The tourism industry’s sustainability efforts are hindered by poor labour conditions.
- A report highlights the detrimental impact of inadequate labour environments on recruitment.
- Environmental, social, and governance (ESG) regulations are essential for industry progress.
- Social sustainability in tourism faces a significant data and reporting gap.
- Collaborative efforts are necessary to address the chronic labour shortage.
The tourism industry’s sustainability efforts are significantly hindered by inadequate labour conditions, which negatively impact recruitment and heighten business risks. A recent report on social sustainability within the industry reveals that this issue is a barrier to attracting and retaining talent.
The report, titled ‘Why the S in ESG Matters’, underscores the importance of environmental, social, and governance (ESG) regulations in addressing the challenges faced by the travel and tourism sector. Dr Anke Winchenbach, the lead author, emphasised that poor labour conditions are stalling the industry’s workforce development, further complicating social sustainability.
Dr Winchenbach highlighted the chronic labour shortage as a principal concern, necessitating urgent action to bridge the gap between industry intentions and actual practices. There is an evident lack of data and limited reporting on social sustainability, which further exacerbates the issue.
The report, based on extensive interviews with industry stakeholders including trade unions and investors, evaluates social sustainability frameworks, presenting case studies and action steps. A critical point raised was the insufficient accountability along the supply chain, impacting equality, diversity, and inclusion, especially for migrant workers, youth, and women.
A significant barrier identified is the lack of harmonisation across ESG frameworks, leaving many feeling underprepared to implement necessary changes for social sustainability. The scarcity of robust studies and audits of best practices further complicates efforts to establish a sustainable path forward.
The business case for social sustainability is compelling, as investors are increasingly scrutinising companies’ sustainability credentials. Moreover, businesses need to align with these standards to remain competitive and attract both talent and customers, who are more aware of supply chain issues.
Dr Winchenbach stresses that no single organisation can address these challenges alone. Collective and collaborative action across the industry is imperative to achieve meaningful results.
Commissioned by the International Transport Workers’ Federation, the report receives support from Rob Johnston, their assistant general secretary. Johnston acknowledges the necessity for profitability but warns that the industry is at risk if these pressing issues remain unaddressed.
Addressing poor labour conditions through collaborative efforts is crucial for sustainable tourism development.
