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Over 22k Maldivian resort workers face job loss or pay cuts, says bleak UN study
Some 22,000 Maldivians employed in the Indian Ocean tourist paradise’s resorts have lost their jobs or faced income losses due to the coronavirus pandemic, a UN body has said, painting a bleak picture on short term job security and employability in the island nation’s main economic sector.
UNDP said the number would increase to 45,000 plus with the inclusion of foreign employees.
A large number of people working for third-party service providers of the resorts — mostly foreign migrant workers undertaking elementary work such as gardening, cleaning and maintenance — are also affected.
Freelancers, seasonal workers and local vendors providing goods and services to resorts have also lost their income due to the suspension of their services.
Resort employees are either laid off or sent home on no pay. Some are also retained with reduced pay.
“Job loss and redundancy was mostly evident amongst those on probation contracts and amongst younger age groups,” the assessment report, released Thursday, read.
“For those employees who have been retained, a large proportion of employees have lost their incomes completely as majority are put on no-pay for the for the period April-June 2020.”
Employees who lost jobs and are on no pay are expected to experience an average income loss ranging from $600 to $1,000 per month — over 60 per cent of their monthly income — at least until the end of June.
Affected resort workers told the UNDP’s researchers that they would not be able to manage household expenses beyond the first month as they did not have any savings.
“Some of the coping strategies stated indicated reducing household expenses such as postponing renovation planned for their house, postponing holidays, temporary relocation of family from Male to home island due to unaffordability of rent in the greater Male region, postponement of personal loan payments,” the report read.
Bleak forecast
Resorts will be reopened in July with minimal operations and with a skeleton staff structure, UNDP warned, adding that a large number of employees that are currently retained up to the end of June risk losing their jobs after July as resorts may not be able to retain them.
According to the UNDP, short term employability and income opportunity within the tourism industry is uncertain for many including those in job transition.
“Those in job transition phase, have lost jobs, are on no pay, are unemployed and seeking for new jobs and are new entrants to the labour market are amongst those are unlikely to secure employment or incomes in the short term, from the tourism industry,” the report said.
“Freelance service providers and community vendors of goods and services are undergoing multiple challenges with no formal recognition and loss of income affecting their livelihood and wellbeing during this period.”
The Maldives is preparing to reopen its borders to visitors in July.
The country’s tourism ministry has drafted and invited comments from industry stakeholders on its own guidelines on reopening the borders.
The coronavirus outbreak has hit the Maldivian economy hard, as travel restrictions and other preventive measures affect the country’s lucrative tourism industry, which contributes the bulk of the island nation’s state revenue and foreign reserves.
All international airlines have suspended scheduled operations to the Maldives, as the island nation enforced a blanket suspension of on-arrival visa in late March in a bid to combat the spread of the novel coronavirus.
Cruise ships and foreign yachts were also banned from docking at any of the country’s ports.
Before the pandemic, the government had been bullish about tourism prospects, targeting two million, high-spending holidaymakers this year after last year’s record 1.7 million.
However, tourist arrivals saw a year-over-year decline of 22.8 per cent in the first 10 days of March. Officials say the number of tourist arrivals to the Maldives could drop by half in 2020.
With arrival numbers falling and the visa suspension in effect, several resorts across the Maldives had been closed.
Tourism has been the bedrock of the Maldives’ economic success. The $5 billion-dollar economy grew by 6.7 per cent in 2018 with tourism generating 60 per cent of foreign income.
However, the government is at present projecting a possible 13 per cent economic contraction this year — an estimated $778 million hit.
On March 8, Maldives reported its first cases of the novel coronavirus, as two hotel employees tested positive for Covid-19 at a luxury resort in the archipelago.
Eighteen more cases — all foreigners working or staying resorts and liveaboard vessels except five Maldivians who had returned from abroad — were later identified.
A six-case cluster of locals, detected in capital Male on April 15, confirmed community transmission of the coronavirus. Several more clusters have since been identified, bringing the total number of confirmed case in the Maldives to 1,883.
Seven deaths have been reported and 717 have made full recoveries.
The Maldives announced a state of public health emergency on March 12, the first such declaration under a recent public health protection law.
The public health emergency declaration has allowed the government to introduce a series of unprecedented restrictive and social distancing measures, including stay-at-home orders in capital Male and its suburbs, a ban on inter-island transport and public gatherings across the country, and a nationwide closing of government offices, schools, colleges and universities.
Non-essential services and public places in the capital such as gyms, cinemas and parks have also been shut.
Restaurants and cafes in the capital have been asked to stop dine-in service and switch to takeaway and delivery.
A nationwide shutdown of all guesthouses, city hotels and spa facilities located on inhabited islands is also in effect.
Coco Bodu Hithi has been recognised on the global stage, winning Best Waterside Hotel (Riverside, Lakeside, Seaside) at the Condé Nast Johansens Awards for Excellence 2026, held on 3 November 2025 in the UK. It is the second consecutive year the resort has been honoured by the publication, following last year’s win for Best Service, reaffirming its focus on heartfelt Maldivian hospitality and refined island living.
Described by Condé Nast Johansens as an “over-water, over-indulgent Maldivian island outpost,” Coco Bodu Hithi offers an intimate retreat of comfort and calm. The resort’s 32 Water Villas and 24 Coco Residences, each measuring 184 square metres and featuring private pools, provide secluded spaces set above the lagoon, where nature, design, and comfort come together to reflect the island’s romantic ambience.
