How do you attract and retain talent in the competitive hospitality industry? (2024)

How do you attract and retain talent in the competitive hospitality industry? It's a question that many hospitality managers and owners face, especially in times of high demand and low supply. In this article, we'll explore some strategies and best practices for hospitality employee engagement, and how they can benefit your business and your staff.

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Employee engagement is the degree to which employees feel committed, motivated, and satisfied with their work and their employer. Engaged employees are more likely to perform well, stay loyal, and recommend your business to others. On the other hand, disengaged employees are more likely to be absent, unproductive, and turnover. According to a Gallup study, engaged employees in the hospitality industry are 17% more productive, 21% more profitable, and 10% more customer-rated than their disengaged counterparts.

Despite the advantages of employee engagement, the hospitality industry experiences unique challenges in promoting it. These include a high turnover rate, with the Bureau of Labor Statistics noting an average of 74.9% in 2018. Low wages and benefits, such as part-time and seasonal employment, can make employees feel undervalued and unmotivated. Furthermore, a diverse and dispersed workforce, composed of different backgrounds, cultures, and languages, can make it hard to create a unified culture and communicate effectively. Additionally, customers often expect high-quality service and quick resolution of issues which can put pressure on employees.

To create a positive and engaging work environment, hospitality managers and owners need to implement strategies and best practices. Recognizing and appreciating employees' efforts, achievements, and contributions is a simple and effective way to boost engagement. You can do this by giving verbal or written praise, rewards, incentives, or bonuses. Additionally, offering opportunities for training and development shows employees that you care about their future. This can include on-the-job training, online courses, workshops, seminars, or certifications. Creating a positive culture is also important for promoting trust, respect, collaboration, and fun. This includes setting clear and realistic goals, communicating openly and transparently, involving employees in decision-making, celebrating successes and milestones, and organizing social events and activities. Lastly, empowering your employees by giving them autonomy, authority, and resources helps them feel more confident, competent, and engaged.

Implementing strategies and best practices can have significant benefits for your business and staff, such as improved customer satisfaction, increased productivity and profitability, and reduced absenteeism and turnover. A Harvard Business Review study found that a 5% increase in employee engagement can lead to a 3% increase in customer satisfaction and a 2% increase in revenue growth. Additionally, a Gallup study discovered that engaged employees in the hospitality industry are 41% less absent, 24% less likely to leave, and 59% less likely to have accidents than their disengaged counterparts.

Hospitality