Over the years, the hospitality industry has undergone a tremendous growth. However, the overall staff turnover has been a problem. Studies have shown that a majority of employees in the service sector contemplates changing the jobs (Klotz & Zimmerman, 2015; Kim, Im, & Hwang, 2015). There has been a significant growth in hospitality activities in the recent past (Ruiz, 2017). Moreover, many people are employed on either part or full-time basis. As a result, there is the need to develop effective human resource management strategies to address the diverse needs (Kim et al., 2015). However, the rate at which employees move from these jobs to the other ones is increasing. Some of the reasons that contribute to this phenomenon include poor pay, lack of career growth and development, family needs, and perception (Yang, Wan, & Fu, 2012). Most employers fail to take into account the above issues hence resulting in dissatisfaction among the staff members. Firms should strive to address employee’s concerns to avert problems that lead to low productivity. Consequently, the challenges can be handled by the employer to enhance business stability. Nevertheless, evidence suggests that employers contribute about two-thirds of the reason for workers’ exit from the organisation (Klotz & Zimmerman, 2015). Any aspect concerning work culture, the perception of one's job, operating environments and poor pay should be addressed to accommodate the needs of employees. There is the need to support the staff members to learn through continued training.
In the UK, the level of the staff turnover in the sector is alarming and estimated to be thirty-one percent (Denvir & McMahon, 2015). In the country, the hospitality industry contributes substantially to the economy (Ariyabuddhiphongs & Kahn, 2017). Globally, the human resource becomes one of the most crucial aspects. One of the employers in the market agreed that high staff turnover deterred performance and contributed to wing organisations up(Batt, 2002). Moreover, the need to recruit and train a new employee on a yearly basis is costly. Similarly, it is difficult to find replacements of exemplary staff once they leave the firm (Brown, Thomas, & Bosselman, 2015). Precisely, with a shortage of chefs and kitchen staffs, employers need to recruit these professionals competitively. Additionally, the level of qualification for this cadre of employees has risen gradually in the last two years making it difficult to pick out the relevant employer (Goh & Lee, 2018). Staff turnover increases the company expenses. According to Glebbeek and Bax (2004), the high turnover rate has impacted the hospitality sector resulting in massive losses that translate into millions of dollars.
Effects of Employee Career Development
2.1. Career Development
In any given industry, employees aspire to attain high levels of career development and growth. Most workers are focused on enhancing their skills and be promoted in the company (Brown, 2015). Some staff members have argued that it is difficult to progress in this industry due to lack of promotions and regular pay rise. In a study conducted by Casado-Díaz and Simón (2016), two-thirds of the respondents admitted that they never received any promotion while working for the company. Moreover, the chances of growth and development were limited. Most companies list skills and experience as the requirements for taking employees to another level (Patton and McMahon, 2014). In some cases, promotion is given to the workers that have been in the organisation for the longest time. According to Ruiz (2017), hospitality work is repetitive and demanding which may hinder further studies for the interested workers.
2.2. Considering as a Job
There is the need to match job requirements and the University curriculum that emphasises on qualification, and conduct (Garavan & Morle, 1997). From the questionnaire, the graduates start working with the expectations of high pay, direct promotions, and freedom. They require attendants to meet their requests politely regardless how they are asked. There is a tremendous amount of work to be done hence limiting the freedom of employees. Only ten percent of the graduates would stay for more than five months after starting to work in thehospitality industry (Chin, Chua, Ong, Tan, & Wong, 2016).
2.3 Progressing Careers
Over the years, the hospitality industry has been evolving and advancing in the career department. From the questionnaire, most graduates decide to work in the hospitality industry for fun (Francis & Jin, 2017). However, some students opt to work in this sector to earn income. As a result, there is lack of passion for the work leading to low productivity. Studies have revealed career progression is instrumental in enhancing employee loyalty and persistent organisational growth (Kevin, 2001; Kraak & Holmqvist, 2017). In the UK, hospitality jobs are considered temporary occupations by many people seeking employment.
