Impact of COVID on hospitality industry and placements from IHMs
COVID was a surprise no one was prepared for when it first struck the world. While every other industry faced the brunt of the pandemic, the hospitality industry found itself first in the queue to endure the unprecedented wrath. Several measures such as community lockdowns, social distancing, and stay-at-home orders, along with an array of travel and mobility restrictions, brought the demand for travel and hospitality services down to a new low. Eateries around the world went shut for several months in a row, while hotels saw themselves turn into emergency wards as more and more patients broke the back of numerous health systems around the globe.
Impact on Workforce
The impact of the COVID pandemic on people working in the hospitality sector was inevitable and probably the most unrestrained. Many lost their jobs as their workplaces either went shut down or turned into emergency centers to house and treat COVID patients. The industry in countries like India, where tourism contributes to around 5% of the GDP, was down and out for long durations as COVID came to hit back with wave after wave.
Moreover, the informal and casually employed workers were not left with many options at their disposal. Especially in India, where the informal sector is huge, the effect was inescapable. Speaking on a macro level, the World Travel & Tourism Council warned that the COVID-19 pandemic could swallow as many as 50 million jobs worldwide in the travel and tourism industry. An Oxford economics study backed the claim, further stating Asia will be the worst affected.
The Way Out
A catastrophe of the stature of COVID is sure to cause generous damage to distinct industries, with the hospitality sector being one of its favorite prey. While the majority of the industry is dealing with the impact and going through a phase of recovery, hyper-local hotels, especially in Asia, have been reported to have laid off a big chunk of their workforce. One of the positives to note is that the industry is rebuilding itself faster than anticipated.
ICRA said occupancy in hotels across the country has soared, with most markets reporting over 50% occupancy. Also, the average room rates (ARR) in leisure were above pre-COVID levels. As for the candidates looking forward to kickstarting their journey in the industry, up-skilling is the way to go. Since the supply is going to be much higher than the demand for the workforce in a recovering industry, bolstering your CV and arsenal with specialty-specific courses that take your skills to a notch above the rest is the safest bet.
Placements
As COVID struck, the hospitality industry was the one that bore the maximum amount of damage. In the academic year 2020-21, Indian management schools saw a 23% drop in placements. All India Council for Technical Education (AICTE), a professional education regulator, revealed that placements slumped to a nine-year low in 2020. Statistics showed only 92,322 students graduated with jobs from AICTE-approved management colleges in 2020-21. The figure was significantly lower than the previous year’s 119,546 placements.
However, the latest data show that companies are returning from the COVID-19 hiring freeze and that there is a considerable surge in placements as the industry moves out of the COVID shadow. Several colleges across India have reported over 70% placement rates. With the industry picking up pace with the passage of time, opportunities are only expected to flourish for students in the hospitality sector.
Ranked 30th out of 50 colleges for Hotel Management by The Week 2019, the Jodhpur Institute of Hotel Management (JIHM) offers a UG and a Diploma program in Hotel Management. The 2nd best institute in Rajasthan has successfully placed over 75% of its students over the years. With recruiters like Radisson, Trident, ITC Hotels, Hilton, and The Gateway Hotel, among others, visiting the JIHM to hire talent, your decision to pursue a degree or diploma in Hotel Management will only land on the right track.
