Tag: hospitality news

IHF Conference- The Key Take Home Points

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Not even the looming threat of the Beast from the East could put a damper on the success of the Irish Hotel Federation’s annual conference last week. Held in the Slieve Russell Hotel, the conference included a fantastic line-up of speakers, interesting insights and informative discussions. General Manager of Excel Recruitment Shane Mclave talks through the main talking points from the event.

2017 success for the industry

There was plenty of positivity new stories from the event. According to IHF chief executive Tim Fenn, 2017 was another strong year for Irish hotels and guesthouses and the seventh year in a row that overseas visitor numbers have grown. The average national room occupancy rate was 73% during the year, a figure driven by a substantial increase in visitor numbers from the US and continental Europe, as well as from the domestic market. This was welcome news for hoteliers and helped to offset the drop in visitors from the UK, where numbers continue to fall. Fenn asserted that the outlook for the sector remains positive with hoteliers confident about the future growth of the tourism and hospitality industry.

Craic alone not enough for tourism

Niall Gibbons of Tourism Ireland also discussed the dramatic drop in British visitors and said “the craic” won’t be enough to recover plummeting visitor numbers. Mr Gibbions said Ireland must hone in on outdoor activities to entice visitors from Great Britain, which is the country’s biggest tourism market. Visitor numbers from Britain have fallen steadily since the Brexit referendum vote in June 2016 and dropped 6% last year to 4.7 million visits. As a result, tourism officials have focused more on opening up ‘emerging’ markets like India and China and winning more business from North America and mainland Europe. Tourism chiefs are hoping to look beyond traditional boozy holidays and hope to win more business in the activities market. Daragh Feighery who will be opening the much anticipated Center Parcs in Longford gave us a sneak peek at what is in store for what will be a huge jewel in the crown for the Midlands with over 1000 staff in employment once the doors are open to the public mid-2019

End to the Chef Crisis in sight?

One of the most exciting talking points from the conference came from TD Brendan Griffin, Minister for State and Tourism. The TD casually mentioned that changes to work regulations for work permits are on the cards for 2018, potentially easing the country’s chef shortage. The statement was met with huge support and enthusiasm from all, particularly hoteliers and business owners all too familiar with the struggle of recruiting and retaining chefs.

Salary Series 2018- Hotel Salaries

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Excel Recruitment are delighted to release our 2018 Salary Survey. Our Salary Survey covers all aspects of the Hospitality Industry including Hotel, Chef and Industrial and Corporate Catering salaries. In a series of blog posts, Excel’s expert team give their take on the year ahead and the factors affecting salaries in each industry.First up, General Manager of Excel Shane Mclave discusses hotel salaries and the effects of Brexit. To view our Hotel and Catering Salary Survey in full click here. To get consultant Laurence Roger’s take on the much-discussed issue of Chefs salaries, click here.

It’s been an interesting year for the hospitality sector in general, and the hotel industry in particular. Brexit and all its consequences, both real and potential, were on everybody’s mind. Its first effects were definitely felt with a 54% decrease in the national average of UK visitors in the last year, according to Failte Ireland. Despite this, it was still a great year for the industry with 69% of hotels and 63% of national attractions welcomed more visitors than in 2016

The minimum wage

We can see that from a salary perspective, there is not a huge difference on 2016 except for salaries at the lower end of the scale, up to €30,000. The general consensus within the industry is that the biggest challenge in 2018 will be to manage the increase in the minimum wage. The jump to €9.55 at the beginning of January has had a knock-on effect. In previous years, employers could allow for an extra 10c or 15c above the minimum wage to create more attractive packages. However this year, with a jump of .30c, this is not possible. We are seeing employers make the decision to raise the hourly pay rate to €10 per hour for entry-level positions. This is pushing up all the lower pay scales to a higher level making it very difficult for businesses in a candidate driven market.

Retention and reward

The next big obstacle for hospitality is to retain the staff that they already have in place through progression and reward. We can see that there are more and more internal promotions, allowing Owners and Managers to keep their core staff in key positions. While this may be a way of retaining staff without any immediate financial cost for the business, if not managed properly, it could lead to inexperienced staff holding senior positions, for which they are not yet ready. They also run the risk of staff getting frustrated at increased workloads and responsibility without feeling a financial benefit. Reward is a different approach that some key players within the hospitality industry are taking and it seems to be working quite well, rewarding staff financially for achieving milestones within the company, usually loyalty and length of service.

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1,300 hotel rooms to be added to Dublin, but supply will still be tight

Posted on | by Aisling Rafferty

It’s forecast that Dublin will see 1,300 new hotel rooms added to the capital this year. More than 500 of the rooms will come from extensions to existing hotels while six new hotels are expected to open in the city in in 2018.

