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Impossible to Pay Salaries & Wages to Staff With Zero Cash Flow, Says Hotel Association, Seeks Relief from CM Jairam Thakur
Shimla-The nationwide-lockdown in wake of the COVID-19 pandemic has badly hit the States having tourism industry as their major source of revenue. In such states, the financial crisis is staring in the face of every individual associated with the hospitality industry.
For Himachal Pradesh, this industry is the second-largest source of revenue, which implies a large number of people are dependent on their livelihood on tourism. This year, the State tourism activity is sure to remain closed during both the peak seasons for tourism– summers and winters.
The fear of loss of jobs or unpaid leaves is looming large on the heads of lakhs of people employed with travel agencies and as staff at hotels and restaurants or working as taxi drivers etc. The revival of this industry would be a slow process even after the end of the lockdown.
With this concern, led by its president Sanjay Sood, a delegation of the Shimla Hotel and Restaurants Association that also included office bearers Mr. Prince Kukreja and Mr. Baljeet Singh met the Chief Minister Jai Ram Thakur on Wednesday.
The delegation sought relief for the battered tourism industry in the State and apprised the Chief Minister regarding issues like staff salaries, electricity bills, Bar Licence fees etc.
The delegation appreciated Jairam Thakur for being the first Chief Minister to impose a complete curfew to tackle the COVID-19. The association hoped it would help making Himachal a coronavirus-free State soon.
However, due to the lock down, the tourism industry has taken a major setback and would take a much longer time to revive as compared to any other industry due two major reasons, he said.
First, people will be scared to travel for a long time even after the situation normalises. Secondly, due to poor financial health post-lockdown, people will be left with very less spending capacity and would be busy resurrecting their lost businesses rather than travel for leisure.
Sanjay Sood said that the majorly affected industry would require immense support from the State Government to revive itself. He sought some immediate reliefs to tide over the major crises, which are as followed:
Note: The below-given information has been published from the presentation given to the Chief Minister by the Delegation and is not edited by Himachal Watcher.
Salaries and Wages:
- Our industry is highly labour intensive; we require unskilled, semi-skilled and skilled manpower in large numbers. With our business completely shut down since the 3rd week of March and after foreseeing a long period after which we expect our sector to revive, our biggest concern is the Salary and wages of our staff. We deeply understand that the livelihood of so many families depends on the establishments. It is impossible to pay the salaries & wages with zero cash flows for such a long period and it pains us not being able to pay the remuneration to them. Since the staff is technically on leave due to this medical emergency, the ESIC Corporation can be directed to pay their salaries as they do when the staff is on leave due to some medical condition. This support from the Govt/ESIC will be required not only during the lockdown period but also, 6 months after that, since Tourism is not likely to pick up till the last quarter.
- For the staff who are beyond the coverage limit of the ESIC, the establishments may be allowed to pay 25% of the salary and balance may be paid by Government/Government agency like EPF.
- For the units which are not covered under ESIC but which are covered in GST, we request that the Government pay salaries to all the employees corroborated by balance sheet and certified by CA.
Property Tax, Water & Sewerage Charges:
- There is an automatic increase of 15% in the water charges every year. This be deferred completely for at least 5 years.
- As there would be hardly any consumption/usage during the lockdown period, it is requested that the water & sewerage charges should be completely waived.
- The Property Tax for the year 2020-21 may please be waived off.
Electricity Bills:
- The electric charges include a “Fixed Charges”(Demand Minimum Charges) component, which is like a fixed rental. This be exempted for the lockdown period, as has already been done by the Uttar Pradesh Govt.
- The bills of the lockdown period may be allowed to the paid after 6 months with no penalty.
- Reduction in commercial electricity Tariff by about 10% to 20% for a period of 5 years, on the lines of announcements made by Maharashtra, Punjab & other Electricity Regulatory Commissions of various states.
Local Taxes:
- The Local/Municipal taxes to be stayed for a period of one year starting from 1/4/20. This can be borne by the State Govt.
- The garbage collection fees charged from Hotels & Restaurant s should be exempted as all units stand closed due the lock down
Promotion:
This support is not required immediately, but post lockdown the Govt should promote & advertise our destinations extensively & encourage domestic tourism. All pending proposals with regard to infrastructure should be cleared at the earliest, for this sector to pick-up.
Bar license & VAT:
- Bar Licence fees paid for the year 2020-21 may be rolled over as advance for the year 2021-22.
- The quota for current and the next year may please be lifted as there is no business expected anyways.
Minimum Wages:
- Minimum wages in terms of VDA not to be increased of fixed for at least the next 2 years.
“There are some issues like reduction in GST on Hotels, Loan waivers and repayments which are a central Government subject. You are requested to get a special package for Himachal Pradesh as hospitality is a very big Industry here,”
Sanjay Sood urged.
Further, he assured that the association would extend its full support during these uncertain and hard times.
Solan—In a shocking incident on Monday, an 18-year-old youth, Pravesh, survived a vicious leopard attack in Sarli village of Arki subdivision. The teenager reportedly fought the leopard for nearly 12 minutes before breaking its jaw, killing the animal on the spot.
Quick Thinking Saved His Life
Pravesh told the media that he was walking from the fields to a nearby shop in the morning to fetch milk when the leopard, hidden in the crops, lunged at him. Noticing the leopard’s tail, he attempted to run but fell after a short distance. During the attack, he covered his neck with his hands to protect himself from fatal bites.
