Over 80% of operators struggle with recruiting and retention issues

The report, titled “The Six Principles of Agile Hospitality” and based on a survey and interviews with senior operators in the UK, Europe and the US, found that 84.3% of operators have struggling to build a team with the right capabilities to drive growth now. and in the near future.

Meanwhile, only 33% of operators have implemented a clear human strategy in their organization.

The report builds on research undertaken a year ago in the aftermath of the pandemic, indicating that a shrinking workforce and high demand for skilled employees, along with a global economic slowdown, low confidence consumers and galloping inflation are among the main challenges encountered. by the operators.

Only 40% of respondents believe they have invested enough in technology, compared to 55% last year; while 83.4% aim to improve operational complexity using digital tools.

“Unfortunately, what’s clear is that too many hotel operators are still working with a ‘top-down’ approach to people management,” says Conor Shaw, CEO of Bizimply.

“Even before the pandemic, it seemed unfit for use. With the economic headwinds the industry is currently facing, many of these companies that fail to invest may not exist for very long.

Hospitality ‘needs targeted support to protect jobs’

The release of the Bizimply data comes after new figures released by the Office for National Statistics (ONS) reveal that one in six new jobs this year have been generated by the hospitality industry.

Figures released yesterday (September 13) show unemployment is at 3.6%, its lowest rate since 1974.

The number of vacancies between June and August was 470,000 – 59.1% above pre-pandemic levels from January to March 2020 – with the biggest increases in accommodation and catering.

“These figures highlight the importance of the hospitality sector as a UK employer, showing that one in six new jobs during the year were generated by the industry,” said Kate Nicholls, Managing Director of UKHospitality.

“This equates to an increase of 133,000 new jobs, pushing total employment in hospitality up 6% to almost 2.5 million.

“Vacancies in the sector, however, remain high, close to double pre-pandemic levels. At the same time, job vacancies across the economy are 20% higher than a year ago, showing how much inherent labor market problems persist and how employers across the sector are in a difficult situation.

“In order to alleviate this labor shortage, we need to work with the government on long-term solutions such as a jobs and skills strategy and ensure that government programs are open to all. sectors – hospitality is currently excluded from initiatives such as skills boot camps, for example. However, all of this will be for naught if the sector does not have short-term support.

“In addition to the energy price cap, we need targeted support, such as a 10% VAT reduction and suspension of business tariffs, to support businesses large and small, and protect jobs this winter.”