Dalata, Ireland’s largest hotel group, will continue to grow opening three Maldron Hotels and a Clayton Hotel, a 140 room property on Kevin Street and a hotel on the site of the former Charlemont Clinic on the Grand Canal which will have 180 bedrooms opening in September. This month, the McGill family’s Iveagh Garden Hotel will open on Harcourt Street. The family also own the Harcourt and Harrington Hotels and the new 152 room property houses an underground river which will act as a source of renewable energy.

The Liberties will see the opening of Ireland’s first Aloft hotel in the spring with 202 rooms. The hotel is bound to be a hit with tech lovers as guests can use smartphones and Apple Watches to open their room doors. The Dean’s sister hotel, the 41 room Devlin will open in Ranelagh this summer, along with its own 50 seat cinema. According to Davy Stockbrokers said that 2018 will be the first time in almost 10 years that Dublin will see a “meaningful increase” in the supply of new hotel rooms.

Despite these new openings, Dublin’s hotel supply will still remain tight as Dalata close two hotels, the Ballsbridge Hotel and Tara Towers towards the end of 2018/start of 2019. Tara Towers will shut down later this year ahead of being redeveloped into a 140-bedroom Maldron Hotel while the groups lease on the 392-bedroom Ballsbridge Hotel is due to expire in October and while the group is expected to seek an extension of the lease until March of 2019, the property is then set to re-developed by Chartered Land.

Outside of Dublin, Belfast will get 4 new hotel additions, the Grand Central Hotel opening at the end of May with 304 rooms, the Maldron with 237 rooms, Marriott Hotel will open in the Quays area with 190 rooms and a Hampton Hotel will host 180 rooms. Cork’s South Mall area will also get sees a new Maldron too with 230 bedrooms.

Restaurants being urged to charge ‘no-shows’

Posted on | by Aisling Rafferty

The Restaurants Association of Ireland is urging restaurants to take a non-refundable deposit when customers are making a booking to guard against ‘no-shows’.

The Association is calling on its members to take the deposits as a way to discourage the practice of people booking tables and then not turning up. According to Adrian Cummins, chief executive of the association, the problem was “rampant across the country” during the Christmas period, with a marked increase in no-shows. In an attempt to curb the issue, the association is encouraging members to take non-refundable deposits which would then be deducted from the table’s final bill or forfeited if the party doesn’t turn up.

The association has proposed a €20 deposit on tables of more than four but according to Mr Cummins, the Competition Authority will not allow the association to set the rate and they are encouraging members to define their own policy in terms of both the price and the sizes of parties charged based on the size of their own operation.

Mr Cummins pointed out that bookings for tickets for concerts and the cinema are forfeited if people do not turn up. “The industry needs to do something about this. We need to stamp out ‘no-shows’. People will have to give advance notice of 24 to 48 hours if they are going to cancel.” Mr Cummins pointed out that bookings for tickets for concerts and the cinema are forfeited if people do not turn up. “The industry needs to do something about this. We need to stamp out ‘no-shows’. People will have to give advance notice of 24 to 48 hours if they are going to cancel.

‘No-shows’ can be extremely costly for restaurants, in terms of both staff and produce bought in. Mr Cummins used one example when speaking to Newstalk this morning of one restaurant which had experienced the ‘no show’ of a party of 20 which was one-third of the restaurant’s capacity and had been very costly for them.

 

Three young Irish chefs in semi- finals of the San Pellegrino Young Chef of the Year

Posted on | by Aisling Rafferty

Three young Irish chefs have qualified for the semi-finals of the San Pellegrino Young Chef of the Year, beating thousands of chefs from over 90 countries.

Killian Crowley from Michelin-starred Aniar, Michael Tweedie from Adare Manor, and Romuald Bukaty from The Clayton, Dublin Airport have all qualified for the semi-finals of the prestigious semi-final of the competition.

Killian Crowley is Chef de Partie at Galway’s Aniar Restaurant will hope with his Turbot, kohlrabi, sea purslane dish will win out at the finals in London this month. Limerick Chef Michael Tweedie, head chef at The Oakroom Restaurant at Adare Manor, will present his Duncannon Lobster- a ravioli of scallop, lobster and basil, lightly spiced lobster bisque while Chef de Partie at The Clayton, Dublin Airport Romuald Bukaty will present his ‘Hey John Dory’ dish for the competition.

The three young chefs have been progressed to the semi-finals out of thousands of applications submitted from over 90 different countries. The semi-final will take place in Aveqia, London on Monday 20th of November, with the finals taking place in June 2018. Michelin-starred chef Mickael Viljanen from The Greenhouse, Dublin, will judge the semi-final along with chefs Angela Hartnett, Alyn Williams and Phil Howard.

Each finalist will be assigned a “Mentor Chef” (a member of their regional jury), who will provide them guidance on how to improve their signature dishes and support them in their preparation for the international finals.