The teenager continued to struggle with the leopard, repeatedly attempting to put distance between himself and the predator. In a desperate move, he grabbed the leopard by its mouth, twisted its jaw, and broke it, killing the animal instantly. Pravesh sustained multiple injuries, including deep claw marks, and is currently receiving treatment at Arki Hospital. Police and forest department teams have launched an investigation into the incident.
Serious Allegations of HP Forest Department’s Negligence
One of Pravesh’s relatives accused the forest department of negligence, noting that similar attacks had occurred in the area previously.
Earlier, a leopard had attempted to attack a scooter rider, who managed to escape. The family said they had informed the forest department on March 6 about potential danger, but no concrete action was taken. Villagers waited for three hours for a forest team to arrive, but none came. When the Block Officer eventually visited, he reportedly told villagers to ensure their own safety. Requests for cages to capture the leopard were also denied, with officials asking for written complaints instead.
SHIMLA | 7 August 2025 –The India Meteorological Department (IMD) has forecast light to moderate rainfall across Himachal Pradesh over the next two weeks, with isolated heavy to very heavy showers likely over the low hills, plains, and adjoining mid-hill regions. While the ongoing monsoon remains vital for agriculture, it also brings an elevated risk of localized flooding and landslides.
Week of August 8–14
Maximum temperatures will range from 22°C to 34°C, depending on elevation—22°C to 28°C in high hills, 26°C to 30°C in mid-hills, and up to 34°C in lower regions. Minimum temperatures are expected to remain near normal, between 12°C and 24°C. Cooler conditions may persist in districts like Kullu and Lahaul-Spiti.
Week of August 15–21
Similar rainfall patterns are expected to continue, with scattered heavy rain episodes. Temperature trends will remain stable, though slightly below-normal maximum temperatures are likely in parts of Lahaul-Spiti, Mandi, Kangra, and Kullu districts.
Outlook for Late August
Rainfall is expected to remain broadly normal, with region-specific variations. Districts such as Kinnaur, Shimla, and Sirmaur may see below-normal precipitation, while Una, Kangra, Hamirpur, Bilaspur, and Solan are likely to receive above-average rainfall. Both maximum and minimum temperatures are forecast to stay close to seasonal norms.
Officials at the Meteorological Centre in Shimla have urged residents and local authorities to remain alert for sudden heavy downpours, which could disrupt road connectivity and trigger landslides—especially along vulnerable hillside routes. Past monsoon episodes have blocked key highways, including routes between Mandi and Kullu and near Banjar, underscoring the ongoing challenges in the region.
This advisory comes as Himachal Pradesh continues to face the dual pressures of sustaining its agriculture-dependent economy while managing the life and infrastructure risks posed by an active monsoon. Continued vigilance and preparedness remain crucial.
SHIMLA | 7 August 2025 –Himachal Pradesh continues to deal with the impacts of the 2025 monsoon season, reporting extensive property damage, loss of lives, and widespread disruptions across the state. According to the official reports from the State Emergency Operations Centre (SEOC), the Department of Revenue, and the India Meteorological Department, from June 20 to August 6, 2025, heavy monsoon rains caused significant damage across multiple districts:
- Casualties: 199 deaths due to landslides, flash floods, cloudbursts, drowning, lightning, electrocution, and accidents; 304 injuries reported.
- Property Loss: Extensive damage to houses (both pucca and kaccha), shops, factories, labor sheds, animal shelters, and substantial crop losses in agriculture and horticulture.
- Public Infrastructure: Over ₹1,900 crore in damages to roads (including PWD), power supply, health, education, fisheries, rural and urban development, and animal husbandry.
Most affected districts include Mandi, Kangra, and Hamirpur, with severe crop and infrastructure losses.
Additionally, 91 deaths occurred due to monsoon-related road accidents.
Public Utilities and Infrastructure Disruptions
The SEOC report dated August 7, 2025, highlights ongoing disruptions:
- Roads Blocked: About 493 major roads and 3 national highways (NH-305, NH-21, NH-05) remain blocked by landslides and floods.
- Power Supply: Disruption of 1,120 distribution transformers (DTRs).
- Water Supply: 245 water schemes affected, threatening access to potable water for communities.
Key blockages include NH-21 between Mandi and Kullu and NH-305 near Banjar and Jhed.
Weather Forecast and Warnings
The India Meteorological Department’s forecast valid from August 7, 2025, includes:
- Isolated heavy rainfall expected throughout the week.
- Thunderstorms and lightning predicted in isolated areas.
- Minimum temperatures near normal or slightly below.
- Maximum temperatures showing a moderate increase.
The public is urged to remain vigilant due to the risks of further landslides and flash floods.
Himachal Pradesh remains vulnerable as the monsoon season continues, with thousands affected by damage, displacement, and disruption of essential services. Authorities are continuing with rescue and recovery operations and are urging residents to stay alert to the ongoing adverse weather. This situation highlights the pressing need for enhanced infrastructure and disaster management strategies to mitigate monsoon-related risks.
Himachal’s LPG Supply Hit Amid Global Tensions, Likely to Affect Hospitality Industry
Himachal Teen Survives 12-Minute Leopard Attack, Kills Predator in Self-Defense
Weather Forecast for Himachal Pradesh For the Next Two Weeks
Monsoon 2025: Himachal Pradesh Suffers 199 Casualties, Over ₹1,905.50 Cr in Damages
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