500,000 hospitality job losses since January


As England goes into a second lockdown, new data has revealed that there have been 500,000 job losses in the hospitality sector since January.

The latest figures from Fourth reveal the impact Covid-19 continues to have on jobs, with a fifth fewer sector jobs compared to a year ago.

The latest study indicates that the number of job leavers continues to significantly outweigh the number of new starters, a trend seen throughout August and September, since the industry began re-opening following the first lockdown.

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The study revealed there has been a 21% drop in overall staff headcount compared to October 2019, with approximately three leavers for every one starter throughout October.

The total staff headcount across SMEs was down by 23.3% versus October 2019, compared to large scale, national operators, where the drop in staff headcount was 16.8% versus the same period of the previous year.

Fourth’s data, which has been aggregated from analysis of over 700 companies across the hotel, restaurant, pub, bar and QSR sectors, reveals that a further 21,337 hospitality workers lost their job in October, representing 7.5% of the total workforce, which tracks in line with the previous three months.

The hotel sector was most impacted, with a 10% drop in workforce.

Overall, the data reveals that the workforce shrunk by 21% in October 2020, versus the same month in 2019. The most impacted sector, again, was hotels, where there was a 24% reduction of labour when compared to last year.

Sebastien Sepierre, managing director – EMEA, Fourth, said: “October was another incredibly challenging month for the hospitality sector, with further Government-imposed restrictions impacting trading and consumer confidence. Whilst entering a second lockdown is incredibly difficult for the sector, we hope that the extension of the furlough scheme will provide essential support to businesses to enable them to get through the coming weeks and months.

“When it comes to navigating this period, it’s vital that the whole sector is kept informed and given enough warning about what will happen when the lockdown is scheduled to end. Effective planning will be key to how operators emerge and best prepare for success as they come out of lockdown.”

Tags : Fourth Datahospitalityjob lossesMARKET DATA
Zoe Monk

The author Zoe Monk

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