How AI Is Shaping Hotel Employee Recruitment and Retention

Streamline Recruitment and Elevate Engagement

Recruiting and retaining talent in the hospitality industry has always been a challenge, especially as the demands of modern hotel operations increase. Artificial intelligence (AI) is emerging as a powerful solution to these challenges, offering innovative ways to enhance the recruitment process and improve employee engagement.

At the 2024 Independent Retail Show in Miami, hospitality leaders Robert Levine, CEO of ComOps, and Stephanie Leger, CEO of First Rate Hospitality, shared their insights on how AI is being leveraged to revolutionize recruitment and retention.

Their discussion highlighted key trends, challenges, and best practices for using AI to build a stronger workforce in the hotel industry

AI in Recruitment: Revolutionizing the Hiring Process

AI has significantly impacted recruitment, helping hotels streamline processes and improve the candidate experience.

According to Robert, “We’ve really focused on reducing the level of effort that it takes for our customers to interact with our brands. The same thing goes for employees. We want to make coming to work a place where they’re happy.”

One of the ways AI improves the recruitment process is by eliminating redundant tasks for candidates.

Leger noted the frustration of duplicating information in applications: “Who here has filled out a job application, uploaded a resume, and then also had to fill out a bunch of fields that duplicate all the information you just uploaded? AI can help with that and reduce those redundancies.”

AI can be especially useful for independent and boutique hotels in identifying the right candidates. However, many hotels still aren’t maximizing the technology available to them.

Leger pointed out, “We’re really missing the point of being able to maximize what is already out there, especially for our independent boutique hotels. They may not have the knowledge of knowing what is out there.”

Maximizing AI for Recruitment Success

When it comes to adopting AI, Robert emphasized the importance of working with trusted partners: “AI is moving very quickly, and it’s difficult to be a master of all things. Finding a partner that can help guide you through the process is absolutely critical.”

By partnering with consultants or vendors, hotels can keep up with rapid advancements and avoid issues like data security concerns.

Additionally, AI can provide valuable feedback from candidates themselves, helping hotels refine their recruitment process. As Leger said, “Put yourself in the shoes of that new hire. You want to ensure that the process is easy and the communication is timely.”

AI for Retention: Keeping Employees Engaged

Retention is another area where AI is making a significant difference, especially as hotels shift from quantitative to qualitative data. Robert explained that while traditional feedback-gathering methods rely on scores and metrics, AI allows for deeper insights.

“We think the leaders in the space are transitioning away from scores from one to five, one to ten, and transitioning to qualitative data,” he said. “Tell us why you enjoy coming to work here.”

Using AI, hotels can now analyze video and text feedback from employees, capturing their emotions, tone, and even facial expressions. This data type provides more accurate insights into employee sentiment and can help identify potential issues before they escalate.

As Robert highlighted, AI also proves valuable in multilingual environments: “AI can translate and do everything you need it to do. A video to me is a real extra frontier…giving team members the ability to record in their natural language, transcribe it, and analyze it.”

Frequent and Targeted Listening

Hotels traditionally rely on annual surveys to gauge employee satisfaction, but AI enables more frequent and targeted listening. Robert suggested that hotels implement “sporadic listening events” after peak periods, such as busy weekends.

“After a peak weekend, why don’t we send out a couple of questions—tell us what you felt most challenged by over the past weekend?” he remarked. “Being able to introduce more data helps us understand quicker where there’s potential risk for turnover.”

Beyond simply collecting feedback, Robert stressed the importance of “closing the loop” with employees by taking action based on their input. AI can streamline this process by helping hotels analyze data more quickly and respond personally to employees’ concerns.

“It’s not good enough to just listen. We also need to analyze, communicate, and share action plans,” he said.

AI and the Full Employee Lifecycle

AI proves helpful not only during recruitment and while employees are actively working but also throughout the employee lifecycle, including exit interviews. By analyzing exit interview data, hotels can gain valuable insights into why employees leave and take steps to prevent future turnover.

Robert emphasized the value of this data: “We know there’s a lot to learn from an exit interview, and being able to do that through a trusted channel, where a team member feels comfortable, is critical.”

AI can also help hotels stay competitive in the labor market by analyzing compensation trends and adjusting salaries as needed. As Leger pointed out, “Sometimes, employees leave for a job offering 50 cents to a dollar more per hour. AI can help us see if we’re in line with market rates and potentially save costs on recruitment and onboarding.”

Practical Tips for Implementing AI

For hotels looking to incorporate AI into their recruitment and retention strategies, both panelists shared valuable tips:

1. Automate Candidate Responses. Stephanie emphasized the importance of timely communication with applicants. “How many times have we heard it as ‘the ghosting hotel’? Automating responses can help avoid this and ensure candidates receive timely feedback.”
2. Short and Focused Surveys. Robert advised against long, drawn-out surveys. “You can really capture a lot of insights by leveraging a couple of quantitative questions and a couple of qualitative questions. Less is more when it comes to surveys.”
3. Don’t Wait for AI to Be Perfect. Robert cautioned hotels against waiting for AI to be flawless before implementing it. “A lot of us are waiting for AI to be perfect. It probably never will be. Don’t let perfection be the enemy of good.”

AI is no longer just a futuristic concept; it’s a practical tool that hotels can use today to improve both recruitment and retention.

By streamlining the hiring process, enhancing employee engagement through qualitative feedback, and providing real-time insights into employee sentiment, AI is helping hotels build stronger, more satisfied teams.

As Robert and Stephanie advised, the key to success is starting small, working with trusted partners, and being open to AI’s evolving nature. Waiting for perfection is no longer an option—now is the time to act.