Taking an innovative approach to tackling the skills shortage

TALKING TALENT

A BuzzBites report powered by NESTLÉ PROFESSIONAL®

With People 1st estimating that 1.3 million hospitality workers will need to be recruited by 20248,

this report brings together insight and best practice from across the industry on how we can all better attract, retain and develop talent.

Distorted perceptions But, by no means is recruiting and retaining employees a new challenge. For some time, the industry has dealt with traditional – and sometimes outdated and negative – perceptions of what it is like to work in hospitality. These feelings are deeply rooted in society. In fact, 42% of parents say they would actively discourage their children from working in the industry, citing “poor pay” and “long hours” as the most common reasons for this4.

Foreword

1 British Hospitality Association, UK Hospitality Industry Productivity Report, June 20172 Ibid3 British Hospitality Association, Labour Migration in the Hospitality Sector, March 20174 Best Western, Best Western Careers Index, August 20175 BuzzBites: Talking Talent (survey of 1,600 participants), 3GEM in collaboration with Nestlé Professional®, August 20176 Ibid7 People 1st, The Performance and Talent Management Revolution: Driving Productivity in Hospitality & Tourism, July 20178 People 1st, Migrant Workers in the Hospitality and Tourism Sector and the Potential Impact of Labour Restrictions, April 2017

Industry resilience However, all is far from lost. The hospitality industry is a resilient one and our data shows that 57% of those who have left the industry would consider returning and 60% of millennials would consider a career in the field6. This presents a real opportunity for businesses to tackle the skills crisis with both hands and make a difference.

Moving forward Attracting and retaining people – of all ages – comes down to promoting positive perceptions of the industry and helping to develop and nurture individuals who work in it. The industry is experiencing a crippling labour turnover rate of 75%7 and more needs to be done to show that jobs in hospitality offer progression and a meaningful career path worth sticking at.

The scale of recruitment needed within the hospitality industry is staggering. Growth in the sector is surging1 – outstripping all others since the economic crisis2 – and Brexit is only expected to widen the skills gap, with a shortfall of 60,000 workers a year3 to plug.

of parents say they would actively

discourage their children from working in the industry, citing “poor pay” and “long hours”

as the most common reasons...

42%

Equally, the prevailing view among workers that hospitality is just a temporary career creates a big retention headache for business owners. This is backed up by our research which reveals that of those who no longer work in the industry, 60% had considered their role a temporary one and, what’s more, 62% left their job within three years.5

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Opportunity for growth

“The industry needs to be better at communicating the scope for personal growth and development, and - unlike nearly all other ‘lower-paid’ entry roles - the opportunity of earning additional money through tips, gratuities and service charges. At the heart of our approach is to see hospitality and tourism presented in a fresh and contemporary way.” Ufi Ibrahim, Chief Executive, British Hospitality Association

Consider a wider pool

“In terms of recruitment, a growing number of employers are targeting a wider pool of talent reflecting that there are currently five generations of people in work. Not only are there other sectors (with the same interpersonal skills) to attract staff from, there are also older workers and women returners. As businesses increasingly focus on recruiting to retain, it’s important to review the packages and contracts on offer to appeal to different target audiences, as well as placing more emphasis on maximising the brand and the values it represents - particularly important to the millennial generation.”Les Asplen, Managing Director, Best Western Great Britain

Convince the influencers

“It is absolutely vital to convince the influencers (i.e. parents and those offering job advice) that hospitality offers fantastic career opportunities. Quick progression

is possible on personal merit and abilities, and there are a wide variety of roles with great career paths. The sky’s the limit!” Julia Sibley MBE, Chief Executive, Savoy Educational Trust

Back to basics

“The best way to attract good talent is to make sure they are up to scratch from a very young age. Our school pop-up initiative has been a huge success. Often, young people and children that are interested in food don’t get the opportunity to discover a love of cooking as part of a curriculum or home life. While colleges are an important part of the process, by that point you are already talking to the converted. By teaming up with local schools we’re helping to inspire the next generation of chefs.” Danny Gill, Head Chef, Browns Pie Shop

