'Stop allowing second jobs on furlough to help ease staffing crisis'
There's calls to stop people having a second job while being paid furlough to help ease the current staffing crisis in the hospitality sector - also for Australian-style 'Covid Recovery Visas'.
Around eight in 10 firms are reporting trouble hiring new workers - while a Chambers of Commerce survey of other industries found those needing drivers and skilled staff are also having trouble hiring.
Industry body UK Hospitality is also calling for temporary immigration changes to allow non-UK workers to help plug some of the current gaps - while calling for extra support for training and development of home-grown employees.
The group says it would also support an Australian style 'Covid Recovery Visa' to support sectors 'disproportionately hit by Covid'.
Kate Nicholls, chief exec of UK Hospitality, said: "I think there are some steps that the Government could take in the immediate term to alleviate this really acute labour shortage we've got as furlough unwinds and as the economy stands up.
"There are also longer term issues that need to be looked at in the round. First of all we would ask the Chancellor to end the process by which people can have a second job while they're on furlough - which is stopping people moving across and making those decisions.
"Also we need to recognise the fact that travel restrictions are preventing many of our non-UK workers from returning to work.
"We've got one in five workers in hospitality not returning from furlough. A large proportion of those are unable to do so because they are stuck abroad.
"We've got a higher proportion of non-UK workers in hospitality. We need to amend those travel restrictions, allow people to come back with shorter periods of self isolation - particularly if they're vaccinated.
"Then I think we need to look at the immigration regime. At the moment we've had a net outflow of 1.3 million people from the UK to other parts of the world and we haven't had those people coming in to fill those gaps.
"We would ask the Government to extend the current seasonal workers scheme which only applies to agriculture workers to the rest of the food supply chain and hospitality - mirroring what's been done in Australia where they've introduced a Covid Recovery Visa to allow temporary inflow of workers to sectors of the economy that have been disproportionately hit by Covid and are vital to the economic recovery.
"Tourism and hospitality are key to that. We would urge the Government to do that for this season to make sure we can have staff coming in to fill that shortfall while we look at the longer term solutions to training and upskilling and recruiting UK workers."
Following news that the economy will fully reopen on July 19th, Ms Nicholls added: "For the vast majority of hospitality businesses, 19th July – if confirmed next week – will be the first time in 16 months that they have been able to realistically look to break even and move towards profitability.
"This progress is testament to the constructive and positive work that we have undertaken with Government, to pave the way for this timely handing over of responsibility, shifting from enforced legal requirements to an onus on personal and business responsibilities, to ensure that we continue to safeguard our staff and customers in the tried and tested ways we know work best.
"Hospitality businesses will continue to provide safe and enjoyable experiences as we move into the Summer and beyond and, in doing so, will also safeguard jobs, livelihoods and the venues we cherish so much. In order to do so, venues will need autonomy to act according to their own risk assessments, without local authority gold-plating, and a workable test and trace system that doesn’t demand blanket self-isolation like the test to remain-style system, to ensure that we can both protect our staff but trade with sufficient teams.
"It comes as welcome news that hospitality venues will soon be able to cast off the restrictions that have heavily constrained them commercially. However, the sector has been at the forefront of developing and implementing health and safety measures and initiatives throughout the pandemic and will continue to do so, in order to trade back to prosperity and help drive the national recovery.
"It will still be a long road back for businesses that have been forced to take on debt just to survive, especially with the reintroduction of business rates payments. Nevertheless, this is a critical move that will unleash a sector that is eager to play its part in the wider national recovery, to repay the support afforded it by the Government."
For more about UK Hospitality and its work click here
Are other sectors also struggling with staffing issues?
A survey by the British Chambers of Commerce South West reveal two thirds of employers needing 'highly skilled manual and technical roles' are struggling to fill positions - and one in three are struggling with 'semi or unskilled' roles.
A report by Greatest Hits Radio on the knock-on impacts of the staffing shortage in sectors such as food manufacturing and refuse collection can be found by clicking here
Could staffing vacancies scupper 'Freedom Day' as venues struggle to open?
Greatest Hits Radio has obtained evidence of employers being effectively 'gazumped' with rival firms making higher last minute offers - even after new workers have signed contracts.
UK Hospitality estimates the sector has a nine per cent vacancy rate, or a shortage of 188,000 workers. Around eight in 10 hospitality operators are reporting vacancies - with front of house and cooking staff roles hardest to fill.
To see our special video report focussing on the challenges in the hospitality industry click here.