Travel agencies will recover much slower than other sectors, including HORECA, and if the state does not introduce more measures to protect them, it will be extremely difficult to remain in business, says Nicolae Demetriade, president of the National Association of Travel Agencies (ANAT).
“If measures are not taken to support the activity of travel agencies, because we are the first to have suffered and the last to recover, they will suffer greatly and it will be extremely difficult to stay in business. All the efforts we are making right now are to be able to offer compensatory vouchers for rescheduling vacations for a period of one year, but discussions with the state are moving very slowly,” stated Nicolae Demetriade.
He says that of all the support measures requested by agency representatives, only one has a chance of being resolved and will likely be announced in the next government meeting. This involves the reintegration into activity of personnel who were on technical unemployment, for whom the state would cover 41% of the average salary in the economy until the end of the year.
“We are waiting with maximum interest, and we do not understand why we are waiting so long, for those grants from the European Union, totaling 300 million EUR, to be given to all SMEs that suffered due to the coronavirus. We have the impression that they are trying to show us how generous the state is, and this measure comes extremely late and is not attractive enough. For us, from what is being said, we will be granted 18,000-20,000 EUR/company, everyone together, regardless of the company’s profile, which means almost nothing. These sums are given, theoretically, for the restoration of working capital, which means having the possibility to keep people at work. But a small to medium agency pays 40,000-50,000 EUR/month in salaries alone,” Demetriade added.
Frequently Asked Questions
What is the main challenge for Romanian travel agencies?Travel agencies are among the hardest-hit sectors and are expected to be the last to recover, making state support critical for their survival.
What government support measures are currently expected?The most likely measure is the state covering 41% of the average salary for employees returning from technical unemployment until the end of the year.
Why are the proposed EU grants criticized by ANAT?The expected grants of €18,000-20,000 per company are seen as insufficient, as even medium-sized agencies have monthly payroll costs exceeding €40,000.