This file photo, taken June 21, 2021, shows an official at No. 2 travel agency Mode Tour talking over the phone in front of a computer screen showing an overseas tour program for the Chuseok fall harvest holiday. (Yonhap)
SEOUL, Aug. 27 (Korea Bizwire) — Over the past two years, the number of employees working at major travel agencies in South Korea nearly halved due to the prolonged COVID-19 pandemic.
According to the electronic disclosure system of the Financial Supervisory Service, the number of employees working at the nation’s six listed travel agencies totaled 3,201 as of the end of June, down 39.7 percent from the pre-COVID-19 level at the end of June 2019.
The nation’s largest travel agencies Hana Tour and Mode Tour saw their employee numbers fall by 52.8 percent and 18.1 percent, respectively, to 1,192 and 988 during the same period.
The employment shock was caused by the deterioration of their financial performance resulting from the outbreak of the coronavirus that put a halt to most overseas travels.
In the first half of this year, the average monthly salary for employees in Hana Tour stood at about 8 million won (US$6,810), down sharply from 14 million won a year ago.
During the same period, Mode Tour saw its average per-employee wage decline from 18 million won to 8 million won, while that of Very Good Tour dropped to 8 million won from 15 million won.
As expectations for overseas travel that grew on the back of plans to open quarantine-free travel bubbles now face new headwinds from the 4th wave of pandemic, Korean travel agencies remain stuck in a desperate bid to improve their financial performance.
J. S. Shin (js_shin@koreabizwire.com)
