Aviation & Hospitality witnesses 22% attrition

Aviation & Hospitality sector, known for luring youngsters with its attractive pay packages, has been attracting a lot of negative attention lately; attrition rates are now amongst the highest in this sector.

 

Myhiringclub.com reported that in the fourth quarter of 2011-12, aviation & hospitality sector saw an average attrition rate of 22 per cent, which is up 8 per cent from the corresponding quarter of 2010-11. Fascinated by the career prospects offered by this sector, a number of students join the aviation and hospitality sector at various levels every year. Suffering from an environment of job insecurity and delayed salaries, employee retention in the sector has become a challenge.

 

Whereas, IT and ITeS sector experienced a fall in attrition rate this year, from 24 to 18 per cent with reference to Q4 comparisons between 2011-12 and 2010-11. Auto sector attrition rates also saw a marginal improvement, having fallen to 10 per cent in January-March quarter of 2011-12 from 11 per cent of the same period last year.

 

Moreover, in hospitality and aviation sector, the attrition rate has peaked at entry and mid-management level, reported The Financial Express. (Read more)

Possible causes of high attrition rates in aviation & hospitality sector:

• Profitability issues concerning the sector
• Employer's credibility
• Discontentment due to delay/ non-payment of salaries
• Job insecurity
• Employee welfare disconnect

 

Some industry experts observe that aviation & hospitality sector lacks skilled personnel required at different levels making it difficult to retain good professionals. Hit by the prevailing economic uncertainty faced by the sector, companies have either put new hiring on hold, if not put a freeze on recruitments, or are hiring cautiously.

 

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