Irish chefs have a successful track record in the competition with Irishman Mark Moriarty the inaugural winner in 2015. Moriarty went on to become an international ambassador for Irish food.

Dublin Hotels

Dublin hotels full over 300 nights of the year

Posted on | by Aisling Rafferty

There has been a call for the development of new hotel properties after a Fáilte Ireland report found that limitations on accommodation capacity in key areas are a major barrier to future growth. Reports have shown that business is strong from overseas visitors and bookings and performance are ahead of last year, despite a decline in U.K candidates.

Total overseas arrivals to Ireland from January to August show a record 6.7 million visitors, which is an increase of 2.5%. This increase comes from an increase in the number of North American visitors, up by 18%. This increase shows that North Americans have overtaken UK visitors, traditionally the most important group to the Irish hospitality industry, in terms of revenue spent.

There have been 5 hotels opening this decade in Dublin City Centre and only 1 new hotel opening this year. Property management company JLL have called upon industry stakeholders including planning authorities, hoteliers and developers to encourage and pursue the development of new hotels in the capital’s city centre.

Commenting on the report, Senior Vice President at JLL, Dan O’Connor said, “New hotel rooms are urgently needed in Dublin City and we welcome the publication of Failte Ireland’s latest SOAR report which calls for new hotel supply now.” He added, “With one of the highest hotels occupancy levels of any European City, new hotel supply is necessary to cater for the significant leisure, corporate and group demand now facing Dublin City. We will lose out on millions of spend for the capital, if we don’t deliver new hotel and apart-hotel supply swiftly.”

 

 

VAT 9%

Excel Recruitment supports keep VAT at 9%

Posted on | by Aisling Rafferty

Ireland’s 9% VAT rate for the hospitality industry entered the news again this month as arguments in favour of scrapping the 9 per cent rate circulating around the Department of Finance ahead of the upcoming Budget.

Excel Recruitment work with and on behalf of some of the most well-known and best-loved names in hospitality nationwide and have always been a huge advocate of a 9% rate for the hospitality industry. It is crucial that these companies continue to be supported in their work, providing jobs throughout the country and contributing massively to one of the country’s most important sectors. The rate was one of the few saving graces for hard-pressed hotel and restaurant operators during the recession. Despite being out of the recession, the hospitality industry still faces many challenges including spiralling commercial rates and the uncertainty of Brexit. Add to this the incoming increase in minimum wage in January, which will further increase costs to businesses’ and the growing trend of rising rates in order to retain talent amid a continuing chef crisis. Some parts of the sector are now experiencing improved trading conditions in line with the economic recovery but this is not universal and many businesses are still under significant pressure.

In terms of tourism, the 9% rate is crucial for Ireland to remain a desirable destination and competitive within Europe. Chief Executive of the Restaurants Association of Ireland (RAI), Adrian Cummins, said “Seventeen out of 19 Eurozone countries have a VAT rate of below 10%. A 9% VAT rate in Ireland is not only the correct rate for our country, but it is also in line with the rest of Europe. We need this VAT rate particularly now as Brexit negotiations begin, to remain competitive”.

Minister for Finance Paschal Donohue has signalled the rate will stay (Irish Times, July 2017) but nothing is official until the budget is announced in October. Until then those that work in, for and with the hospitality must be vocal about its importance and its need to stay.

While increasing the VAT rate may provide a short-term injection of cash to the Exchequer, piling additional bills on to already pressured businesses’. It would have serious negative effects on many businesses’ ability to operate and will lead to the loss of jobs and the closure of many quality hospitality operations all over the country. The VAT rate has enabled Ireland’s hospitality industry to do fantastic things – attracting more tourists, grow across the country and employ thousands of people. For all these reasons and so much more, keeping VAT at 9% is an absolute must.

Increase in minimum wage to primarily affect hospitality and retail says Taoiseach

Posted on | by Aisling Rafferty

Business groups have expressed their concern about the impact of increasing the minimum wage on small businesses ability to remain profitable.

Yesterday, Taoiseach Leo Varadkar announced that the minimum wage is set to rise to €9.55, an increase of 3.2%. The increase comes after recommendations from the Low Pay Commission. The increase will come into effect from January 1st, 2018. It will be the fourth increase in the past five yea Taoiseach Leo Varadkar , speaking at the announcement yesterday said “It’s an increase well ahead of inflation, well ahead of average wage growth in the economy. It is modest. It works out at about an extra €12 per week but it is still an important step in the right direction,” he said.

Mr. Varadkar said the cost would fall primarily to private sector employers in industries such as retail and hospitality. He said they had more than five months’ notice before the increase took effect on January 1st, 2018.rs and at least 150,000 workers will benefit.

Business groups representing employers in retail and hospitality industries have pointed out that Ireland’s minimum wage is already one of the highest in Europe and have claimed there is “no economic basis” for a 30 cent per hour increase in the minimum wage as Brexit looms on the horizon.

