Education

Financial support for hospitality students to curb worker shortage: MAH

Hotelier says 90s saw similar situation but measures taken to address problem

Updated 4 years ago · Published on 01 Jul 2022 7:00AM

Financial support for hospitality students to curb worker shortage: MAH
Penang MAH chairman Tony Goh says the shortage of workers is a global phenomenon, being one of the consequences emerging from the stifling conditions of the pandemic. – Holiday Inn pic, July 1, 2022

by Ian McIntyre

GEORGE TOWN – The Penang Malaysian Association of Hotels (MAH) has mooted a proposal to finance school-leavers to study hotel catering and management diploma courses in a bid to arrest the acute shortage of workers in the hospitality industry.

Speaking to The Vibes, Penang MAH chairman Tony Goh describes the suggestion as an innovative model whereby hotels and education authorities will subsidise students’ tuition fees as they enrol for their respective courses and get immediately absorbed by employers. 

Penang MAH chairman Tony Goh suggests that hotels and education authorities subsidise students’ tuition fees as they enrol for their respective courses and get immediately absorbed by employers. – IAN MCINTYRE/The Vibes pic, July 1, 2022
Penang MAH chairman Tony Goh suggests that hotels and education authorities subsidise students’ tuition fees as they enrol for their respective courses and get immediately absorbed by employers. – IAN MCINTYRE/The Vibes pic, July 1, 2022

The veteran hotelier said a similar situation had occurred in the 90s but it was eventually solved following proactive measures then.

Goh said the shortage of workers is a global phenomenon, being one of the consequences emerging from the stifling conditions of the pandemic.

“I have been to Thailand and was informed there is a shortage of hotel workers there. 

It is also happening in the Philippines and Singapore. It is a worldwide trend even in Europe and the Americas.

Hotel staff who were retrenched during the height of the Covid-19 pandemic, have since found alternative jobs in the services, farming, or manufacturing sectors.

A significant majority of these former staff have also opted for the digital economy sector such as fin-tech investments, ride-sharing and food delivery services and entrepreneurs.

Singapore is also affected by the shortage of hospitality workers. – The Vibes file pic, July 1, 2022
Singapore is also affected by the shortage of hospitality workers. – The Vibes file pic, July 1, 2022

To overcome this, Goh, who manages the St Giles Wembley and Cititel Express hotels here, said that hotel operators and owners must collaborate with the government to ensure the hospitality industry remains attractive, especially for school leavers.

In addressing the poor wage structure, Goh said the inevitable must happen, which is to increase the prices of banqueting, rooms and food as well as beverages.

“It is because such items are also driven by external market forces,” he said.

Stating that the Malaysian hotel tariffs are among the lowest in the region, Goh said that the industry is now paying a price for putting off hikes in favour of higher occupancies in the past.

“But it has failed to lower costs and at the same time, staffers were easily exiting due to better pay brackets elsewhere. 

Our services from food and rooms need to go up.

Meanwhile, Kedah and Perlis MAH are currently studying the option of hiring ex-convicts, who were penalised for minor offences into the hospitality industry.

Its chairman Eugene Alan Dass confirmed this, saying discussions with the authorities are underway.

Malaysian hotel tariffs are among the lowest in the region. – The Vibes file pic, July 1, 2022
Malaysian hotel tariffs are among the lowest in the region. – The Vibes file pic, July 1, 2022

In a separate matter. Goh urged the authorities to compel the private Airbnb shared accommodation providers to contribute back to the tourism industry by levying on their services.

“If hotels have a tourism surcharge of RM2 to RM3, surely the same can apply to the Airbnb providers so that the funds collected can be channelled back to promote tourism.”

“There is also a need to ensure they are licensed to ensure that safety and security of their occupants are upheld,” he added. – The Vibes, July 1, 2022

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