LAUSR

This qualitative study applies the labour market segmentation theory to examine tourism job losses through the indirect causes of pay cuts, unpaid leave and the take-up of side hustle–accepted by the employees partly from loyalty, camaraderie and empathy. Where the prolonged hardship from these measures leads to resignations, employers gain from the avoidance of termination benefits mandated by a retrenchment exercise. The losses occasioned to the worker include the non-eligibility for state-funded wage subsidy and foregone termination benefits. Through a legal analysis of COVID-19 job losses, the study posits that tourism workers' lack of rights awareness contributed to the voluntary acceptance of these lawful but detrimental strategies. © 2023 Informa UK Limited, trading as Taylor & Francis Group.