POLICY-UK: Next Steps for UK Tourism conference focuses on regulation and training
Staff retention problems ‘cost sector £270m’
Ian Taylor
ian.taylor@travelweekly.co.uk
High staff turnover in tourism and hospitality is costing the sector £270 million a year.
Martin-Christian Kent, executive
director of People1st – the workforce skills development organisation – told the Policy-UK conference: “We talk about a recruitment problem, but it’s actually a retention problem.” Kent said UK tourism and hospitality businesses needed to recruit 993,000 staff by 2022, with 870,000 people needed just to replace those who leave. He said: “We’re in a spiral of constant recruitment and training, and we don’t benefit from the investment – we’re training [people] for the whole economy.” Kent highlighted a series of issues acerbating the crisis. He said: “There is a huge skills
shortage. We have one of the highest skill gaps of any sector – 21% of employers report staff don’t have the skills they need against 15% in the economy as a whole. “Productivity is low – hospitality
and tourism contributes 53% less per employee than retail – and we’ve seen a sharp rise in hard-to- fill vacancies. “We recruit three times the number of people under 24 as the economy as a whole, yet the proportion of people under 24 is getting smaller. “The saving grace has been
migrant workers – they make up 70% of our workforce in London.” Kent said the national living
“We’re constantly recruiting and training and we don’t benefit from the investment”
KENT: ‘We’re training people for the whole economy’
wage to be introduced in April would increase the problems, adding 50p an hour to the current national minimum wage of £6.70 an hour for those aged 25 and over. “The national living wage is
expected to be £9 an hour by 2020,” said Kent. “It’s going to be very challenging [for the sector].” Government plans for
an apprenticeship levy are also causing concern. Kent suggested the plan “provides a real opportunity to highlight opportunities and get apprentices”, but he added: “There are real fears those businesses that already invest heavily and successfully in training will have to divert resources.” He said: “There is evidence that
apprentices progress quicker than graduates in major companies.”
Peer-to-peer firms ‘face rule enforcement’
Ministers are “looking at enforcement” of regulations on peer-to-peer businesses such as Airbnb, according to the government’s head of tourism. Lise-Anne Boissiere, head of tourism and heritage
at the Department for Culture, Media and Sport, told a Policy-UK conference last week: “I know the industry is divided on the benefits Airbnb brings.” Responding to David Weston, chief executive of the Bed and Breakfast Association, Boissiere said: “People tell us the regulations are uneven. But there isn’t a disparity of regulation. So we are looking at the issue of enforcement.” Weston told Boissiere: “It galls people to hear
ministers cheerleading for new sectors not burdened by the regulations and taxation our sector is. To see the unregulated sector coming in and government ministers saying ‘How brilliant. How do they grow so fast?’ We could all grow fast without taxation.” But Boissiere insisted: “Regulations do apply. It’s not an unregulated sector. I don’t want to say there is an enforcement problem, [but] we are looking at it.” Paul Sawbridge, chairman of UK hotel group
Alfa Leisureplex, said: “This is not just about local authorities failing to apply regulations [on Airbnb hosts]. The fundamental problem is tax. The sharing economy is the tax-dodging economy.”
CAMPAIGN: Charity wants logo to be visible across travel sector
11 February 2016
travelweekly.co.uk 85
Tourism for All wants support for new campaign
Disabled charity Tourism for All will launch a ‘Tourism for Everybody’ campaign next month, and aims to make its logo visible on every travel and tourism site. Tourism for Everybody will
focus on the welcome, attitude and service of staff, and will be underpinned by a code of practice. The charity wants industry groups, businesses, government and public sector bodies to show support. Tourism for All trustee Chris
Veitch pointed out VisitEngland estimates the domestic accessible-travel market alone as worth £12.4 billion a year. He said: “One in five people has a need when they go on holiday, and you don’t know who your next customer will be or what their needs are.” People should not think this
is all about wheelchair access, he said. Long-term illness is the most common issue, while impaired hearing affects one in four of those viewed as disabled. Veitch said research suggested 75% of disabled people and their families “have walked away from a business because they experienced poor service”. The campaign will launch
during English Tourism Week at the beginning March.
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