THE HOSPITALITY INDUSTRY AND ITS LABOUR PRACTICES:

• The tourism and hospitality sector’s direct contribution to GDP totalled US$ 44.2 billion in 2015
• Over 2006–15, direct contribution is expected to register a CAGR of 10.5 per cent
• The direct contribution of travel and tourism to GDP is expected to grow 7.2 per cent per annum to US$ 88.6 billion (2.5 per cent of GDP) by 2025.

The Indian hospitality industry has emerged as one of the key industries driving growth of the services sector in India. It is an industry that is sensitive to the needs and desires of people. The fortunes of the hospitality industry have a direct effect on the prospects of the tourism industry, which is the foremost demand driver of the industry. The Indian hospitality industry has recorded healthy growth fuelled by constant inflow of foreign tourists as well as increased tourist movement within the country, making it one of the leading players in the global industry.
Hence, we see that the importance of the hospitality sector cannot be overstated as it will play an ever increasing role in contributing to the Indian economy. In light of these facts, it is very important that the labour practices of this industry be understood and analysed. The major characteristics of the Indian hospitality sector are:

Labour intensive
Quality of manpower is of utmost importance in this industry. The industry provides employment to skilled, semi-skilled, and unskilled labour, both directly and indirectly.