12 Hiring Mistakes Every Hospitality Company Makes

In this article, we'll explore 13 common hiring mistakes that hospitality companies often make and practical solutions to help you avoid them. 

By addressing these pitfalls, you can optimise your hiring process, create a more effective workforce, and ultimately enhance your company's reputation and bottom line.

1. Neglecting Cultural Fit

Ignoring cultural fit can negatively impact team dynamics and workplace satisfaction. 

In a survey by Robert Half, 60% of employees reported they would leave a job if they didn't fit in with the company culture. 

To reduce turnover and foster a positive work environment, evaluate candidates' values, communication styles, and adaptability during interviews to ensure they align with your company's culture.

2. Not Using an Applicant Tracking System (ATS)

An ATS can significantly improve the efficiency of your hiring process by automating tasks, managing candidate information, and providing valuable analytics.

A study by Capterra found that 94% of recruiters and hiring professionals reported that using an ATS improved their hiring process.

Leveraging an ATS like GoHire, specifically designed for the hospitality industry, can help your company save time, reduce hiring costs, and improve overall efficiency.

3. Manually Posting Jobs to Job Boards

Posting jobs to job boards can be time-consuming and limit your reach to potential candidates.

 A study recently found that companies using an ATS to post jobs to multiple job boards experienced a 50% increase in qualified applicants.

Automating job postings through an ATS can help you reach a broader audience, reduce administrative tasks, and increase the efficiency of your hiring process.

4. Overspending on Recruitment Fees

High recruitment fees can strain your budget and limit your company's growth.

A PwC report revealed that UK businesses spent an estimated £45 billion on recruitment fees in 2019.

By adopting cost-effective hiring strategies, such as using an ATS, promoting from within, and leveraging your employer brand, you can reduce recruitment fees and maintain a healthy budget.

5. Not Checking References

Failing to check references can lead to hiring employees who may underperform or create a toxic work environment.

A CareerBuilder survey found that 75% of employers had hired the wrong person for a position, and 37% of those employers cited not checking references as a reason for their mistake.

Verifying references can help you avoid bad hires and select the best candidates for your team.

6. Ignoring Soft Skills

Soft skills are essential for teamwork, communication, and problem-solving within the hospitality industry.

A LinkedIn survey revealed that 92% of talent professionals and hiring managers consider soft skills equally or more important than hard skills.

Assessing soft skills during interviews can help you identify candidates who will contribute to a positive and efficient work environment.

7. Overlooking Internal Candidates

Internal candidates often have valuable company-specific knowledge and experience that external candidates need to gain.

Research by Gallup found that companies prioritising internal hiring and promotions experience a 10% increase in employee engagement.

Focusing on internal promotions and providing growth opportunities for current employees can foster a more engaged and motivated workforce.

8. Rushing the Hiring Process

Rushing through the hiring process can lead to poor decision-making and high employee turnover.

According to the Oxford Economics report, the average cost of replacing an employee in the UK is £30,000.

Conducting thorough interviews, assessments, and background checks can help avoid costly hiring mistakes and improve employee retention.

9. Focusing Only on Experience

While experience is essential, hiring solely based on experience can overlook candidates with high potential and valuable soft skills.

A Corporate Executive Board (CEB) study found that high-potential employees were 91% more valuable to an organisation than their non-high-potential peers.

You can build a more resilient and innovative team by considering a candidate’s potential for growth and adaptability.

10. Inadequate Training and Onboarding

Research by the Aberdeen Group found that organisations with a structured onboarding process experienced a 60% year-over-year improvement in revenue and a 63% year-over-year improvement in customer satisfaction.

Implementing a comprehensive training and onboarding process can help new hires acclimate to their roles quickly, boosting productivity and employee satisfaction.

11. Lack of Diversity and Inclusion

A diverse and inclusive workforce can enhance your company’s creativity, innovation, and decision-making.

According to a McKinsey report, companies in the top quartile for gender diversity are 15% more likely to outperform their competitors. In comparison, those in the top quartile for ethnic diversity are 35% more likely to outperform.

To attract diverse talent and foster an inclusive work environment, implement unbiased hiring practices and provide diversity and inclusion training for employees and hiring managers.

12. Ineffective Employer Branding

A strong employer brand can significantly impact your ability to attract and retain top talent.

A LinkedIn survey found that 75% of job seekers consider an employer's brand before applying.

Investing in employer branding, showcasing your company’s culture and values, and promoting positive employee experiences can attract the best candidates and reduce turnover.

Let’s wrap up 12 hiring mistakes every hospitality company makes

Avoiding these 13 hiring mistakes can significantly impact your hospitality company's success.

You can attract and retain top talent by defining job roles, prioritising cultural fit, conducting thorough reference checks, and considering soft skills.

Additionally, embracing internal promotions, slowing down the hiring process, focusing on potential and experience, and providing comprehensive training and onboarding can further strengthen your workforce.

By fostering diversity and inclusion, investing in employer branding, utilising an ATS, automating job postings, and reducing recruitment fees, you can streamline your hiring process and make more informed decisions.

Implementing these best practices can lead to a more engaged, satisfied, and high-performing team, driving your hospitality business towards long-term success.