High-end hotels are being hit by a double whammy: The economic downturn and the H1N1 flu outbreak.

In extreme cases, occupancy levels have fallen to just 3 percent of capacity, according to anecdotal evidence.

In addition, wages are being slashed, staff are being laid off, the number of interns hired is increasing, employees are being told to move back into on-site accommodation and generous expatriate contracts are not being renewed.