Algarve hotels with a shortage of human capital

Hotels and tourist resorts in the Algarve need an additional 8,000 workers by the end of 2023. 

This information comes from AHETA, the Association of Hotels and Tourist Resorts of the Algarve, based on a study conducted with its members. According to the released numbers, AHETA members currently employ around 17,000 workers, needing to increase this number by about 30%.

Hélder Martins, the president of the association, expresses the sector's desire for the government to address the challenges, including the shortage of labor and high tax burdens for both companies and workers. 

Despite the labor shortage, there has been a "progressive improvement in working conditions, regarding stability and salary."

Efforts to attract labor have been ongoing, with salary increases being a notable aspect. The current average salary in the sector is estimated at €1,013—almost double what it was five years ago. Martins states that one of the goals is to continue raising wages and mentions the idea of creating a housing allowance, similar to a food allowance, without increasing the tax burden on the worker.

One option to address the shortage of human capital is to start recruiting abroad. The recent government decision to establish a free movement protocol for workers in the sector with Portuguese-speaking countries, Morocco, and India may help in this regard.

However, the scarcity and cost of housing in the area could be obstacles, making it challenging to recruit workers from abroad. AHETA acknowledges that "the cost of accommodation is the biggest obstacle for people to come and work in our region."



Sources: Sic NotíciasObservador 


November 3rd 2022

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