UKHospitality launches Workplace Strategy as 'battle for bodies' rages

As a “battle for bodies” rages and the recovery of hospitality is hampered by the staffing crisis, UKHospitality has launched its plan to attract a new workforce into the sector

The trade body launched its Workforce Strategy at Westminster Kingsway College setting out five actions it hopes will end the crisis faced by businesses across hospitality.

The areas identified by the trade body are recruitment, skills and training, working lives, the image of the sector and infrastructure.

Kate Nicholls, CEO of UKHospitality told those gathered that the sector’s ability to recover and grow following two “unbelievably devastating” years was being hampered by the void of available talent and people.

She said: “This is a battle for bodies, we can train people at any skill level, but we have the challenge of getting people into the sector and into the industry.”

While not a new challenge the staffing problem is twice as bad as it was in 2019. Then the vacancy rate across the sector stood at 4-5%, it has now reached 10%. Some 25% of operators have had to restrict hours of operation or hold back rooms and tables. The difficulties are hampering activity across the sector by approximately 25%, costing the economy some £25-26b a year.

On top of this the Office for National Statistics (ONS) reported that for the first time since records began there are more job vacancies than unemployed people. Job vacancies rose to 1.3 million in February to April, while unemployment fell to 3.7% it’s lowest level since 1974.

As well as working with existing partners such as JobCentrePlus and higher education establishments the strategy stresses the importance of providing routes into the sector for demographics such as the over-50s, ex-prisoners, the homeless, returners to work and those with disabilities.

Nicholls said the easing of pathways for overseas workers could provide part of the solution, but that it was not a silver bullet. She explained: “We’ve got a particular crunch point at the moment.

“[Increased immigration would] give us the opportunity to invest in the workforce that’s in the UK at the moment and be able to perform at our economic optimum.”

Creating attractive educational pathways into hospitality and reversing the loss of courses and establishments in recent years will be, Nicholls explained, a 10-year project.

She said: “It’s going to take 10 years and it’s not just in the culinary arts you’ve got to get back to having [hospitality skills] in the curriculum at an earlier stage, primary school and onwards, that basic culinary education.”

She added: “We also need to imbue within the careers education the broader sense of what hospitality can offer for those people who are doing business, or finance or marketing or administration there are hospitality jobs around all of that.”

The apprenticeship levy is also an area where the trade body is calling for reform and Nicholls explained that greater flexibility is needed to allow apprentices to transfer employers and remain on their programmes of study and for employers to bolt-on additional training modules, creating a skills portfolio for those on their programmes.

The third action identified by UKHospitality is working lives and it has said it is “committed to ensuring that employees receive the right level of pay, they have a great working environment and that we deliver a diverse and enterprising collection of colleagues.”

It says that while entry-level wages in hospitality are towards the lower end, they have risen significantly in recent years and roles frequently offer rapid progression to higher rates of pay. It said as well as the industry addressing renumeration there is a role for government to play in reforming the tax system and supporting people to meet the rising cost of living.

The reputation of the sector as a desirable employer is something Nicholls said the whole industry needed to work on, promoting the positives of the roles it offers.

Nicholls described the sector as “resilient” and “imbued with a sense of optimism”. She called on businesses to stop talking about the sector’s long-held reputation for long hours and low pay and instead speak of the opportunities it offers for rapid progression, competitive rates of pay and flexible, rewarding working environments.

The final action point is infrastructure and the trade body will be working with government to address wider societal issues that impact those working in hospitality such as transport, housing and connectivity. Nicholls encouraged employers to buy-in to the strategy but stressed “this is about us doing the heavy lifting”.

She said: “At the moment it’s difficult to know who to go to, where to go, how to train people, how to improve what are you doing as an employer - this is about us doing the heavy lifting and joining it all together.”