Hotel Industry Case Study

897 Words4 Pages
INTRODUCTION Hotel industry plays an enormous role in today’s economy, becoming a large contributor within the tourism industry that directly contributes towards the economy growth of Malaysia (Ministry of Tourism, 2009). Malaysia was globally ranked as one of the top tourist destination to visit (Ab. Karim, Bee & Salleh, 2009). With the increasing numbers in tourist arrivals, accommodation and food and beverage are in high demand, leading to the increase of hotels at popular tourist locations. Dependable “human factor” would be highly in demand with the rapid rate of growth and expansion of the country’s hospitality industry. The workforce force is the fundamental backbone and decision maker of all industries regardless of their nature of…show more content…
Globally, the employee turnover rate is estimated to range from 60 percent to 300 percent annually, which is far more than the 34.7 percent annual turnover rate from the manufacturing industry (Foley, 1996). Likewise in Malaysia, the average employee turnover rate from the operational section in hotels was reported at 65.7 percent for the year 1998/1999 (Malaysian Association of Hotels, 2000). This high employee turnover rate is not only limited to the operational employees alone. It was discovered among managerial employees of the hotel industry that high employee turnover rate also existed as compared to other industries. According to Ghiselli (2000), managerial employee turnover rate in the hotel industry in the United States is at least 27 percentage higher than in the non-service industries. Ingram and Brown (2000) studies shows the employee turnover rate among middle ranking managers in the United Kingdom was noticeably higher in the hotel industry compared to the other service-based industries . Woods (1997) debated that employee turnover pose as a common challenge for the hotel industry around the globe, it is well expected to exist within the Malaysian hotel…show more content…
Understanding Gen Y by the human resources aims to reduce the time and financial factor spent by the organization on recruiting and training activities, ultimately lowering the rate of employee turnover. Therefore, the aim of this research on the field of human resource is to study on the workplace flexibility that affects the Gen Y workforce to reduce the employee turnover
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