Hundreds of Marriott staff could lose jobs

17 January 2017 by
Hundreds of Marriott staff could lose jobs

Hundreds of staff could lose their jobs across Marriott, just four months after it became the world's largest hotel group following its £9.5b takeover of Starwood Hotels & Resorts.

It is believe that Marriott could cut as many as 750 jobs, with a number of those in the UK, however the company would not confirm numbers. Some jobs are thought to have gone already.

A spokesperson for Marriott said: "In October 2016 Marriott International announced a new proposed structure for the UK hotels and above-property functions, to create a sustainable support structure for the growing portfolio of hotels. The majority of associates within the UK are not impacted by this proposal. The consultation process with impacted associates is underway.

Parent company Marriott International announced in November that it would be laying off 163 staff at Starwood's head office in Stamford, Connecticut, as the result of the duplication of positions at the corporate level following the acquisition.

In the same month, the company published its third quarter figures for 2016, which revealed that it had cost $228m (£183.8m) to acquire Starwood, resulting in the company's profits falling 67% to $70m (£56.4m) from $210m (£169.3m). Meanwhile, the company‘s total revenue from July to September 2016 increased by 8.3% from $3.6b (£2.9b) to $3.9b (£3.1b), including eight days of Starwood's results following the takeover on 23 September.

Commenting on the merger between Marriott and Starwood in Europe, the spokesperson said: "On 23 September, 2016 Marriott International completed its merger with Starwood Hotels & Resorts. Following the legal close of the merger, we evaluated the needs of the Europe division with the goal of optimising the business to operate as efficiently as possible, deliver sustainable growth and ensure a strong future.

"Sustainable growth relies on the combined organisation having a well-connected work force and efficient office infrastructure. As such, in accordance with Belgian law Marriott provided notice of its intent to no longer have an above-property presence in Brussels and close the office. This intention was announced on 7 October 2016 and the collective consultation process is underway."

One former employee now looking for work is Barrie Bradnock, who only joined Marriott Hotels as acting director of engineering in July 2016. Writing on his LinkedIn profile, he said that he was now "looking for the next chapter".

Following the Starwood acquisition, the Marriott UK portfolio comprised 74 hotels, representing half of the 30 brands the company now boasts worldwide.

Marriott boss Arne Sorenson to receive IHIF Lifetime Achievement Award >>

Cost of Marriott's acquisition of Starwood results in 67% fall in profit >>

Marriott completes acquisition of Starwood >>

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