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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.
JOALI Maldives has been recognised in two categories at the Travel + Leisure Luxury Awards Asia 2026, receiving honours among the Best Resorts in the Maldives and for the Most Outrageous Villa.
The recognition reflects the resort’s Creative Living philosophy, which brings together art, nature, wellbeing, sustainability and hospitality within the guest experience.
Located in Raa Atoll, approximately 45 minutes by seaplane from Malé, JOALI Maldives opened as the Maldives’ first art-immersive luxury resort. Art installations, dining experiences, wellbeing programmes and accommodation are integrated across the island as part of its approach to resort living.
The property features 73 beach and overwater villas and residences, positioned across the island and above the Indian Ocean. The accommodation has been designed to provide privacy, space and access to views of the surrounding environment.
Each villa combines contemporary design with materials including timber, marble, bamboo and terrazzo, as well as handcrafted finishes. Floor-to-ceiling glass provides views of the ocean, while private pools connect the indoor and outdoor spaces.
Artworks and design pieces are also incorporated into each villa, reflecting the resort’s Creative Living concept and extending the art experience into the accommodation.
Guests can choose from Beach Villas, Water Villas and multi-bedroom Residences, with options designed for couples, families and groups. The larger residences provide additional living areas, pools and facilities for guests seeking more space and privacy.
Each villa is supported by a dedicated Jadugar, a term used by the resort to describe its butler service. The Jadugar assists guests throughout their stay by arranging dining experiences, island activities, celebrations and other personalised services.
Guests are also provided with bicycles to explore the island’s pathways, gardens and viewpoints.
JOALI Maldives said the awards reflected the work of its team and the support of its guests, partners and wider community. The resort also said it would continue developing experiences focused on creativity, wellbeing and connection.
The recognition adds to JOALI Maldives’ position within the Maldives’ luxury resort sector, where its art-led design and Creative Living philosophy form the basis of its guest experience.
Lily Beach Resort & Spa has announced a culinary collaboration with Chef Grégoire Berger, chef and co-owner of the Dubai restaurant Kraken.
Known for progressive French cuisine influenced by the ocean, Berger has received a Michelin star in the Michelin Guide Dubai from 2022 to 2024. His restaurant has also been included among the World’s 50 Best Restaurants, while his work has received recognition through several international culinary awards.
Berger’s approach draws on the sea as a source of ingredients, ideas and presentation. His menus combine French culinary techniques with marine influences, with each dish developed around a narrative connected to the ocean.
As part of his visit to Lily Beach in August 2026, Berger will host a fine-dining dinner for a limited number of guests. He will also introduce a signature dish at AQVA Bar & Restaurant during the collaboration.
The programme forms part of Lily Beach’s efforts to expand its culinary offering and introduce visiting chefs and dining concepts to guests in the Maldives.
Located in South Ari Atoll, the resort will provide guests with an opportunity to experience Berger’s cuisine within its all-inclusive hospitality concept. The collaboration will combine his Michelin-recognised approach with the resort’s existing food and beverage programme.
Lily Beach Resort & Spa has established its hospitality offering around its premium all-inclusive model, supported by a range of dining venues. Its restaurants offer overwater dining, international buffet selections, seafood and Asian-inspired dishes.
The resort’s culinary programme is supported by the Platinum Plan, an all-inclusive package that includes dining experiences, a selection of wines and spirits, excursions and personalised services.
Through the collaboration with Berger, Lily Beach aims to add another dining experience to its guest programme while continuing to develop its position within the Maldives’ luxury hospitality market.
Milaidhoo Maldives has announced that it has been recognised in Tripadvisor’s Travellers’ Choice Awards Best of the Best 2026, placing the island among the top 1% of hotels worldwide based on traveller reviews and ratings.
For Milaidhoo, the recognition is especially meaningful as it comes directly from its guests. Their stories, shared experiences, and reviews have earned the island a place among travellers’ favourite destinations around the world.
Located within the UNESCO Biosphere Reserve of Baa Atoll, Milaidhoo was created for guests seeking a more personal and authentic Maldivian experience. With just 50 villas surrounded by turquoise waters and flourishing coral reefs, the island offers a sense of intimacy and freedom, encouraging guests to reconnect with nature, with each other, and with themselves.
“We are deeply grateful to every guest who has chosen Milaidhoo and taken the time to share their experience,” said Paul van Frank. “To be recognised among Tripadvisor’s Best of the Best is an honour, but what means the most to us are the memories behind each review, the anniversaries celebrated, the friendships formed, the marine encounters discovered and the moments of joy shared on our island. This recognition also belongs to our Milaidhoo Family, whose warmth, care and genuine passion create the heartfelt experiences our guests remember long after they leave. We are proud to share this achievement with every member of our team and every guest who has become part of the Milaidhoo story.”
The Tripadvisor Travellers’ Choice Best of the Best Awards recognise the highest-rated hotels around the world, based on authentic reviews collected over a 12-month period. As one of the world’s most trusted travel guidance platforms, Tripadvisor’s recognition reflects the voices of travellers and the experiences that resonate most strongly with them.
As Milaidhoo continues to welcome guests from around the world, the recognition serves as a reminder of what has always mattered most to the island: creating meaningful experiences, sharing the beauty of the Maldives, and making every guest feel at home.
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