How outsourcing can help relieve staffing shortages

While many hotels have outsourced some or all of their housekeeping for years, the significant labor challenges produced by COVID-19 have heightened the need to outsource.

“Staffing has been incredibly difficult through COVID-19. Staffing has improved, but is still a challenge,” said Jason Reader, SVP of operations for Dallas-based Remington Hotels.

Before COVID-19, many of Remington’s properties outsourced housekeeping, more as a supplemental staffing solution than the majority being outsourced, Reader said. Now, around 90 percent of its hotels outsource housekeeping in some capacity.

The need for outsourcing is also based on location and season, according to hotel operators. “We have always had a greater need for outsourced housekeeping in markets such as Key West [Fla.,] versus other markets that have a stronger labor base,” Reader said.

“Depending on the market or location, outsourcing has been instrumental during peak season or citywide events,” said Lisa Drake, VP, development and owner relations for GF Hotels & Resorts in Philadelphia. “Outsourcing has and will most likely continue to be a labor source for GF Hotels & Resorts.”

When the labor market returns to “normal,” Remington likely will reduce its dependence on staffing companies and return to its previous model of using outsourcing as a supplemental solution, according to Reader. “Ideally, we want to hire, train and retain our associates so we keep the culture strong,” he said.

Ongoing Outsourcing

However, “in some markets, mainly heavy leisure resort markets, we will continue to rely heavily on outsourced labor,” he added.

As much as GF “values its partnership with outsourcing companies, our goal is to continue to hire our own associates while outsourcing where and when the need exists,” Drake said.

However, Tim McPherson, president of Hospitality Staffing Solutions, foresees plenty of room for future growth.

“While hotels have seen recovery in overall demand, they have not yet seen a full rebound due to group/business travel still lagging prepandemic levels. So, while the demand for staffing services has increased given higher occupancy rates that hotels are seeing, in our opinion there is still more growth in the future as service levels and frequency of room cleaning returns to daily,” McPherson said.

Due diligence in finding the right company and checking references are key when outsourcing housekeeping, according to the management companies and HSS.

“Do your vetting at the beginning to ensure you are hiring the right company. Check references, and ideally the company should be handling other hotels in the market,” Reader said.

“Be sure you contract with a reputable company and check references on that company,” Drake echoed.

Work with the outsourcing supplier on a long-term basis, suggested McPherson. “Calling a staffing firm at the last minute will lead to rushed decisions and a lack of consistency,” he said. “While you may have short-term needs, it pays to start a relationship long beforehand so that you have a resource ongoing.”