From Iceland — 403 Blue Lagoon Employees Laid Off

403 Blue Lagoon Employees Laid Off

Published May 28, 2020

Nico Borbely
Photo by
Art Bicnick

The Blue Lagoon company has announced an official decision to lay off 403 of its employees at the end of next month, Vísir reports. Manager and employee wages will be decreased thereafter.

The company’s notice stated that the influence of the coronavirus pandemic had been “far more extensive and protracted than expected,” prompting the decision to take the measures in question.

The Blue Lagoon hopes, however, to be in a position to rehire its employees that will be laid off “when external circumstances change for the better.” The statement further elaborated that remaining employee’s salaries will be reduced, most notably for directors and managers at 30%, 25% for executive directors, and less for other employees.

It was also clarified that the Blue Lagoon plans to reopen all Blue Lagoon establishments on June 19th, after having been closed for nearly three months. The announcement stated that the company had made almost no profit throughout this period of time.

“The goal of the company’s newest decisions is to make it possible for the company to get through the uncertain times that lie ahead. As a leading company in the Icelandic tourism industry, the Blue Lagoon intends to fully take part in satisfying the demand on the field when the situation improves sufficiently.”

A staff meeting was announced by the Blue Lagoon yesterday, scheduled to be held this morning, as the actions in question may have been announced. Vísir reported that 164 Blue Lagoon employees had already been laid off at the end of March due to the economic repercussions of the Coronavirus pandemic.

Note: Due to the effect the Coronavirus is having on tourism in Iceland, it’s become increasingly difficult for the Grapevine to survive. If you enjoy our content and want to help the Grapevine’s journalists do things like eat and pay rent, please consider joining our High Five Club.

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