Unlicensed hotels a growing problem in Miri City

MIRI (Bernama) – The Malaysian Association of Hotels (MAH), Sarawak Chapter is urging Miri City Council (MCC) to take immediate action against unlicensed hotel operators that will have a negative impact on the employment sector and tourism in the city in the long run.

Its honorary secretary-general, John Teo Peng Yew said currently, the negative impact of unlicensed hotels in Miri City had already been felt by licensed hotel operators with an estimated losses of RM100 million per year from 2014 to 2017.

“From January 1 to December 31 2017, approximately one million hotel room nights were taken by unlicensed hotel operators in Miri City at an average room rate of RM70 per night. It is estimated that unlicensed rooms will reach 3,500 if additional rooms are not being controlled,” he told Bernama yesterday.

Additionally, he said, many licensed hotel employees were losing their jobs because of the low room demand as unlicensed hotels were less labour-intensive than licensed hotels because they did not require the same level of service.