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A study on employee attrition in the hotel sector; with special reference to the
lucknow city

Article · April 2024

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ISSN: 2278-6880
Volume 25 Issue 1, January 2024

A study on employee attrition in the hotel


sector; with special reference to the lucknow
city
Dr. Ranjeeta Tripathi*, Dr. Dharna Shukla**, Dr Amit Kumar***
*Assistant Professor, Amity University, Uttar Pradesh, Lucknow
Email: rtripathi1@lko.amity.edu
**Assistant Professor, Amity University, Uttar Pradesh, Lucknow
Email: dshukla@lko.amity.edu
***Assistant Professor
Department of Tourism and Hotel Management, Central University of Haryana, Mahendergarh
dramitkumar@cuh.ac.in

Abstract: The biggest challenge that hotels in Lucknow are facing in the current scenario is the
employee retention. The attrition rate is deviating the standards and quality of services and
increasing the operational cost simultaneously. This research article emphasises on the causes of
staff attrition and investigating factors that influences the staff to switch over the working
platform with an assumption of getting growth and prosperity in the new establishment. Such
switching over the jobs frequently is the consequence of attitude and paradigm between the
seniors and subordinates, any arisen conflict amongst them leads to the quitting of jobs and
seeking for alternate job opportunity. As such, losing the trained staff leads to the huge loss for
the organization and work suffers. Consequently, replacement of the vacuum position is done
with a recruit resulting into extra investment of money and time to make the new employee to
understand the standard operating procedures of the organization and understand the dos and
don'ts of the system. The aim of this research paper is to scrutinize and conceptualize the structure
of human capital attrition from the organization in the hotels of the town.
Keywords: Employee Retention; Attrition; Hotels; Attitude; Job Opportunity; Growth, Work
Culture Satisfaction, Remuneration and Benefits.

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Introduction: Growth of hotel sector is bank on the shoulders of the human capital that are being
hired by the hotels. Any new recruit is being trained according to the standard operating
procedures of the hotel establishment in order to get the uniformity in the output. Induction
programme is scheduled by the hotels along with specific uniform and other professional pre-
requisites are being managed by the hotel for the new recruit. Such preliminary act involves cost
and time both. Thereafter, joining the employee works only for a short duration thereafter s/he
quits the job due to some or the other reason. After quitting the job in majority of the cases
employee speak adverse about the company’s policy and working culture of the establishment.
Therefore, the seniors must involve into the issues and resolve the problems of the employees to
make them feel relaxed and to retain them in the organization. If such counselling is carried out at
right time by the seniors, then the attrition rate can be reduced else any negligence leads to high
attrition.
Msengeti and Obwogi (2015) stated in their study that One of the primary pillars of this business
in Kenya is the hospitality sector, which has typically continued to enjoy tremendous expansion
in terms of both the infrastructure needed to sustain the industry and the profits generated by it.
The severe competition among the participants in the business for the few available human
resources has accompanied its extraordinary rise. Therefore, increased staff retention has become
a top priority for the majority of businesses in this industry. This study aimed to determine how
wages and workplace conditions affected how long workers stayed in the Mombasa County hotel
industry. Results exhibited that while work atmosphere had the greatest impact on employee
retention, compensation had the least of an impact.
Frye, et al., (2020) suggested that "empowerment," "compensation," and "relationships with
management," "work environment" has a substantial impact on new generation employees' job
pleasure, which in turn affects "employee commitment" and "intention to remain in the hospitality
sector." The newer generations are more emphasising on better work culture and good pay bands
according to the distribution of work.
Haldorai et al.,( 2019) have researched about the attrition of the hotel employees who are working
in various shifts. He concluded in his study that that employees personal work hours are being
pulled for the hotel operations and they do not get sufficient off time from their work. They are
struggling to get their offs on time and getting extra work hour and not being paid for the same.

