Rapid growth in travel and tourism sector: India’s job market will boom as tourist demand for travel increases, creating opportunities across the country
From iconic landmarks like the Eiffel Tower and Taj Mahal to hidden gems off the beaten path, every destination has a story to tell and an experience to offer. The travel and tourism industry has undergone significant transformation in recent years due to advances in technology, changing consumer preferences, and evolving global trends. The rise of digital platforms has revolutionized the way travelers plan, book, and experience travel, offering greater convenience, flexibility, and personalization.
The wave of transformation is also impacting the Indian economy as the travel and tourism sector in India contributes significantly to the country’s economy. According to the Ministry of Tourism, foreign exchange earnings in December 2023 were Rs. 19,527 crore in December 2022 compared to Rs 24,707 crore in December 2022. Sales in December 2019 were $2,287.3 billion, registering growth of 26.53% and 8.02% compared to 2022 and 2019, respectively.
Sachin Arg, CEO, NLB Services, said India’s travel and tourism ecosystem has registered impressive growth post-pandemic, driven by India becoming one of the world’s leading travel destinations.
He said India serves as an important source of foreign exchange, travel and tourism, with an estimated contribution of 15.9 trillion rupees (US$191.25 billion) to the Indian economy in 2022. said. 16.5 trillion in 2023.
Travel drives job creation across industries
Rising demand for travel has led to a surge in job creation in various sectors, particularly in the travel and tourism industry. Businesses such as airlines, hotels, tour operators, travel agencies, and restaurants must expand their workforces to meet increased demand.
The resurgence in travel-related activities is also stimulating job creation in ancillary industries such as transportation, hospitality, retail, and entertainment. The reopening of tourism has had a positive impact on local economies, especially in popular tourist destinations, with increased demand for small businesses, artisans, and cultural attractions.
Overall, the surge in travel demand has boosted the industry and contributed to economic recovery and growth.
Collaborative growth within the industry has resulted in consistent job creation in different regions of the country, including both tier 1 and tier 2 cities. According to Sachin, during the difficult period due to the pandemic in 2020, the tourism sector contributed to employment of 39 million people, representing 8% of the country’s workforce.
Following the post-pandemic recovery phase, the sector has shown remarkable resilience and emerged as one of the fastest-recovering sectors. The rapid increase in demand for human resources in the tourism sector is particularly notable, with a 44% increase recorded in August 2023 alone.
Projections show that 1.6 million new jobs could be added within the 2023 calendar year. Buoyed by this continued growth trajectory, the travel and tourism sector is expected to create 58.2 million jobs across the country by 2033, Sachin said.
Job openings in top tourist destinations
Top tourist destinations have a significant impact on the number of jobs and hires in the travel and tourism sector. Destinations characterized by cultural richness, historical significance, natural beauty, and vibrant urban life attract millions of tourists each year, thereby driving demand for tourism-related services. The number of job opportunities to fill is rapidly increasing.
Remarkably, the sector has shown resilience and positioned itself as a key driver of job growth in the coming years, Sachin said.
He said the country’s top tourist destinations such as Uttar Pradesh, Tamil Nadu, Andhra Pradesh, Karnataka and Maharashtra continue to attract tourists. Major cities like Delhi-NCR, Mumbai, Bengaluru and Pune are witnessing large-scale recruitment drives, along with emerging tier-2 cities like Jaipur, Ahmedabad and Chandigarh. The growth trajectory has also spread to emerging regions such as Gujarat, Lakshadweep and West Bengal. Over the next nine years, new jobs are also expected to be created in emerging cities and regions such as Gujarat, Lakshadweep and West Bengal.
Top career profiles in the travel and tourism industry
Key occupations that have experienced a year-on-year surge and will continue to see increased demand include sales (18% jump), business development (17% jump), chef (15% jump), travel consultant (15% jump), These include tour operators (up 15%). ), travel agents (15% jump), hoteliers (15% jump), guides (20% jump), wildlife experts (12% jump), transportation operators (15% jump), and other CEOs of NLB services shared.
Looking at experience level, as of March 2024, 50% of online travel and tourism job postings were for entry-level or entry-level positions (0-3 years of experience). Mid-level roles (4-6 years of experience) and top management roles (15+ years of experience) accounted for 30% and 20% share of total demand, respectively.
Expanding travel sector horizons
Setting out on a voyage of evolution, the travel sector aims to expand its reach far beyond traditional business and leisure pursuits. This sector is on the rise. The transformation of this sector is evident with the emergence of new subsets such as destination wedding travel, religious tourism, and adventure. It includes not only business and leisure, but also sports tourism, ecotourism, cultural tourism, rural tourism, etc. Globally, sustainable tourism, valued at $180 billion, is gaining attention, reflecting the growing emphasis on environmentally friendly travel habits.
Companies are adapting to the talent shortage by adopting gig economy models, with gig roles increasing by 14% since January 2023. Jobs such as translators, photographers, and tour guides are in high demand and are expected to grow further in the coming years.
India’s travel and tourism sector offers a promising environment for job seekers, with plenty of opportunities for growth and innovation. The industry continues to evolve and is poised to play a vital role in driving economic prosperity and fostering sustainable development. Despite facing challenges such as natural disasters, pandemics, and geopolitical tensions, the resilience of the travel and tourism industry continues to grow steadily. Through innovation, collaboration, and a shared commitment to responsible travel, we continue to inspire the desire to travel and create unforgettable memories for generations to come.
