The UK hospitality sector is facing a critical period of labour shortages and employee burnout, according to a new survey from Axonify.
The survey reveals that over half (53%) of managers in the industry report their businesses and staff are suffering, underscoring the growing challenges in the sector. These findings come on the heels of recent reports indicating that an alarming 12.6 hospitality venues, including restaurants and shops, close daily across the UK.
The impact of Brexit on these labour issues, however, remains a point of contention among managers. While 36 percent believe Brexit’s long-term effects are exacerbating hiring difficulties, 39 percent disagree, and 25 percent are uncertain, highlighting a divided industry on this issue.
Employee morale has taken a significant hit, with nearly half of the surveyed managers acknowledging the negative effects of staff shortages. The primary consequences include increased workloads (73%) and higher employee turnover (60%), both of which are contributing to a decline in customer service. Notably, 50 percent of respondents have observed longer waiting times, and 41 percent have noticed a deterioration in service quality.
Burnout has emerged as a central issue, with half of the managers in the sector reporting personal experiences of burnout, driven by long working hours (69%), high-stress levels (68%), and chronic understaffing (64%).
What about training programmes
Despite these challenges, more than two-thirds (68%) of managers express confidence in their company’s current training programmes, which they believe help keep employees engaged and motivated. In response to the crisis, many companies are implementing measures such as flexible working hours (58%), wage increases (52%), and stepped-up recruitment efforts (43%). Additionally, UK companies are leading in providing mental health and wellbeing training to their staff, with 57 percent offering such programmes compared to 46 percent in the US.
Looking forward, a significant portion of the industry is optimistic that changes in government and the potential for new policies under a Labour administration could alleviate some of the current labour shortages. Overall, more than two-thirds of managers are hopeful about the future, believing that these strategic initiatives and a focus on employee well-being will help stabilise the workforce.
Carol Leaman, CEO and Co-Founder of Axonify, emphasised the sector’s resilience despite its challenges:
“It is no secret that the hospitality industry is feeling the effects of staff shortages. With ongoing labour shortages and employee burnout reaching exceedingly high levels, change is required to safeguard the future of the sector. Despite these challenges, managers are optimistic, demonstrating the resilience of the UK hospitality sector. Effective training programs and strategic initiatives will foster a motivated and engaged workforce, paving the way for a brighter future in the industry.”
As the industry navigates these turbulent times, the focus on training, flexibility, and employee well-being may prove crucial in reversing the current trends and ensuring a sustainable future for the UK’s hospitality sector.
Amelia Brand is the Editor for HRreview, and host of the HR in Review podcast series. With a Master’s degree in Legal and Political Theory, her particular interests within HR include employment law, DE&I, and wellbeing within the workplace. Prior to working with HRreview, Amelia was Sub-Editor of a magazine, and Editor of the Environmental Justice Project at University College London, writing and overseeing articles into UCL’s weekly newsletter. Her previous academic work has focused on philosophy, politics and law, with a special focus on how artificial intelligence will feature in the future.
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