To provide quality service to their guests, five-star hotels exchange their electronic devices, furnishings, appliances as well as sanitary products and bedding frequently. (image: Matt_Weibo/flickr)
SEOUL, Aug 31 (Korea Bizwire) – The Seoul Metropolitan Government has announced a project to support lower income individuals with disposed products from deluxe hotels in the city.
To provide quality service to their guests, five-star hotels exchange their electronic devices, furnishings, appliances as well as sanitary products and bedding frequently.
However, the losses from exchanging home electronics and other appliances are huge, as the resale prices are lower than the original costs. The hotels agreed to give away the supplies if they were able to include the losses as deductible expenses.
A change to the corporate tax act allowed the hotels to include the cost as deductible expenses, and 18 hotels agreed to participate in the program. Over time, the city plans to increase the number of hotels participating to 30.
The metropolitan government decided to launch the business as living conditions for those in lower income groups are seriously poor.
Residents of dosshouses earned an average of 510,000 won a month and used 45 percent of it for housing. Those living in rental houses run by the city did not have TVs or refrigerators.
The number of dosshouse residents was approximately 3,600, the number of homeless people was 420, and there were 1,400 residents of rental houses or group homes.
The metropolitan government explained the reason for the project. “We are currently providing lower income households with daily necessities worth 40,000 won per person annually, but because of a lack of funding, some welfare facilities don’t even have soap to use.”
The city is planning to establish recycled soap factories and handicraft workshops that make clothes and dolls out of fabrics such as used tablecloths. They anticipate that additional jobs could be created through the businesses.
By Francine Jung (francine.jung@kobizmedia.co.kr)
