Every industry and sector is being impacted by the coronavirus in some way right now. With reports from the Bank of England that Britain is facing its biggest economic downturn in 300 years, and economists in America stating that the country is already in recession as a result of the effects of COVID-19, it’s clear that there is a far-reaching financial fallout taking place right now.
This fallout is, in turn, having an impact on recruitment. Whether you are a college graduate trying to work out your prospects or you’re trying to get a foothold in the career you wish to pursue, it’s worth having an understanding of how recruitment levels look at the moment.
Travel and tourism hardest hit
The tourism industry accounts for around 50 million jobs worldwide. For those searching for roles in the travel and tourism industry at the moment, they will find that recruitment is at a standstill across many airlines.
In recent weeks, airlines such as TUI and Lufthansa introduced a freeze on recruitment due to the drop in holiday bookings. In India, MakeMyTrip, a travel company that has been providing both domestic and international holidays for 20 years, announced pay cuts for staff as a result of the impact of the pandemic.
Additionally, the International Air Transport Association forecasts losses of over $100 billion for carriers. This indicates that roles with airlines, as well as travel companies that rely on airlines, are likely to be difficult to come by for a while.
The wider impact
The impact of COVID-19 on travel and tourism is significant. Many countries rely heavily on tourists coming from other parts of the world to see the sights and spend money, whether they are there for business or leisure.
Without visitors heading to these different parts of the globe, this can have a huge impact on the global economy. Currently, this industry accounts for 10% of global gross domestic product (GDP), making it of significant economic importance.
The US economy, for example, is projected to lose 4.6 million jobs due to the decline in travel to the country, increasing the unemployment rate, according to analysis by Oxford Economics.
There is a ripple effect taking place, as businesses that traditionally rely on travel and tourism as losing out. This has a knock-on effect as the bars and restaurants that people visit are closed and the events that visitors attend are no longer going ahead.
Economic event
This is all influencing currency values, as well as exchange rates. For recruiters looking to fill roles and for those running training programs in the affected sectors, such as travel and hospitality, there are ways to keep track of the shifting economy so that it’s clear where things are heading.
The picture changes by the hour, so it’s worth looking at apps and other tools that present the opportunity to track the changes and check the changing currency values. By keeping up with how the economy is adapting, it’s possible to see recruitment opportunities as it’s possible to forecast where roles might be available again.
Recruiters may not be able to easily fill roles in travel, tourism and hospitality right now, but that could change in the coming months. Meanwhile, those who may be considering a job move due to the impact of the virus can use this as an opportunity to seek a new role elsewhere.
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