Changing parental views

“Our research shows parents still don’t see hospitality as a first choice career. I know myself, from working my way up in hotels to the position I am now, that hospitality offers great, diverse and rewarding careers. Opportunities to climb the career ladder are based on hard work and aptitude, not grades. More school leavers should be considering us as a first choice career, not just a summer job.” Les Asplen, Best Western Great Britain’s Managing Director

Myth busting

“There are a lot of myths around careers in hospitality that we need to bust if we’re going to recruit new talent into the industry. In particular, the public sector needs to be shouting about the great hours, conditions, pay and holiday open to caterers.” Matt White, Chair, The University Caterers Organisation (TUCO)

Attract 1-10With 73% of managers concerned that the hospitality industry is no longer an attractive career option for millennials9, it is clear that perceptions of the industry need to change.

Our research shows that 45% of millennials consider a career in hospitality a “stop gap” or “a job for students” and 31% think people don’t actively choose it as a career path10. As an industry, we have a collective responsibility to drill down into the root of the problem. This means showcasing the benefits, as well as adapting the industry’s culture to suit the demands of an entire workforce – from Generation Z to Baby Boomers.

Better pay (65%), flexible working (47%) and opportunities for career progression (38%) would make millennials more likely to consider a career in hospitality11. With this in mind, we asked the industry for their views on how the sector is keeping pace, as well as advice on how hospitality businesses can better attract individuals.

30 insights to mark the 30th anniversary year of Toque d’Or

9 BuzzBites: Talking Talent (survey of 1,600 participants), 3GEM in collaboration with Nestlé Professional®, August 2017

10 Ibid11 Ibid12 Deloitte, Global Human Capital Trends 2016: The new organisation: Different by design, 201613 Pew Research Centre, July 2015

Changing perceptions

“Businesses within the industry need to do more in terms of promoting a culture and environment which shares the same values as its staff. After all, employees are willing to work harder for a business they believe in. Designing innovative employment packages, including an attractive work/lifestyle balance, will encourage people to join our industry.” Jill Whittaker, Managing Director, HIT Training

The technology disconnect

“There is a huge disparity between the way companies try to attract talent and the way candidates look for jobs. Only 13% of companies use mobile as a tool to attract staff12, whereas 94% of job seekers use mobile to browse jobs13. This disconnect offers an opportunity for the hospitality sector to innovate with mobile as a core part of a recruitment strategy and take a competitive advantage for attracting talent over other industries.” Oliver Crofton, Managing Director, Flexy

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A balancing act

“We’ve started to accept that it’s not fair to ask people to give up every weekend or do five double shifts in a week. The importance of having a work/life balance is now playing a role in helping attract people to the industry. In my kitchen, I have a really strict 45-hour week policy and I ensure we have fair rotations in place so every weekend isn’t for work. It’s an approach that is really paying off.” Barry Tonks, Executive Chef, Searcys At The Gherkin

A diverse industry

“Generation Y are waking up to the sorts of avenues available to them in this industry and the breadth and diversity of the roles that are out there. We’ve moved on a long way in hospitality and there are huge opportunities available via our colleges and universities. We can take students to a completely different level and they have the capability to go right to the top.” Andy Kemp, Group Sales & Marketing Director, Bidfood

The 5-year plan

“Encourage staff to have goals. Throughout my career I have always set myself targets and challenge my team to think 5 years ahead. If someone wants to leave, I take the opportunity to sit down with them over a cup of coffee and look at their plan in the hope we’ll find a way to achieve it together. ” Barry Tonks, Executive Chef, Searcys At The Gherkin

The power of community

“In addition to traditional employee retention strategies, technology now offers a valuable tool for real-time employee feedback so that potential issues can be identified swiftly and dealt with before they escalate. Consider implementing a company chat forum or closed Facebook group to stimulate workforce communication and help build a sense of company community.” Oliver Crofton, Managing Director, Flexy