2.4 Motivation
The level of motivation given to the employees influences their performance. Staff in this sector can develop a constructive working relationship. According to Curtis and Lucas (2001), over 80% of the employees admit that the work was not motivating. However, 20% of them indicated that the only motivation for working the next day is from the tips that they receive from customers. In most cases, staff members of an organisation leave for better pay and working conditions elsewhere. Furthermore, others look for places where they would work for fewer hours and directed career paths (Chin et al., 2016). The factors contribute to demotivated employees in the industry. Also, bartenders and hoteliers work for relatively longer hours compared to other staffs in different sectors. Additionally, there is much less pay in the industry as compared to the other sectors. As a result, bartenders lose work-life balance, and their social life is cut short due to the long hours of work. Studies have established that motivation is one of the most considered impetuses in the career of these workers (Ristic, Selakovic, & Qureshi, 2017; Curtis & Lucas, 2001). Employees can be encouraged to work for more through promotions and vouchers which will increase work output. When the workers are not motivated or inspired, the expected outcomes cannot be met. Additionally, there is a considerable reduction in the profit margins (Zopiatis, Constanti, & Theocharous, 2014). Turnovers in de-motivating setups are more compared to areas where staffs are motivated.
2.5 Employee Retentions
Studies reveal that hospitality business is failing in employee retention compared to other industries (Yang et al., 2012; Zopiatis et al., 2014). In research conducted by Brown et al. (2015) the results showed that more than 80% of employees have worked for twelve months and below. However, customers are more valuable compared to the employees according to the employers (De-Spiegelaere, Van Gyes, De Witte, Niesen, & Van Hootegem, 2014). There is less emphasis on retaining employees. For instance, the key starting point is the selecting ideal individuals and screening their skills on a competitive basis. Thereafter, each employee is assigned tasks matching his/her abilities (Curtis & Lucas, 2001). Some of the positions such as hoteliers and barristers are easily obtained, and no particular level of education is required for an individual to acquire the job (Kandampully, Zhang, & Bilgihan, 2015). The only problem experienced is when the field requires a particular expert, and no employee can satisfy the stipulated. Vasquez (2014) argues that most workers are frustrated by low salaries and wages that are not commensurate with work done.
2.5.1 Work-life conflict. As workers have long hours of working, with some even having to take night and day shifts to meet their expenses, Ariyabuddhiphongs and Kahn (2017) argues that employees experiences burnout. Most working in this sector agree that there is work conflict among the among staff members in the service industry. In circumstances, desire for promotion has resulted in conflicts in many institutions (Zopiatis et al., 2014). Furthermore, it is evident that there is a huge workload in most cases, which suggests that employees require the balance between jobs and social life. Moreover, the commitment to working limits the timeline available for the motivation of the employees, which is a derailing factor that forces these employees to seek better jobs where compensation is higher, motivation is imminent, and the work balance is and manageable
2.6 Reasons Why Employees Leave
Over the years, people have been working hard to meet the needs of social life and personal living desires. In a study carried out by Zopiatis et al. (2014) 78% of the respondents responded that it was extremely difficult to balance work life and personal life. The long hours that they spend at work restricts interaction and may hinder attending to personal matters (Blomme, Van, Rheede, & Tromp, 2010). The technology and growth in the sector are meant to spur productivity and quality of products and services. Nevertheless, people are still looking for better working conditions that allow them to spend time with families, friends and enjoy the social life (O'Leary & Deegan, 2005). Individuals are always inclined to the family and social life which could influence performance and increase cases of absenteeism. If the employee’s interaction with friends and families is not considered, they are left with no option but to leave the employment. Evidence shows that as students continue with studies, the perception regarding the industry deteriorates (Zopiatis et al., 2014). As a result, work dissatisfaction was the most cited reason. Morrell, Loan‐Clarke, and Wilkinson (2004) argue that only 50% of the students were willing to work in this sector after graduation.
2.6.1 Pay. After providing a service, every employee requires an appreciation in form of pay. Most employees indicated that they had high expectations for better salaries when seeking jobs. Additionally, 20% agreed that the pay was considerably good, 25% disregarded the pay while 45% appreciate the amount awarded by the organisation (Knox, 2014). The sector has registered extraordinary growth that can sustain the needs of the youths and create new employment every year (Casado-Díaz & Simón, 2016). Even with the passion for working in the industry, the adequate wage will create job satisfaction (Brown, Thomas, & Bosselman, 2015). In other words, the amount of work done should be commensurate with the wages and salaries offered by the company. The cost of living and the level of inflation have been increasing every day and affecting all nations across the globe. Moreover, it is hard for the hoteliers to acquire the high standards of living which may force them to look for other jobs that offer better packages and benefits.
