I realized that there isn't really anything new to talk about! Or is there?

Every month, I write articles, sharing with you my personal opinions or providing feedback.  This may come as a surprise to you, but while preparing our July newsletter I realized that there isn’t really anything new to talk about!  Or is there?

• I could mention the recent “depression” in the world and how it affects our industry, but we have had several in the 1970s, 1980s and 1990s.  Recessions, depressions and implosions are old news and by now, we all know how to meet these challenges.  Don’t you agree?   Or why would you still be here reading this article?

• Once again, I could discuss the "over building" that is going on in Beijing, Shanghai and more recently, in Dubai.  But, in the 1980s there was over building in Singapore, London and Los Angeles.  Thirty years later, they all share the same dilemma…they need more hotels!  So, isn't it “timing” for everything?

• Perhaps I could reiterate the massive “need of staff” now in China and India, but we talked about the same issues in the Middle East in the mid and late 1990s.  We will still be talking about this problem when in the future we are recruiting staff from planet to planet.  No one does anything to help this situation, so why should I waste words.

• There are opportunities currently in "out of the way places" if you are now prepared to go to areas in Africa and South America.  The same was said about Bangkok and Dubai in the 1970s and 1980s, but no one wanted to go to those “out of the way places” either.

• We can continue to debate “currency fluctuations” that create havoc with hoteliers trying to pay their bills in their home countries.  The US$ and Euro are now close, so less benefit taking one over the other.  I remember in the 1980s, the fluctuation of the US$ and the Italian Lira and Thai Baht was so volatile that hoteliers salaries changed as much as 10% monthly.  Three years ago, the Euro increased in value so quickly that those who were earning Euros were laughing at those earning US$.  Laughing is never smart as we now see what is occurring in Europe.

• Let us also talk about hotel companies which “merged” (Meridien & Starwood, Hilton and Hilton International) or "dissolved" and then let us watch their employees scurrying to their computers to send off their resumes to anyone old enough to read them.  It was the same decades ago, as Intercontinental and Hilton International were sold several times in just a few years.  So, it is never safe to upset anyone below or above you.  You never know where they will end up!?

• In addition, we could also elaborate on the political and religious "protestors" who are upsetting our business and also influencing our places of work. One does not have to go back to the archives to remember the problems in Vietnam, Moscow and Cairo, or a few months ago in Thailand.  So, where is it really safe to work these days?

• On the other hand, there are some new phenomena out there that I would like to mention and it is a fact that there are more "conferences" being organized now than they had in the last 50 years combined!  Conferences are held everywhere and almost every day, covering every subject (generally the same - green this, eco that). If I were to attend each and every hospitality conference, I would never return home!

• I could have easily offered a protracted study on the paradox of “salaries”.  There is a shortage of staff, yet salaries are sliding down and not up (strange?) and benefits are shrinking as hotel companies are expanding.  Why?  You would think that with the shortage of staff; (Intercontinental Hotels needs over a 100 GMs in China in the next two years) they would have to pay higher, but it seems companies are paying less and cutting benefits like schooling, R&R, etc.  How can they get away with this?  The answer in 3 words is………….. Stockmarket & Owners.

• Have you heard of the words “hardship location” recently?  Is there no place in the world that is deemed a hardship destination any more?

• Lastly, I could do a lengthy dissertation on “Age Discrimination”, but these words are lost from my hiring dictionary.  Owners and management companies want solid performers at low maintenance costs, no children, etc.   They will hire at any age!  Especially, those who are not seeking a VP post (they sowed those wild oats years earlier).  The mature experienced employees will complete their contracts without hesitation.  So, age becomes a plus and not a minus these days!

Since there is nothing more for me to say, I wish you a great summer vacation! Take some time off with your families and return refreshed, ready for some new trials that makes our industry so unpredictable and lots of fun!

I look forward to receiving your comments on the Articles and Salary Surveys in this monthly newsletter.

 

Have a safe and an enjoyable summer break!

Best regards,

Stephen J. Renard
President

Contact Information:
E-mail: steve@renardinternational.com
Phone: 1-416-364-8325 ext. 228
Mobile: 1-416-890-0903
Web: www.renardinternational.com

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