Develop the individual

“Employers need to take great care of their staff, then they will stay. HR is a pivotal department and really needs to be proactive. It needs to be at the centre of the business and concentrate on developing each individual.” Julia Sibley MBE, Chief Executive, Savoy Educational Trust

Flexible conditions

“Improvements are needed in many organisations in terms of flexible working patterns, adequate incentive systems etc. It’s also essential that there are development schemes at all levels – it’s the best way forward.” Emil Minev, Culinary Arts Director, Le Cordon Bleu London

Feeling valued

“To create a good team, regardless of grade, every member should feel just as important to the operation as the rest, and the team should be aware of each other’s contribution and its importance to them. To retain staff, I have found that it is imperative that all members must know they are valued, be fully aware of their boundaries (which should be consistent) and are allowed to flourish to achieve their maximum potential.” Alberto Crisci MBE, Clink Concept Founder and Director of Clink Events

People leave people, not companies

“An inspirational leadership and management team is what makes the difference in employee retention. I have always believed people leave people not companies. If organisations want to retain their talent, investment in people and training should be the number one priority.” Bob Cotton, former Chief Executive, British Hospitality Association

Involve the whole business

“Getting the whole team involved in the business (through menu writing for example) keeps them invested. This is the best way to retain staff as they are

Retain 11-20 High staff turnover is one of the biggest challenges facing the hospitality industry today – People 1st states that the sector has a major employee retention problem, which costs £274m annually14.

On the one hand, people who have left the industry cite being sociable, interesting and fun as the three things they enjoyed most about their job, on the other they say low pay (64%), long hours (55%) and stressful working environments (40%) are the top attributes experienced overall.15 It’s perhaps not surprising then that 18% of people currently working in hospitality are thinking about leaving the industry in the next year16. With 60% of managers struggling to retain staff17, the industry needs to address the reasons why people are leaving a career they otherwise enjoyed. Here, influencers from across the sector offer their opinion and share best practice for boosting employee morale and encouraging people to stay in the industry.

Raise awareness

“This industry celebrates flair, creativity and teamwork, which is all backed up by hard work. The talent in this sector is incredibly capable of making decisions and doing a much better job than we could ever imagine. We need to give people the chance to be creative while emphasising the importance of innovation to maintain pace with evolutions in the industry.” Andy Kemp, Group Sales & Marketing Director, Bidfood

Listen to your staff

“Changing expectations of employees is one of the most significant disruptors to businesses today. As younger staff are motivated by different factors, they also need to be engaged and managed differently when compared to previous generations” Simon Tarr, Chief Executive, People 1st

accountable and feel part of it. The best part for me is when they take pride in their work and are keen to train up new members of staff in a similar way.” Barry Tonks, Executive Chef, Searcys At The Gherkin

Celebrating talent

“There’s an incredible skill set amongst caterers. At TUCO, we believe strongly in the power of getting this message out there and celebrating talent as a means to not only retain existing staff, but recruit new blood into the sector. It’s about positioning catering as an aspirational career path and our TUCO Skills Competitions are designed to do just that.” Matt White, Chair, The University Caterers Organisation (TUCO)

14 People 1st, The Skills and Productivity Problem, 201515 BuzzBites: Talking Talent (survey of 1,600 participants), 3GEM in collaboration with Nestlé

Professional®, August 201716 Ibid17 Ibid

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30 insights to mark the 30th anniversary year of Toque d’Or

Invest in the right attitude

“As the initial employment period is the most important for retention, strengthening the experience for new members of staff is critical. An emphasis on career progression linked more closely to performance and succession planning is also crucial.” Simon Tarr, Chief Executive, People 1st

Ditch the classroom

“Hospitality is a people business and ensuring the right people have the right skills is vital for success. Training and development needn’t be on the job or in a classroom format; consider using video tutorials, gamification and snapshot digital training cards as a tool to constantly reinforce skills and provide personal development.” Oliver Crofton, Managing Director, Flexy

