Challenges facing tourism industry – and how to tackle them

Training opportunities and clear career paths are essential to improving productivity in the tourism sector.
Dr Andreas Chai, from Griffith Business School, contributed to the June 2017 CEDA report into the economic consequences of Australia’s productivity performance in the service sector.
He suggests that more can be done to boost labour productivity in tourism by improving the quality of training opportunities and the management of casual workforces.

“In the short term, a casual workforce is fine as it keeps costs down and helps business owners survive,” Dr Chai said.
“But in the longer run, it will create a skill shortage due to the digital revolution.
“There will be an increase in demand for works who have IT skills or programming skills, with companies like AirBnB and hotels already marketing themselves on big digital platforms.
“The industry will have to compete with this and it will drive up costs.”
Adaption is key
But Dr Chai said there was still

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