Brits warned of 'global shortfall' that could make holidays more expensive

The world is facing a 43 million worker shortfall by 2035 that could spell chaos for holidaymakers if not addressed.

Many of the world's biggest holiday economies, including Japan, Greeceand China, will require millions more workers to keep their tourism industries afloat.

Ageing populations and a desire not to work in low-skilled jobs will see labour supply slump to 16% below demand levels in ten years' time, according to the Future of Work in Travel and Tourism report from the World Travel and Tourism Council.

There will be a forecast shortfall of 20.1 million people required for low-skilled roles, with deficits projected across all 20 economies. China (16.9 million), India (11.0 million) and the EU (6.4 million) will be hardest hit. In relative terms, the economies projected to face the largest shortfalls are Japan, with labour supply at 29% below demand, Greece (27% below), and Germany (26% below).

Since the Covidpandemic, a number of countries have struggled to fill vacancies, with many tourism workers leaving the industry when hotels and resorts shut down to stop the virus's spread. The shortfall has already led to price rises.

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All-inclusive family package holidays from the UK jumped in price for some of the most popular destinations, including Spain, Cyprus and Turkey over the past year. The average price for a week in Cyprus in August went up by 23%, from £950 per person to £1,166, the TravelSupermarket show reported in July.

While there are multiple factors at play including the rising cost of plane fuel, a shortage of workers in key countries is contributing. La Tribuna de Ciudad Real reported that almost half of the vacancies in Spanish bars and hotels remained unfilled in 2024. Unfilled vancancies reached 80,000 in Greece in May, theGuardian reported.

Gina Fleming, senior director of Learning and Development at Royal Caribbean Cruise Line, said: “Recruiting chefs is so competitive as many cruise companies have elevated the food experience to meet guests’ higher expectations. There is a high demand for culinary skills and roles like Junior Sous-Chef. We are partnering with chef schools to build a pipeline.”

Tourism has been booming worldwide in the post-Covid years. In 2024, the sector supported a record 357 million jobs worldwide and is forecast to support 371 million this year. Over the next decade, travel and tourism is projected to generate 91 million new roles, accounting for one in every three net new jobs created globally.

However, by 2035, global demand for workers in travel and tourism will outpace supply by more than 43 million people, leaving labour availability 16% below required levels.

Gloria Guevara, WTTC Interim CEO, said: “Travel & Tourism is set to remain one of the world’s biggest job creators, offering opportunities for millions of people worldwide. But we must also recognise that wider demographic and structural changes are reshaping labour markets everywhere. Many workers left the sector during Covid when travel and tourism came to a standstill. Now, as global unemployment is expected to fall and working-age populations to shrink, this is creating increased pressure on labour supply, especially for fast-growing sectors like Travel & Tourism.

“This report is a call to action. By working together with governments and educators, our sector will meet these challenges and continue to be one of the most rewarding sectors, offering dynamic futures for the next generations. WTTC will work with government officials around the world to ensure policies are implemented to reduce this gap and unlock the potential in their countries.”

Ahmed Al Khateeb, Minister of Tourism for Saudi Arabia, added: “By 2035, one in three new jobs will come from Travel & Tourism — no other sector can claim that. Saudi Arabia shows what vision and investment can achieve, with over 649,000 training opportunities, and a workforce that is nearly 50% women.”