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Djajasinga et al., (2021) revealed in his study about the challenges faced in hospitality firms is
handling altering working associations. The hotel industry makes use of its human resources to
gain a competitive advantage in the market for consumer services. Experts emphasise that the
hospitality sector is a heavily customer-focused market where interactions between staff and
customers decide how well an organisation is taking care of its customers and the employees.
Ohunakin (2019) have stated that idealized influence, motivation that inspires, intellectual
stimulation, and personalised care increased job satisfaction and had a negative impact on desire
to leave. Additionally, idealised influence and specific consideration increased life satisfaction,
although inspirational motivation and intellectual stimulation had no such favourable impact. Job
satisfaction was positively correlated with life satisfaction, while turnover intention was adversely
correlated. It was suggested that hospitality firms use a transformational leadership style to
enhance the attitudes and conduct of their workforce.
Laškarin (2017) aimed to find the density of managing guest experiences in the hospitality sector,
forces human resources managers to form the fresh methods to handling relationships with task
force and consumers. The key cheerleader for inspiring positive conduct among employees is
having good relationships within the workplace. This paper's goal is to investigate hospitality and
employee satisfaction elements to comprehend pro-social behaviour in firms.
Han et al., (2016) found that customer rudeness and job burnout among restaurant front-of-the-
house staff are positively correlated. Customer rudeness and intention to leave the company due
to job exhaustion were fully handled. Investigations were also conducted into the moderating
effects that organisational support and supervisory support have on the associations between
customer rudeness and burnout. The association between rude customers and burnout is
moderated by organisational and supervisory support. Restaurant managers are given managerial
implications for creating efficient employee management plans same is supported by (Gupta
2019).
Qiu et al (2015) stated that promotional and advancement opportunities, work-life equilibrium,
community suitable, work-group cohesiveness, frontrunner linked characteristics, and
remuneration have all been identified as the backgrounds of employee turnover intent.
Furthermost notably, we discovered a new category for categorising hotel employee turnover
intentions: community fit. Employees were more likely to remain in a city with high

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environmental standards and to hunt their professional ambitions in a location that is compatible
with their standards or way of life.
Holeston et al., (2018) implication of profession execution, demonstrative compensation, member
of staff pledge, and work environment to reduce wage earner turnover in the neighbourliness
business. Inspiration was not the significant component for the lodging workers.
Statement of the Problem: The researcher has executed the study to investigate the attrition
causes in the hotels in Lucknow.
Objectives of The Study: The main objectives of the current study:
 To find out the worker’s perception and attitude towards attrition.
 To study the factors which effects the attrition rate of the hotel employees.
 To study the association between work culture satisfaction and remuneration benefits
of the hotel employee.
 To study the relationship between work culture satisfaction and carrier growth.
Literature Review:
McGinley & Line (2017) the study had found that Indian travel and hospitality trade is not only
burdened with high turnover rates but also may soon be in a state of task force deficiency. A
healthier thoughtful of industry employment insights had become a serious matter for hospitality
trade specialists. A precise apprehension was the insights of those budding workers who do not
have past job skills in the industry. The research had measured insights of hotel employ among
the section of the latent worker population that has no existing or previous involvement of being
employed in the hotels. Features like compensation, elevation breaks, work-to-life struggle, and
job place induced remoteness are projected to meaningfully disturb budding members’ behaviour
toward hotel engagement. In turn, these behaviours are anticipated to disturb both purposes to
apply for hotel job and the purpose to commend applying for hotel work to others and the same is
being reinforced by (Jayaweera, T. 2015; Pawirosumarto,2017; Ram & Prabhakar 2011).
Becker Frederick & Tews Michael (2016): The study had scrutinized the effect of amusing
happenings among fresher personnel in the hospitality trade. Precisely, the study had scrutinized
the influence of various entertaining happenings on member of staff involvement, essential add-
on, and worker turnover. The result of the study had confirmed that the entertaining happenings
overall were pointedly connected to both appointment and essential attachment, but not with the

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turnover of workers. However, a nearer enquiry of the research had discovered that there are
specific activities which had a straight influence on holding of employees. The significant
suggestion of the study discovered that not all entertaining happenings are equal, and they may
influence office outcomes differently.
Neha Mehra & Promila Sharma (2016) In the travel and hotel sector majority of the staff are from
the different state or city, very few are there from the same town. There are four core departments
in the hotels namely Front Office, Food and Beverage Service, Housekeeping and Food
Production apart from these core areas there are the ancillary department that are equally
important for the hotel operations like sales and marketing, finance and human resource
department. Hospitality and Travel sector is all about attracting the people by their luxuries and
comfort. Hence to offer luxury and comfort it is very much important for the staff to be
technically sound, because then only s/he will be able to deliver the sevices and amenities. Beside
the technical abilities it is also important that the employee must be well groomed, possess
positive body language and optimistic behaviour. To reach to the altitude of success in the
hospitality sector one should not be short tempered. S/he should be well mannered and must have
the down to earth behaviour and the utmost important thing is that the helping attitude.
Kalyan Laghane, (2012) studied retaining management in Indian hospitality trade. The findings of
the research recommended that “Talent management integrates traditional talent-related functions
that were considered as “administrative” functions into routine business processes. By
“embedding” people management processes into standard business processes one can force line
managers to think of recruiting, retention, development, etc. as essential activities that make a
significant contribution to any manager’s business results and success.”
Mokaya et al (2013) explored in his study that Workers are considered as the most important asset
and resource for an association. Qualified and spurred representatives make and convey esteem
out of other hierarchical assets. Dynamic and moderate associations try to draw in and hold the
perfect individuals for the ideal positions at the ideal time through making and supporting their
inspiration in evolving conditions. Representative work fulfillment is fundamental for consumer
loyalty and association efficiency in serious climate. Workers esteem work conditions as
fundamental fixings agreeable to them; requiring normal studies to decide furthermore, enhance
factors that are basic to further developing position fulfillment. (Kwahar & Iyortsuun, 2018).

