Hotel salaries 'need review' to boost retention

Nearly three-quarters of respondents to the Hotelier Middle East HR Leaders Survey said their salary grade system needed a review

Salary grading systems need to be reviewed.
Salary grading systems need to be reviewed.

Average annual staff turnover in the Middle East hospitality sector is running at 16%, with most hotels’ salary grading systems in need of a review, according to leading HR practitioners.

The second annual Hotelier Middle East Human Capital Report found that 94% of local hospitality organisations followed a strict salary structure, defined by grade and spanning departments, and 61% percent operated a minimum wage system.

However, nearly three-quarters (72%) of respondents to the Hotelier Middle East HR Leaders Survey said their salary grade system needed a review in order to bring remuneration in-line with market trends and ensure greater fairness.

Did you like this story?
Click here for more

They key success factor in employee retention – more than any amount of training or mentoring – is “recruiting the right person in the first place”. Indeed training was not mentioned as one of the most important tools in retaining talent by a single respondent.

A ‘personalised approach’ to staff management was a preferred method selected by 45% of respondents, followed by salary increases and mentoring schemes.

In terms of maximising employee motivation, key factors included ‘trust and transparency’ and ‘a good relationship with your immediate supervisor’.

But employee happiness comes down to money for the largest proportion of survey respondents. Some 40% said ‘compensation/pay’ had the single biggest impact, followed by ‘respectful treatment’.

The second annual Hotelier Middle East Human Capital Report is designed to explore the issues, challenges and opportunities facing hospitality professionals responsible for the hotel industry’s most important asset – its people.

For more insight into the opportunities and challenges identified by senior HR leaders in the region’s hospitality industry, follow this link to preview and purchase the Hotelier Middle East Human Capital Report
 

For all the latest hospitality news from UAE, Gulf countries and around the world, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page.

Most Popular

Newsletter

Reports

Human Capital Report 2017

Human Capital Report 2017

The second annual Hotelier Middle East Human Capital Report is designed to explore the issues, challenges and opportunities facing hospitality professionals responsible for the hotel industry’s most important asset – its people. The report combines the results of Hotelier Middle East's HR Leaders Survey with exclusive interviews with the region's senior human resources directors.

Hotelier Middle East Housekeeping Report 2016

Hotelier Middle East Housekeeping Report 2016

The Hotelier Middle East Housekeeping Report 2016 provides essential business insight into this critical hotel function, revealing a gradual move towards the use of automated management and a commitment to sustainability, concerns over recruitment, retention and staff outsourcing, and the potential to deliver much more, if only the industry's "image problem" can be reversed.

From the edition

From the magazine