Time to learn

“With the relevant skills training, staff are empowered to work successfully within multiple departments, and gain the experience and confidence they need to mature into management roles. Employees can easily become frustrated if they don’t see a future within a business and feeling connected to an organisation’s goals helps keep them motivated and loyal.” Les Asplen, Managing Director, Best Western Great Britain

Keep the kitchen moving

“To ensure staff remain excited and motivated within the business, I keep my team on their toes. I move around the different departments in the kitchen regularly so people don’t stagnate. In my restaurant, after a year, a chef will have done four seasons on two sections. This approach helps improve their skill set and keeps them looking forward to the next challenge. For my side, it also makes commercial sense since having an array of staff trained in the same discipline means several team members should be able to jump on a section if and when help is needed.” Barry Tonks, Executive Chef, Searcys At The Gherkin

The growing need for training

“By training employees at all levels, businesses can ensure they’re up and cross-skilling their teams – helping people to move into new roles and keep training current. Apprenticeships are a great way to appeal to those looking to grow their career, as they set out a clear development path and provide employees with an end goal to work towards. In fact, 51% of companies state the average time for an apprentice to reach management in their firm was five years or less.”21 Jill Whittaker, Managing Director, HIT Training

Invest in your staff

“Great employers invest a lot of time and energy in developing great talent – they assess well, have good HR practices in place and raise awareness of the training and opportunities for growth.” Andy Kemp, Group Sales & Marketing Director, Bidfood

Promoting success

“Avoid promoting managers without the necessary development and support. First-time managers need the right support to develop their skills as a manager, either before or as they enter the role, rather than waiting until the next cycle of training takes place. This makes a significant difference in their effectiveness to manage, motivate and retain staff.” Simon Tarr, Chief Executive, People 1st

The role of technology

“Productivity will be the key to success going forward. Technology will play a large role and should be embraced and used as efficiently and effectively as possible to help the business move forward.” Julia Sibley MBE, Chief Executive, Savoy Educational Trust

18 BuzzBites: Talking Talent (survey of 1,600 participants), 3GEM in collaboration with Nestlé Professional®, August 2017 19 Ibid 20 Ibid 21 City & Guilds Top 100 Apprenticeship Employers list, 2013

Upskill 21-30It doesn’t matter which industry you work in, feeling valued as an employee is important. Being offered formal training is one way this can be achieved and our research shows that more than two thirds (69%) of people currently working in the hospitality industry think that upskilling demonstrates a commitment to employees18.

Further to this, 70% feel the hospitality industry offers career progression, and over half (56%) have stayed with the same company for five years plus, while more than a quarter (28%) have committed to a company for 10 years or more19. Despite this, one in ten managers we spoke to spend less than 5% of their budget on training and over a third (37%) dedicate less than 10% of their time to staff development.20

It can be argued that with the right support in place throughout an individual’s career (not just as a new starter) you can help nurture loyalty and career longevity. Spokespeople within the industry share their own personal experiences on how upskilling can help instil commitment within the workforce and why it is important to showcase opportunities that are available.

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Secondments

“Secondments are an excellent way for businesses to upskill their team and I’d encourage other establishments to consider offering them. Not only will they benefit as a business but it will be a great experience for their staff and one which should help keep them motivated.” Barry Tonks, Executive Chef, Searcys At The Gherkin

Working to the top

“Hospitality is one of the few industries where entrants of all skill levels can start in an entry level position and work their way to the top. It is our ambition to have government and the education system recognise this, and reform not only vocational education but also the Apprenticeship Levy to facilitate the development of Degree Apprenticeships and build Hospitality Centres of Excellence to rival those in continental Europe.” Ufi Ibrahim, Chief Executive, British Hospitality Association

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30 insights to mark the 30th anniversary year of Toque d’Or

Social Good and Toque d’Or

22 BuzzBites: Talking Talent (survey of 1,600 participants), 3GEM in collaboration with Nestlé Professional®, August 2017

Social investment The beating heart of the hospitality industry is powered by the desire to please and create memorable experiences, so it’s not surprising that many people see it as a prideful career. In fact, more than two thirds (70%) of hospitality workers say they are proud to work in the industry, while 53% of people outside the sector think it would be rewarding22.

