Virendra Jain, co-founder and CEO, videc: "Even though furloughs are not as dire as a termination, more than 40% companies have also introduced pay cuts attached to the furloughs." Credit: videc
WORLDWIDE - A Global Travel Staffing Barometer has been launched as a free-to-use tracker by videc, a boutique advisory and analytics firm. The barometer offers industry insights on the state of terminations, furloughs and pay-cuts, across industry categories and countries, collated from various sources and updated on a daily basis.
Some half a million workers in the travel, tourism and hospitality industry have been furloughed in the last three weeks. "The travel industry is crumbling before our eyes with more than half a million lay-offs in less than a month. Amid the global spread of the pandemic, companies of all shapes and sizes - from the billion-dollar valued to startups - are trimming costs, disbanding, and letting go off their most precious asset - the workforce," said Mr Virendra Jain, co-founder and CEO, videc.
The Global Travel Staffing Barometer quantifies the discharged staff and aims to become the central hub for tracking the loss of human resources, and in time offer the first glimpses for the road to recovery for the travel industry.
Mr Jain said: "So far, the broad feedback we have received is that the Global Travel Staffing Barometer is a great tool to monitor the trends, but at the same time it is ominous. The latter is especially true. For that reason, we as an industry not only need to gauge the impact of jobs at risk, but also initiate ways to look after or support one another. After all, the travel industry is the world's largest employer and contributor to the global GDP.
"An industry friend who was recently laid off said, 'Not sure if it is depressing after reading your post or should I feel like I am not the only one'. It is feedback like this that encourages us to update the Global Travel Staffing Barometer beyond simply an analytical tool."
Mr Jain said that feedback since the barometer's launch has given him ideas to several new dimensions which can be incorporated for the benefit of the industry.
However, the single-most worrying trend is the spike in job risks. "Even though furloughs are not as dire as a termination, more than 40% companies have also introduced pay cuts attached to the furloughs. This will inevitably impact the workforce. On the other side, it is heartful to identify that more companies have initiated management pay-cuts than staff pay-cuts.
"In majority of the cases, the management and boards of those companies have agreed to forgo their renumeration for the rest of 2020. Some management have also setup a fund based out of their forgone renumeration to support their employees during this time of crisis."
For more information on the Global Travel Staffing Barometer, click here.