2.6.2 Job insecurity. Over 50% of the participants indicated that they would prefer not to work in this industry for a long time (Casado-Díaz & Simón, 2016). They are insecure in their organisation and they would not rely on that job for their pension. In most European countries, jobs in the hospitality industries are considered temporary (De-Spiegelaere et al., 2014). During signing of job contract, job security should be part of the barging agreement and work jurisdiction which has the power to prevent unjustified terminations, layoffs and other forms of exploitation (Morrell et al., 2004). Additionally, security can also be affected by the general economic condition overruling in a particular region or at the global level. Low wages paid to service workers play a crucial role in high turnover rate (Knox, 2014). The hospitality industry is a field where low skilled and less paid employment can be offered. Due to the low-wages paid to employees, the employers save resources in recruitment as most of these people lack the requisite knowledge and skills. Consequently, the employers do not make an effort to offer better working environment, as they know any vacant slot will be filled (Guerci, Radaelli, Siletti, Cirella, & Rami Shani, 2015). Hospitality jobs are regarded as temporary globally the high rate of turnover and lack of interest from most potential employees (Kandampull, Zhang & Bilgihan, 2015).
2.6.3 Skills required. As highlighted by Tracey et al. (2015), many employers need graduates and workers to show some skills in service. A substantial percentage of respondents said that it was their first-time job and that they have never worked in the hospitality industry before. New job seekers in most circumstances lack the experience and skills to secure good positions (Kandampull, Zhang & Bilgihan, 2015). The best people to work in this industry are those that are not easily annoyed. For example, clients always look for hastened and quality services that meet the criterion for value for money (Deery, & Jago, 2015). In this regard, skills and experience are needed to serve each customer with the dignity and respect they deserve (Dhar & Dhar 2010). Since the sector is competitive, consumer satisfaction is given a priority. Employers emphasize that their workers must possess the proper working skills.
2.6.4 Transferable skills. From the interview that was conducted, 40% of the respondents said their current job position was not in accordance with their job professions. Harris, Tang, and Tseng (2006) indicated that when employees utilise experiences and abilities in workstations, they feel some sense of accomplishment, contentment, and pride. Additionally, workers will participate in activities that they are best at, and may expand knowledge in that field. As highlighted by Allen (2014), jobs in the hospitality are secure, not because individuals have trained nor had a passion for the position, but simply because they consider it opportunity for survival. The hired new employees require proper training from their seniors to provide proper services. People work for limited periods of time as they wait to move to other industries to pursue their passion and dream career (Jung & Yoon, 2016). Hospitality jobs only allow people to earn salaries and meet their needs.
2.6.5 Autonomy and independence. Most employees are seeking for employment opportunities that offer independence and autonomy (Kandampull, Zhang & Bilgihan, 2015). Workers in the hospitality industry work for more than eight hours per day. People need to work in places and environment that can permit independence and freedom (Kraak & Holmqvist, 2017). Following the survey that was conducted on how the USA employees consider job independence and self-determination, 52% responded that these factors are profoundly important (Charlebois, Creedy, & Massow, 2015). The hospitality industry hinders the freedom of the workers where they need to exercise good conduct and follow every particular rule and regulation. Some employers may affect the full functionality of an individual if they keep denying employees a sense of independence and freedom in the working stations.
2.6.6 Overall corporate culture. There is evidence that employees are interested in organisations that have good corporate culture. The company should provide workers with the opportunity to express their ideas and feelings. There is the need for organisation provides an enabling environment in which employees are encouraged to share ideas for business and individual development. The management ought to support creativity (Kraak & Holmqvist, 2017). Further, workers are allowed to spend about twenty percent of their time doing what they believe will promote the growth service industries. There is a belief that employee freedom has resulted in improved performance. However, in some cases, the management concentrates more on customers, and forgets the rights of the workers (Deery & Jago, 2015). The human resource department in the service industry should develop mechanisms for addressing the emerging needs of both employees and customers.
2.7 Stress
The study conducted by Wilson (2018) shows that employees within the hospitality industry complain of overworking and stress. For instance, Sallaz (2017) showed that arrogant and drunk people within bars tend to become rude and violent. Additionally, the number of jobs that each is expected to accomplish in a day is substantial. In some cases, as a result of long working hours, employees become physically and psychologically exhausted (Guerci et al., 2015). Those working in hospitality sector may have headaches as they work under high-pressures while traversing in the whole restaurant dealing with the customers. Furthermore, customers are becoming increasingly demanding as they look for high-quality services, apt attention, and fair pricing (Deery & Jago, 2015). Consequently, the workers bear constant stress, fatigue and strain to meet these consumer demands.
