THE EFFECT OF THE HOSPITALITY AND TOURISM INDUSTRY ON EMPLOYMENT RATE (A CASE STUDY OF MONTE SUITES HOTEL, UYO)

Table of Contents

Abstract. 2

CHAPTER ONE.. 5

INTRODUCTION.. 5

1.1 Background to the Study.. 5

1.2 Statement of the Problem... 6

1.3 Objectives of the Study.. 7

1.4 Research Questions. 7

1.5 Research Hypothesis. 8

1.6 Significance of the Study.. 8

1.7 Scope of the Study.. 9

1.8 Limitations of the Study.. 9

1.9 Organization of the Study.. 10

CHAPTER TWO.. 12

REVIEW OF RELATED LITERATURE.. 12

2.1 Introduction.. 12

2.2 Theoretical Review.. 12

2.2.1 Multiplier Effect Theory. 12

2.2.2 Seasonality Theory. 13

2.2.3 Skill Diversity Theory. 13

2.2.4 Technology Displacement Theory. 14

2.3 Conceptual Review.. 14

2.4 Empirical Review.. 18

2.5 Summary of Literature Review.. 20

Chapter Three.. 22

Research Methodology.. 22

3.1 Introduction.. 22

3.2 Research Design.. 22

3.3 Population and Sample.. 23

3.4 Sampling Techniques. 23

3.5 Data Collection Instruments. 23

3.6 Data Collection Procedure.. 24

3.7 Methods of Data Analysis. 24

3.8 Ethical Considerations. 25

3.9 Limitations of the Study.. 25

3.10 Conclusion.. 26

DATA ANALYSIS AND INTERPRETATION.. 26

4.1 Preamble.. 26

4.2 Socio-Demographic Characteristics of Respondents. 27

TABLES BASED ON RESEARCH QUESTIONS.. 30

4.3 Analysis of the Respondents’ Views on Research Question one:. 30

4.4      Testing Hypothesis. 42

4.5 Discussion of Findings. 43

Research Questionnaire.. 46

 


 

CHAPTER ONE

INTRODUCTION

1.1 Background to the Study

The hospitality and tourism industry stands as a pivotal pillar of global economies, wielding significant influence on employment rates worldwide. The symbiotic relationship between tourism and job creation is well-documented, with the industry serving as a primary driver of employment opportunities across various sectors. As nations strive to harness the potential of tourism to spur economic growth, understanding its profound impact on employment becomes imperative. This introductory exploration delves into the multifaceted effects of the hospitality and tourism sector on employment rates, shedding light on both its challenges and opportunities.

Dating back to the early 20th century, the hospitality and tourism industry has evolved into a robust economic force, consistently generating employment opportunities on a vast scale. According to Smith (2018), the industry accounted for over 319 million jobs globally in 2018, with projections indicating further growth in the years to come. The diverse array of roles encompassed within hospitality and tourism, spanning from accommodation and food services to transportation and entertainment, underscores its pivotal role as a major employer. This expansive reach ensures that the industry's impact on employment remains profound and far-reaching.

Despite its undeniable contribution to employment, the hospitality and tourism sector is not immune to challenges. Fluctuations in global economic conditions, natural disasters, and geopolitical tensions can significantly impact tourist flows, thereby affecting job stability within the industry (UNWTO, 2020). Moreover, the emergence of disruptive technologies and shifting consumer preferences necessitates constant adaptation among industry players, potentially altering the employment landscape. Understanding these dynamics is crucial for policymakers, businesses, and individuals alike in navigating the complexities of employment within the hospitality and tourism sector.

1.2 Statement of the Problem

Understanding the nuanced impact of the hospitality and tourism industry on employment rates is imperative for policymakers, businesses, and communities alike. However, despite its significant contributions to job creation, this sector also poses challenges that warrant investigation. One key issue revolves around the seasonal and cyclical nature of tourism, which can lead to fluctuations in employment opportunities (Butler & Wanhill, 2014). In destinations heavily reliant on tourism, such as coastal resorts or ski towns, the ebb and flow of visitor numbers throughout the year can result in periods of high demand for labor followed by lulls, potentially leading to instability in employment and income for local residents (Cooper et al., 2008).

