Hospitality: The catering industry hopes for a new start

Going out for a drink again, going to your favorite restaurant, going on a trip – for a few weeks it has been normal again, which many people have been missing for a long time. The hospitality industry hopes for a lot of guests in summer.

But anyone who goes out now feels that some things are different after two years of Corona: the usual service is no longer there, higher prices have been stuck on the menu – and many guests have less money left for going out once fuel and weekly shopping have been paid for.

“People are happy to be able to go out, travel and enjoy themselves again,” says the German Hotel and Restaurant Association. And at the same time: “The current challenges could hardly be greater.” But after more than two years of Corona, the restart must definitely succeed.

Good booking situation

In any case, there are reasons for optimism. “There is a lot of catching up to do,” remarked Dehoga President Guido Zöllick. In many regions, companies have good reason to hope that they will reach the sales level of 2019. According to the Federal Statistical Office, hospitality sales continued to rise in April. However, the pre-crisis level is still a long way off. However, the restaurateurs register hopefully: the guests are coming back, especially the holidaymakers, and of them especially the domestic ones.

To less people

However, it is particularly bitter that the good demand often cannot be met because there are no employees, according to Dehoga. In 60 percent of the companies there is a lack of staff. And the competition is fierce: many sectors are desperately looking for people, and the Federal Employment Agency sees the demand for workers at record levels.

The hospitality industry is particularly affected. From the counter to room service – thousands have been looking for something new during the pandemic. “Devastating drops in sales, months of short-time work and uncertainties – despite the best efforts, it was not possible to keep the employees everywhere,” complains the industry association. The number of employees is still six percent below the pre-crisis level, the number of trainees is 20 percent.

“Several companies have already taken forced rest days because they lack staff,” said the chairman of the food and beverages trade union, Guido Zeitler, on Tuesday. The industry is experiencing a “stutter start” after the pandemic.

According to Zeitler, there are strong wage increases in almost all collective bargaining areas. The starting wage is almost everywhere at more than 12 euros per hour. “It is important that the guests now also show understanding and are willing to spend a little more for a decent meal and good hospitality.”

Rising prices

Because of the consequences of the war alone, 73 percent of the companies in the hospitality industry have already increased their prices, according to a survey by the Institute for Labor Market and Occupational Research in May. But customers also sense that everything is becoming expensive. Mainly energy and food. In May, the cost of living for people in Germany was 7.9 percent more expensive than a year earlier. It’s the highest inflation in decades and wages aren’t keeping up.

The fact that the corona rules have largely been lifted could give the hospitality industry more momentum, the Leibniz Institute for Economic Research Halle (IWH) said on Tuesday. At the same time, however, high inflation is dampening private consumption. Like the Federation of German Industries, the institute lowered its economic forecast.

For hoteliers and restaurateurs, the exciting question remains as to whether politics is also favorable to them in addition to customers. The association called for good pandemic precautions for the fall, precautions for a secure and affordable energy supply, more skilled workers from abroad and a permanently reduced VAT rate.