'SARS to cost 10,000 Batam jobs'<\/p>\n
Fadli, The Jakarta Post, Batam, Riau<\/p>\n
The outbreak of Severe Acute Respiratory Syndrome (SARS) that has
\nbadly hit Singapore, Hong Kong, China, Vietnam and Canada, has
\nhad an adverse impact on the tourism and service industries on
\nBatam island, with more than 100,000 workers facing layoffs or
\ndismissals.<\/p>\n
More than 7,000 low-level workers employed in around 40 hotels
\nand some 3,500 others employed in entertainment centers,
\nrestaurants and massage parlors are facing dismissal or layoff
\nbecause of a drastic decrease in foreign tourist arrivals.<\/p>\n
According to data from the Batam Industrial Development
\nAuthority (BIDA), the number of foreigners visiting the island
\nhas drastically dropped by 50 percent to about 1,000 per day over
\nthe last two months from around 3,000 per day in March and April,
\n2002.<\/p>\n
The owner of the Novotel hotel, Anas, said the occupancy rate
\nhad dropped to 30 percent over the last two months from 60
\npercent in January and February.<\/p>\n
\"We are making savings and calculating the number of employees
\nthat will be laid off for several months until the SARS epidemic
\nhas been overcome in the Asia Pacific region,\" he told The
\nJakarta Post here on Tuesday.<\/p>\n
Turi Beach Resort marketing manager Trozzy said that of 100
\nrooms in the resort, only five were occupied. \"Many European and
\nMiddle Eastern tourists have been reluctant to visit Singapore
\nfor fear of the SARS virus while many Singaporeans and Malaysians
\ndon't want to visit Batam for the same reasons,\" he said.<\/p>\n
The frequency of the fast ferries plying the Singapore-Batam
\nand Djohor-Batam routes has also dropped by 50 percent because of
\nthe unfavorable situation.<\/p>\n
Health Massage 234 manager Evi said the number of foreign
\nguests visiting the biggest massage center on the island had
\ndecreased to around ten from between 50 and 100 per day
\npreviously.<\/p>\n
\"We are still receiving around 10 guests per day but they are
\nmostly locals,\" she said, adding that she was considering laying
\noff some of her employees to reduce costs.<\/p>\n
She added that she might have to close the massage center for
\nthe time being should the worst come to the worst.<\/p>\n
She admitted that the massage center made a profit of around
\nRp 90 million per month in January and February, \"but this month
\nour income is only Rp 18 million and it is not enough to cover
\nour operating and labor costs.\"<\/p>\n
Joyo, a traditional masseur, regretted the situation, saying
\nthe SARS epidemic affected not only Singaporeans but also his
\nincome.<\/p>\n
He said he and the three other members of his family could
\nsurvive the economic crisis not from his monthly salary of Rp
\n400,000 but from the tips his customers gave him.<\/p>\n
\"Speaking frankly, I usually get between Rp 1 million and Rp
\n1.5 million in tips from my customers,\" he said.<\/p>\n
Rio Rita Karaoke House manager Mery said she has 12 VIP rooms
\nin the entertainment center but only around two rooms were rented
\nper day.<\/p>\n
\"Don't ask me about our monthly income. The situation is
\nthreatening our survival. The SARS issue has hit the service and
\nentertainment sector worse than the Bali blasts and the Iraq
\nWar,\" she said.<\/p>\n
BIDA head Ismeth Abdullah called on the government to forge
\ncollaboration with other countries in the region to handle the
\nSARS epidemic and to prevent it from affecting investment on the
\nisland.<\/p>\n
\"The industrial sector will be worst hit if the epidemic
\ncannot be overcome in the next one month,\" he said.<\/p>\n
Riau Deputy Governor R.A. Aziz said the provincial
\nadministration has delayed several collaboration projects with
\nSingapore for the time being until SARS had subsided.<\/p>\n
\"The SARS outbreak has also hit the tourist industry in
\nTanjung Balai Karimun and Tanjung Pinang,\" he said.<\/p>\n
He called on the Batam municipal administration and BIDA to
\nremain on the alert for the possible spread of SARS to Indonesia
\nthrough the island by imposing tight checks at the airport and
\nall four seaports on the island.<\/p>",
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"sponsor": "Okusi Associates",
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