Nepali Times
Domestic Brief
Five-star fracas


Just to recap:

. Two hotel unions decided to go on indefinite strike from 11 December demanding a 10 percent service charge on top of their salaries.

. Hotel owners said no way, and threatened a lockout.

. The government belatedly intervened and on the eve of the strike convinced the unions to agree to a two-month moratorium.

. Sulking hotel owners said we've lost business anyway so we will remain closed, and started evicting guests from their own hotels.

. Prime minister met hotel owners and coaxed them to reopen, which they did.

A rift between tourism entrepreneurs prompted owners to reluctantly lift the lockout "in the interest of the economy". But travel trade sources tell us much of the damage has already been done. Many Christmas and Millenium bookings have been cancelled, airlines have curtailed flights and hotels are nearly empty. "The situation is murky," said one hotel owner. "Since there is no business for the next few months it would have been better to remain closed and force the issue once and for all." Some HAN members are angry that after all this heartbreak, the issue has not been resolved, only postponed. In two months, the tourism industry will have to go through the whole bitter experience again. A high-level government mediation panel is looking into the union demand for service charge and is supposed to come up with a recommendation in two months.


LATEST ISSUE
638
(11 JAN 2013 - 17 JAN 2013)


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