Conclusion
The hospitality industry has undergone tremendous changes in the recent past. The sector provides employment to millions of job seekers throughout the world. The human resource managers have tried to implement policies that create favourable working environment. However, many people consider positions as temporary. Consequently, employees in these organisations are searching for better career paths. Several reasons have contributed to this phenomenon. First, the working conditions in the service sector are deplorable as workers are required to work for extended hours than it is in the other professions. Secondly, there are limited opportunities for career growth and development. Workers are interested in jobs that offer flexibility and satisfaction. Thirdly, the desire for motivation has influenced the decision by employees to move to other careers. In addition, workers complain of poor salaries and wages that are not commensurate with work done. Fourthly, the nature of the work predisposes employees to conflicts as most of the clients are difficult to handle. Moreover, the weak corporate culture contributes to increased rate of staff turnover. Employees always desire to work in firms that promote autonomy, job security, and independence. The company ought to foster individual growth through innovations and skill enhancement. In a nutshell, there is the need to eliminate job stressor to make the hospitality industry attractive to employees.
References
Allen, M. (2014).Transferable skills that will carry you from hospitality jobs to other careers. Retrieved from https://careers.workopolis.com/advice/transferable-skills-that-will-carry-you-from-hospitality-jobs-to-other-careers/
Ariyabuddhiphongs, V., & Kahn, S. I. (2017). Transformational leadership and turnover intention: The mediating effects of trust and job performance on café employees in Thailand. Journal of Human Resources in Hospitality & Tourism, 16(2), 215-233.
Batt, R. (2002). Managing customer services: Human resource practices, quit rates, and sales growth. Academy of management Journal, 45(3), 587-597.
Brown, D. (2015). Career information, career counselling, and career development. New York: Pearson.
Brown, E. A., Thomas, N. J., & Bosselman, R. H. (2015). Are they leaving or staying: A qualitative analysis of turnover issues for Generation Y hospitality employees with a hospitality education. International Journal of Hospitality Management, 46(1), 130-137.
Blomme, R. J., Van Rheede, A., & Tromp, D. M. (2010). Work-family conflict as a cause for turnover intentions in the hospitality industry. Tourism and Hospitality Research, 10(4), 269-285.
Casado-Díaz, J. M., & Simón, H. (2016). Wage differences in the hospitality sector. Tourism Management, 52(1), 96-109.
Curtis, S., & Lucas, R. (2001). A coincidence of needs? Employers and full-time students. Employee relations, 23(1), 38-54.
Charlebois, S., Creedy, A., & von Massow, M. (2015). “Back of house”–focused study on food waste in fine dining: the case of Delish restaurants. International Journal of Culture, Tourism and Hospitality Research, 9(3), 278-291.
Chin, M. C., Chua, W. S., Ong, K. N., Tan, S. H., & Wong, S. L. (2016). The Impact of Motivation on Employees’ Job Performance at Prudential Assurance Malaysia Berhad in Seberang Jaya, Penang (Doctoral dissertation, UTAR).
De-Spiegelaere, S., Van Gyes, G., De Witte, H., Niesen, W., & Van Hootegem, G. (2014). On the relation of job insecurity, job autonomy, innovative work behaviour and the mediating effect of work engagement. Creativity and Innovation Management, 23(3), 318-330.
Deery, M., & Jago, L. (2015). Revisiting talent management, work-life balance and retention strategies. International Journal of Contemporary Hospitality Management, 27(3), 453-472.
Denvir, A., & McMahon, F. (2015). Labour turnover in London hotels and the cost effectiveness of preventative measures. International Journal of Hospitality Management, 11(2), 143-154.
Dhar, R. L., &Dhar, M. (2010). Job stress, coping process and intentions to leave: A study of information technology professionals working in India. Social Science Journal, 47(3), 560-577. doi:10.1016/j.soscij.2010.01.006
Francis, D., & Les Roches Jin Jiang, L. R. J. J. (2017, December). Socialisation and Friendship as the Panacea for Turnover in the Hospitality Industry. In 14th International Conference on Intellectual Capital Knowledge Management & Organisational Learning: ICICKM 2017 (p. 81).
