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Hospitality pay satisfaction rises to 63% as retention falls

Hospitality pay satisfaction rises to 63% as retention falls

Workplace health is also a concern for the sector, with 36% of respondents stating work negatively affects their mental health and 39% reporting physical health issues

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Some 63% of hospitality workers in the UK now feel they receive fair pay, a 12% increase compared with last year, according to the latest Hospitality People Survey. 

In spite of this, the survey found that retention remains a challenge for employers, as the likelihood of staff staying with their current company has fallen to 52% from 62% in 2024.

The 2026 instalment of the survey, which questioned 1,446 employees, was commissioned by Access Hospitality in partnership with Hospitality Jobs UK and several industry bodies.

Findings show that while 63% are satisfied with their salary, 81% of staff have experienced imposter syndrome in 2026, up from 38% last year.

Workplace health is also a concern for the sector, with 36% of respondents stating work negatively affects their mental health and 39% reporting physical health issues.

Tipping is becoming less significant for staff, with 51% stating tips are important compared with 75% in 2025, as base salaries and formal distribution rise.

However, average happiness in roles has fallen to 54% from 69% in 2024, while satisfaction with work-life balance has dropped three percentage points to 53%.

Data shows 78% of employees are now paid for overtime, up from 41% in 2025, as operators use forecasting tools to reduce additional hours.

The survey found 93% of workers would recommend a hospitality career, identifying fair salary, holiday entitlement, and training as the most influential factors.

Rob Paterson, commercial director at Access Hospitality, said: “Employees are seeking more long-term development, with retention driven by opportunities and new challenges. This highlights the need for employers to prioritise clear progression, reflecting a shift away from traditional perks towards career growth.

“Despite the dip in employee satisfaction, the loyalty and love for the sector continues to grow, as 93% would still recommend a career in the industry, showing belief in the sector remains strong despite short-term pressures.”

He added: “The UK hospitality workforce is becoming more ambitious and career-focused. However, whilst passion remains high, declining satisfaction and work-life balance, as well as the rising expectations around salary and development, will push employers to rethink how they attract and retain talent.”

Why are hospitality staffers dropping out with more in the bank?

While Access Hospitality’s survey indeed indicates that staff pay satisfaction is up 63%, it also shows that food and beverage service workers are unhappy in a slew of other ways.

Most importantly, the hospitality software provider said that declining contentment levels across a wide range of areas in employee development – from trust in other employees to opportunities for future growth – points to “sector-wide fatigue” rather than problems with particular businesses and venues.

Specifically, the group recorded that year-on-year, fewer employees felt that their workplace or company was diverse, a comfortable place to express opinions or contained trustworthy colleagues.

When it comes to the hospitality industry as a whole, a declining number of service personnel reported feeling that the industry is diverse (-33%), fun (-23%) or offers training or desirable career opportunities (-14%).

This comes as the sector has faced persistent headwinds from rising energy and food costs, compounded by rising wages and business rates.

On top of this, figures released by the Office for National Statistics in October 2025 showed that the British “food service activities sector” was the hardest-hit in the country’s labour market between September 2024 and September 2025, losing 59,000 payrolled employees.

Weak consumer confidence and narrowed margins for employers have subsequently led to teams that are short staffed, but under greater pressure to execute to perfection. Meanwhile, their jobs come with fewer perks.

In other words, regardless of hiked pay levels, going through the daily motions at work feels more strenuous and stressful, leading to decreased feelings of “fun”, trust and openness.

On top of that, the day-to-day routines of hospitality workers in the UK are changing with the roll out of AI.

While 52% of those surveyed said they considered AI a helpful job tool, up from 41% last year, the number of employees who said it complicates their work rose too.

Access Hospitality said that while these figures appear to rebut one another, they point to a common trend in workplace evolution, characterised by “strategic optimism” and “operational friction”.

This means that while, through exposure, staff can see the possibility for AI to improve rota scheduling, inventory oversight, marketing content production or tailoring guest experiences, there are likely issues with the way it is being integrated into their workflows and workplaces.

Most crucially, 40% of hospitality workers see AI as a threat to their jobs.

Zooming back into an individual level, particular workers may also be dissatisfied with their training, and feel unfit for the job, adding to employer-specific grievances like poor mental and physical health along with unfavourable work-life balance.

Although 52% of staff claimed they felt perfectly up to their role, up from 48% last year, the percentage who said they would have liked to receive more training also jumped, from 35% to 44%.

Access Hospitality said that while this shows newbies are given more attention, training might not be increasing at the same speed as expectations thereof.

Meanwhile, training was cited as one of the most influential factors in hospitality job satisfaction, with 59% saying learning and development were likely to keep them in their current job.

Access Hospitality said that this emphasises the importance of ditching compliance-style instruction for structured, career-oriented development routes.

Hence, while the hospitality sector is becoming more confident in knowing what they deserve when it comes to wages, the same can be said for other, less tangible entitlements, whether it be a positive culture, respect, health and training.

It stands to reason that industry bosses will have to do more than shift numbers, and invest greater time and resources into improving less measurable areas if they are to avoid repeated hiring practices or staff burnout and most importantly, withstand the persistent pressure placed on the broader sectors as whole regardless of seniority.

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