Assessing the Effects of COVID-19 on Hospitality and Tourism Employment

by Anjali Xess, Anup Kumar, Gurjeet Kaur, Siddharth Bedi

Published: October 29, 2025 • DOI: 10.51584/IJRIAS.2025.1010000023

Abstract

The hospitality and tourism industry is one of the biggest contributors to the GDP and employment in India, but like many service sectors, they are significantly vulnerable to global shocks such as the COVID-19 pandemic. The study examines the impact of COVID-19 on India's hospitality and tourism industry using secondary data collected from government reports, academic papers and credible industrial sources. It reports a steep decline in tourist arrivals, causing massive revenue losses and significant job disruption for 14.5-40 million workers. The most affected sub-sectors included hotels, aviation and travel services that were faced with operational and financial challenges. The recovery has been uneven. Domestic tourism has rebounded quickly than international travel. Government initiatives such as Dekho Apna Desh and skilling programs have played a significant role in stimulating demand and supporting the hospitality and tourism development. This study highlights the importance of the need for sustainable recovery strategies focused on workforce re-skilling strategies, investment in infrastructure, and data-driven policy planning to help build resilience within the sector. This study adds value to the existing literature around post-pandemic tourism recovery and provides a basis for future field-based research and policy.