Hospitality needs fresh faces to welcome guests
With hospitality industry set to add 53,000 new rooms across 40 properties over the next five years, the industry needs about 94,000 fresh heads to manage these new hotels.
By Sudipto Dey, TNN |
NEW DELHI: With hospitality industry set to add 53,000 new rooms across 40 properties over the next five years, the industry needs about 94,000 fresh heads to manage these new hotels. Apart from the major metros, the big demand for manpower is slated to come from Pune, Jaipur, Goa, Hyderabad and Cochin.
As per the latest research by HVS International across 10 key markets, about 53% of fresh room inventories are entering luxury and first-class segments. To manage additional inventory, the industry will need to increase its stock of hotel professionals by over three times, from 45,000 to over 1,38,300 over the next five years.
The Pune market is set to add over 4,600 rooms between 2005-06 and 2011-12. The city will see 900% growth in manpower in the same period. Hyderabad will see its HR stock grow by over 500% from about 2,500 to over 15,000 over the next five years.
The city will add over 7,400 rooms, the bulk of which will be in five-star and five-star deluxe categories.
Bangalore will add over 7,700 rooms, over 50% of which will be in luxury and first-class categories. This will increase its HR stock from 3,300 to over 17,000, a jump of over 400%.
Another market that will register almost 300% growth in manpower stock is Cochin, growing from 600 to over 2,400. The city will add over 1,000 rooms in the period, 60% of which will be in the mid-market and budget segments.
ADVERTISEMENT
Chennai will have over 11,400 hotel professionals by 2012, growing its stock by 214%. It is set to add over 4,400 rooms over the next five years, with close to 60% in five-star and five-star deluxe categories.
Jaipur, which adds over 2,700 rooms, will need over 4,700 heads. Goa will add another 2,600 rooms and an additional 4,500 heads. Hospitality pool of Delhi and NCR will grow by 155% to over 31,000. In Mumbai, the figure would touch 30,000, from about 13,000.
Delhi/NCR and Mumbai would see the biggest growth in room inventory, adding over 20,000 between them. Kolkata will see its pool grow to over 6,700 from 2,300, as it adds another 2,400 rooms, the bulk of which will be in mid-market and budget segments.
According to Saurabh Gupta, head, HVS International, the industry will start feeling the impact of manpower shortage from 2008 onwards when bulk of additional supply starts flowing in. Over 40,000 new rooms are set to enter the market between 2008 and 2010.
The average employee-to-room ratio in India is 1.8, with the only exception being three-star hotels, where the ratio drops to 1.5 per room. Indian hotels remain overstaffed by 20-25% compared to international standards, where the average is 1.6 person per room.
Start a SIP with as low as ₹500 with ET Money App!
Download
The Economic Times News App for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
The Economic Times News App for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
ADVERTISEMENT
