The Rising Demand for Skilled Workers in India’s Hospitality Industry
The hospitality industry, a cornerstone of India’s economy, plays a crucial role in the country’s growth and development. As we begin to recover from the effects of COVID-19, there is a greater need than ever for qualified individuals in this industry. With a substantial GDP contribution, India’s hospitality sector has shown to be essential to the country’s post-pandemic economic recovery. Thanks to strong demand for high-quality services and both domestic and foreign tourism, the business is growing again. The COVID-19 epidemic resulted in a sharp decline in occupancy rates and industry revenue due to significant job loss and financial distress. But now, nearly three years later, as the economy slowly starts to revive, there are encouraging signals.
The phenomenon known as ‘revenge spending’ in the tourism sector post-COVID-19 pandemic has catalyzed a significant increase in hospitality hiring, particularly for entry-level positions. According to TeamLease, the hiring of apprentices and trainees in the hospitality sector has grown at a compound annual growth rate (CAGR) of 54% over the past two years. Overall, hiring within the sector has surged by approximately 271% during the same timeframe.
Skilled workers are in more demand as the hospitality industry expands. An insightful skill gap in the skilling environment in the Indian hospitality industry has been identified, according to newly released research by The Tourism and Hospitality Skill Council (THSC). According to the analysis, between 2025 and 2028, an extra three million people will be needed to support the expanding hospitality and tourism industries. Only 1% of young people who have indicated an interest in working in the hotel sector—an estimated 5.8 million—have received any official training. This disparity is concerning particularly in light of the optimistic growth estimates for the upcoming years. To fulfil the changing needs of the sector, people with experience in customer service, digital literacy, and management are needed.
In order to maintain high service standards, foster innovation, and improve client experiences, skilled individuals are crucial to the hospitality sector. Professionals with skills can find a variety of possibilities in this industry, ranging from front desk staff and concierge services to digital marketing and tech support. In the rapidly evolving corporate world of today, traditional teaching approaches are becoming less effective. Employers place a higher importance on problem-solving, communication fluency, customer contact, people management, and numerical skills than they do on textbook knowledge, according to surveys. To better prepare students for their future employment, educational institutions must incorporate these abilities into their curricula through field trips, role-playing, simulation of real-life settings, and hands-on training.
The diversity of responsibilities needed in the hospitality industry makes it unlikely that any particular job function will soon become obsolete. But there will be a greater reliance on technology. Technology will be used regardless of the function—front-of-the-house, back-of-the-house, operational, or strategic. While housekeepers rely on gadgets to speed up cleaning and reduce turnaround time, chefs utilize them to simplify preparation and ensure uniformity in their work. These illustrations show how technology is being used more and more in the hospitality industry.
Traditional personnel ratios are shifting as a result of this technological change. One skilled employee may now be sufficient in places where numerous individuals were previously required. To remain competitive and relevant, young hospitality students need to be exposed to technology at an early age.
The hospitality sector employs a sizable portion of people in the tourism industry. Youth with a background in hospitality may find employment in related fields including retail, FMCG, aviation, or customer service positions. This is one of the reasons the hospitality sector finds it difficult to draw in and keep young talent. Graduates from colleges with a focus on customer service are readily hired by industries that offer greater pay, a work-life balance, and healthier working conditions. Leaders in the hospitality industry must reflect and deal with these problems to stop talent loss.
The increasing need for a skilled workforce, encouraging government programs, and the slow but steady rebound of tourism are all contributing to the recovery of India’s hotel industry. Through the implementation of digital transformation and skill development, the sector may effectively negotiate obstacles and capitalize on possibilities for growth and innovation. The hotel sector is one of the main drivers of India’s economic revival and has enormous future potential. India’s hotel sector is expected to have a prosperous future. It may remain a key driver of economic growth and development by emphasizing skill development, embracing technology, and establishing a supportive work environment.