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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.
Featured
Cinnamon Hotels & Resorts introduces curated all-inclusive getaways in Maldives

Cinnamon Hotels & Resorts is redefining stress-free travel with a trio of curated, all-inclusive offers across its Maldives properties. Each resort—Cinnamon Dhonveli Maldives, Cinnamon Hakuraa Huraa Maldives, and Cinnamon Velifushi Maldives—presents a unique experience, ranging from surfside excitement to secluded luxury, with every aspect of the stay carefully bundled for a seamless holiday.
At Cinnamon Dhonveli Maldives, guests are invited to enjoy five nights of barefoot luxury, with packages starting at USD 3,499 nett for double occupancy in a Water Bungalow or USD 3,999 nett in an Over Water Suite. Tailored for travellers seeking a balance of adventure and relaxation, the offer includes:
- Return speed boat transfers
- A 4-course beach dinner featuring steak or seafood
- A 30-minute spa treatment
- Snorkelling and swimming experiences
- A local island visit
- Unlimited laundry services
- Premium All-Inclusive privileges
For those in search of tranquillity, the adults-only Platinum Wing at Cinnamon Hakuraa Huraa Maldives offers a refined escape. With a minimum stay of seven nights in a Platinum Water Bungalow, the package is available at USD 6,999 nett for double occupancy and features:
- Return seaplane transfers with VIP lounge access
- A 4-course steak or seafood dinner by the beach
- A 45-minute spa treatment
- An island-hopping adventure
- A welcome bottle of wine, fruit basket, and bed decorations
- Unlimited laundry services
- Premium All-Inclusive privileges
At Cinnamon Velifushi Maldives, guests can indulge in serene overwater luxury with a seven-night stay starting from USD 6,999 nett for double occupancy in Water Bungalows and higher categories. The package highlights include:
- Return seaplane transfers with VIP lounge access
- Premium All-Inclusive privileges
- A 4-course steak or seafood dinner by the beach
- A 45-minute spa treatment
- An island-hopping adventure
- A dolphin-watching excursion
- Unlimited laundry services
These exclusive offers are available for stays between 1 June and 31 October 2025, with bookings now open.
Whether it’s catching waves at the iconic Pasta Point at Cinnamon Dhonveli Maldives, enjoying a sunset over the tranquil lagoon at Cinnamon Hakuraa Huraa Maldives, or exploring the pristine waters surrounding Cinnamon Velifushi Maldives, each resort promises a distinct and immersive experience. Cinnamon Hotels & Resorts delivers three unforgettable all-inclusive escapes, designed for effortless relaxation with every detail expertly managed.
Featured
Travel that matters: indulge in sustainability at Coco Palm Dhuni Kolhu

With World Environment Day (5 June) and World Oceans Day (8 June) approaching, and Sir David Attenborough’s highly anticipated film Ocean igniting renewed interest in marine conservation, more travellers are seeking meaningful ways to turn environmental concern into impactful action.
Coco Collection, a leading luxury resort brand in the Maldives, demonstrates that responsible travel and indulgent island experiences can coexist harmoniously. At Coco Palm Dhuni Kolhu, located in the UNESCO-listed Baa Atoll, guests are offered the opportunity to actively engage in ocean conservation efforts while enjoying a tranquil tropical retreat.
Far more than a scenic escape, the resort serves as a centre for daily, impactful sustainability work. Conservation initiatives at Coco Palm Dhuni Kolhu include:
- Coral restoration projects, led by the in-house marine biologist to regenerate local reef ecosystems.
- Sea turtle rescue and rehabilitation, hosted at the Maldives’ first veterinary-run turtle rescue centre in partnership with the Olive Ridley Project. Visitors can tour the centre, observe turtle feedings, and register in advance to volunteer.
- Turtle hatching monitoring, involving the observation of protected nests to ensure hatchlings can be safely guided back to the ocean.
- Guided snorkelling and diving excursions in the Baa Atoll’s thriving marine ecosystem, which is home to tropical fish, vibrant coral gardens, and sea turtles.
Following World Turtle Day on 23 May, the resort also commemorates the beginning of turtle hatching season. Weekly marine talks and immersive conservation activities allow guests to deepen their understanding and connection to the ocean.
In 2024, the Olive Ridley Project’s Maldives Research team reported 168 new turtle nests, over 5,264 successful hatchings, and nearly 3,500 turtle sightings. Since 2013, the project has surpassed 40,000 recorded sea turtle encounters, with Coco Collection associates logging the highest number of turtle encounters in the Maldives.
In addition to marine conservation, the resort offers a broad range of water sports — including water skiing, parasailing, paddleboarding, and kayaking — along with cultural experiences through its Coco Experiences programme.
Recognised among the top resorts in the Indian Ocean by the Condé Nast Traveler Readers’ Choice Awards 2024, Coco Palm Dhuni Kolhu is celebrated for its authentic Maldivian heritage, breathtaking natural surroundings, and steadfast commitment to sustainability.
Whether visitors are nature enthusiasts, aspiring conservationists, or simply seeking a purposeful and mindful retreat, Coco Palm Dhuni Kolhu provides a rare opportunity to follow in the footsteps of Sir David Attenborough and contribute to lasting environmental stewardship.
As sustainability-focused holidays approach, the resort is preparing a range of experiences for both guests and staff. Planned activities include tree planting, Saifodhu (a traditional Maldivian high tea accompanied by a display of homemade goods), a sustainable dining experience, and a sustainability presentation led by the resort’s Marine Educator and the ORP team in celebration of World Environment Day. For World Oceans Day, the island is also set to host various sustainability-driven events and experiences.
Celebration
Escape to Banyan Tree Vabbinfaru and Dhawa Ihuru for Eid, wellness, and ocean adventures

