Pacha Ibiza Warns Of Job Cuts Due To Covid 19 Crisis

A report in today’s Noudiari Newspaper has published that Pacha has “Given up on its Tourist season” due to the Covid 19 health crisis. The group which was sold by its founder, Ricardo Urgell, to Investment company, Triatlantic, in 2017 for a reported €350 million, has warned that it will have to lay off a percentage of its workforce this summer due to Covid 19. Last November it made redundant 45 unionised staff and in a press release today, stated “it is not expected to be able to open doors in the near future, but we hope that conditions will improve to be able to open in the medium-term future – we are optimistic”. Unfortunately for Pacha, it began another refurbishment of its club in February and with workers forced to vacate the site during lock down 15 days ago, the project will be a month or so behind.  On Monday, Pedro Sanchez, announced a further 2 week lock-down until after Easter so it will be May before workers can start building again, sidelining the club for the Opening parties.

Pacha is currently top heavy with luxury wage bills, both in its artistic and executive quarters. A financial issue Pacha has always had to contend with, was its small capacity. The new extension will increase floorspace and it is hoped that the club can re-open in July depending on Covid 19 restrictions.  The goodwill that Pacha enjoyed from the local population under the stewardship of Ricardo Urgell and Danny Whittle, is evaporating under the Mediterranean sun. There has also been issues behind the scenes, as a number of well respected DJ’s have come and gone in quick succession. Urgell recently stated that he was sorry he sold his much loved Club to Triatlantic, a company that does not enjoy much love from the locals due to its actions towards the local workforce. For an Ibicenco, its difficult to reconcile a six figuer payment to Solomun & Carola for four hours work, when Ibicencos are paid minimum wage and/or being made redundant. Eighty two year old Ricardo Urgell has also hinted that he may soon open a new club, so for now, its a real case of watch this space for developments in this ongoing saga.