Staff shortages in the hospitality industry: when no one wants to wash plates anymore

Status: 01/19/2023 11:37 a.m

Those who survived the Corona lockdown are now struggling with inflation, energy costs and, above all, a lack of staff. Tens of thousands of jobs are unfilled in hotels and restaurants – and it’s likely to get much worse.

Although German restaurateurs were able to look forward to a sharp increase in sales last year, the industry remains in crisis mode. There is already a shortage of tens of thousands of workers nationwide, and according to the Dehoga industry association, the shortage of staff is likely to worsen in the coming months.

There are currently around 50,000 vacancies in restaurants and cafes, hotels, guesthouses and other businesses. “In the spring, the numbers will rise again significantly,” warns a Dehoga spokeswoman. We are looking for specialists and workers in all areas – from full-time employees to mini-jobbers. The competition for employees is particularly difficult for the mostly small and medium-sized companies in rural regions.

Immigration reform should help

Overall, however, thanks to intensive efforts to strengthen training, a “positive trend” in employment is expected. After numerous employees had looked for other jobs, for example in retail and logistics, during the corona pandemic, many of them have now returned, the spokeswoman explained.

In October 2022, the number of employees subject to social security contributions was still 3.7 percent below the pre-crisis level. Hopes are placed on the planned immigration reform, according to the Dehoga spokeswoman. “We need new legal options for targeted economic migration from third countries.” Overall, the hospitality industry in Germany offers more than a million jobs that are subject to social security contributions.

“Industry needs a real restart”

The union Food, Enjoyment and Restaurants (NGG) is less confident about the hospitality industry as a whole. The pivotal point in recruiting staff is the wages, which are often only just above the minimum wage, says NGG chairman Guido Zeitler. A member survey by the trade union, in which mainly long-term employees in the industry recently took part, revealed that around a third of them see no long-term prospects in their job.

In the long term, Zeitler believes that the industry is likely to face even greater staff shortages due to long working hours and shift work. He expects shorter opening hours, more closing days and limited booking options. There are only more employees with better income. 3000 euros per month gross should be the minimum for skilled workers in the future. The industry needs “a real restart,” says Zeitler.

Corona shock soon digested

In the past year, the industry has at least largely recovered from the corona shock. According to a preliminary estimate by the Federal Statistical Office, price-adjusted sales in 2022 increased by 47 percent compared to the previous year 2021, which was still characterized by lockdowns. However, the value from the pre-crisis year 2019 was missed by eleven percent, as the statistical authority reported.

Since then, there have been sharp price increases. Including this, the restaurants and hotels even had one percent more sales on average last year than in 2019. Compared to 2021, they increased nominal sales by 57 percent. The difference between the nominal and real result reflects the sharp rise in food and energy prices, it said.

Biggest increase in accommodation establishments

A look at the first eleven months of 2022, which have already been fully evaluated, shows that hotels and other accommodation establishments were able to increase their sales more strongly than the catering trade, with a real increase of 64.2 percent compared to the same period of the previous year. Here the landlords only came up with a real increase of 40.6 percent. Including the price increase, they made 50 percent more sales than a year earlier.

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