European Hospitality Sector Faces Ongoing Skills and Labour Shortages, HOTREC Report Finds

HOTREC has released a position paper titled “Skills and Labour Shortages in Hospitality – A Roadmap for Action,” which examines ongoing workforce challenges in the European hospitality sector. According to the paper, the sector remains one of the largest employers in the European Union, with 10 million employees across 2 million businesses, most of which are small and medium-sized enterprises or micro-enterprises.

The report notes that while some EU Member States have seen improvements in recruitment since the pandemic, others continue to experience significant shortages, particularly during peak tourism periods. On average, the sector is still missing approximately 10% of its workforce.

In addition to recruitment challenges, the sector is experiencing a widening skills gap. The report attributes this to the increasing demand for digital and sustainability-related competencies, as well as interpersonal skills, alongside traditional operational expertise. These trends are linked to broader economic factors, including population ageing, labour market slack, and a fragile economic recovery across the EU.

HOTREC warns that without targeted measures, workforce shortages could quickly re-emerge as demand for hospitality services increases. To address these issues, the position paper proposes a roadmap structured around four main pillars:

1. Education and training, with an emphasis on upskilling, reskilling, apprenticeships, and updating curricula to include green and digital skills. 2. Labour market measures aimed at improving the image and attractiveness of hospitality careers and supporting workforce retention through diverse forms of work. 3. Labour mobility, including enhanced EU tools such as EURES, improved access to affordable housing, and more effective legal migration pathways through mechanisms like the EU Talent Pool, Talent Partnerships, and expedited Single Permit procedures. 4. Funding, with a focus on securing sustained EU and national financial support for training and mobility initiatives, particularly for small and medium-sized enterprises.

The position paper calls for coordinated action from EU institutions, Member States, and social partners to strengthen the hospitality workforce and support the sector’s competitiveness. The full document is available on HOTREC’s website.