Indian Travel & Hospitality Sector Projected to Witness 8.2% Hiring Growth in FY25 Second Half: Report
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Synopsis
A recent report forecasts an 8.2% growth in hiring within India's travel and hospitality sector for the second half of FY25, with a notable demand for talent in tier-2 and tier-3 cities. The sector's growth is driven by technology adoption, MICE revival, and sustainable tourism practices.
Key Takeaways
- 8.2% projected growth in hiring.
- 66% of companies plan to add staff.
- Tier-2 and tier-3 cities emerging as employment hubs.
- Focus on sustainable tourism practices.
- Domestic travel and religious tourism on the rise.
New Delhi, Jan 24 (NationPress) Hiring in the travel and hospitality sector in India is projected to experience an 8.2 percent increase in the latter half of FY25, as indicated by a report released on Friday.
The analysis, conducted by staffing solutions firm TeamLease Services, reveals that 66 percent of businesses intend to grow their workforce during the October-March timeframe of FY2024-25.
This report anticipates a net employment change (NEC) of 8.2 percent throughout this period, showcasing the sector's robust job creation capabilities.
“The strong hiring intentions exhibited by 66 percent of the companies within the travel and hospitality sector conveys a significant narrative regarding the industry's transformation. Enterprises are preparing to fulfill the needs of today's environmentally-conscious and experience-oriented travelers,” stated Balasubramanian A, Senior VP and Business Head at TeamLease Services.
“Our findings underscore how tier-2 and tier-3 cities in India are emerging as vital employment centers, in addition to the traditional metropolitan areas, thus generating opportunities for talent in various regions,” Balasubramanian further mentioned.
The expansion of the travel and hospitality sector is driven by the integration of intelligent tourism technologies, a resurgence of MICE (Meetings, Incentives, Conferences, and Exhibitions) activities, and an increased emphasis on sustainable tourism practices.
These elements are reshaping the industry landscape, fostering new job opportunities, and heightening the need for skilled professionals in fields such as sustainability management, smart travel experience design, and the implementation of contactless technology.
The report emphasizes that the growth signifies the broader economic importance of India’s travel and tourism sector, which contributed 9 percent to the nation’s GDP in 2024, totaling over $11 trillion, marking an impressive 12 percent growth compared to the previous year.
Significantly, domestic travel is witnessing an upswing, driven by a rise in religious tourism and trips to tier-2 and tier-3 cities. Government initiatives like the Swadesh Darshan Scheme, aimed at developing theme-based tourist circuits, the PRASHAD Scheme for pilgrimage tourism, and substantial investments in airport infrastructure and regional connectivity are further accelerating the sector's growth, according to the report.
The report also highlights a notable hiring inclination among survey participants across India, with tier-1 cities such as Mumbai (58 percent), Hyderabad (54 percent), and Ahmedabad (49 percent) leading the demand for talent.
At the same time, tier-2 and tier-3 cities, including Coimbatore, Visakhapatnam, and Jaipur, are emerging as key employment hubs. Additionally, new locations like Pune (18 percent), Visakhapatnam (15 percent), and Kochi (13 percent) are also becoming notable centers of opportunity.
This dual momentum across major cities and smaller towns reflects the industry’s dedication to decentralizing opportunities and tapping into local talent pools, the report concluded.
