Parlay’s Post

The labor shortage of the pandemic may be mostly behind us, but the workforce reset has had lasting effects. Hospitality operators are now facing other, related challenges: 💲 Wage inflation is outpacing market prices, putting a strain on bottom lines. 🧠 Institutional knowledge lost during the pandemic labor shortage still affects teams and training. 👨🍳 Keeping employees long-term has become more of a challenge as job-hopping increases. LODGING Magazine speaks with industry experts about their mitigation strategies: https://lnkd.in/erfspy9U #laborconcerns #hotelandresortindustry

Innovative Solutions to Hospitality's Labor Shortage 🏨 The labor shortage in hospitality is more than a temporary glitch, it is a wake-up call for structural change. As hotels and restaurants strive for a robust recovery post-pandemic, the challenge extends beyond hiring to encompass staff retention, work-life harmony, and mental well-being. To reverse the trend of high turnover, industry leaders are exploring avenues such as wage enhancements, flexible scheduling, and comprehensive benefit packages, recognizing that the path to prosperity is paved with employee satisfaction. Tackling this complex issue requires a multifaceted approach. Addressing the economic deterrents of low wages, the demographic shift in the workforce, and the evolving preferences for flexible work environments are pivotal. The industry's response involves embracing innovative practices, from career development programs to creating a culture that values employee well-being, setting the stage not only for recovery but for a reinvigorated sector. #LaborShortage 🔍 #HospitalityIndustry 🏨 #EmployeeRetention 🔄 #WorkLifeBalance ⚖️ #InnovativeSolutions 💡 #HospitalityReimagined 🌐 https://lnkd.in/gd5tn9Bp

Labor shortages. The strain continues.     Like many other industries, Hospitality continues to experience the significant challenges of being able to seek talent, fill positions and retain team members.   Since July 2021, quit rates in hospitality have consistently exceeded 4.5% - placing immense strain on workers and the industry as a whole.   According to a recent survey from the American Hotel & Lodging Association, labor shortages are still one of the biggest issues hoteliers face in 2024, with two-thirds claiming to not have enough staff and more than four in five claiming they raised wages in the second half of 2023 to help recruit and retain talent.   In response to this issue and to meet the evolving demands of consumers, the industry is turning and investing in new technologies.   As someone who has been part of the hospitality industry for 28 years, I’m seeing first-hand the powerful tools that are needed and being implemented to help support current team members with operational efficiencies and alleviate burden.   Want to have a conversation on how to support your current team members and refocus on providing exceptional and hospitable service? Then let’s connect.   Who knows? You may find that your organization will no longer be part of that 4.5% rate in the long run.   #hospitality #hospitalityIndustry #tourism #hotels #employeeengagement #workforcesolutions #canteen Canteen North America

It's a great time to be in Hospitality! The recent 38% wage increase in the hospitality sector since 2018 presents a complex scenario for hotel management and ownership. While it highlights the need to attract and retain top talent for delivering exceptional guest experiences, it also necessitates strategic staffing to maintain financial health. 👥 Offering competitive compensation is non-negotiable, but without a well-rounded strategy, these wage hikes can threaten profitability. The challenge lies in balancing generous pay with efficient staffing and operations. Strategic scheduling and data-driven workforce management can optimize staffing to match demand, ensuring adequate staff during peak times while avoiding overstaffing. This approach not only controls labor costs but also enhances guest satisfaction. Leveraging technology is equally important. By adopting hotel technology solutions such as automated check-ins and AI-driven customer service, operations can be streamlined, reducing manpower requirements without sacrificing service quality. Achieving success in this environment demands a strategy that combines competitive wages with innovation and efficiency. By aligning these elements, hotels can attract skilled talent while ensuring sustainable growth and profitability amid rising wage pressures. https://lnkd.in/gFrWw7Ve #HotelManagement #StrategicStaffing #HospitalityInnovation #WageStrategy #SustainableGrowth

Restaurants and hotels raced to retain and hire talent after the pandemic. Their employees are still reaping the benefits. Read more in Data Lab. https://lnkd.in/gReFem4j #hospitality #labormarket

Great insight into the Leisure and Hospitably market.

I've engaged with numerous leaders in the hospitality sector, and the topic of "Culture" consistently emerges as a crucial factor in addressing labor recruitment and retention challenges. It's more pertinent today than ever, resonating across all industries. Read more about the pressing concerns faced by top hotel companies regarding rising wages and difficulty in finding employees: [Link to Article](https://lnkd.in/gYWB_-a6)

💡 Is reducing labor costs in the hospitality industry truly sustainable? As we look ahead to 2024-25, upper-tier hotels are leading the charge with a forecasted RevPAR increase, driven by higher-income households traveling more than lower-income ones. Annual gross operating profit and EBITDA margins are also expected to improve, with lower labor costs playing a key role. Notably, upper midscale chains are projected to maintain the lowest labor costs in 2024. But help me understand: According to the AHLA, U.S. hotels are projected to pay employees 4% more year-over-year, and thousands of hotel workers are striking for higher wages. Yet, in the face of increased demand from increased international travel, we're somehow reducing labor costs? 🤔 Are wages being lowered, or are we reducing our workforce? We've seen the impact—fewer workers have led to historically low guest satisfaction scores across many hotels. 😕 Acquisition costs can account for anywhere between 15% to 25% of guest-paid revenue. Before cutting our most valuable asset—our frontline—let’s work together to get a thorough overview of these costs. 🤝 #Hospitality #Hotels #Economy

Why are hospitality workers treated like disposable machines in a so-called 'pizza party culture'? From hotels to restaurants, these dedicated individuals keep everything running smoothly while enduring grueling hours, low wages, and disrespect. Yet, they receive little recognition or appreciation. This "pizza party culture" is just a Band-Aid over the gaping wound of poor pay, grueling hours, and a lack of real appreciation. How is it that an industry generating billions can't afford to pay a living wage? ➡ Long, unpredictable shifts that often extend past the scheduled hours. ➡ Overwhelming workloads, where one person is expected to do the job of two or three. ➡ Constant exposure to mistreatment, from rude customers to demanding managers. ➡ Low wages that barely cover rent, let alone healthcare or other essentials. These workers are the unseen heroes of vacations, dining out, and business trips. They show up every day with a smile, even when they're exhausted and underpaid. Still, their hard work is taken for granted. Hospitality corporations claim there's a "labor shortage," but the real problem is a shortage of fair wages, perks, and decent working conditions. If these workers are truly essential, shouldn't they be treated and paid like it? How much longer can we ignore the real cost of a slice of pizza before no one is left to eat it?

Why are hotels still struggling with labor shortage?? While several new ''added values'' have been provided to employees (flexible hours, increase of wages, additional benefits, etc) the problem lies ahead for the next foreseable future. Education doesn't seem to understand the issue and (most of) their programs are still the same as 20 years ago. My Humble House is planning to disrupt the business model with profit sharing for its employees. What is your take in this new model? #beingmorehuman #hospitality #leadership #creative #founder #founderstories #iconinthemaking #Pangaea #INTI #Svalbard #AURUM #hospitalityindustry #disruptingthefuture #masterplannedcommunity #profitistheconsequenceofourpurpose #socialluxury #sustainablebusiness #profitsharingisthefuture #makinghospitalitymorehuman #personalizationishuman #newbusinessmodel #MyHumbleHouse #hotelschool #educationinhospitality https://lnkd.in/gnEQj4WS