Thai hotels face severe staff shortages as they reopen after Covid

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The results also showed hotel occupancy in July averaged 45%, up from 38% the previous month. The August occupancy forecast was 42%.

Marisa attributed the recovery to the full reopening of the country on July 1, when the Thailand Pass entry system was scrapped, as well as government subsidies for domestic travel.

“Most hotel guests are Thais, although the number of foreign guests is increasing – mainly from Asia and the Middle East, followed by Western Europe,” she said.

Average room rates have increased since last year, but are still lower than pre-Covid. Hotels have delayed price increases due to low purchasing power and occupancy rates, Marisa added.

The recovery of Thailand’s hotel sector will strengthen this year but will still depend on Thai tourists, according to the Economic Intelligence Center (EIC) of Siam Commercial Bank.

The EIC raised its forecast for foreign arrivals this year from 7.4 million to 10 million.

He also identified many “challenges” for Thailand’s hospitality industry, including higher operating costs, labor shortages and tougher competition as luxury hotels slash prices and d others are reopening after the pandemic.

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