Hospitality Industry Faces Talent Crunch: 1 Million New Jobs Expected

The hospitality industry is projected to create 1 million jobs in the coming years due to a talent shortage exacerbated by post-pandemic demand. Experts indicate a significant gap between the industry's needs and available talent, leading companies to upskill existing workers or recruit from other sectors.

The hospitality industry is on the brink of a significant transformation, with experts predicting the addition of around 1 million jobs in the next few years. This surge is driven by a substantial talent shortage, as the sector grapples with rapid expansion post-Covid-19 pandemic, according to specialists in the field.

Currently, the demand-supply gap of talent in the industry stands at approximately 55-60 per cent, as detailed by Sanjay Shetty, Director, Professional Talent Solutions at Randstad India. Shetty highlighted that the post-pandemic boom in demand has fuelled these issues, with the momentum likely to persist, potentially creating at least a million new jobs.

Industry leaders reveal that overall hiring rates have multiplied fourfold post-Covid, with a particular demand for entry-level positions in the past two years. Companies are addressing the talent gap through upskilling existing employees, recruiting from other industries, and offering competitive salaries and benefits to attract and retain talent.

Dhriti Prasanna Mahanta, Vice President and Business Head at TeamLease Degree Apprenticeship, estimates that the tourism and hospitality industry employed approximately 11.1 million people in 2023. This figure is expected to rise to 11.8 million by 2024 and further to 14.8 million by 2028, reflecting an annual growth rate of 16.5 per cent.

Balasubramanian A, VP and Business Head at Staffing, TeamLease Services, flagged the vast gap between current manpower and future requirements. He cited data from the Tourism and Hospitality Skill Council (THSC) indicating that only a fraction of available seats for hospitality management programs were filled in 2023.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)