Rising costs, tightening regulation, and shrinking margins are pressuring hospitality businesses to cut back wherever possible. But in a people‑driven industry, reducing investment in staff brings consequences. Competence, or the ability of employees to apply their skills, knowledge, and experience safely and effectively, is not a luxury. Rather, it’s the foundation of safe operations, customer trust, and long‑term resilience. As job cuts intensify within the hospitality sector, the need to preserve competence is greater than ever.
The value of competence
As defined by the Health and Safety Executive (HSE) (opens a new window), competence is ‘the combination of training, skills, experience and knowledge that a person has and their ability to apply them to perform a task safely’. In practice, it describes the ability of employees at all levels to recognise, control, and mitigate risks in their operational activities.
Competence is not created overnight. For employees, it is the product of a steady accumulation of experience. This includes dedicated training to recognise and mitigation risk, and exposure to real life events in the workplace that shape and inform understanding of best practice.
For employers, the challenge is to create the conditions for competence to thrive. Ensuring the continuity of staffing is key: it takes time for individuals to develop confidence in applying what they know, and longer still for an organisation to weave that confidence into its culture. In this sense, competence is less an outcome than a process.
But this process is fragile. And when it is disrupted – through high turnover, reduced headcount, or the loss of experienced staff — it can quickly stall. The gaps that are left behind might not be immediately visible, but which carry significant risk for the businesses concerned.
Why hospitality faces a competence deficit
Hospitality businesses have endured a tumultuous few years. In April 2025, changes came into effect lifting the minimum wage for over three million workers, while an increase to employers’ National Insurance contributions has further increased the cost of employment. In tandem, a series of economic shocks have placed added pressure on the sector, with persistent inflation driving up the costs of energy and food. And while there are signs (opens a new window) that the trend is beginning to slow, consumers still face a high cost of living – dampening confidence, depressing sales, and fuelling businesses competition on price.
Amid these factors, many hospitality businesses have sought ways to reduce costs. In August 2025, analysis by trade body UKHospitality found that the sector accounted for over half of UK job losses (opens a new window) since the 2024 Autumn Budget. Others have moved to minimise workers’ hours, and limit pay rises for more senior staff. This is reflected in wage data: according to the Office for National Statistics, UK workers’ pay in hospitality grew more slowly than other sectors (opens a new window) in the last year. Weekly full-time earnings in the sector were 3.9% higher in April 2025 when compared to the same month in 2024, compared to an average across all sectors of 5.3%.
But these actions come at a cost. Staff numbers may decline, but workloads do so rarely. Employees that remain face fewer resources, more intense working conditions, and higher levels of stress (opens a new window). Without adequate support, this can drive subsequent burnout and low productivity, and potentially lead to further staff churn. And while experience is easily lost, it is far harder to replace. Having fewer managers in post will inhibit the ability of businesses to identify shortcoming and effectively manage risk.
The consequences of this are not abstract: they manifest in critical, high‑stakes scenarios. Managing allergens, for example, demands rigorous processes, cross‑checking, and the confidence to challenge errors before they reach a customer. Likewise, safely evacuating a 500‑bedroom hotel is a complex, time‑sensitive operation requiring calm leadership, clear communication, and practiced coordination. Even routine issues — such as dealing with an equipment or IT failure — can escalate quickly without competent staff in place.
A proactive approach to compliance
Job cuts may be unavoidable in today’s climate, but they need not leave businesses exposed. Competence takes years to build, but only moments to lose — and when staffing levels fall, the risk of gaps emerging grows sharper. The hospitality sector cannot ignore these pressures, but must respond to them with structure and foresight. By embedding clear expectations, strengthening oversight, and investing in practical training, businesses can help competence to endure. The recommendations below outline how:
Audit policies and procedures regularly — ensure they reflect current operations, and remain achievable. If there is no longer an inhouse specialist to conduct a review, engage a competent external resource.
Run robust inspections and audits — use findings to evidence compliance, monitor effectiveness, and drive continuous improvement.
Align risk assessments with required competencies — these should be specific, current, and embedding into training. Require staff to read, sign, and acknowledge the control measures required to perform a task safely.
Deliver risk‑based training for key staff — prioritise practical, scenario‑based learning over e‑learning alone, especially for those in positions of responsibility (e.g. supervisors and duty managers).
Map and track skills across the business — maintain a matrix of the general and specialist competencies, identify frequencies for refresher training, and ensure CPD requirements are met.
Verify competencies in your workforce and supply chain — check agency staff against Service Level Agreements and confirm contractor qualifications for specialist services (e.g. fire safety, security, food safety, leisure safety, mechanical and electrical services, legionella control, pest control).
Keep safety on every agenda — make it a standing item in staff briefings, meetings, and compliance monthly or quarterly compliance forums, and share outcomes openly. Allow staff to raise concerns without fear of reprisal.
Record and review all accidents, incidents, and near misses — ensure competent individuals capture and analyse the data from all incidents (no matter how minor), and share lessons learned across the business.
Pressure may be unavoidable, but hospitality businesses are not without choices. By treating competence as a long‑term asset rather than a short‑term cost, they can preserve the knowledge, judgement, and confidence that keep operations safe and reliable. Doing so will not only satisfy compliance, but safeguard business resilience and reputation.
Visit our Hospitality (opens a new window) page for more information, or reach out to a member of our team.
