Job Market Review: Tourism and Hospitality Sector in India

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The Indian Tourism and Hospitality Sector have contributed immensely towards the evolvement of the service sector in India. The tourism and hospitality industry have augmented India’s position in the global scenario, with steady evolvement, efficient intensification and superior standards. This Sector is segregated into 2 fragments, viz., Tourism/Tourism and Hospitality.

The Travel/Tourism sector inculcates in itself medical and healthcare tourism, escapade tourism, heritage tourism, ecotourism, countryside tourism, flora and fauna tourism and pilgrimage tourism whereas the Hospitality sector comprises of retail hotels, group hotels, resort hotels, airport hotels, prolonged-stay hotels, cottage hotels, townhouse hotels, social establishment hotels, conference and seminar centres.


Tourism & Hospitality sector in India - Job Market Review

Tourism & Hospitality sector in India -(Source TechSci Research, Infographic by : IBEF.org)

Job Scenario in Tourism and Hospitality Sector in India

This sector is the largest creator of jobs in India on per million rupees of investment. This sector has the ability to generate employment to a large portion of the population including those from the rural background. Also, it can employ unskilled, semi-skilled or skilled job force in its ambit due to the range of job profiles that it provides. According to the World Tourism and Tourism Council (WTTC) survey, by 2019, India will position itself as the 2nd largest employer in the world in this sector alone. Around 50 lakh employees are expected to be hired either directly or through indirect recruitment procedure.

The hospitality and Tourism sector is labour-intensive. Also, the English speaking skilled population in India is in a large proportion. These factors have made the progression and opulence of this particular sector, possible in the Indian economy. The customary jobs in this sector that have been there since a long time are that of a Tourism agent, tour guide, airhostess, chef, waiter and managers. But since the past few years some new and amusing profiles have come up in this sector which are in the fields of; Cruise Ship Management, Club and Recreation and Healthcare Management, Airline Catering and Cabin Service, Hotel Tourism and Association, Fast Food Joint and Restaurant Management, Beverage, Food and Confectionary Production and Management, Institutional and Industrial Catering. Besides, there are also Government-owned Catering Departments, such as, armed forces mess, ministerial conventions and railways services.

Opportunities in Tourism and Hospitality Sector in India

Due to globalization trends and merging of all the world economies, many benefits have been come up for the Indian economy as well as the world economy. The merger of different economies is bringing lots of business tourism into India. Besides, there is an enhanced voyaging of transit explorers and vacation seekers as well.

India ranked at the 9th position in the civil aviation market in the world as in the year 2014. This rank is likely to move up to 3rd position by the year 2020.


Govt. Initiatives to boost Tourism and Hospitality Sector in India

Also, the Government of India is taking fruitful initiatives in the overall development of this sector. The Ministry of Tourism has been offering several guidelines, tax relaxations and infrastructural provisions in this regard. These incentives and support are in the form of; promotion of rural tourism by the Ministry in alliance with the United Nations Development Programme, making available medical visas for the tourists voyaging to India for their medical treatment, 100% FDI allowance through the automatic route, in the tourism sector, provision of Visa Insurance on influx of tourists from some countries like Finland, Japan and New Zealand, capital subsidy schemes for the budget hotels, removal of customs duty from the import of raw materials, tools and liquor etc., provision of 5-year Income Tax Holidays for the 2-4 star hotels operating in particular areas containing ‘UNESCO-declared World Heritage Sites’.

Also, government is intending some new marketing strategies in this regard. Like promoting India as hub of medical and health oriented tourism. Promoting Yoga and ayurvedic treatments is part of strategy to attract tourists from worldwide.

Visa on Arrival extended to 150 countries

Future Scope

India is seeing a huge change in the consumption model of its population, especially the middle-class section. The middle-class population today has lofty disposable incomes which have resulted in a budge in the manner of their spending. There is improvement in affordability standards and attraction for leisure trips. These are also the reasons for the enhanced growth of the tourism sector in India. Besides, there are future prospects of the setting-up of Industrial Parks and new-age ports all over the country, which are excellent opportunities for small and medium souk hotels.

Challenges for Tourism and Hospitality Sector in India

Challenges facing this sector are in the form of:

  • High Real Estate Prices
  • Security Threats
  • Acute Labour and Workforce
  • High Tax Configuration
  • Non-Standardization of Taxes


Top Employers in Tourism and Hospitality Sector in India

Some of the top companies in the Tourism and Hospitality sector are; The Country Club, The Park Hotel, Thomas Cook, Cox and Kings, Cleartrip, Expedia, The Leela hotels chain, India Tourism Development Corporation Ltd., Club Mahindra, Goibibo.com, Yatra.com, Makemytrip.com and Incredible India, to name a few.


Also Read: Salaries in Tourism and Hospitality Sector

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