(Editor’s note: This marks the third and final entry of a three-part series by Ken Greger, partner, global executive search firm August Leadership, New York City, on the importance of an emotional recovery plan as the industry bounces back from COVID-19. Read Part 1 here and Part 2 here.)
What will the human capital picture in the hotel business look like when things stabilize? A lot of people have already left the hospitality industry, some forced, some by choice.
Let’s draw from Alexander Lovell from O. C. Tanner, which develops employee recognition strategies and rewards programs:
In our research during the height of the pandemic, 48% of employees reported that they are considering a career change as soon as the pandemic is over. This was particularly driven by those that were classified as ‘essential,’ as well as those employees that were worried about losing income and/or their job. As one employee noted: ‘Every organization in my industry is cutting jobs. Why would I want to stay in this industry permanently? I don’t trust my company. They don’t talk to us about what’s happening. They don’t appreciate the front line. First opportunity to leave, I’ll take it.’
We dived into this a bit more in our 2021 Global Culture Report, finding that employees in hard hit industries were 322% more likely to report that they were seeking other employment opportunities outside of their current organization, with an estimated future tenure of less than one year. Stability and empathy were two clear needs from employees, as evidenced by this employee: ‘We are still being held accountable for our sales quota even though no one is buying anything. We keep getting threats. What are they going to do? Fire us all? I’m leaving as soon as I can find something stable.’
This author is aware of a hotel company where the C-suite announced that 100% of its people would be reinstated over the next 90 days, but were stunned to discover that – even in the midst of a pandemic – only 20% were interested in returning due to cultural issues. Oops. That’s how a lack of empathy can de-stabilize an entire organization.
Stability and empathy. Critical. We’ll see how it all shakes out.
Craig Smith, group president and managing director for Marriott’s International Division reflects on this:
The worry is that a lot of people now are waking up and saying, ‘Well, maybe this isn’t the industry for me and there are some other jobs that pay more.’ They can’t get used to the cyclical part of the industry, and we’re seeing people not want to come back. If you’re in the United States or Europe, it’s really a seller’s market for individuals right now because we don’t have enough labor for all the jobs. The two words that come to my mind are trust and hope. My job is to make sure our people trust me and that I’m honest, but also to build a hope that the industry is going to come back, that it’s going to come back very strong. And what that means for them is careers. There’s no greater motivator for an associate then a great future.
As for empathy, listen, our culture isn’t broken, but we’ve taken a little more out of the emotional bank account than we’ve put in during the pandemic. Now is the time for us to go back and make sure we’re putting more in the emotional bank account for the people that work for us than we’re taking out of it. That’s really important going forward. And you do that by really caring about your people and asking them, ‘What do you need? What can we do for you? How can we build more security into your job?’
Summary
Each of us has had our unique journey through the COVID-19 pandemic and can certainly relate to the challenges it imposed, but as leaders we must empathize with the unique circumstances it thrust upon our people, and the emotional toll that is undeniable. Fear, stress, anxiety, depression, isolation and the fog of grief that has enveloped it all – loss of loved ones, loss of jobs, loss of trust, loss of confidence, loss of “normal,” and more.
This article provided only a glimpse into the size of the emotional wound, and just a peek at the substantial data available that supports it, plus some insights from a couple of C-Suite colleagues who each oversee a global hotel portfolio. The damage won’t be healed with an uptick in the stock market; it will take time. As hospitality industry leaders, it is critical to remember, every single day, that it’s all about the people. Their well-being, their emotional health, is in your hands. Make it a priority and your businesses should thrive.