Known for contemporary design infused with Maldivian heritage, the resort continues to welcome travellers seeking time by the sea, complemented by culinary collaborations with celebrity and Michelin-starred chefs. The experience balances privacy and comfort throughout a guest’s stay. With turquoise waters, quiet spaces, and experiences designed for connection and shared discovery, the resort presents a considered take on island living.
Located 35 minutes by speedboat from Velana International Airport, the island combines accessibility with seclusion—close enough for convenience, yet removed for privacy and serenity. As part of Coco Collection, the resort offers bespoke experiences, attentive service, and sustainable practices, shaping stays that feel personal and reflective of relaxed, authentic island life.
The Standard, Maldives, the stylish and unconventional resort in Raa Atoll, announces the launch of its most generous offering yet: the Premium All-Inclusive package, timed to complement its highly anticipated Festive 2025 programme. Titled “Unlimited Play – Eat. Sip. Repeat,” the package is designed to provide guests with a hassle-free, elevated island experience, ensuring every moment is infused with fun and luxury without reaching for the wallet. The move reinforces The Standard’s commitment to offering unscripted fun and memorable stays in the Maldives.
The Premium All-Inclusive
The Premium All-Inclusive package covers all daily meals across four dining venues, including the signature specialty restaurants. At the heart of the offering is the unlimited premium beverage programme: guests can enjoy free-flowing Champagne; choose from over 50 premium wines, prosecco, and sparkling selections from around the world; and access top-shelf spirits with crafted cocktails and mocktails available all day and into the late-night hours at Todis and by the pool.
Beyond dining, the package includes further inclusions. Every villa receives a daily replenished, fully stocked mini bar featuring two bottles of premium wine, two spirits, and four beers. For stays of six nights or more, the Ultimate Indulgence is unlocked, granting each adult a complimentary 45-minute spa treatment—either a restorative massage or a DIY hammam experience. In addition, guests receive one complimentary Adventure Time excursion per stay, selecting from a sunset fishing trip, a lucky dolphin cruise, or a romantic sunset cruise.
Festive Season 2025
As the year draws to a close, The Standard, Maldives invites guests to join the Festive 2025 celebrations, an immersive programme that transforms the island into a lively setting of parties and bespoke gastronomy. From Christmas Eve through the New Year, the resort’s playful spirit will feature uniquely Standard activities, decorations, and a curated line-up of entertainment for guests of all ages.
Highlights of the Festive 2025 calendar include exclusive themed beach parties, culinary journeys crafted by international chefs, and dedicated events for families. The celebrations will culminate in a high-energy New Year’s Eve gala with performances, fireworks over the lagoon, and dancing to ring in 2026 in The Standard’s signature style.
“At The Standard, we believe true luxury means freedom; freedom to play, indulge, and live in the moment without a second thought. Our new Premium All-Inclusive is all about that: seamless, generous, and fun. From Champagne breakfasts to late-night cocktails, it’s the easiest decision guests will ever make on holiday,” said Justin Swart, General Manager, The Standard, Maldives.
The Standard, Maldives aims to offer a celebratory experience this year by coupling the convenience of the Premium All-Inclusive with its Festive 2025 programming, setting the stage for a holiday season where preferences are catered to from the first welcome bubbles to the last dance of the New Year.
Celebrating the spirit of modern Maldivian hospitality, VARU by Atmosphere has expanded its culinary offering with two new dining venues: Teppanyaki Over Water and Cellar at NÜ. Designed for both first-time and returning guests seeking authentic, inventive experiences, the additions broaden the resort’s gastronomic landscape.
At Teppanyaki Over Water, seasoned chefs transform the art of teppan grilling into a live culinary performance above the lagoon. Premium seafood, wagyu and sushi are prepared with precision and flair, complemented by sake cocktails and fine soju. The speciality restaurant delivers dishes straight from the grill to the plate, in an ambience that reflects the spirit of Japanese hospitality.
As sunset draws over the Indian Ocean, Cellar at NÜ offers an elegant overwater wine-degustation lounge where evenings unfold with sophistication. Guests can explore rare vintages and special selections paired with curated chocolate, cheese and charcuterie platters. The centrepiece is a six-course Royal Wine Pairing Dinner.
“At VARU, our cuisine, design and service are intuitive and inventively curated,” said Maurice Van Den Bosch, General Manager of VARU by Atmosphere. “We continue to evolve in meaningful ways. With Teppanyaki Over Water and Cellar at NÜ, we’ve created culinary journeys that are intimate, enriching and true to the island’s generous spirit — offering guests new reasons to return, season after season.”
For special occasions, romantic evenings or those wishing to discover new cuisines, the two overwater venues add an extra layer of indulgence and celebration beyond the VARU Plan™, and are available for guests to pre-book.
Located in North Malé Atoll, VARU by Atmosphere has been recognised in Tripadvisor’s Travellers’ Choice Awards Best of the Best 2025, ranking among the top 1% of listings worldwide. Its signature restaurant, Kaagé, has also received the Tripadvisor Travellers’ Choice Award 2025 for the fifth consecutive year, underscoring the resort’s reputation for dining excellence. With these thoughtfully introduced experiences, VARU by Atmosphere invites guests to embrace an unforgettable, Naturally Maldivian island adventure.
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