The Consequences of the Brexit Vote on Management Attitudes to Recruitment in the Hospitality Industry

Andrew Jenkins,Derek Cameron,James Marson

doi:10.54648/bula2018020

Abstract

This article investigates the perceptions of managers in the hospitality industry to the Brexit vote and its implications for their recruitment strategies. A survey instrument was used to ascertain perceptions of challenges and opportunities around key themes including current recruitment; the implications of removal of free movement principles on immigration, employment and retention; the effects of the decision on salaries, supplier contracts and renegotiations, and its effects on non-national staff. The article presents the findings of the surveys and offers suggestions as to issues the Brexit negotiating team might take into consideration when determining the British withdrawal strategy.

Highlights

On 23 June 2016 the United Kingdom (UK) held a referendum on its continued membership of the European Union (EU)
In March 2017, the British Hospitality Association (BHA) presented the results from a study conducted by KPMG which sought to address a lack of detailed knowledge of the numbers of non-UK EU citizens working in the hospitality sector
The report identified, using the government’s own statistics, that EU nationals accounted for 12.3% of the hospitality sector workforce ( KPMG considered the true figure to be closer to 23.7%)

Summary

Introduction

On 23 June 2016 the United Kingdom (UK) held a referendum on its continued membership of the European Union (EU). The result of the 24 June 2016 provided for the British exit (commonly referred to as Brexit) of the EU. Whilst no immediate legal consequences follow from the result until the UK enacts new legislation/repeals the European Communities Act 1972 following the triggering of Art. 50 Treaty on the Functioning of the European Union,[1] the economic effects of the decision are already being felt.[2]. The Brexit result had an immediate negative effect for many migrants in the UK and will have implications on the future of immigration policies. Concerns were further raised by those working in the UK and by persons wishing to enter the UK to take up work as to their status following the UK’s withdrawal from the EU.[5]

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Results

Conclusion