Furthermore, the reliance of many tourism-related businesses on low-skilled or temporary workers raises concerns about job quality and career progression within the industry (Lashley & Morrison, 2003). The prevalence of part-time or seasonal employment contracts may hinder workers' access to benefits and job security, exacerbating inequalities and contributing to economic vulnerability (Ardjosoediro & Abubakar, 2020). Additionally, the emergence of automation and digitalization within hospitality and tourism, while offering opportunities for efficiency gains, also raises questions about the potential displacement of human workers and the need for reskilling and upskilling initiatives to ensure continued employability in an evolving labor market (Choi et al., 2020).

 

1.3 Objectives of the Study

The main objective of the study is to examine the effect of the hospitality and tourism industry on employment rate. Specific objectives of the study are:

  1. To analyze the Scale of Employment Creation
  2. To identify Skillsets and Job Types Impacted
  3. To explore Seasonality and Job Stability

1.4 Research Questions

To guide the study and achieve the objectives of the study, the following research questions were formulated:

  1. To what extent does the size and growth of the hospitality and tourism industry correlate with overall employment levels in a specific region or country?
  2. How does the hospitality and tourism industry influence the demand for various skillsets within the workforce?
  3. How does the seasonal nature of tourism affect job security and income stability for employees within the hospitality and tourism industry?

1.5 Research Hypothesis

The following research hypothesis was developed and tested for the study:

Ho: There is no significant effect of the hospitality and tourism industry on employment rates.

1.6 Significance of the Study

The study is important for many reasons. The following are the major stakeholders this paper through its practical and theoretical implications and findings will be of great significance:

Firstly, the paper will benefit major stakeholders and policy makers in the Tourism and Hospitality sector. The various analysis, findings and discussions outlined in this paper will serve as a guide in enabling major positive changes in the industry and sub-sectors.

Secondly, the paper is also beneficial to the organizations used for the research. Since first hand data was gotten and analysed from the organization, they stand a chance to benefit directly from the findings of the study in respect to their various organizations. These findings will fast track growth and enable productivity in the organisations used as a case study.

Finally, the paper will serve as a guide to other researchers willing to research further into the subject matter. Through the conclusions, limitations and gaps identified in the subject matter, other student and independent researchers can have a well laid foundation to conduct further studies.

1.7 Scope of the Study

The study is delimited to Monte Suites Hotel, Uyo. Findings and recommendations from the study reflects the views and opinions of respondents sampled in the area. It may not reflect the entire picture in the population.

1.8 Limitations of the Study

The major limitations of the research study are time, financial constraints and delays from respondents. The researcher had difficulties combining lectures with field work. Financial constraints in form of getting adequate funds and sponsors to print questionnaires, hold Focus group discussions and logistics was recorded. Finally, respondents were a bit reluctant in filling questionnaires and submitting them on time. This delayed the project work a bit.

1.9 Organization of the Study

The study is made up of five (5) Chapters. Chapter one of the study gives a general introduction to the subject matter, background to the problem as well as a detailed problem statement of the research. This chapter also sets the objectives of the paper in motion detailing out the significance and scope of the paper.

Chapter Two of the paper entails the review of related literature with regards to corporate governance and integrated reporting. This chapter outlines the conceptual reviews, theoretical reviews and empirical reviews of the study.

Chapter Three centers on the methodologies applied in the study. A more detailed explanation of the research design, population of the study, sample size and technique, data collection method and analysis is discussed in this chapter.

Chapter Four highlights data analysis and interpretation giving the readers a thorough room for the discussion of the practical and theoretical implications of data analyzed in the study.

Chapter Five outlines the findings, conclusions and recommendations of the study. Based on objectives set out, the researcher concludes the paper by answering all research questions set out in the study.