Greek hotel owners are facing huge losses this year as Tui AG, the largest leisure, travel and tourism company in the world, is deferring the payment of monies due to them this year — until March of 2021.
The Anglo-German tour operator has issued several contract amendments requiring the hoteliers to hold off until March to receive three-quarters of the money due to them for stays made this year, the Financial Times reports.
According to the FT, the payments run into the hundreds of thousands for many hotels, with two hotel owners saying they are owed more than 600,000 euros each.
The Greek tourism minister said the government was “monitoring the situation closely.”
More than 2,000 Greek hotels collaborate with Tui. The Greek tourism industry is estimated to have lost 12-14 billion euros this year due to the pandemic.
Tui has also understandably been hit hard by the pandemic, with the company saying in August it lost €1.5 billion in the third quarter ending June 30 as it announced a restructuring program to save cash which could put 8,000 jobs on the chopping block.