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NWR holds AGM amidst COVID-19 storm

NWR holds AGM amidst COVID-19 storm

Business Reporter

 

Namibia Wildlife Resorts Limited (NWR) held its Annual General Meeting (AGM) on 29 April 2021 in compliance with the Public Enterprise Act 2019 (Act 1 of 2019).

 

In presenting its results to the Shareholder, NWR Chairman Ambassador Leonard Iipumbu said, “during the financial year 2019/20, we faced our greatest challenges as an organization. The significant milestone of our first-ever profit of N$ 22 million since the establishment of the organization and other financial gains made in 2018/2019 were wiped out due to Covid-19”.

 

The company made a loss of N$174 million during the 2019/2020 financial year with the NWR lodge occupancy rates declining from 49% in 2019 to 21%. Iipumbu further noted that to sustain its operations which resulted in it not retrenching or reducing its employees’ salaries except for its Board’s allowances and Senior Management salaries, NWR needed to be innovative to survive.

 

“Therefore, we were the first organization to offer our establishments to the Government as isolation facilities. We must say this was an arrangement few tourism companies were looking at during that period. Additionally, we paid special attention to our domestic market, which resulted in us offering a discounted rate of N$ 600 per room from May up until September 2020. That was a significant discount on our normal rack rates. Through this effort, we were able to keep the business going and provide a much-needed service to the nation. We also launched a new tour package that we envision will be one of the cornerstones of our future,” says Ambassador Iipumbu.

 

From a cost-cutting perspective, NWR signed a Memorandum of Understanding with NAPWU. The MOU resolved, amongst others, to suspend salary increments for the financial period 2019/20, suspend normal overtime, Sunday and public holiday payments, and other allowances and benefits with effect from 27 March 2020.

 

Additionally, it also resolved to place a moratorium on external recruitments to ensure that the company’s wage bill remained manageable. NWR also introduced a voluntary separation initiative, which 130 staff members took up. These efforts were aimed at helping it reduce its employee costs.

 

COVID-19 Namibia Wildlife Resorts Limited NWR Annual General Meeting AGM

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