Introduction

Why Hospitality?

The hospitality industry in Scotland plays an important role in the Scottish economy and contributes to the quality of local community life across Scotland. Hospitality businesses are present in every community and can provide community space that enables important and fulfilling interactions for Scotland’s people while also supporting tourism, events and cultural activities.

Hospitality is a changing and dynamic sector which offers business opportunities, jobs and careers, and makes a significant contribution to economic activity, particularly in remote rural areas. The hospitality industry is diverse and businesses range in scale and ownership from sole-trader, micro and family businesses to major multinational corporations. This means that a variety of business models and approaches are at play and there is a range of fair work practice. Learning can be drawn from both positive and negative practice. It is well recognised that hospitality comes with a range of fair work challenges which have been a feature of work in the sector for decades.

The purpose of this Inquiry was to consider fair work in the broadest sense, exploring the experiences of hospitality workers and employers, to identify what is working and where improvements in fair work can be made. Ultimately, the Inquiry set out to support the sector to achieve its aims and ambitions and to recognise the role that improved fair work outcomes can play in providing positive outcomes for workers and employers. Investing in fair work now will help employers build strong and resilient business for the future.

Inquiry Objectives

The Fair Work Convention’s (FWC) Inquiry into fair work in the hospitality industry commenced in June 2022 and ran until May 2024. The Inquiry explored the experience of work in hospitality from the perspective of the worker, whilst also identifying the challenges faced by businesses in delivering fair work. The Inquiry aimed to identify areas where improvements in the experience of fair work can be made, and provide recommendations to the Scottish Government, businesses, business organisations, workers and unions on how these can be achieved.

The Terms of Reference for the Inquiry set out the following objectives:

• To consider current worker experience in the industry and the extent of fair work across all five dimensions (Security, Opportunity, Fulfilment, Respect and Effective Voice).
• To consider employer experience of employing and managing their workforce and understand the long term aims and ambitions of the industry.
• To understand barriers to fair work in the industry whilst also recognising examples of positive fair work practice and how to replicate this in the wider hospitality industry.
• To determine any levers (government and non-governmental) and other mechanisms for promoting/improving worker experience of fair work in the industry, including voluntary Fair Work Agreements.
• To develop recommendations for employers, employer bodies, unions, workers, Scottish Ministers and other public agencies to deliver fair work in the hospitality industry.
• To raise awareness and promote delivery of fair work amongst employers and workers in the hospitality industry.

Our Approach

The Inquiry was supported by an Inquiry Group comprising hospitality employers, employer bodies, trade unions, hospitality workers and other organisations working in the industry (see below).

The Inquiry was led by two Co-Chairs: Linda Johnston, a hospitality business owner with decades of experience in the industry and a champion of the adoption of the Real Living Wage across the industry in Scotland; and Satnam Ner, a member of the Fair Work Convention, a trade union lay official in Prospect and a former President of the Scottish Trades Union Congress. The Inquiry was also supported by Professor Tom Baum of Strathclyde University, who provided academic advice and support, drawing on decades of research into working practices in hospitality.

Satnam Ner, Prospect and, Fair Work Convention (Co-Chair)

Linda Johnston, Auchrannie Resort (Co-Chair)

Hospitality Inquiry Group Members

• Linda Johnston, Auchrannie Resort (Co-Chair)
• Satnam Ner, Prospect and Fair Work Convention (Co-Chair)
• Caitlin Alexandria Lee, Hospitality Worker, Glasgow Branch - Unite Hospitality
• Violeta Andeme, Hotel Worker, Spanish citizen (Equatorial Guinea)
• Scott Anderson, National Union of Students
• Carina Contini, Contini Edinburgh
• Marc Crothall, Scottish Tourism Alliance
• Lawrence Durden, Skills Development Scotland
• John Heggie, Better than Zero
• Anna Hirvonen, Living Wage Scotland
• Mike Jones, The Stand Comedy Club
• Catherine Jones, Grassmarket Community Project
• Susan Martindale, Mitchells and Butlers
• Mark McHugh, Bakers Food and Allied Workers Union
• Bryan Simpson, Unite Hospitality
• Moira Tasker, Inclusion Scotland
• Leon Thompson, UK Hospitality
• Paul Togneri, Scottish Beer and Pub Association
• David Trotter, Sodexo Live!
• Chris Wayne-Wills, Crerar Hotels
• Professor Tom Baum, University of Strathclyde (Academic Advisor)

Research Methodology

Fundamentally, the Inquiry drew on the experience and expertise of the Inquiry group as well as the evidence considered in the ten Inquiry meetings. These were held over a two-year period where fair work in the industry was explored in detail.

In addition, research was undertaken to inform the Inquiry through both primary data collection and analysis of secondary data sources. This included:

• Evidence collected through thematic Inquiry meetings
• Evidence sessions with workers (with two dedicated to migrant workers)
• Evidence sessions with employers (with one dedicated to rural employers)
• Case studies with employers and other key organisations

The following research was also commissioned to provide evidence for the Inquiry:

• ‘A qualitative investigation into the experiences of workers in the hospitality sector in Scotland’ (Stockland et al, 2023)
• ‘Fair Work Convention Survey of Hospitality Workers and Businesses’ (JRS, 2024)
• ‘Levers for fair work in hospitality in Scotland’ (Findlay et al, 2024)

Details of the methodological approaches adopted are set out in Annex A and links to separate research reports are provided, where available. Annex A also provides a definition of the scope of the Inquiry and the business settings the Inquiry aimed to consider.

Findings from each research stream are referred to throughout this Inquiry report and are discussed in each section against each of the five dimensions of the Fair Work Framework.