Concerns grow over UAE hotel workers facing extended leave or termination amid rising hotel vacancies

UAE: Concerns have grown among netizens over hotel workers in the United Arab Emirates facing extended leave or termination amid the Middle East war.
One netizen, raising awareness of the situation, wrote on r/UAE: “It’s no secret anymore that the current hotel occupancy levels are at record low. As low as 10% but ranging from 10% to 30%. Hotels and resorts, especially the top-tier ones, cannot sustain this level of occupancy levels for longer. Many top tiers have already announced closures.”
Mentioning hotels such as Jumeirah Burj Al Arab, Armani Hotel Dubai, Atlantis The Palm, Park Hyatt Dubai and Radisson Blu Hotel Dubai, he added, “Most employees will be sent out on long leave or termination. Each of these hotels easily employs 500+”
Besides hotel workers, he pointed out that hotel closures lasting several months, whether temporary or for refurbishment, will affect not only the hotels themselves but also hundreds of other companies, including food suppliers, laundry services, transport companies, event planners, cleaning contractors, and tourism businesses.
“This will send a literal shockwave. Hundreds of companies are tied to the hotel industry. Multiple banks carry huge amounts of loan load by these hotels, on the other hand. That’s another domino on its own when the defaulters are in the tens or hundreds of millions AED. Every industry will start feeling the heat, and most already have, obviously. Just 10x worse in a month.”
Commenters shared the same sentiment.
One said, “Wars always hurt civilians first. Hotel workers don’t start wars. They just lose jobs. That’s the tragedy. Not the buildings. The people.”
Another commenter claimed, “Last week, 700 staff were laid off at Atlantis. This isn’t me guessing or speculating. My close friend works there, and one of the big names in my industry was laid off, who had been there 18 years.”
However, one Dubai traveller, who often goes there for leisure, shared a more optimistic note, saying, “I wouldn’t fly to Dubai right now because there is so much uncertainty, but once this is all over, I wouldn’t be afraid of going back. I’m sure Dubai will bounce back. It’ll just take a little bit of time, as hotels will need to rehire and retrain.”
The Economic Times reported that at least seven premium hotels in Dubai, including Armani Hotel Dubai and Jumeirah Burj Al Arab, have announced temporary closures or scaled-back operations for renovations, as tourist arrivals slow amid the US–Israel–Iran conflict.
Others, such as Park Hyatt Dubai, St. Regis The Palm, and Radisson Blu Hotel Dubai, will also undergo refurbishments, while Atlantis Dubai has paused operations at several restaurants across The Palm and The Royal.
Industry executives expect more luxury properties to follow, with weaker demand likely to persist through summer, alongside hotel upgrades to improve resilience and security.
The region is also seeing fewer flights, Airbnb cancellations and more cautious household spending, CNBC reported.
In March, the World Travel & Tourism Council (WTTC) estimated the conflict had already cut at least US$600 million a day from international visitor spending, as disruptions to air travel, traveller confidence and regional connectivity weigh on demand in the region. /TISG
This article (Concerns grow over UAE hotel workers facing extended leave or termination amid rising hotel vacancies) first appeared on The Independent Singapore News.










