Different sources estimate that the hospitality sector employs approximately 1.6 to 1.8 million people. Between 1991 and 2001 employment grew by between 1-1.5% per annum. 

Employment in the sector is forecast to grow by a further 4% through to 2010. In the short-term employment levels are expected to decline but will be offset by the increases in the second half of the decade. However, some forecasts within the sector are for even stronger growth. 

Source: Working Futures 2004, Skills in England 2003 and Hospitality Sector Report 2002

Source: Hospitality Sector Report 2002

For further projections see Data and charts.

For several years the hospitality sector has faced chronic recruitment difficulties. Vacancies in the hospitality sector account for 14% of all vacancies reported to job centres. 

Most vacancies are for chefs and cooks, bar staff, waiting staff and catering assistants. Bar and waiting occupations are both forecast to grow over the next decade at a rate above the industry average so recruitment for these occupations is likely to continue to be problematic, although since 2001 there has been some fall in the number of vacancies.

The hotel sub-sector is becoming increasingly dependent on information technology. Specifically, ICT skills are required in the use of the internet, e-mail, word-processing, spreadsheets and databases and to facilitate internal business systems.

Given the rate of change within the industry there is a growing demand for management expertise. Only 9.8% of hotel managers and 6.2% of restaurant and catering managers hold a management level qualification. Managers in the industry need particular skills in people management; commercial skills and business acumen; problem solving; succession planning; resource planning.

UK demographic changes are likely to impact on the industry's skills supply. 40% of the sector’s workforce is under the age of 25, but the age of the workforce in England is rising. The result is an increase of older workers in search of employment security and career progression which the hospitality sector does not necessarily offer. There has, however, been an increase in the number of employees aged 30-49 since 2001.

See the Equal opportunities issues section for more discussion about the age of the sector’s workforce.

Source: HtF/VT Plus Training 2003, Hospitality Sector Report 2002 and Rowley, et al. 2000

The hospitality sector continues to experience change and priorities for the industry include:

• improving the image of the industry as an employer
• increasing employer engagement in relevant learning and development programmes
• ensuring greater uptake of industry recognised qualifications
• promoting career opportunities into and within the sector

Action to achieve these aims includes:

• more imaginative and attractive remuneration packages
• more comprehensive and systematic training linked to qualifications and rewards for learning achievement, supported by good mentoring
• greater practical content in both HE and FE courses
• more focus on innovation in HE provision/delivery.
• provision at all levels to include broader skills such as customer service, and key and basic skills where relevant
• more effective maintenance of the relevance of vocational qualifications to employers
• greater support for qualifications by employers
• better employer understanding of national qualifications as skills and competence benchmarks which aid recruitment
• more flexible and cost effective access to learning and qualifications to increase the opportunity for trainees to develop their employability, and provide the base for progression to higher level skills
• greater collaboration between work-based and education-based training providers encouragement of employer networks and clusters, such as tourism clusters through which skills development can be promoted
• provision by employers and learning providers of work placements that give structured experience, accredited where possible, so that young people develop a positive impression of the industry, and thus increase recruitment potential

Source: Hospitality Sector Report  2002