Real Cost of Training Hotel Employees and Turn Over.
August 31, 2020|Hotel Marketing

We do have a higher employee turnover in the hotel sector than in other industries. It is frustrating because it costs more to hire and train new employees than to keep the ones you already have. Some studies estimate that each employee turnover would cost an average of 6-9 months' worth of salary.

Why? When our employees leave, they are walking away with all that we invested — time, energy, and money. It could be as simple as training them in using a project software or an online platform, or as costly as providing them with on-the-job sales or service training.

It is easier to hire a seasoned employee with extensive experience of about 5 to 10 years. You do not have to spend a dime in training this person for anything because their previous company already made those investments for you free of charge.

Inexperienced employees, on the other hand, need to be handheld before they can learn the ropes. You have to train them all the time with the hope that one day they will be a pro-active member of your team.

It can take months, sometimes even years, for them to reach the level you need them to be. Unfortunately, that is also the time when they leave and look for greener pastures, and when they do, all of your investment goes out the window.

Do you know how much you lose to employee turnover each year? Have a minute and look at everyone who has ever left your hotel, their reasons for leaving, and how much money and resources you spent in training them. Just put those numbers together, and you find out how much of your profit went down the drain.

If you would like to know how you can reduce the cost of recruitment and training, call us at 888-999-8086 or email us at

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