Relation of recruitment and retention in hotel industry
One of the industries with the
fastest growth rates worldwide is the hospitality sector. The hotel sector
dominates the worldwide service industry and significantly increases both
developed and developing countries' gross domestic products (GDP) (Dogonyaro,
2021). The hospitality industry is having
serious staffing issue (shortage of employees) as a result of the pandemic,
travel limitations, and increase in demand (Colley, 2021). The consequence of
this is a reduced income at a time when many are trying to recover losses for
the last year of lockdowns (Colley, 2021). Business organizations must recruit
the greatest talents and retain them on staff for a long period if they
want to stay more competitive and finding talented personnel is one of the main
strategies used by hospitality businesses to compete (Dogonyaro,
2021).
Consequently, the fact that many businesses are now beginning
to focus more administrative resources on management strategies and career
development programs intended to retain the best employees is not surprising (Williams
and Hunter, 1991). According to Dogonyaro (2021) retention factors include training and development,
career opportunities, supervisor support, job characteristics, work/life
balance, and compensation. The retention of satisfied and committed employees
is central to the success of the organization in the hospitality industry (Dogonyaro,
2021). The underutilization, underdevelopment,
and inadequate management of new personnel are among the most serious company
failures. From a management recruiting and retention perspective, it is
suggested that hotel organizations should gain a more thorough understanding of
their staff members' aspirations for career growth and work closely with them
to attain those goals (Williams and Hunter, 1991). The hiring and recruiting of
new employees involves both direct and indirect costs (Dogonyaro, 2021).
Typically, theories of personal development and achievement
are connected to motives for career advancement (Williams and Hunter, 1991). Understanding
the job requirements that motivate the best employees to advance to managerial
positions over the long term can provide hotel firms a strategic advantage (Williams
and Hunter, 1991). Most organizations invest money and time to train new hires
to attain the level of existing employees (Dogonyaro, 2021). The
expense of finding and training new hires is eliminated by retention. The loss
of knowledgeable and experienced employees loses businesses money (Dogonyaro,
2021).
As
stated by Ghani et al. (2022), the majority of senior personnel in this sector
are satisfied with their current employers. The issue is that this sector needs
skilled workers with strong academic backgrounds who also have new abilities,
like an understanding of advance technology and new methods to improve
individual productivity and an organization's overall success (Ghani et al.,
2022). On the word of Sutanto and Kurniawan (2017), labor relations might be
damaged by a new employee who does not adhere to the business goals and ethos. The practices and policies used in hiring new
employees have a significant impact on employee retention, according to studies
by Bernardin and Russell (Maina, 2014). On
the other hand, a bad employee retention will increase employee turnover
(Sutanto and Kurniawan, 2017). For example, a high turnover rate will
negatively impact working relationships within the company as well as employee
morale, labor relations, and job security (Sutanto and Kurniawan, 2017).
References:
Colley,
A. (2021). Recruitment & Retention: The no 1 problem for
Hospitality. [online] Available at:https://realemploymentlawadvice.co.uk/2021/06/03/recruitment-and-retention-the-number-one-problem-for-the-hospitality-industry/
[Accessed 29 Nov. 2022].
Dogonyaro,
H. (2021). Employee Retention Strategy in the Hospitality Industry.
Dissertation. pp.1–135.
Ghani,
B., Zada, M., Memon, K.R., Ullah, R., Khattak, A., Han, H., Ariza-Montes, A.
and Araya-Castillo, L. (2022). Challenges and Strategies for Employee Retention
in the Hospitality Industry: A Review. Sustainability, [online]
14(5), p.2885. doi:10.3390/su14052885.
Maina,B.
W. (2014). Effect of Human Resource Management Practices on Employees Retention
in Institutions of Higher Learning in Kenya: A Case Study of Kenyatta
University. The Strategic of Business & Change Journal of Manage-ment,
1(2), 258–277.
Sutanto,
E.M. and Kurniawan, M. (2017). The impact of recruitment, employee retention
and labor relations to employee performance on batik industry in solo city, Indonesia. International
Journal of Business and Society, 17(2). doi:10.33736/ijbs.531.2016.
Williams,
P.W. and Hunter, M. (1991). Recruitment and Retention Insights for the Hotel
Industry. Hospitality Review, 9(1), pp.1–10.
A good blog article Nishadi, I would like to add to your content that the hotel industry worldwide was badly affected by the pandemic and this led to the layoff of considerable numbers of employees due to low occupancy percentages. It is indeed challenging and costly for the hotel industry to recruit, select, train and develop talent again in order to fill the vacated positions due to layoffs. Hence, the hotel sector has to grapple with new recruitments while having the equally challenging task ahead is to retain the staff as ‘Employee retention has become a serious and perplexing problem for all types of organization’ (Phillips and Connell, 2004).
ReplyDeleteThank you for your valuable comment. In addition to that, in the word of Sutanto and Kurniawan (2017), labor relations might be damaged by a new employee who does not adhere to the business goals and ethos. The practices and policies used in hiring new employees have a significant impact on employee retention, according to studies by Bernardin and Russell (Maina, 2014). On the other hand, a bad employee retention will increase employee turnover (Sutanto and Kurniawan, 2017). For example, a high turnover rate will negatively impact working relationships within the company as well as employee morale, labor relations, and job security (Sutanto and Kurniawan, 2017).
DeleteCleary Explain Nishadi, very good content. Employees of all businesses, institutions, and organizations are crucial to their continued success. Employees of any corporation who directly contribute to the socioeconomic development of the company might be seen as assets by the company. Any company wants their staff to be dedicated to the business and work hard to achieve long-term success. Therefore, hiring new employees might be considered the human resources department's primary responsibility. The hiring process begins with a job analysis, advertising, and ends with selection training. It is crucial to choose the correct staff for the job. The selection procedure must be impartial and open (Armstrong, 2006).
ReplyDeleteThank you for your valuable comment. Furthermore, Barrick and Zimmerman (2009) have stated that, the organizations historically use several criteria to decide whom to hire. Mainly, organizations have concentrated on identifying the job candidate who probably performs the best. On the other hand it has stated, organizations have begun to try to identify which candidates are most likely to stay with the organization as it gets harder to retain staff. Organizations can pick candidates with less effort if it is possible to identify characteristics that predict both performance and turnover (Barrick and Zimmerman, 2009).
DeleteI agree with you. Recruitment and selection comprise a central part of a company’s overall resourcing strategies, which secures the human resources needed for an organization to survive in the medium term (Elwood & James, 1996). Moreover, there is an optimistic and significant rapport between recruitment and selection and the performance of a firm. Sang (2005) also found a positive correlation between recruitment and selection and business performance. Ichniowski and Shaw (1999),
ReplyDeleteThank you for your valuable comment. Further, Human resource management includes administrative activities that are associated with planning, recruitment, selection, orientation, training, appraisal motivation and remuneration (Jerome, N., 2013). Researchers around the world concur on the importance of human resources to an organization's success. They acknowledge that the most precious resource in the company is its human resources (Ghani et al., 2022)
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