Social impact gives us a sense of purpose in our lives and helps to motivate us in our work. Ultimately, successful businesses are likely to be ssocially-minded enterprises, those that are empowering employees to ‘do good’ for society in one way or another. Whether that’s the simple act of helping diners have a relaxed evening with friends or working for a business that donates a percentage of its profits to charity. Study after study has shown that consumers and employees prefer to purchase from, and work for, companies that are invested in social and environmental responsibility.

Vision and purpose Our company’s journey began with Henri Nestlé’s invention of farine lactée infant cereal and ever since, we have lived up to our purpose of enhancing quality of life and contributing to a healthier future. Our Nestlé® Healthy Kids Global Programme, dedicated to empowering teachers and children with nutrition education and promoting healthy lifestyles in the school environment, is just one example.

And through our own Toque d’Or competition, we help to bring the industry together to support apprentices and catering students in their career progression and to celebrate their fantastic skills and displays of innovation.

Toque d’Or has evolved over the last 30 years to leave a legacy that we can be proud of. If you are not involved already, we invite you to find out more about Toque d’Or today and join the growing

of hospitality workers say they are proud to work in the industry...

70%

When it comes to job satisfaction, it isn’t always a big pay cheque that makes you happy. Feeling proud of what you do is an equally good starting point.

Tonks Talks Toque

To help solve the skills gap for years to come, it is our vision to work with and support the industry in celebrating food service talent. Nestlé Professional’s® Toque d’Or allows us to bring this ambition to life. Throughout the years, Toque d’Or has used real life challenges to showcase the breadth of career opportunities the hospitality industry has to offer and inspire the next generation of talent. Being part of this competition can change a career, with the industry recognising that Toque d’Or competitors have demonstrated true passion and commitment. From taking over lunch service at a popular high street restaurant, to working as a team to develop an impressive three course meal for the grand finals, Toque d’Or presents a series of unique experiences that bridge the gap between the classroom and the exciting reality of the hospitality industry

It is this passion and commitment towards hospitality excellence that makes Nestlé Professional Toque d’Or so unique. Ultimately, we’re looking to support the industry by nurturing the right people with the right skills to run future businesses creating a sustainable future of jobs in our industry, while championing the best for employee engagement to retain the talent for the future.

Barry Tonks, Michelin star chef and Executive Chef at Searcys At The Gherkin, speaks about why competitions are so important to career development.

“I was brought up in a fishing village in the North East of Scotland. While a lot of my friends joined the trawler boats when they left school, I had always wanted to be a chef so enrolled in what was then Aberdeen Technical College.

Barry Tonks: From Trawlerman to Michelin Starred Chef

“I was first exposed to chef competitions at college and had a mentor who encouraged me to take part. Competitions are a great way to get involved and be noticed in the industry. They help prepare young chefs for the high pressure environment of a kitchen. I, like many chefs, thrive under pressure but this energy needs to be controlled and competitions are an excellent way to learn how to discipline yourself. “For me, Toque d’Or is the best student competition out there. If I hadn’t done it, I simply wouldn’t be where I am today. As you get older the entire industry becomes a competition. Whether you are chasing a Michelin star or a Rosette, it’s the same concept but on a bigger scale, so it’s good practise and a brilliant opportunity for both the students/ apprentices taking part and the companies behind them. “There is no doubt that competitions like this are vital to the future of our industry. We are facing a chronic skills shortage right now. We all need to show the next generation just how much there is to aspire for, as well as coming together to prepare them for life as a professional chef or manager.”

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