This June, Banyan Tree Vabbinfaru and Dhawa Ihuru welcome guests to immerse themselves in a memorable Eid al-Adha celebration, enhanced by a range of wellbeing-focused experiences, sustainability activities, and exclusive seasonal offers. The resorts invite visitors to honour this special time while exploring the Maldives’ rich local culture and breathtaking natural environment.
Tripadvisor has recognised Banyan Tree Vabbinfaru as one of the Top 15 Best All-Inclusive Resorts in the World as part of the 2025 Travellers’ Choice Best of the Best Awards. This accolade reaffirms the resort’s status as a luxury sanctuary, celebrated for its dedication to excellence and delivering authentic, enriching guest experiences.
Throughout June, guests are invited to reconnect with mind, body, and spirit through a series of carefully curated wellbeing experiences offered at both resorts:
- Wellbeing Wednesday: Barefoot Grounding Day – Inspired by walking meditation, this experience encourages guests to rebalance and reconnect with nature, promoting a healthier work-life harmony.
- Global Wellness Day (14 June): Breathwork & Meditation – An intuitive workshop teaching effective breathing techniques to rejuvenate body and mind.
- International Yoga Day (21 June): Guided Sunset Yoga – Held by the beach, this session offers a peaceful opportunity to embrace mindfulness amidst a stunning natural backdrop.
The resorts commemorate World Environment Week with a series of impactful activities that deepen guest engagement with nature and community:
- Reef Awareness Day – Guided snorkelling sessions introduce guests to the vibrant marine life of the house reefs.
- Citizen Science Snorkel & Culture Talk – A morning snorkel followed by an afternoon discussion exploring Maldivian cultural heritage.
- World Environment Day – Guests can participate in a swim between the islands and join a reef clean-up effort.
- World Ocean Day – Activities include the removal of coral predators from a nearby reef to protect marine biodiversity.
- Environment Week Talk – An educational session at the Marine Lab, detailing the Maldives’ environmental narrative.
The resorts celebrate Eid al-Adha with a variety of exclusive experiences and promotions designed to enhance each guest’s stay:
- Dive More, Pay Less – Guests can uncover the Maldives’ underwater wonders with a special diving promotion that offers increasing savings with each dive.
- Banyan Tree Vabbinfaru: Stay 3, Pay 2 – A chance to enjoy an extended stay in a serene island retreat, with a complimentary third night.
- Dhawa Ihuru: Special Eid al-Adha Dinner (6 June) – A festive culinary event celebrating local flavours, culture, and traditions.
- Exclusive Discounts – Offers include 10% off arts and crafts, 30% off selected watersports and diving activities, and 20% off specially curated guest experiences—inviting travellers to rediscover the magic of the Maldives in unforgettable ways.
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