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German Hospitality Industry Struggles With Staff Shortages and Revenue Decline

Despite a decrease in the labor gap, the hospitality sector faces economic challenges and increased reliance on unskilled workers.

  • The shortage of skilled workers in the hospitality industry has nearly halved compared to last year, but the sector still suffers from significant staffing issues.
  • Economic pressures have led to fewer job postings, with many businesses halting expansion plans and some even closing down.
  • The impact of the COVID-19 pandemic continues to affect the industry, with many former employees having moved to other sectors.
  • To address staffing shortages, some establishments are turning to robotic solutions, though these come with high costs and limited capabilities.
  • Rising operational costs and a recent VAT increase have forced many businesses to raise prices, contributing to a decline in customer spending.
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