The hospitality industry is no stranger to challenges, but one that continues to test even the most resilient organizations is the ongoing challenge of finding qualified leadership talent. As hotels navigate an increasingly competitive labor market and shrinking profit margins due to the impact of inflation on goods and services, many still find themselves operating with labor shortages and high turnover rates which existed prior to the pandemic, and were only aggravated by that event. The result? Organizational burnout, diminished morale, and critical gaps in leadership that threaten long-term success.
A recent survey by Axonify involving 500 U.S. hospitality frontline managers revealed that nearly half (47%) are feeling the strain of burnout due to the demands of their roles. The issue extends to their teams as well, with 68% of managers reporting that their staff have expressed burnout and 64% noting that some employees have quit specifically because of it.
To overcome these challenges, hotels can adopt a proactive approach to recruitment and, more importantly, to retention, particularly for leadership positions. By implementing forward-thinking strategies and leveraging industry best practices, hotels will be able to bridge the talent gap, mitigate burnout, and cultivate an engaged workforce equipped to meet today’s demands.
The Leadership Talent Gap
According to Strategic Solution Partners’ Hotel Leadership Survey, nearly 60% of hoteliers report having one to four unfilled leadership positions, with roles in finance, food and beverage, and revenue management among the hardest to fill. The reasons for this gap are multifaceted: an aging workforce, declining college enrollment in hospitality programs, and shifting employee priorities toward work-life balance and flexibility.
This scarcity has forced many hotels to rely on understaffed teams, often requiring leaders to take on multiple roles. While this approach may temporarily keep operations afloat, it may also increase stress and drive higher turnover—a vicious cycle that compounds the problem.
One thing is clear: hotels must invest in proactive strategies that attract, develop, and retain top leadership talent.
Proactive Recruitment: Building a Pipeline of Future Leaders
Recruiting high-quality candidates for leadership roles takes more than just posting a job listing. To attract top talent, hotels must position themselves as employers of choice by showcasing their unique value propositions and adopting innovative hiring strategies.
1. Expand Talent Pools Beyond Traditional Sources
The next generation of hospitality leaders will not just come from traditional pipelines—they will come from unexpected places. Expanding beyond hospitality graduates and internal promotions opens the door to innovative, adaptable talent with fresh perspectives and transferable skills from industries such as retail, healthcare, or technology.
Hotels can build a high-impact leadership pipeline by partnering with local trade schools, community colleges, and military transition programs to develop leadership-ready professionals, while also collaborating with industries like retail, healthcare, and tech to recruit professionals with strong operational, customer service, and revenue management skills.
Leveraging AI-driven talent platforms can help identify candidates with high leadership potential, even if they are outside traditional networks. Additionally, hosting industry cross-training programs provides professionals from adjacent fields with hands-on experience in hospitality, ensuring a steady influx of fresh talent into leadership roles.
2. Leverage Employer Branding
A strong employer brand is essential for attracting top talent. Hotels should highlight their organizational culture and commitment to employee development through targeted marketing efforts.
Sharing success stories of current leaders and promoting employee testimonials can help convey the unique benefits of working at a specific property or organization.
3. Streamline the Hiring Process
Lengthy or cumbersome hiring processes can deter high-quality candidates, making it essential for hotels to adopt smarter, faster recruitment methods.
AI-driven applicant tracking systems can streamline the process by automatically screening resumes, identifying top candidates based on key skills and experience, and even predicting a candidate’s likelihood of success in a leadership role. Advanced AI tools can also enhance the interview process by using data-driven assessments to evaluate cultural fit and problem-solving abilities. Additionally, automated communication platforms ensure consistent engagement with applicants, providing timely updates and fostering a positive impression—even for those who are not ultimately hired.
By integrating AI at every stage, hotels can reduce time-to-hire, improve decision-making, and attract top-tier leadership talent in a highly competitive market.
4. Offer Competitive Compensation and Benefits
Studies have shown that a fair and competitive salary is crucial for attracting top talent and keeping employees motivated and engaged. Additionally, benefits such as health insurance, retirement plans, and paid time off can play a key role in recruitment by offering the prospect of financial security and helping employees maintain a work-life balance.