Garavan, T. N., & Morley, M. (1997). The socialization of high-potential graduates into the organization: Initial expectations, experiences and outcomes. Journal of Managerial Psychology, 12(2), 118-137.
Glebbeek, A. C., & Bax, E. H. (2004). Is high employee turnover really harmful? An empirical test using company records. Academy of Management Journal, 47(2), 277-286.
Goh, E., & Lee, C. (2018). A workforce to be reckoned with: The emerging pivotal Generation Z hospitality workforce. International Journal of Hospitality Management, 73, 20-28.
Guerci, M., Radaelli, G., Siletti, E., Cirella, S., & Rami Shani, A. (2015). The impact of human resource management practices and corporate sustainability on organizational ethical climates: An employee perspective. Journal of Business Ethics, 126(2), 325-342. doi:10.1007/s10551-013-1946-1
Harris, M. N., Tang, K. K., & Tseng, Y. P. (2006). Employee turnover: less is not necessarily more?. Contributions to Economic Analysis, 274(1), 327-349.
Jung, H. S., & Yoon, H. H. (2016). What does work meaning to hospitality employees? The effects of meaningful work on employees’ organizational commitment: The mediating role of job engagement. International Journal of Hospitality Management, 53(1), 59-68.
Kandampully, J., Zhang, T., & Bilgihan, A. (2015). Customer loyalty: a review and future directions with a special focus on the hospitality industry. International Journal of Contemporary Hospitality Management, 27(3), 379-414.
Kraak, J. M., & Holmqvist, J. (2017). The authentic service employee: Service employees' language use for authentic service experiences. Journal of Business Research, 72(1), 199-209.
Kevin ,J. A. (2001). Making a career of it? Hospitality students’ future perspectives: an Anglo-Dutch study. International Journal of Contemporary Hospitality Management, 13(1), 13-20.
Kim, S. S., Im, J., & Hwang, J. (2015). The effects of mentoring on role stress, job attitude, and turnover intention in the hotel industry. International Journal of Hospitality Management, 48(1), 68-82.
Knox, A. (2014). Human resource management (HRM) in temporary work agencies: Evidence from the hospitality industry. The Economic and Labour Relations Review, 25(1), 81-98.
Klotz, A. C., & Zimmerman, R. D. (2015). On the turning away: An exploration of the employee resignation process. In Research in personnel and human resources management(pp. 51-119). Emerald Group Publishing Limited.
Morrell, K. M., Loan-Clarke, J., & Wilkinson, A. J. (2004). Organisational change and employee turnover. Personnel Review, 33(2), 161-173.
O'Leary, S., & Deegan, J. (2005). Career progression of Irish tourism and hospitality management graduates. International Journal of Contemporary Hospitality Management, 17(5), 421-432.
Patton, W., & McMahon, M. (2014). Career development and systems theory: Connecting theory and practice. New York: Springer.
Ristic, M. R., Selakovic, M., & Qureshi, T. M. (2017). Employee motivation strategies and creation of supportive work environment in societies of post-socialist transformation. Polish Journal of Management Studies, 15(1), 14-56.
Ruiz, C. A. (2017). Strategies to retain millennial employees at full-service restaurants (Doctoral dissertation, Walden University).
Sallaz, J. J. (2017). Exit tales: How precarious workers navigate bad jobs. Journal of Contemporary Ethnography, 46(5), 573-599.
Tracey, J. B., Hinkin, T. R., Tran, T. L. B., Emigh, T., Kingra, M., Taylor, J., & Thorek, D. (2015). A field study of new employee training programs: industry practices and strategic insights. Cornell Hospitality Quarterly, 56(4), 345-354.
Vasquez, D. (2014). Employee retention for economic stabilization: A qualitative phenomenological study in the hospitality sector. New York: Dood.
Wilson, E. R. (2018). Stuck behind kitchen doors? Assessing the work prospects of latter-generation Latino workers in a Los Angeles restaurant. Ethnic and Racial Studies, 41(2), 210-228.
Yang, J. T., Wan, C. S., & Fu, Y. J. (2012). Qualitative examination of employee turnover and retention strategies in international tourist hotels in Taiwan. International Journal of Hospitality Management, 31(3), 837-848.
Zopiatis, A., Constanti, P., & Theocharous, A. L. (2014). Job involvement, commitment, satisfaction and turnover: Evidence from hotel employees in Cyprus. Tourism Management, 41(1), 129-140.