What's In the Stars? (Russian 5-star hotels don’t compensate better than their 4-star counterparts) | By Tatiana Veller and Ekaterina Gil | HVS International

 28.08.2008 01:40   hsyndicate.com

In our most recent article on management packages we noted that the Executive Committee members in 4- and 5-star hotels in Moscow and St.-Pete's were compensated, on average, significantly better in 2007 than in 2008. The average change in their base salaries was 18% across all positions. Most likely, this is directly tied to the overall better performance of the hotel properties under international management: better economic conditions in Russia and rising inflow of FDI increase the volume of business travel to the country, which in turn strengthens the "seller's market" situation in room supply and helps increase the rates.

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