India tourism could face 11 million-worker shortfall by 2035: CBRE

CBRE projects a potential shortfall of around 11 million tourism workers in India by 2035. Hotel expansion into tier-II and tier-III locations is creating training gaps, prompting calls for better retention, decentralised training and specialised skills.

Source published First seen

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The numbers

Tourism direct and indirect employment: 84.6 million
FY2024 domestic visitor spending: USD 162.9 billion
FY2024 international visitor spending: USD 32.5 billion
FY2024 tourism GDP contribution: 5.2 per cent

Why it matters to operators and investors

Build local training and retention programmes into tier-II and tier-III hotel expansion plans to reduce staffing risk as capacity grows.

What to watch next

  • Announcements of hotel-linked training centres in tier-II and tier-III markets
  • Hotel disclosures showing rising vacancies, attrition or employee costs
  • Hotel opening delays explicitly attributed to staffing shortages
  • Training-provider disclosures showing higher completion and hotel-placement rates

The counter-case

The 11 million-worker gap is a long-range scenario, not an observed shortage. Slower tourism growth, delayed hotel openings, higher wages, worker mobility and productivity gains could materially reduce it. The signal also lacks a clear link to listed retailers’ earnings or near-term operating costs.