Retrenchments, closures abound in tourism sector

The local tourism sector has been equally hard hit by regulations pertaining to the nationwide lockdown, and even though some restrictions have been eased, it seems not to have been enough to mean the survival of many businesses. Donald Kaletsane of Modern Day Magheza says the regulations do not favour small businesses at all. He …

The local tourism sector has been equally hard hit by regulations pertaining to the nationwide lockdown, and even though some restrictions have been eased, it seems not to have been enough to mean the survival of many businesses.
Donald Kaletsane of Modern Day Magheza says the regulations do not favour small businesses at all.
He owns a travel agency that he says has lost over R150 000 in trips that have been cancelled.
“Between April and July, I had three group trips planned comprising roughly seven people each. You can image the amounts lost just from these transactions.”
Kaletsane says he initially had hopes of the lockdown regulations being eased by September, when the tourism sector annually sees an upsurge.
“Most people, are however, still skeptical about travelling. I try to assure them of the safety regulations in place but people are afraid of contracting the virus.”
A couple who own a lodge in the city, but who preferred to stay anonymous, say they have had to let most of their staff go.
“From the 16 permanent employees we had, 10 have been retrenched and four work on a day-to-day basis. The other two come in only twice a week. Since the lock down we have been relying on our long-term clients who have leases.”
They say although the past four months are naturally slower times in the year in terms of tourism, the little they would have generated would have helped to cover the expenses.
“We are hoping that when peak season approaches, people will be more confident about going out for leisure. For now we are just trying to cut down on costs as much as we can.”
Zaid Kalla, Tourism Departmental Spokesperson, says the MEC, Thabo Mokone met with various stakeholders in the industry on Tuesday to address concerns in the industry.
“The MEC has vowed to intensify efforts in taking maximum advantage in areas where the sector can witness some recovery. The department will also ensure stakeholder participation as it drafts the post Covid-19 Tourism recovery plan.”
Gerhard Franken, the Chairperson of the Limpopo Provincial Tourism Association says the engagement with the MEC yielded an advisory group comprising stakeholders.

Story: Umpha Manenzhe

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