Hospitality industry hit hardest by US labor shortage

According to data recently released by the U.S. Chamber of Commerce, the leisure/hospitality industry in the United States has been hit hardest by the country’s current labor shortage

A quit rate, as defined by the U.S. Bureau of Labor Statistics, represents the number of employees who leave companies of their own accord during a given month as a percentage of employment. The December 2023 quit rate for the industry was 4.3% - higher than all other industries, including wholesale/retail (2.5%), professional/business (2.5%), financial activities (1.5%), and durable goods manufacturing (1.3%).

Key takeaways

• The U.S. Chamber also reports that the industry has consistently maintained the highest quit rate over several years, with the accommodation and food services industry subsector experiencing a quit rate above 4.5% since July 2021;
• While the leisure/hospitality industry is losing workers at the highest rate, it’s also maintained the highest hiring rate among the nation’s industries since 2020 (between 6% to almost 19%). Compare these rates to the national average, recorded at just 3.7% in September 2023.

Get the full story at the U.S. Chamber of Commerce