Travel and Hospitality Hiring Enters Structured Growth Phase: TeamLease
TeamLease Services has reported that hiring across India’s travel and hospitality sector is entering a more structured and calibrated growth phase, with Net Employment Change (NEC) projected at 5.1% for HY1 FY2026–27.
According to the company’s latest Employment Outlook Report, 63% of employers in the sector plan workforce expansion during the period, while 20% expect no hiring changes and 17% anticipate workforce reductions, reflecting a more measured and demand-linked approach to recruitment.
The report noted that hiring demand continues to be supported by domestic leisure travel, expansion into Tier 2 and Tier 3 destinations, rising business travel, MICE activity, and growing religious tourism across India.
India’s travel and hospitality sector is projected to contribute approximately $523 billion to GDP by CY34, up from $256 billion in CY24, while supporting nearly 63 million jobs over the coming decade.
At the functional level, companies are prioritising roles directly linked to customer acquisition, service delivery, and operational efficiency. Hiring intent remains strongest in sales and marketing functions at 53%, followed by business continuity roles at 49% and finance functions at 36%.
The sector is also expected to generate employment across hotel operations, food and beverage services, event management, travel coordination, and wellness tourism segments as hospitality businesses continue scaling their offerings.
Among emerging regional markets, Indore, Kochi, and Lucknow recorded the strongest hiring expansion intent at 20%, 18%, and 15% respectively.
The report further projected an overall salary increment of 9.2% across the travel and hospitality industry, reflecting rising demand for skilled professionals amid expanding tourism infrastructure and regional market growth.
Commenting on the findings, Balasubramanian A said the 5.1% NEC reflects sector stabilisation rather than slowdown, driven by infrastructure-led tourism growth and government initiatives such as Swadesh Darshan 2.0 and PM GatiShakti.
He added that companies are increasingly shifting toward disciplined, demand-linked hiring strategies instead of broad anticipatory workforce expansion.
The report suggests that India’s travel and hospitality sector is entering a more mature operational phase focused on agility, workforce optimisation, service consistency, and structured capacity management as tourism demand patterns continue evolving.
The findings are based on a survey of 1,268 employers across 23 industries and 20 Indian cities conducted between November 2025 and January 2026.
