January 30th, 2023 | Joy Henry, US Head of Technology and Business Services, Sterling

Hospitality Hiring in 2023: Trends You Need to Know

Over the past few years, the hospitality industry has been faced with a unique set of challenges affecting businesses’ bottom lines and employment trends. In an industry once struggling, the hospitality industry is now projected to add 1.9 million jobs from 2021 to 2023, which accounts for 23% of all projected new jobs added to the US economy. This would make the hospitality sector the fastest growing of any sector, with an annual growth rate of 1.3%.

Here are a few key trends affecting the hospitality industry today.

Increasing demand for workers:

Some positions are in higher demand than others. The BLS data shows that the most in-demand areas of hospitality include food and beverage services, amusement parks, arcades, and performance arts companies. Roles in these areas tend to offer good opportunities for career advancement and offer a mix of customer service, organizational, and managerial skills.

Rise of recruitment technology

Technology is rapidly changing the way that hospitality companies hire and manage their employees. In the past, organizations have reported using more traditional methods such as recruitment agencies. Currently, online job boards, applicant tracking systems (ATS), and social media are all becoming more prevalent in the hiring process. According to data from a recent Sterling Leadership Council, leading hospitality companies have reported a 50% increase in the utilization of social media platforms to source candidates from 2021 to 2022.

Use of technology to streamline operations:

Many hotels and restaurants are using technology in their establishments to improve efficiency. For example, hotels are now investing in self-service kiosks, mobile ordering systems, and room automation systems. While this does cut labor cost, it also increases the demand for skilled and experienced workers.

Flexible working arrangements:

With the rise of remote work, many hospitality workers are looking for flexible schedules. This trend is being driven in part by the rise of the gig economy, which allows workers to choose when and where they work. For the hospitality industry, this could mean that employees get more flexibility around specific hours, rather than the traditional shift schedules.

Emphasis on Employee Retention:

In a tight labor market, many hotels and restaurants are placing a greater emphasis on employee retention to keep their best workers and reduce turnover. Now more than ever, hospitality companies are reporting investing in employee development by having clear career paths, mentors, and additional training.

The hospitality industry will continue to grow and adjust as it shifts to macroeconomic trends and consumer demand. As it grows, Sterling can help you optimize your hiring process by decreasing background screening turnaround times and streamlining your hiring process. You can learn more about your hospitality offerings here.

Sterling is not a law firm. This publication is for informational purposes only and nothing contained in it should be construed as legal advice. We expressly disclaim any warranty or responsibility for damages arising out this information. We encourage you to consult with legal counsel regarding your specific needs. We do not undertake any duty to update previously posted materials.