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Research Methodology: Both the exploratory and descriptive approach in research has been
deployed by the author by doing the literature reviews of various authors. Questionnaire is the
source to collect the primary data and research articles, textbooks and online data was the source
of secondary data. The data is collected from 150 respondents based on random sampling out of
which 126 were found with complete data and 24 questionnaires were having missing data.
Pearson correlation is used to calculate the association of various variables and mean was
calculated to find out the major factors affecting the attrition rate of the hotel employees.
Analysis And Interpretation:
In the current scenario the gender sensitization and gender equilibrium are given lots of weightage.
Subsequently, each and every individual have their own priorities, aspirations, phenomenon and
involvement. Hence, a gender-based analysis of the working human capital in the hotel sector was
taken into consideration while doing the research. The demographic factors like age group,
gender, educational qualification, marital status, length of service and department of the hotel is
also included.
Table-1 Demographic profile of the respondents
Demographic Variable Variable Percentage
Gender Male 85.7
Female 14.3
Star Category of Hotel 5 Star 42.9
4 Star 28.6
3 Star 28.6
Age Group 18-28 42.9
29-38 28.6
39-48 14.3
49 and ab0ve 14.3
Educational Qualification Graduate 42.9
Postgraduate 42.9
Diploma 14.3
Others Nil
Marital Status Married 71.4

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Unmarried 28.6
Length of service 1-5 years 12.4
5-10 years 29.1
10-15 years 15.6
15 years and above 42.9
Monthly Income Below 17,000 17.1
18000-35000 27.6
35,000-55,000 22.9
55,000 and above 32.4
Department of Hotel Food Production 28.6
Food and beverage service 27.9
House Keeping 14.3
Front Office 14.3
Others 14.9

H01: There is no significant relation among work culture satisfaction and remuneration
benefits of the hotel employee.
Ha1: There is a significant relation among work culture satisfaction and remuneration benefits
of the hotel employee.
Table-2- Correlation depicts the relationship between work culture satisfaction and remuneration
and benefits of the hotel employees.
Correlations
Work Culture Remuneration
Satisfaction and Benefits
Work Culture Satisfaction Pearson Correlation 1 .059
Sig. (2-tailed) .508
N 126 126
Remuneration and Benefits Pearson Correlation .059 1
Sig. (2-tailed) .508
N 126 126

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Interpretation: On applying the correlation test it is found that the sig value is .508 which is
greater than 0.05 thus null hypothesis may be accepted, and it can be inferred that there is no
significant relation among the work culture satisfaction and remuneration and benefits of the hotel
employees.
H02: There is no significant relation between the work culture satisfaction and carrier growth of
the hotel employees.
Ha2: There is a significant relation between the work culture satisfaction and carrier growth of
the hotel employees.
Table-3- Correlation depicts the relationship between work culture satisfaction and carrier growth
of the hotel employees.
Correlations
Work Culture Carrier
Satisfaction Growth
Work Culture Satisfaction Pearson Correlation 1 .712**
Sig. (2-tailed) .000
N 126 126
Carrier Growth Pearson Correlation .712** 1
Sig. (2-tailed) .508
N 126 126
**. Correlation is significant at the 0.01 level (2-tailed).
Interpretation: As indicated in the above table sig value is .000 which is lesser than 0.05 thus it
may be concluded that there is a significant relation among the work culture satisfaction and
carrier growth of the hotel employees.
H03: There is no significant relation among the remuneration and benefits and carrier growth
of the hotel employees.
Ha3: There is a significant relation between the remuneration and benefits and carrier growth
of the hotel employees.
Table-4- Correlation depicts the relationship between remuneration and benefits and carrier
growth of the hotel employees.

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Correlations
Remuneration and Carrier
benefits Browth
Remuneration and Benefits Pearson Correlation 1 .025
Sig. (2-tailed) .781
N 126 126
Carrier Growth Pearson Correlation .025 1
Sig. (2-tailed) .781
N 126 126

Interpretation: On applying the correlation test it is found that the sig value is .781 which is
greater than 0.05 thus null hypothesis may be accepted, and it can be inferred that there is
no significant relation among the remuneration and benefits and carrier growth of the
hotel employees.
Table-5 ANOVA test result depicting impact of Gender on work culture satisfaction of Hotel
Employees.
ANOVA
Work culture satisfaction of hotel employee
Sum of Mean
Squares df Square F Sig.
Between 1.466 1 21.112 1.372 .244
Groups
Within Groups 132.521 124 1.069

Total 133.987 125

Interpretation: On applying the ANOVA test it is found that the sig value is .244 which is more
than 0.05 thus it may be inferred that there is no significant impact of Gender on the work
culture satisfaction of hotel employees.
Analysing the factor which majorly affects the attrition rate of the hotel employees.

