The global travel and tourism sector stands at a critical juncture. While positioned to create one in three new jobs worldwide over the next decade, the industry confronts a looming workforce crisis that could undermine its growth trajectory. A new report from the World Travel & Tourism Council (WTTC) presented at the 25th Global Summit in Rome warns of a potential shortfall exceeding 43 million workers by 2035 if current trends continue unchecked.
Record Employment Meets Future Uncertainty
The travel and tourism sector currently supports 357 million jobs globally, with projections indicating this number will reach 371 million by year’s end. Over the coming decade, the industry is expected to generate 91 million new positions, representing approximately one-third of all net new jobs created across all economic sectors worldwide.
Yet this impressive job creation masks a troubling reality. By 2035, demand for travel and tourism workers will exceed available supply by more than 43 million people, leaving the sector operating at 16 percent below required staffing levels. This gap emerges from the intersection of rapid industry expansion and demographic shifts affecting labor markets globally.
Hospitality Sector Bears the Brunt
The hospitality industry faces particularly acute challenges, with an anticipated shortage of 8.6 million workers representing an 18 percent deficit from needed staffing levels. Low-skilled positions, which remain essential to sector operations, account for the majority of unfilled roles, with demand for over 20 million additional workers in these categories alone.
Jobs requiring direct human interaction and services resistant to automation will remain in highest demand. This reflects the fundamental nature of travel and tourism, where personal service and authentic experiences continue to differentiate successful operators from their competitors.
Geographic Distribution of Labor Gaps
The workforce challenge spans all 20 major economies analyzed in the WTTC report, though the severity varies considerably by region. China, India, and the European Union face the largest absolute shortfalls in worker availability.
Relative to their domestic markets, certain countries confront even more dramatic imbalances. Japan’s travel and tourism sector will see workforce supply fall 29 percent short of 2035 demand levels, making it the most severely affected nation. Greece and Germany follow with significant relative shortfalls that threaten their tourism-dependent economies.
Root Causes of the Labor Crisis
Multiple factors converge to create this workforce deficit. Shrinking working-age populations relative to economic growth form the foundation of the problem. As birth rates decline across developed and many developing nations, fewer young people enter the labor market while demand for services continues expanding.
The COVID-19 pandemic accelerated workforce disruption. When travel came to an abrupt halt, millions of workers left the sector entirely, seeking employment in industries offering greater stability. Many have not returned despite the industry’s recovery, having established new careers or reconsidered their professional priorities.
Gloria Guevara, WTTC interim chief executive, notes that falling global unemployment rates compound the challenge. As labor markets tighten across sectors, travel and tourism must compete more aggressively for available workers, particularly when the industry grows faster than the overall economy.
Saudi Arabia’s Model for Workforce Development
Saudi Arabia offers an instructive case study in addressing tourism workforce needs through strategic investment. The kingdom has created over 649,000 training opportunities while building a tourism workforce approaching 50 percent female participation. This demonstrates how intentional policy and resource allocation can expand labor pools while advancing social objectives.
Tourism Minister Ahmed Al Khateeb emphasizes the sector’s unique position: “By 2035, one in three new jobs will come from travel and tourism; no other sector can claim that.” This statement underscores both the opportunity and the responsibility facing policymakers as they shape workforce strategies.
Strategic Responses to Bridge the Gap
The WTTC report outlines several approaches for addressing workforce shortfalls. First, the industry must attract young people by highlighting diverse career paths and dispelling outdated perceptions of tourism work as transient or low-value employment. Many positions offer advancement opportunities, international exposure, and competitive compensation that remain poorly understood by potential workers.
Education systems need closer alignment with industry requirements. Training programs should reflect actual employer needs while providing students with practical experience before graduation. This partnership between educators and businesses can reduce the transition period from classroom to workplace while ensuring graduates possess relevant skills.
Retention strategies prove equally important to recruitment. Organizations that invest in leadership development, create clear promotion pathways, and build inclusive workplace cultures experience lower turnover rates. Given the cost of recruiting and training new employees, retaining existing talent delivers immediate workforce benefits.
Technology and Policy Solutions
Digital literacy and AI adoption represent powerful tools for addressing labor shortages. By automating routine tasks and optimizing operations, technology allows existing workers to serve more customers while focusing on high-value interactions that require human judgment and empathy. Training programs must incorporate these technological competencies to prepare workers for evolving job requirements.
Policy flexibility can help manage workforce fluctuations inherent to tourism. Reducing barriers to international recruitment, converting multiple part-time positions into full-time roles with benefits, and supporting seasonal workforce mobility all contribute to more efficient labor allocation.
A Call for Coordinated Action
Sara Meaney, managing partner at Coraggio Group, frames the challenge as an opportunity: “This is our chance to redefine what it means to work in travel and tourism.” Success requires coordinated effort among governments, industry leaders, and educational institutions to design jobs that inspire, support careers that evolve, and create workplaces reflecting contemporary workforce values.
The travel and tourism sector’s ability to deliver prosperity and opportunity for communities worldwide depends on addressing this workforce challenge. With proactive planning and sustained investment, the industry can continue its role as a global job creation engine while meeting rising demand for travel experiences. The alternative—allowing the 43 million worker gap to materialize—risks constraining growth and limiting the sector’s economic contributions for decades to come.
