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Travel & Hospitality sector in India projects 8.2 per cent employment growth in HY2 FY2025: TeamLease report, ET TravelWorld

Published 1 month ago3 minute read

TeamLease Services’ latest report reveals a promising outlook for India’s travel and hospitality sector, with a projected 8.2 per cent net employment growth in the second half of FY2025. The demand for talent is driven by smart tourism, MICE recovery, and sustainability trends. Sales and marketing roles lead hiring intentions, with tier-2 and tier-3 cities emerging as key employment hubs.

Online Bureau

TeamLease Services, a prominent staffing solutions company in India, has released its Employment Outlook Report for the second half of FY2024-25, revealing strong growth in the travel and hospitality sector. According to the report, 66 per cent of the surveyed companies are planning to expand their workforce, with a Net Employment Change (NEC) forecasted at 8.2 per cent. This growth reflects the sector's robust recovery and its capacity to generate significant job opportunities.

The sector’s momentum is largely driven by the growing adoption of smart tourism technologies, the resurgence of MICE (Meetings, Incentives, Conferences, and Exhibitions) activities, and an increasing focus on sustainable tourism practices. These developments are creating new roles and raising the demand for professionals skilled in sustainability coordination, smart travel experience design, and contactless technology deployment, as companies aim to deliver digitally enhanced and eco-friendly travel experiences.

India’s travel and tourism industry, which contributed 9 per cent to the nation’s GDP in 2024, continues to grow rapidly, with a 12 per cent year-on-year increase. Domestic travel is also seeing a surge, particularly in religious tourism and visits to Tier-2 and Tier-3 cities. Government initiatives, such as the Swadesh Darshan Scheme and the PRASHAD Scheme, aimed at promoting theme-based tourism and pilgrimage routes, are further propelling the industry’s expansion. Additionally, investments in airport infrastructure and regional connectivity are boosting growth across the country.

While India may not yet be the most-travelled demographic globally, Indian travellers are emerging as key contributors to the recovery of international tourism. As a result, companies are prioritising recruitment to meet the evolving expectations of these modern travellers, demanding more personalised and sustainable travel services.

The report highlights that hiring activity is particularly strong in tier-1 cities like Mumbai, Hyderabad, and Ahmedabad, with 58 per cent, 54 per cent, and 49 per cent of companies in these areas looking to hire. However, tier-2 and tier-3 cities such as Coimbatore, Visakhapatnam, and Jaipur are increasingly becoming significant employment hubs, reflecting the sector's decentralisation and its focus on tapping into local talent pools. Emerging locations like Pune, Visakhapatnam, and Kochi are also gaining momentum.

Sales roles are the most in-demand, with 76 per cent of companies seeking sales talent, followed by marketing roles (46 per cent), office service positions (35 per cent), and Information & Communication Technology jobs (18 per cent). Engineering and blue-collar roles are also seeing substantial demand as the sector embraces technological and operational advancements.

Balasubramanian A, Senior VP and Business Head at TeamLease Services, commented, “The positive hiring outlook in the travel and hospitality sector underscores how the industry is evolving to meet the needs of today’s eco-conscious and experience-driven travellers. The rise of employment hubs in tier-2 and tier-3 cities signals a shift towards creating new opportunities in regions beyond traditional metros.”

As the sector continues to grow, its commitment to sustainability and innovation remains central. Companies are focusing on eco-conscious travel, smart tourism infrastructure, and seamless digital experiences to cater to global trends, positioning the industry as a significant contributor to India’s economic development and a leading generator of employment.

TeamLease’s Employment Outlook Report sheds light on both the opportunities and challenges facing the travel and hospitality sector, emphasising the need for businesses to stay agile and innovative as they adapt to the new demands of the modern traveller.

  • Published On Jan 26, 2025 at 11:30 AM IST

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