In a statement following the announcement, employers’ group Ibec said the increase was not justified and warned that it came at a time when businesses were exposed to competitive threats from Brexit.

 

 

Brexit

Brexit Benefits for the Irish Hospitality Industry

Posted on | by Aisling Rafferty

And how Excel Recruitment are insuring we’re ahead of the curve..

By Excel Recruitment’s General Manager Shane McLave

Brexit and its many possibilities and uncertainties has been one of the main topics of conversation for Irish businesses’ since the ‘Leave’ campaign’s win last June. While it’s still unclear what exactly Brexit will look like, Excel Recruitment have already begun taking steps to capitalise on its potential.

Brexit is undoubtedly going to have a massive effect on Ireland. It’s impact is already being felt on our tourism and hospitality trade with visitor numbers from the UK falling this year on the back of weak sterling. However, Britain’s exit may well turn out to be a good thing with Tourism Ireland getting creative and pursuing new markets in North America, Australia and Asia. This hard work is already paying off with visitor numbers from North America up 23%, followed by Australia, up 16%.

In recruitment terms, Ireland has the potential to become a seriously attractive location for both employers and employees. Huge media attention has been given to the chaos Brexit will cause the British hospitality industry with both the British Hospitality Association and Pret a Manger earlier this year, saying it would take 10 years to replace EU hospitality staff after Brexit. (The Guardian, March 17) The number of nurses from other EU countries applying to work in English hospitals has fallen by 96% since the referendum. (The Guardian, March 17) At the risk of being unneighbourly, Britain’s loss could stand to be Ireland’s gain. Young EU nationals eager to travel and gain experience in an English speaking country may now look to Ireland, where the future concerning visas (the cost of which alone will act as a deterrent), working rights and travel are clear cut, to expand their horizons. Not knowing what Brexit will look like may also encourage top Irish talent to stay at home and build their careers here.

The same need for consistency also exists within international businesses based in the U.K. Many keen to maintain close ties with Europe and avoid the red tape and uncertainty of whatever Brexit will be, may begin to look to Ireland as a place to set up operations. By setting up camp in Ireland, multi-national companies’ gain an English speaking workforce with a similar outlook, culture, laws and way of doing things while still benefiting from everything that comes with working within the EU. Ireland is 15 times smaller than Britain so it goes without saying gaining even a fraction of this FDI would make a massive difference.

Indeed, many corporations have already made the move. At least a dozen London city banks have already begun the process of moving some of their operations to Dublin with JP Morgan building a 22-storey tower on the south of the river Liffey and adding to their 500 employees here. (The Irish Times, July 17) This can only be a good thing for the Irish economy with more jobs, more people and more opportunities.

Excel Recruitment have continued to be proactive and stay ahead of the curve. We have actively begun recruiting within the UK and beyond. In recent months, we have placed a number of quality candidates from the UK in roles with our clients and we have seen our database of UK candidates increase dramatically. These candidates come from all sections and levels of the hospitality industry and are all looking to make a move into Ireland and begin working with our top-class clients.

Lifting of Good Friday alcohol ban will extend to restaurants and hotels

Posted on | by Aisling Rafferty

The Good Friday ban on the sale of alcohol is to be lifted from all premises including hotels, restaurants and clubs, by 2018.

The Government is to ensure that the lifting of the ban on the sale of alcohol on Good Friday will apply to all premises rather than be restricted to pubs and off licences.

Minister for Justice Frances Fitzgerald has announced that the Government would not oppose a Private Member’s Bill submitted earlier this year by Independent Senator Billy Lawless. Mr Lawless’ bill sought to remove the 90-year-old ban for pubs and off-licences.

Ms Fitzgerald had pointed out, however, that it would lead to further legal anomalies, and she will today ask her Cabinet colleagues to consider amendments to ensure that the abolition will also apply to restaurants, clubs and hotels.

The Government’s initial intention had been to lift the ban with its own legislation that would aim to reform the sale, supply and consumption of alcohol. The Sale of Alcohol Bill is expected to come before the Dáil later this year, but the Government will remove the prohibition through amendments to Mr Lawless’s Bill, so that the proposals can pass through the Oireachtas well in advance of Good Friday 2018.

A Government source speaking to the Irish Times newspaper said: “While the Bill would, if enacted in its current form, permit the sale of intoxicating liquor on Good Friday in public houses and off-licences, it would not permit such sales in other categories of licensed premises, such as restaurants and hotels. Moreover, it would not apply in the case of registered clubs. It would therefore introduce further anomalies and unfair trading conditions in respect of the sale of alcohol on Good Friday.”

The changes that are to be considered by the Cabinet aim to “to remove these anomalies by allowing for the sale of alcohol in all categories of licensed premises on Good Friday”.