Global hotel chain Mandarin Oriental is feeling the effects of the COVID-19 pandemic. It had already announced in March that it was cutting the wages of staff across the globe or placing them on unpaid leave. However, on May 27, in a surprising move, the Mandarin Oriental Taipei announced that it will no longer accept reservations starting June 1 and announced that it will lay off 212 employees on June 7.
Please do not enter. Please leave.
A Mandarin Oriental Taipei security guard prevents reporters from entering the hotel. When reporters asked employees about the news that the hotel is set to lay off employees, they were referred to the hotel's management. The news came as a shock to everyone, including employees who have worked at the hotel for six years already. They said they were only notified on May 27 that their final day of work is June 7.
When is your last day? It appears to be June 7. When did you receive the notice? The media was only notified yesterday (May 27). Yesterday.
There aren't changes in other departments. The layoff appears to be primarily affecting the rooms division.
The hotel announced that it will no longer provide guest room services, and is set to lay off 212 employees on June 7. The Mandarin Oriental Taipei employs 863 people, including around 500 in the hotel division. It previously dismissed 39 people, meaning the total number of laid off employees is 251. As this is considered to be a mass layoff, the hotel is required to comply with regulations protecting laborers. Taipei City's Department of Labor says negotiations are currently underway between management and laborers, and the hotel must carry out the layoffs in accordance with related regulations.
We would have liked them to conform to the 60-day notice requirement. If they continue to insist on doing it their way, we will of course fine them for violating the 60-day notice requirement.
The Tourism Bureau has financial relief packages, but the Mandarin Oriental did not apply for them. Perhaps they have their own considerations related to their operating strategy.
Transportation and Communications Minister Lin Chia-lung said this is considered to be a mass layoff, and therefore the Ministry of Labor will get involved with the negotiations. He added that an exit mechanism is available and he respects the right of businesses to decide to lay off employees.