Further research affirms that providing a holistic benefits package can make a significant difference in recruitment and retention efforts—offering flexible work arrangements, professional development opportunities, and wellness programs can enhance job satisfaction and loyalty.
Retention Strategies: Cultivating Long-Term Leadership
Attracting talent is only half the battle; retaining leadership is equally critical. High turnover in leadership roles can disrupt operations, impact team morale, and increase costs. Here are some strategies to ensure long-term retention.
1. Develop Clear Career Pathways
Employees are more likely to stay with an organization that invests in their career growth—by highlighting clear pathways for advancement after hiring, such as leadership training and mentorship programs that pair emerging leaders with seasoned industry experts, hotels can demonstrate their commitment to employee development.
2. Foster a Culture of Collaboration and Support
A supportive work environment can make all the difference in retaining talent. By promoting collaboration across departments and encouraging open communication, hotels can create a sense of belonging and shared purpose among their teams.
3. Prioritize Employee Well-Being
Leadership roles in hospitality are often demanding, with long hours and high-pressure situations. Hotels should proactively address these challenges by offering wellness initiatives, mental health resources, and flexible scheduling options.
4. Make the Most of Retention Technology
Employee engagement platforms provide valuable insights into workforce sentiment, helping managers address potential issues before they escalate. For example, pulse surveys can gauge employee satisfaction, while analytics tools can identify trends in turnover or burnout.
5. Recognize and Reward Excellence
Employees who feel valued are more likely to remain loyal to an organization. Recognition programs, whether through performance bonuses, public acknowledgments, or other incentives, show employees that their contributions are appreciated.
Insights from two seasoned industry professionals emphasize the critical role of workplace culture and continuous leadership development in recruitment and retention.
Deanne Soderberg, an HR Industry Expert for Strategic Solution Partners, highlights the need for a visible, growth-focused culture.
“Knowing a company has created a rewarding, respectful, fair growth potential and fun place to work will encourage potential leaders to want to work for an organization that puts their needs and happiness equal to the customer and owner,” she said.
Actively showcasing these cultural strengths through social media, employee testimonials, and recruitment partnerships helps businesses attract top-tier talent, Deanne added.
Cindy Johnson, President of Global Hospitality Connections, LLC, underscores the need for continuous investment in leadership training.
“The resilience and stamina [of hospitality leaders] have been critical to their personal and business success and survival,” she said. “Leaders already are dedicating their time and skills to their roles—companies that invest in key leadership training reap the rewards with leadership retention.”
Structured training, she explains, allows leaders to recharge, refine their skills, and reinforce their commitment—a necessity in today’s ever-evolving hospitality landscape. “What hospitality entity can afford the price of not providing leadership training?” asks Cindy.
Best Practices for Proactive Talent Strategies
To effectively bridge the leadership talent gap, organizations must take a unified approach that integrates recruitment, retention, and development strategies. Here are a few best practices to consider:
- Engage Current Leaders: Involve existing leadership in recruitment and mentorship efforts to build a culture of shared responsibility for talent development.
- Build a Well-Rounded Leadership Team: Diverse perspectives fuel innovation and help hotels better serve a broad guest base. Recruiting talent from varied backgrounds creates a more dynamic, adaptable workforce. Equitable hiring and an inclusive culture ensure every team member feels valued and empowered to contribute their best.
- Adapt to Changing Expectations: As employee priorities shift, hotels must remain flexible and responsive. Providing remote work options, hybrid schedules, and other accommodations can help attract and retain talent.
Building Resilience Through Leadership
The shortage of leadership talent in hospitality presents significant challenges, but it also offers an opportunity for innovation. By adopting proactive recruitment and retention strategies, hotels can build resilient teams that are prepared to navigate the complexities of today’s industry.
A multi-disciplinary approach to recruitment and retention can transform hotel operations—by investing in people, promoting collaboration, and embracing technology, hotels can not only address the current talent shortage but also position themselves for long-term success.
For those in hospitality leadership, the time to act is now. The future of the industry depends on the leaders we cultivate today.
Reprinted from the Hotel Business Review with permission from www.HotelExecutive.com