffering from chronic deficits, raising the possibility that the Paris City Council may once again increase admission fees.
The Times of the United Kingdom reported on the 15th (local time) that "as the financial difficulties of the Eiffel Tower operating company (SETE) deepen, the Paris City Council is considering another ticket price hike."
Currently, the elevator fare to the top floor for adults is 36.10 euros (about 60,000 won), which is already an 18% increase from last year. Nevertheless, the Eiffel Tower posted a loss of 8.5 million euros (about 14.1 billion won) last year, and the cumulative deficit is expected to reach 31 million euros (about 51.3 billion won) by 2031.
The French Court of Auditors pointed out that "the operating company underestimated maintenance costs." In fact, the repainting project budget in 2018 was 50 million euros, but the final cost soared to nearly three times that amount at 142 million euros. The renovation of the north tower elevator also far exceeded its budget (32 million euros), with a total of 58.3 million euros spent.
Labor costs are also a significant burden. The personnel expenses for 441 employees increased from 25.9 million euros in 2019 to 32.3 million euros this year. The average annual salary per employee is 72,317 euros (about 105 million won), and even those in simple work positions receive 49,032 euros (about 72 million won) including bonuses. Welfare benefits are among the highest in the French public sector, with employees receiving triple pay for working on public holidays and double pay for working on days off.
The COVID-19 pandemic further exacerbated the financial difficulties. During the lockdown period, revenue losses amounted to about 149 million euros, which have yet to be recovered. The operating company tried to make up for the deficit by raising admission fees, but faced limitations due to public backlash. The target number of annual visitors was also lowered from 7.4 million to 6.6 million because of citizens' opposition to overtourism.
The Paris City Council stated, "We are reviewing the Eiffel Tower's pricing system," effectively signaling an intention to raise fees. Pascal de la Tour du Pin, a host on France's RMC radio, commented, "The Eiffel Tower is one of the most visited attractions in the world, so it's surprising that it could be running a deficit."
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