Hiring in Indian travel & hospitality sector to see 8.2 pc growth in FY25 second half: Report

New Delhi: Hiring in the travel and hospitality sector in India is likely to see 8.2 per cent growth in the second half of FY25, according to a report on Friday.

The report, by staffing solutions company TeamLease Services, showed that 66 per cent of companies plan to expand their workforce during the October-March period of FY2024-25.

The report also projects a net employment change (NEC) of 8.2 per cent during this period, reflecting the sector’s momentum in job creation.

“The positive hiring intent by 66 per cent of the companies we’re seeing in the travel and hospitality sector tells a compelling story about how the industry is evolving. Businesses are gearing up to meet the demands of today’s eco-conscious and experience-driven travellers,” said Balasubramanian A, Senior VP and Business Head, TeamLease Services.

“Our report highlights how tier-2 and tier-3 cities in the country are stepping up as major employment hubs, alongside the usual metros, creating opportunities for talent in new regions,” Balasubramanian added.

The travel and hospitality sector’s growth is being fuelled by the adoption of smart tourism technologies, a revival of MICE (Meetings, Incentives, Conferences, and Exhibitions) activities, and a heightened focus on sustainable tourism practices.

These factors are reshaping the industry landscape, creating new employment opportunities, and driving demand for skilled professionals in areas such as sustainability coordination, smart travel experience design, and contactless technology deployment.

The report noted that the growth reflects the broader economic significance of India’s travel and tourism industry, which contributed 9 per cent to the country’s GDP in 2024, amounting to over $ 11 trillion, an impressive 12 per cent increase compared to the previous year.

Notably, domestic travel is also on the rise, with a surge in religious tourism and visits to Tier-2 and Tier-3 cities. Government initiatives such as the Swadesh Darshan Scheme, aimed at theme-based tourist circuit development, the PRASHAD Scheme, focused on pilgrimage tourism, and significant investments in airport infrastructure and regional connectivity, are further catalysing the sector’s expansion, said the report.

The report also highlights notable hiring intent by the survey respondents across India, with tier-1 cities like Mumbai (58 per cent), Hyderabad (54 per cent), and Ahmedabad (49 per cent) leading the demand for talent.

Simultaneously, tier-2 and tier-3 cities, including Coimbatore, Visakhapatnam and Jaipur, are emerging as employment hubs. Meanwhile, new locations such as Pune (18 per cent), Visakhapatnam (15 per cent), and Kochi (13 per cent) are also gaining traction as significant centres of opportunity.

This dual momentum across metros and smaller cities reflects the industry’s commitment to decentralising opportunities and addressing local talent pools, the report said.

–IANS