Employees from 42 resorts have signed a petition launched by the Tourism Employees Association of Maldives (TEAM) to protest changes that could end US Dollar payments for salaries and service charges.
The move follows notifications from resort management that such payments may no longer be feasible in foreign currency due to the government’s recent amendments to foreign exchange regulations.
The legislative changes were enacted despite concerns from resort businesses, which argued that a mandatory requirement to convert 40 percent of their US Dollar revenue into Maldivian Rufiyaa is impractical. Under the new rules, resorts will be required to convert 40 percent of their foreign currency earnings starting this October.
Resort workers, who currently receive their wages in US Dollars, are expected to be the most affected by these changes. In response, TEAM initiated the petition over the weekend to safeguard the payment structure.
"Within a single day, employees from 42 resorts have signed the petition against converting dollar-denominated salaries and service charges into Maldivian Rufiyaa. This overwhelming response clearly demonstrates that resort workers will stand united to defend their income, rights, and livelihoods," TEAM stated on its Facebook page.
The participating resorts include properties across various market segments. TEAM has called on employees from all resorts across the country to join the movement and sign the petition.
The petition demands that the government halt any measures that would lead to the cessation of salary and service charge payments in US Dollars. The union noted that interested employees can coordinate the signing process by messaging TEAM’s Facebook page directly.
TEAM asserted that employees should not have to bear the cost of a situation for which they are not responsible. The union had previously expressed its opposition to salary conversions, citing the lack of assurance that workers would be able to access US Dollars at the official exchange rate.
The association further emphasized that any measures impacting the income of resort workers should only be considered as a last resort following extensive consultations. To address the national dollar shortage, the organization urged the government to focus on reducing state expenditure instead.
