Hotel halts operations, lays off over 150 workers

By Linda Straker

MORE than 150 workers in the tourism industry joined the unemployment line as of October 15 when one of Grenada’s four-star properties shut its doors at 12 noon.

Elite Island Resorts, which has been providing marketing services for LaSource, has announced that the 100-room facility has shut down its operations. The non-unionised workers have reportedly met with the management and were informed that the business will resume under new management and they will have to re-apply for jobs while others were given part-time employment letters.

“We are saddened and disappointed that the owners of the resort were not able or willing to do more to keep LaSource open,” said Steve Heydt, president of Elite Island Resorts. LaSource, which was heavily damaged by Hurricane Ivan in 2004, was re-opened in February 2008.

In a statement, the hotel owners gave the assurance that the property will resume operations, but did not provide further details on how or who will be responsible for the ownership or management when it re-opens.

A statement from the Ministry of Tourism said that it is aware of the content, while Tourism Minister George Vincent said that he expects that the Liberty Club, which operates the hotel “will provide additional information on this matter forthwith”.

Data from the Grenada Board of Tourism states that there are 1 690 rooms. The closure of LaSource will reduce it to 1 590.

The announcement from LaSource is one of the many decisions taken by various direct tourism stakeholders that can have negative implications for the island’s tourism sector. Delta and American Eagle earlier this year said that it will no longer be offering flights to the island, while LIAT, American Airlines and British Airways have announced flight reductions.