TeamLease Services highlights 64% workforce expansion in India’s travel and hospitality sector amidst rising air travel and tech integration

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Bengaluru, 26 September, 2024: India’s Travel and Hospitality sector is experiencing an unprecedented resurgence, spurred by a combination of rising air travel, religious tourism, and evolving consumer preferences for personalized, tech-driven experiences. According to TeamLease Services’ Employment Outlook Report (EOR) for H1 FY25, 64% of employers in the Travel and Hospitality industry are expanding their workforce as they adapt to growing demand, while 19% report reductions and 17% indicate no change in workforce size. This resurgence reflects a broader industry recovery, with the sector projected to grow by 8-10% annually. 

This renewed hiring momentum is further fueled by tech-enabled services such as ghost kitchens, AI-driven personalized guest experiences, and expanding domestic travel. As a result, Travel and Hospitality has seen a net employment change of 9.86%, marking a significant rebound compared to previous years. The sector’s growth is being driven by adaptive strategies like off-season travel incentives and premium travel experiences.

Mr. Kartik Narayan, CEO- Staffing, TeamLease Services, remarked, “India’s travel and hospitality sector is at the cusp of unprecedented growth. The rising demand for premium travel experiences, coupled with innovations in technology, is creating a catalytic impact on how the industry operates. As more travelers embrace digital platforms, companies are focusing on roles that enhance customer experience, positioning the sector as a major employment generator in the coming years. We are committed to offering workforce solutions that align with this evolving landscape, enabling companies to meet the growing demand while driving job creation.”

The workforce expansion is especially prominent in key cities. Delhi leads the way with 58% of employers actively hiring, followed by Mumbai at 57% and Bengaluru at 55% in existing job locations. New hiring hotspots include Bengaluru at 16%, with Pune and Chennai at 12% each for emerging job markets. These cities are seeing robust hiring activity, driven by increased travel demand and the expansion of travel infrastructure.

Sales roles are at the forefront of this hiring boom, with 82% of employers prioritizing these positions in the Travel and Hospitality sector. Marketing roles also remain crucial, with 44% of employers focusing on digital and offline promotion efforts to capture new market opportunities. Additionally, as gig work participation is expected to increase to 15-20% by the end of 2025, there’s a growing reliance on seasonal hires, with a 25-30% increase in seasonal hiring projected during peak travel periods.

Mr. Balasubramanian A, SVP and Business Head at TeamLease Services, stated, “The Indian travel industry is entering an exciting phase of growth, driven by innovations in air travel, religious tourism, and the rising popularity of solo travel. Our data shows that employers are ramping up their hiring efforts, particularly in customer service, sales, and operations roles, which are set to account for 30-40% of new jobs over the next year. This hiring uptick aligns with the sector’s anticipated growth trajectory, and with government initiatives like UDAN making air travel more accessible, we expect even more roles in airlines, airports, and related travel services.”

Furthermore, religious tourism is set to be a major growth driver, with faith-based travel becoming increasingly popular across regions. Solo travel is also contributing to this hiring boom, particularly for personalized tech-driven experiences, leading to an increase in roles centered on digital marketing, data analytics, and AI-driven platforms.

As the Travel and Hospitality sector continues its growth trajectory, TeamLease Services remains committed to providing industry insights and staffing solutions, helping businesses navigate the complexities of this rapidly evolving market and meet the demands of modern travelers.