Covid-19: KL Hilton offers retention programme, retrenchment package to some employees

PETALING JAYA: KL Hilton has offered employees a retention programme and some staff members will be affected by a retrenchment exercise following the Covid-19 pandemic.

"As we navigate the unprecedented challenges brought upon by Covid-19, we would like to thank you for your continuous support and understanding during this difficult time.

"We are forced to make difficult decisions to ensure the continuity of the business and in order for the hotel to continue to operate," it said in a letter dated Wednesday (April 29) to its staff members.

According to the letter, a group of team members will be placed on the employee retention programme where it will provide financial aid of RM600 on a monthly basis for a period of one to six months.

"In the event the application is unsuccessful, team members will be placed on unpaid leave," the letter read.

The letter also noted that a number of team members will "regrettably be retrenched based on the ‘Last In-First Out’ (LIFO) process".

"All final dues calculations will be provided to you individually by registered post together with a reference letter," it said.

Staff members have also been urged to apply claims from the Employee Insurance System (EIS) through the Social Security Organisation (Socso).

"All remaining team members who do not fall under the above categories will remain as per the latest signed agreement (a 20% or 50% salary deduction)," it added.

"Please be advised that the hotel reserves the right to review, change or modify all salaries, benefits, terms and conditions of employment, based on prevailing market conditions," it said.

According to the Malaysian Association of Hotels (MAH), about 15% of hotels in Malaysia may have to shut their operations due to the Covid-19 pandemic.

This finding was based on a survey conducted by MAH on April 16.