The HORA Employer Organization publicly expresses its concern regarding the disastrous effects created by the spread of the COVID-19 virus in the hospitality industry, effects that are felt throughout the global tourism industry. As a result of the crisis caused by the global pandemic and the restrictive measures established by the authorities, our industry is currently the most affected, recording a sharp decline that led to a decrease in turnover by approximately 70% compared to last year and determined the suspension of activity for over 40% of operators.
Before the COVID-19 crisis, 40,000 commercial companies with 100% Romanian capital were active in the HoReCa industry, having a turnover of 5 billion EUR and approximately 400,000 employees, representing 10% of the total number of employees active in the private sector.
At the same time, our industry contributed significantly to the evolution of companies developing businesses in related fields, such as agriculture, local ingredient suppliers, raw material producers and distributors for kitchens, food importers and distributors, service providers dedicated to the industry, as well as management systems, cleaning, transport, logistics, and packaging.
According to the study commissioned by HORA together with member organizations in APT, conducted over a 5-year period, it is shown that the HoReCa contribution to GDP is approximately 5.07% as follows:
- direct financial impact (added value) – 3.42%
- social impact (employee salaries and consumption contribution) – 0.91%
- indirect financial impact (suppliers and investments) – 0.74%
Regarding activity in other European countries, it can be observed that the HoReCa industry can function. Outside of Romania, all European Community countries have reopened restaurants (indoor and outdoor) with strict regulations, their compliance being under the close supervision of the state, which has thus managed to maintain a much lower number of illness cases compared to Romania.
Taking into account the fact that the reopening of terraces on June 1 did not lead to an increase in the number of infected people, we can conclude that the complete reopening of restaurants can be done safely in units where regulations are respected. HORA, the Employer Organization of Hotels and Restaurants in Romania, has over 100 members and aims to redefine the Romanian hospitality industry on economic and cultural coordinates.
Frequently Asked Questions
How much did the HoReCa turnover decrease during the pandemic?The industry recorded a sharp decline of approximately 70% compared to the previous year due to the pandemic and restrictions.
What is the economic weight of the HoReCa sector in Romania?The HoReCa sector contributes approximately 5.07% to the GDP and supports 10% of the total private sector workforce.
Is it safe to fully reopen restaurants?According to HORA, the experience of reopening terraces shows that activity can be resumed safely if sanitary regulations are strictly followed.