Abstract
Sri Lanka is one of the major tourist attraction destinations in South Asian region. After the economic reforms in 1977, the successive governments implemented various attractive policies and programmes to promote tourism in pursuing economic growth and development. The government further employed a number of initiatives to encourage and attract tourism arrival in the country. In this backdrop, this study is to analyze the impacts of the tourism direct employment trend on tourism arrivals in Sri Lankan context by using the time series data from year 1978 to 2017. The dependent variable used in this study is tourism arrivals. The independent variables are tourism direct employment and tourism Earnings. The tools used to achieve the objective of this study are Correlation Analysis, Multiple Regression, and Residual test. In this study, it is found that the correlation relationship between the variables is very strong. tourism direct employment and Tourism Earnings are directly related with tourists’ arrivals. The data collected have analyzed by using the econometrics software EViews 10. Based on the result recommended that to increase the magnitude of the direction tourism arrival in Sri Lanka, the factors such tourism direct employment and tourism Earnings should play statistically significant roles. This significant role should be considered by the relent authorities in Sri Lanka.
Highlights
Though there are various definitions for tourism, the World Tourism Organization (WTO) has defined tourism as "travelling to and staying in places outside their usual environment for more than twenty four (24) hours and not more than one consecutive year for leisure, business and other purposes not related to the exercise of an activity remunerated from within the place visited"
The tourism is connected with a combination of the activities, the industries and the services that distribute a travel experience with the inclusion of retail shops, eating and drinking establishments, accommodation, entertainment facilities, transportation and other hospitality services supplied for individuals or groups of individuals who are travelling away from their homes (UNWTO, 2014)
The professionals with the tourism-oriented qualifications are greatly demanded in the private sector rather than in the public sector in Sri Lanka
Summary
Though there are various definitions for tourism, the World Tourism Organization (WTO) has defined tourism as "travelling to and staying in places outside their usual environment for more than twenty four (24) hours and not more than one consecutive year for leisure, business and other purposes not related to the exercise of an activity remunerated from within the place visited". The professionals with the tourism-oriented qualifications are greatly demanded in the private sector rather than in the public sector in Sri Lanka. Travel & Tourism industry is one of the prime job creators in the world. In Sri Lanka, the total persons who have been directly employed in the tourism industrial sector is accounting to 135,930 in year 2015. It recorded an increase of 4.7 % over the last year. Most of the employees have been employed in catering and accommodation sectors being connected to tourism industrial sector in the country.
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