Abstract

As South Africa’s popularity as a tourist destination increases, the need for skilled human capital also increases. The study of skills development and human capital in all sectors of the economy has long been topical as a means to support organisational progression that can eventually lead to economic growth. Estimates suggest that tourism and hospitality employ at least 10% of the global workforce and consequently prove to be a sector that cannot be readily ignored. However, because of the complex and consumption-based nature of the tourism sector, and the general scarcity of sector-related information, data on both demand and supply of skills are few and of a qualitative rather than a quantitative nature. This research addresses this gap and aims to forecast the demand for qualified labour in the South African hotel industry. The research methodology is twofold; firstly, hotel turnover is forecasted using univariate forecasting methods and data available from Statistics South Africa; secondly, employment elasticities were determined. Linking elasticity with turnover forecasts presents an estimate of the future demand for qualified labour in the hotel industry. In addition, the typical qualifications required are based on information obtained from CATHSSETA and a survey.

Highlights

  • Tourism encompasses a variety of different activities that involve the interaction of people in almost all its dimensions

  • The aim of this article was to analyse the demand for skilled labour, and the different levels of qualified labour that are required in the tourism accommodation industry in South Africa, and provides a forecast of future output and employment requirements in this industry

  • Coupled with the fact that while unskilled unemployment in South Africa hovers above 40.0%, skilled unemployment is less than 6%, the focus on the demand for skilled labour remains paramount within the South African context

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Summary

Introduction

Tourism encompasses a variety of different activities that involve the interaction of people in almost all its dimensions. It is an activity that comprises a wide range of establishments, from large multinational companies to micro-enterprises, and is generally regarded as a significant source of employment in the world (UNWTO & ILO 2014). The UNWTO and ILO (2014) state that ‘the economic value of tourism in terms of employment, as source of productive labour in particular, remains inadequately measured and insufficiently studied’. They call for an improvement in the quality and comparability of tourism employment statistics in order to monitor events in the tourism labour market

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