In a letter posted on the hotel’s notice board, the management said that business had come to a standstill.

Mysurus iconic Southern Star hotel shuts down after suffering losses during lockdownSouthern Star Hotels website
Coronavirus Coronavirus Wednesday, May 20, 2020 - 11:43

One of the most iconic hotels in Mysuru, the Southern Star, which has operated in the city for around 40 years, shut down operations on Tuesday due to the losses it suffered in the wake of the ongoing lockdown. In a letter to its employees, the General Manager of Southern Star said that the hotel’s management decided to shut down as it would be difficult to operate even after the lockdown is lifted. The letter was posted on the notice board at the hotel. 

“Under the circumstances, the management has decided to close down the hotel by terminating all its employees,” the letter stated. 

The company terminated around 81 employees, stating that business had come to a standstill during the lockdown. 

“Business/commercial activities/industries have come to a standstill. In particular, hotels have been affected badly and the situation will continue indefinitely, even after the lockdown is lifted. This is because, according to the WHO (World Health Organisation), the pandemic may take a long time to eradicate and tourists, both local and foreign may not want to risk their health,” the General Manager’s letter to the employees said. 

“The entire hospitality industry has been hit hard due to the COVID-19 pandemic. We had a lot of expenditure on paying employees, ensuring they get their perks, and also managing the hotel during the lockdown. We do not expect hotels to start operating until November this year and it is not possible to continue till then,” Naresh Kumar, General Manager of Southern Star told TNM. 

Naresh Kumar stated that all employees will be duly compensated for their work and that there was no need for employees to worry. “We have already sent letters to the employees that termination compensation will be paid. We will ensure that everyone gets what they have to,” he added. 

He further said that there is no plan to reopen the hotel even after November as of now. “It is not going to be possible to recover from this situation even after November and there are no such plans as of now,” he said. 

The hotel has hosted superstar Rajinikanth and Bollywood actors Salman Khan and Aishwarya Rai during their visits to Mysuru and was the preferred hotel for corporate events and literature fests in the city, TOI reported

Located along Vinobha Road in Mysuru, Southern Star’s income was driven by travellers both domestic and international. There are 22 star hotels, 405 lodges, 180 vegetarian restaurants, 130 non-vegetarian restaurants, 300 bakeries and 45 sweet stalls in Mysuru city and employ around 25,000 people who face a similar threat of shutting down due to lack of income, according to a report by Deccan Herald. 

 

Show us some love! Support our journalism by becoming a TNM Member - Click here.