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Staff turnover concerns in Dubai

Patrick Ryan by Patrick Ryan
February 26, 2017
in News
A A

The high level of staff turnover is becoming an increasing worry for Dubai Hoteliers.

Burj Khalifa
A high turnover of staff in Dubai hotels has created concern

Figures released by hotel asset management specialist TFG Asset Management revealed the financial impact of high staff turnover on the hotel industry in Dubai.

TFG’s study, entitled The Impact of Staff Turnover on a Hotel’s Income Statement, surveyed industry stakeholders including global hotel management firms with a significant presence in Dubai, revealed that a 30% turnover rate could potentially reduce a hotel operator’s gross operating profit (GOP) by AED6 million ($1.63 million) per annum.

TFG head of asset management Mariano Faz said:“The challenge facing Dubai-based hoteliers to retain their best staff can be immense in the face of increasing competition from new operators entering the market and the expansion plans of existing rivals.

“In a market with such vast opportunities, job seekers have considerable options, making it challenging for hoteliers to attract and retain the best talent.”

He added that with the influx of new supply and increased competition for experienced staff, the issue of high staff turnover has become an increasing concern for Dubai’s hoteliers.

According to the research, some of the likely factors can range from a lack of faith in management, poor relationships with colleagues, and a lack of career development opportunities.

It was found that entry-level staff were also more likely to switch jobs more regularly than middle and senior-management employees.

“Given the fierce competition for staff, hoteliers will often rush an appointment without considering that person’s real-world qualifications for the role,” he said.

“A better approach is to consider a potential candidate based not only on their experience, but their attitude and willingness to embrace the corporate culture and their perceived long-term ambition to develop their career with the operator.”

 

 

 

Tags: Dubai hotelsmiddle eastUAE hotels

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