In Focus: How luxury travel companies are navigating the staffing crisis
Travel may be resuming, but the after‑effects of Covid‑19 continue to be felt. Undoubtedly the sector’s biggest battle is the current recruitment crisis, with ongoing staff shortages preventing some companies from capitalising on demand.
The World Travel & Tourism Council (WTTC) estimates 111,000 travel and tourism jobs were lost in the UK in 2020 and forecasts an average shortage of 15,000 workers this year.
A recent CGA Business Confidence Survey of 200 senior executives from the hospitality industry found that one in six jobs currently lies vacant.
Of course, the recruitment crisis has been rumbling for years, with many experts tracing its roots back to Brexit, but the pandemic has created a perfect storm.
Not only have border closures and business shutdowns led to mass job losses and employees taking up new roles in other sectors, the pandemic has also had a negative effect on the image of travel and hospitality for future generations.
From agencies and tour operators to airport and airline staff, the industry is dramatically understaffed.
Travel Bureau and Triangle Travel are among many agencies highlighting staffing as their main obstacle to pandemic recovery.
“Experienced agents have left the industry and are not looking to return, and candidates we interview who have never worked in the industry are looking for terms we are unable to meet,” says Triangle managing director Rob Kenton.
Luxury operator Carrier says it recruited 18 new team members last October to ensure service levels remained high as booking volumes gathered pace.
Elegant Resorts managing director Lisa Fitzell adds: “Without a doubt the biggest challenge our industry is facing right now is hiring new employees and attracting talent into an industry that has been so tarnished during the pandemic.”
The next generation
And tarnished it has been. A survey of 1,000 parents for the Best Western Career Index revealed that only 17% had a positive view of careers in hotel hospitality for their children.
A further 31% said they would discourage their child from a career in hospitality, with poor pay and long hours leading the negative perceptions. Yet with service level expectation in resorts at an all-time high among affluent travellers, it’s vitally important for the industry to have good staff.
“We need to attract young talent to the industry and a big part of that is convincing parents that hospitality can offer amazing opportunities and career paths,” says Filip Boyen, chief executive of Forbes Travel Guide.
“We need to improve our image, form stronger partnerships with schools to attract talent at a young age and train, mould and develop them. A well-organised and structured apprenticeship scheme can be one of the solutions but it is not a short-term fix.”
One hotel leading the charge is Fairmont St Andrews in Scotland. The hotel offers a three-year junior hotelier apprenticeship programme, as well as a four-year graduate programme in association with Dundee University, and a newly launched, 18-month young leaders programme for those aspiring to be managers.
They are the brainchild of area general manager John Keating, who himself entered the industry via an apprenticeship scheme. Keating currently has 21 young people in his programmes and three of his original apprentices are now junior managers.
“Education and a programme of opportunity is the answer and you need to invest long-term,” he says. “This solution isn’t going to happen overnight, which is why we have to be in the high schools. We need to engage more young people.”
Jason Oshiokpekhai, managing director of Global Travel Collection UK, whose sub-brands include Colletts Travel and Protravel International, also believes more must be done in the areas of diversity and inclusion to attract new recruits.
“We need to consider the barriers to entry that currently exist, whether technological or cultural, and find ways to remove them,” he says.
“At GTC UK, we’ve deployed agent platforms and built up internal support so that expertise with legacy technology doesn’t prevent someone with the contacts and desire to become a travel advisor from being able to succeed. Similarly, we’ve upped our recruiting efforts to advance diversity, equality and inclusion.”
Many brands are also understandably focusing on nurturing home-grown talent. “We have a team that has been so dedicated throughout the pandemic and they are the foundation of our business – we must concentrate on them,” Kenton says.
“Any new member of staff should fit in alongside the existing team with no advantages over others. This is not a solution, but purely a direction.”
Rewarding people
In hospitality, Boyen says many hotels are devising flexible working hours, development programmes and incentives to increase retention.
One such hotel is The Gallivant in Rye, where owner Harry Cragoe has a mission to build the happiest team in hospitality. The hotel hosts a Monthly Happiness Review where it awards staff bonuses for happy guests.
It also offers paid days off on birthdays, team yoga classes and cooking lessons, and aims to publish rotas at least one month in advance so staff can plan their schedules.
Meanwhile, at Elegant Resorts, Fitzell says giving staff the flexibility to work at home full time, back in the office or as part of a hybrid model has been a “huge success” in keeping staff turnover low.
She says the company is “more serious than ever about continuing to improve the working environment”, and is investing in areas such as training and wellness.
The staffing crisis is an uphill battle, but the industry is resilient. According to the latest WTTC Economic Impact Report, almost eight million travel and tourism jobs are projected to be created in Europe in the next decade, with the sector expected to grow at twice the rate of the overall economy over the next 10 years.
Continued pandemic recovery, bolstered by innovative apprenticeship schemes, enhanced messaging and better working environments, could well be the remedy for success.
Coming back stronger
Carrier’s head of sales, Rick Milne, outlines three ways the luxury tour operator has averted staffing challenges as the industry recovers from Covid-19.
· Early recruitment was key Last October, we recruited for 18 roles and filled them before Christmas. We realised how essential recruitment would be in retaining our existing team, to take the pressure off and to cope with sudden demand as restrictions were lifted. Recruiting at this time also gave us a bigger pool of candidates.
· Our reputation made Carrier more appealing to candidates During the pandemic, our position on refunds and our operational excellence was publicised through our Which? commendation as “one of the small travel companies leading the way during the crisis”. We were also commended in the trade press and agent forums.
· Flexibility and work-life balance has played a big part We have embraced hybrid/ remote working so staff can enjoy more flexibility. It’s now essential in attracting and retaining the best people.