Marriott’s corporate restructuring underway, scale TBD

Per Skift, Marriott International, the world's largest hotel company, has initiated a significant corporate restructuring, including widespread layoffs affecting hundreds of employees. This move, part of an $80-90 million annual cost-saving initiative, primarily impacts corporate-level positions. The restructuring follows Marriott's doubling in size over the past decade and aims to enhance efficiency and competitiveness in the evolving hospitality landscape.

Simultaneously, Marriott reported progress in its midscale hotel segment with the City Express by Marriott brand and achieved record growth in its loyalty program, reaching 219 million members. Despite these developments, the company faced a decline in net income due to increased expenses. The restructuring and its potential impacts on service quality and pricing could significantly affect frequent travelers, particularly those in government and contracting sectors who rely heavily on corporate accommodations.