Ex-Mahe Beach workers to lose their jobs |17 November 2010

The firm – Oceanic Mahe Beach Resorts – has also decided to demolish the hotel and build a new one with chalets on the site.

This was said by Minister for Investment, Natural Resources and Industry Peter Sinon during Question Time in the National Assembly yesterday.

He was answering a question put by the elected member for Port Glaud, Ginette Gamatis, about the reasons for the long delay in rebuilding the hotel, which was sold more than two years ago.

She also wanted to know who is responsible for the project and about the position of the employees.

Mr Sinon said the Employment Department recently received a letter from Oceanic Mahe Beach Resorts – based in Dubai – in which it gave its decision to make all workers redundant. This company became operational in August 2007.

After buying the hotel, the company decided to retain all the staff, thinking that the project to renovate the building would be completed soon.

However, in the global financial crisis they suffered some setbacks and cost issues, and they have now decided to knock down the hotel.

Mr Sinon said it seems some workers have not been paid a salary during the past few months, but this is being settled with the help of the Employment Department.

He added that negotiations will have to take place with the company to ensure all benefits are paid to all workers.