Introduction
It is no secret that the hospitality and tourism sectors have faced unprecedented challenges since the arrival of the COVID-19 pandemic.
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The general disruption, labour shortages, rising costs and falling disposable incomes have tested these sectors more intensely than at any time since World War II. However, a sector described as vulnerable has shown itself to be resilient and continues to provide significant economic, employment and social contributions to New Zealand. Hospitality and tourism employment creates ambassadors of joy – those working hard to offer New Zealand attractions and hospitality to the world. Every day, those working in hospitality and tourism curate unforgettable experiences.
New Zealand’s hospitality and tourism sector is showing a strong recovery. The Tourism Satellite Account shows total tourism expenditure in New Zealand of $37.7b for the year ending March 2023, an increase of $10.7b from the previous year (Stats NZ, 2024). While this is a 39.6% improvement from 2022, it is still down from the $41.5bn seen in the year ending March 2020 (BDO New Zealand, 2024). The hospitality industry saw annual sales hit $15.7b for the year ending March 2024, reflecting a 5.8% growth over the previous year (Restaurant Association of New Zealand, 2024).
The hospitality and tourism sectors play a crucial role in our economy, employing about 8.4% of the workforce, with further jobs supported indirectly. For the year ending 2023, the total number of people employed in the tourism industry increased by 49.2 % to 318,000 people (Doocey, 2024; Stats NZ, 2024). The 189,432 people directly employed in tourism comprise 6.7% of the total number of people employed in New Zealand (Tourism New Zealand, 2024). The hospitality industry directly employed around 145,000 people by early 2024, growing by 7.3% from the previous year, and outpacing the growth rate of new hospitality establishments (Restaurant Association of New Zealand, 2024).
With borders reopened, the demand for workers has increased, but the supply has not kept pace, particularly in regions heavily reliant on international visitors. The sector today continues to face significant employment challenges, especially in finding adequate staff. The Government’s strategic focus is on measures to support sustainable growth, including enhancing year-round tourism, investing in regional infrastructure to boost resilience, and addressing labour shortages through training and immigration policies. The $1.2b Regional Infrastructure Fund, which will invest in new and existing infrastructure projects, will be of interest to many of New Zealand’s regional tourism operators (BDO New Zealand, 2024; Kānoa – Regional Economic Development & Investment Unit, 2024).
Hospitality and tourism work often provides a first point of entry into the workforce for young people and migrants, helping them gain practical experience and work ethics. There are also pathways for professional development, with opportunities to climb career ladders from operational roles to management positions. Employment in the sector has a ripple effect, supporting other industries such as retail, agriculture, food and beverage production, and transportation. It can also strengthen communities by enhancing local infrastructure and services. Hospitality and tourism enterprises often provide, in more remote areas, a crucial source of income and job creation – employment that helps reduce regional disparities and supports local communities.
It is important to remember that there is no “one” hospitality employee experience, as workers’ experiences are shaped by complex intersections of gender, class, ethnicity, and associated divisions of labour (Ioannides et al., 2021). Several studies have explored the historical antecedents of current employment conditions (Williamson & Harris, 2019, 2022, 2024) and questioned the impacts of the Covid period as a unique time or amplification of the norm (Baum et al., 2020). In order to understand the complex relationships between the impacts of COVID-19, employment legislation, migrant labour, economic conditions and business pressures, and employee experiences, longitudinal data is required. The survey data gathered in 2022 and 2024, as discussed in this report, contribute to furthering our understanding of contemporary employment in the sector. Today, enterprise operators in the sector are increasingly committed to sustainable practices, working to preserve New Zealand’s natural landscapes and biodiversity. Cultural exchange and preservation opportunities are also supported through hospitality and tourism employment, enabling the sharing of New Zealand’s unique Māori culture passed down through generations. Hospitality and tourism employment can also facilitate learning, thriving and wellbeing. As found in this study, employees cared very much about being useful and productive at work. Three quarters of respondents also cared about their employing organisations being profitable. Such findings show that some of the best enablers of sustainable hospitality and tourism employment can be the employees themselves.
Research design
The 2024 New Zealand Hospitality and Tourism Employment Survey ran from May 15 to 31 August 2024. The survey was based on the previous 2022 He Tangata survey (Williamson & Rasmussen, 2022) with minor wording changes and the introduction of new questions to reflect the ever-changing New Zealand workforce. Core questions from the 2022 survey were retained to enable comparison with the data collected in 2024. Sector-wide consultation and feedback were sought from the following groups regarding the survey design:
- Ministry of Business, Innovation and Employment (MBIE)
- Hotel Council Aotearoa
- Travel Agents’ Association New Zealand
- Hospitality New Zealand
- Restaurant Association of New Zealand
- Unite Hospitality Union
- Tourism Industry Aotearoa
- MBIE – Tourism Data Leadership Group
New areas of investigation were included, enabling us to present findings on thriving at work, wellbeing, burnout, and environmental sustainability. This report also provides a more nuanced view of worker experiences in this sector, including information about neurodivergence and the experiences of a significant proportion of managers who have built rewarding and long-term careers.
A survey information sheet and an anonymous link to complete the Qualtrics XM survey were distributed via email and social media using a combination of established AUT industry networks and the aforementioned groups. A total of 51 questions were available to answer. At the conclusion of the survey, 1,032 participant responses were analysed using SPSS version 29. Descriptive statistics and comparisons of means were conducted to summarise the respondent feedback and identify trends. Where results are presented, the sample size is 1,032 unless otherwise specified, and percentages in tables and figures may not add up to 100% due to rounding. Comments are presented verbatim in the report but, where appropriate, have been edited for readability.
Ethical approval was granted by the Auckland University of Technology Ethics Committee on March 15, 2024 (Number 24/32).