Wages are rising in the tourism sector despite the sharp drop in employment
Despite the critical situation facing the tourism industry, the average wage increase for those still employed was around 7.4% in 2020, compared to the previous year. In any case, the tourism and hospitality sector remains among the lowest-paid, with wages 12.7% below the national average, according to Turijobs. The pandemic has caused a dramatic drop in employment, around 73%.
Among the findings of the 2020 Annual Salary Report, published by Turijobs, the most notable are the dramatic drop in employment in the sector, but a significant 7.4% increase in the average salary, reaching 21,042€. Managers in lower and middle management roles have seen the largest salary increases, at 4.5% and 4.8%, respectively.
Despite this wage increase, the industry remains among the lowest-paid, with wages 12.7% below the national average, placing the sector at a disadvantage when it comes to attracting and retaining talent, and promoting its professionalization.
Despite the pay, the study?s findings show that the sector offers career opportunities and advancement, with salary increases directly linked to higher education, years of experience, or taking on greater responsibilities.
DIFFERENCES BETWEEN COMPANIES
While in 2019 large companies?those with more than 200 employees?were among those offering the most competitive salary (?19,615), in 2020 they rankedlast, offering the lowest salaries. For their part, micro-enterprises (0?9 employees) ranked in 2020 as those offering the best compensation, with a salary 6.5% above the sector average.
Given that financial compensation is one of the most highly valued factors when deciding to join a company, micro-enterprises are at an advantage when it comes to attracting employees.
The average salary is not uniform across the entire sector. The study reveals significant gaps between certain areas, with a 25.3% difference between the highest-paying area, such as management and administration; and the lowest-paying: reception and reservations.
Even so, there is a trend toward wage homogenization. The differences are gradually narrowing, thanks to wage increases in the areas of reception, reservations, front-of-house, and kitchen, which are the lowest-paid. The increase in the average wage in these areas has been 7.5% and 9.6%, respectively, compared to 2019.