Human Resource Management Practises Amidst the Crisis: A Study of the Hospitality and Tourism Industry in the Southern Province of Sri Lanka

Abstract

The hospitality and tourism industry in Sri Lanka has traditionally played a significant role in the country's economy, serving as a major source of foreign exchange earnings. However, due to various crisis situations such as the Easter Sunday attack, the COVID-19 pandemic, and the current economic crisis, the industry has experienced a decline in performance. This study aims to investigate the impact of crises on the hospitality and tourism industry in the southern province of Sri Lanka, analyse the changes in human resource practises adopted to mitigate the crisis, and explore innovative HR practises to address future crises in the sector. Data was collected through a pre-tested questionnaire survey administered to 40 hotels representing three, four, and five-star categories. Descriptive and non-parametric statistical methods were used for data analysis. The research findings indicate that the recent crisis situations have had a significant impact on various performance indicators of the hospitality and tourism industry, including total bookings, average daily rate, revenue per available room, average length of stay, and occupancy rate. The sector has implemented different managerial strategies in areas such as labour force management, work scheduling, wage and salary plans, and training schedules to mitigate the adverse effects of crises. The study recommends the adoption of crisis preparedness strategies through effective human resource management practises to effectively address challenges during crisis situations in the hospitality and tourism industry.