AFTER THE BOOM:A family-run hotel in Co Donegal is keeping its workers and raising revenue through a range of tough changes,writes RENEE JONES.

A RANGE of measures including dropping room rates, reducing staff hours and pay cuts have been introduced at Harvey’s Point hotel in Co Donegal.

Deirdre McGlone, manager and co-owner of the four-star hotel on the shores of Lough Eske, says the changes were made in response to the economic situation.

In March, room rates were cut by 10 per cent, all 100 staff had their working week reduced from five days to four, and a 10 per cent pay cut was introduced in May.

“Our aim was not to have any redundancies,” she says.

Because of the changes, the family-run business, established 20 years ago, is performing well and has produced similar revenue this year as in 2008.

“Business is in full swing. I would say that we are holding our own,” she says.

“Certainly it is a challenge. Room sales are up in some cases, but room rates are down so we have to work harder to get the same money we were getting last year.”

Last month, a new steakhouse restaurant was opened at the hotel to offer casual dining for locals and tourists.

In March, the 70-room hotel’s fine dining restaurant, which was awarded two AA rosettes, reduced menu prices, as well as rates for the hotel’s wedding package.

McGlone says the business is attracting a larger range of customers as a result of the changes.

She adds that the hotel is also exploring different activities to attract guests, such as hillwalking and watercolour painting.

The quieter winter season, when the hotel closes for part of the week, is the most difficult time of year.

“We need to plan out what we will do – after 20 years we still find it a challenge. For many years our location was a challenge, but in other ways it is an attraction,” says McGlone.

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