The tourism and hospitality industry thrives on human connection. From hotel staff to tour guides, it’s the people behind the scenes who shape memorable experiences for travelers. Yet, the same workforce that drives the industry’s success often operates under precarious conditions—low wages, job insecurity, and limited growth opportunities.
This has to change.
Decent work, as outlined in SDG 8, is not just a moral imperative—it’s a business advantage. By fostering fair and decent work environments, hospitality leaders can build stronger teams, enhance guest satisfaction, and secure long-term success.
Here’s why decent work matters, the challenges we face, and how hospitality leaders can lead the way.
The Current State of Work in Tourism
The tourism sector is a major economic driver, contributing 10% of global GDP and supporting over 300 million jobs worldwide. However, behind these impressive numbers lies a troubling reality:
- Low Wages: Many employees in tourism earn below living wages, making it difficult to sustain a decent standard of living.
- Job Insecurity: Seasonal contracts and high turnover rates leave workers with little stability.
- Exploitative Practices: Long hours, inadequate benefits, and unsafe working conditions are still common in parts of the industry.
These issues not only harm workers but also undermine the industry’s reputation and profitability. Dissatisfied employees lead to higher turnover, decreased productivity, and ultimately, lower guest satisfaction.
The Principles of Decent Work
Decent work goes beyond providing a paycheck—it’s about creating an environment where employees feel valued, respected, and supported. Here are the core principles:
- Fair Wages: Compensation that reflects the value of employees’ contributions and enables them to meet their basic needs.
- Safe and Healthy Working Conditions: Ensuring physical safety, mental well-being, and access to necessary benefits.
- Opportunities for Growth: Providing training, mentorship, and clear career pathways.
- Diversity and Inclusion: Creating equitable opportunities for all employees, regardless of gender, age, or background.
When these principles are embraced, they create a virtuous cycle of trust, loyalty, and performance.
Why Decent Work Matters in Tourism
Investing in fair work environments isn’t just the right thing to do—it’s a smart business move. Here’s how decent work drives industry success:
- Boosts Retention and Productivity
Employees who feel valued are more likely to stay with an organization, reducing turnover costs and increasing productivity. - Enhances Brand Reputation
Ethical work practices resonate with both employees and guests, boosting a brand’s image and attracting socially conscious travelers. - Drives Customer Satisfaction
Happy employees deliver better service. When staff are engaged and supported, it reflects positively on the guest experience. - Strengthens Community Ties
Fair work practices contribute to the economic well-being of local communities, creating a ripple effect of goodwill and support.
Practical Steps to Create Decent Work Environments
Hospitality leaders hold the power to transform their workplaces. Here are actionable steps to make it happen:
- Conduct Wage Audits
- Regularly review pay structures to ensure they align with living wage standards.
- Adjust wages to reflect employees’ contributions and the cost of living.
- Implement Safety and Wellness Programs
- Provide regular training on workplace safety.
- Offer wellness benefits such as mental health support and flexible schedules.
- Invest in Training and Development
- Create programs that upskill employees, from language courses to leadership training.
- Establish clear pathways for career progression within the organization.
- Promote Diversity and Inclusion
- Actively recruit underrepresented groups, including women, youth, and people with disabilities.
- Foster an inclusive culture where all employees feel empowered to contribute.
- Engage Employees in Decision-Making
- Create forums for employees to share feedback and ideas.
- Involve staff in discussions about workplace improvements.
Case Studies: Leading by Example
- Fairmont Hotels’ Sustainability Partnership
Fairmont Hotels invests in community programs that create decent work opportunities for local residents. By hiring and training from within communities, they’ve built a loyal workforce and enhanced their brand reputation. - Iceland’s Hotel Ranga
This boutique hotel has prioritized work-life balance by offering flexible hours and comprehensive health benefits. Their focus on employee well-being has resulted in high retention rates and glowing guest reviews.
These examples demonstrate that creating decent work environments isn’t just achievable—it’s transformative.
Overcoming Challenges
Transitioning to fair work practices may seem daunting, but the benefits far outweigh the challenges. Here’s how to address common obstacles:
- Budget Constraints
- Solution: Focus on incremental changes, such as offering training programs or small wage increases. These small steps can lead to big impacts over time.
- Resistance to Change
- Solution: Communicate the business case for decent work practices to stakeholders, emphasizing long-term gains in productivity and reputation.
- Limited Resources
- Solution: Leverage partnerships with local governments, NGOs, and training institutions to share the cost and expertise needed for implementation.
The Long-Term Benefits of Decent Work
When hospitality leaders prioritize decent work, the entire industry benefits. Here’s what the future holds for organizations that embrace this approach:
Decent work isn’t just a checkbox on a corporate responsibility report—it’s the foundation of a thriving hospitality industry.
Hospitality leaders: the time to act is now. By creating fair work environments, you can transform not only the lives of your employees but also the future of your business.
The question is no longer why decent work matters—it’s how fast we can make it the norm.
Because when employees thrive, so does the industry.
