Major Spanish hotel chain blasts Brexit for ‘forcing it to raise salaries’ as it struggles to find workers for its UK businesses

BREXIT might finally be seeing some green shoots as one of Mallorca’s flagship companies has had to raise wages for their workers in the UK.

The CEO and son of the founder of Melia Hotels International, Gabriel Escarrer, 53, has complained the chain is facing a severe staff shortage in their British establishments which has been ‘going on for two years.’

The squeeze has forced the Spanish hospitality champions, which operates a number of hotels in London and across the UK, to fork out an extra 13% on labour costs in 2023.

“Due to Brexit, it is difficult to find workers that want to work in certain jobs in the tourism sector,” Escarrer told el Economista.

“To ensure we capture the talent we need, salary increments have been higher than budgeted.”

The CEO and son of the founder of Melia Hotels International, Gabriel Escarrer, 53.

Escarrer assured that this outlay was in order to be ‘good employers and to ensure that we are able to attract the best possible talent and retain it.’

The news will be greeted with cheers by beleaguered Brexiteers, who have been searching around for good news after several years of poor economic performance post-Brexit.

Despite the Brexit broadside, Melia is still planning to open 20 new hotels boasting 4,000 hotel rooms across 2024, with 50% being in the luxury sector.

Along with Air Europa and Hotelbeds, it is the biggest company in the Balearics, boasting a market capitalization of €1.37 billion. 

The chain has a massive 160 hotels in Spain alone and employs 17,690 people worldwide.

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Walter Finch

Walter Finch, who comes from a background in video and photography, is keen on reporting on and investigating organised crime, corruption and abuse of power. He is fascinated by the nexus between politics, business and law-breaking, as well as other wider trends that affect society.
Born in London but having lived in six countries, he is well-travelled and worldly. He studied Philosophy at the University of Birmingham and earned his diploma in journalism from London's renowned News Associates during the Covid era.
He got his first break in the business working on the Foreign News desk of the Daily Mail's online arm, where he also helped out on the video desk.
He then decided to escape the confines of London and returned to Spain in 2022, having previously lived in Barcelona for many years.
He took up up a reporter role with the Olive Press Newspaper and today he is based in La Linea de la Concepcion at the heart of a global chokepoint and crucial maritime hub, where he edits the Olive Press Gibraltar edition.
He is also the deputy news editor across all editions of the newspaper.

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