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Table-6
Work Culture Satisfaction Mean
Daily workload is manageable 3.53
Challenging Job 3.57
Present work is satisfied 3.64
Skills are utilized 3.76
Working hours is more 3.69
Sufficient resource to perform the task 3.73
Meals provided on duty is good 3.83
Cooperation of the co-worker 3.85

Interpretation- On analysing the factors which majorly affect the attrition rate of the hotel
employees it is found that co-operation amongst the co-workers plays very important role. Second
major factor which influenced the attrition rate was the quality of meals provided on duty has a
huge effect on the rate of attrition of the employees in the hotel organization where as it was also
found that the skills possessed by hotel employees are also not utilised while they are working in
the hotels. In many cases the improper resources available at work was also found as a factor
affecting the attrition rate of the hotel employee. Whereas the study also resulted the satisfaction
of employees though they found the current job is challenging still they are enjoying working.
Table-7
Remuneration and Benefits Mean
Fair Internal promotions 3.02
Proper Training provided for future growth 3.03
Salaries are according to Skills and experiences 3.42
Satisfactory rewards and recognition 3.18
Proper managerial support 3.25
Employee empowerment exists 2.92
Annual Increment policies are existing 3.11
Expected Salaries 3.11

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Interpretation- On analysing the factors which majorly affect the attrition rate of the hotel
employees it is found that salaries are not according to skills and experiences they are putting in
performing the tasks. The remunerations paid by the hotels are not as per the expectations as also
supported by Kwahar & Iyortsuun (2018) and Ali et al (2020) in their study and skill possessed
by majority of the hotel employees. Another important factor that affects the attrition rate is there
is no proper managerial support is being provide to the employees to perform the daily tasks and
the recognition and rewards which they should get in return are also not adequate. has a huge
effect on the rate of attrition of the employees in the hotel organization. When the employees
were asked about the annual increment and expected salaries, it was found slightly unsatisfactory
for the hotel employees.
Table-8
Carrier Growth Mean
Sourcing of appropriate applicants supports in controlling attrition. 3.64
Hotel trails an orderly selection procedure to decrease attrition of 3.55
Encourages internal Promotions. 3.57
Work is outsourced eg, Housekeeping and security 3.46
Employees are on contract so they don't grow with company 3.73
Clear and transparent carrier opportunity 3.53
Formal Induction program while joining 3.61
Training held by HR to help in carrier growth 3.65

Interpretation- On analysing the factors which majorly affect the attrition rate of the hotel
employees it is found that most of the employees are hired on contract, so they don't grow with
company as they are not the permanent employee. This was found as the major factor for attrition
rate. There are several other factors also which influences the same as training provided by the
organisation, hiring of suitable candidates for relevant job, formal induction programmes, internal
promotions, transparent policies are adopted and followed by the hotels will reduce the and may
have a huge effect on the rate of attrition of the employees in the hotel organization also stated in
the study of Kaliyamoorthy et al (2018) and Robles (2018).
Conclusion:

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The learning outcome of this research work carried out with a sample count of 126 participants
reviews reflects that it’s the need of an hour to be more attentive towards the issues to reduce the
attrition rate. As in the current scenario staff retention is the toughest task to be dealt by the team
of human resources. The lacunas highlighted in the research data and analysis strongly indicates
that such are the genuine reasons that makes an employee to be a frequent flier from the current
position in the hotel sector. Employees in any organization are the backbone of the establishment
same is there in the hotels also. Hence, to strengthen the backbone of the hotel it is essential for
the management to look for the physiological, social and esteemed needs of the employees. Due
weightage must be given to the employees towards their contribution and must be benefitted with
quality in the staff meals, remunerations and other financial benefits and above all the long-term
growth must be explained to the employees. Proper work life balance will lead the hoteliers to the
job retention and will reduce the employee’s attrition rate.

Scope of the Study: The current scope of study is restricted to hotel sector in Lucknow. There
can be various other cities of the India can be explored in the same context and specifically on the
salary structure and the remuneration given by the hotel industry.

Limitations of the Study:


 Many of the respondents had given information about their financial circumstantial
like yearly earnings, experience and strength of the establishment and the like from
their remembrance as they had no precise supportable justifications for them.
 The respondent’s belief are the base of findings and outcomes.
 Out of the entire inhabitants, only one hundred thirty-four respondents were ideal for
extracting primitive figures. In view of money restrictions and time, it was not
possible to communicate more than the certain number of respondents.
 The investigation was led only in Lucknow city of Uttar Pradesh state only. Hence,
the results arrived from the study may or may not be pertinent to the hotel sector in
other cities.

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