With the massive hit to all markets across the globe, the hospitality and lodging industry hasn't made it through unscathed. Vacation travel has come to a standstill, with self-isolation and stay at home initiatives issued by governments everywhere, platforms like Vacasa have been hit hard.
The company said in a recent statement:
“With rapidly evolving travel restrictions and closures in popular vacation destinations like ski resorts and beaches, we are seeing a significant decline in reservations and revenue. To preserve the longevity of our business, we have to make proactive and significant cost adjustments, including staffing changes across the organization.”
Vacasa has yet to specify the number of employees that are being laid off or how many hours are cut for the remaining employees, the company stated that interim CEO Matt Roberts will not be taking pay through the end of the year and that over executives are having their compensation cut in half.
Economists in the States say a recession is inevitable, with the duration and severity dependent on how quickly the outbreak is contained.