Tourism and Labor Markets in Transition: Sustainability, Equity, and Workforce Resilience in the Post-Pandemic Era

Zsófia, Tóth and Ágoston, Szabó and Aušra, Balčiūnaitė and Inna, Sorina and Nilsson, Tørbjörn (2025): Tourism and Labor Markets in Transition: Sustainability, Equity, and Workforce Resilience in the Post-Pandemic Era.

Abstract

Tourism is one of the world’s most labour-intensive sectors, generating employment across hospitality, transport, retail, and cultural industries. Yet, despite its contributions to economic growth, tourism employment is often characterized by precarity, informality, and vulnerability to external shocks. This literature review synthesizes recent scholarship (2023–2025) on the relationship between tourism and labour markets, with particular attention to the disruptions and transformations triggered by the COVID-19 pandemic. The review identifies three central themes: the quantity versus quality of jobs, the growing emphasis on sustainability and skills development, and persistent challenges of equity and inclusivity. Empirical studies from Europe, Asia, and beyond demonstrate that while tourism can stimulate local labour markets and generate spillover effects, employment outcomes are highly contingent upon regulatory frameworks, institutional strength, and regional economic structures. The discussion highlights tensions between flexibility and security in tourism employment, the underrepresentation of worker experiences, and the uneven geographical focus of current research. Identified gaps include the need for longitudinal and mixed-method studies, intersectional analyses of inclusivity, and investigations into the role of technology in reshaping the workforce. The paper concludes that tourism remains both a promise and a paradox for labour markets: it creates employment opportunities but also reproduces inequalities and vulnerabilities. Future research and policy must therefore focus on integrating tourism into broader labour market strategies, ensuring sustainable, inclusive, and resilient employment in the 21st century.

• Item Type: MPRA Paper
• Language: English
• Keywords: Tourism employment; labour markets; workforce sustainability; inclusivity; labour regulations; COVID-19 recovery; gender inequality; informality; skills development; economic resilienc
• Subjects: J - Labor and Demographic Economics > J0 - General

References

1. Conti, L., Francesconi, M., Papini, G., & Serafinelli, M. (2025). Tourism and growth in the local labor market (IZA Discussion Paper No. 17933). IZA Institute of Labor Economics. https://doi.org/10.2139/ssrn.4927683 2. Dobrotă, G. G., et al. (2025). Analysis of the tourism labor force structure in Bucharest. HOLISTICA – Journal of Business and Public Administration, 16(1), 27–35. https://doi.org/10.2478/hjbpa-2024-0002 3. Gazilas, E. T. (2024). Economic Factors Influencing Homicide Rates: A European Perspective. Journal of Applied Economic Research, 23(2), 258-278. 4. Erzsebet, I. (2024). Examining the contribution of tourism to employment in the European Union. Journal of Tourism Theory & Research, 10(2), 75–82. https://doi.org/10.24288/jttr.1513287 5. Eurostat. (2024, May 29). Tourism labour force dominated by women; EU employment in tourism industries. Eurostat News. https://ec.europa.eu/eurostat/web/products-eurostat-news/w/ddn-20240529-1 6. Gazilas, E. T. (2024). Factors influencing life expectancy in low-income countries: a panel data analysis. Journal of Applied Economic Research, 23(3), 580-601. 7. Hatzimarinakis, S., & Hackl, P. (2025). Tourism and employment: New Tourism Satellite Accounts results for Greece. Tourism Economics, 31(5), 1123–1140. https://doi.org/10.1177/13548166241296334 8. Madhumini, T. R. P. (2024). Impact of tourism employment on economic growth. International Journal of Research and Scientific Innovation, 11(6), 240–244. https://doi.org/10.51244/IJRSI.2024.11641 9. Mamatzakis, E., Pegkas, P., & Staikouras, C. (2023). Labour market regulations and efficiency in the tourism industry. Tourism Economics, 29(4), 1032–1054. https://doi.org/10.1177/13548166221086587 10. Mooney, S., Robinson, R., Solnet, D., & Baum, T. (Eds.). (2024). A sustainable tourism workforce: Current issues. Routledge. https://doi.org/10.4324/9781003436546 11. Nguyen, P. C., Schinckus, C., Chong, F. H. L., Nguyen, B. Q., & Tran, D. L. T. (2025). Tourism and contribution to employment: Global evidence. Journal of Economics and Development, 27(1), 22–37. https://doi.org/10.1108/JED-07-2024-0269 12. Gazilas, E. T. (2025). The algorithm made me visit. Annals of Tourism Research, 114, 104007. https://doi.org/10.1016/j.annals.2025.104007 13. Organisation for Economic Co-operation and Development (OECD). (2024). OECD tourism trends and policies 2024. OECD Publishing. https://doi.org/10.1787/17ff33a3-en 14. Parzych, K. (2025). Analysis of the labour market in the tourism sector in Poland in statistical terms before, during and after the COVID-19 pandemic. Environmental & Socio-economic Studies, 13(2), 35–47. https://doi.org/10.2478/environ-2025-0010 15. Petrovič, F., Bieliková, H., Beták, N., Sofer, M., & Králik, R. (2025). The requirements of the tourism labour market for sustainable growth and skills development. Journal of Education Culture and Society, 16(1), 831–841. https://doi.org/10.15503/jecs2025.1.831.841 16. Gazilas, E. T. (2024). Empirical analysis on the impact of labour market regulations on uninsured employment in Greece. Economics of Development, 23(1), 8–17. 17. Solís, A. T., & Gil, G. L. (2024). The impact of tourism on the labor market of local service industries in Barcelona. Law and Economy, 3(7), 21–29. https://doi.org/10.61362/le030721 18. Xiǎngxiàng, H., & Meeprasert, T. (2024). Labor market structure, and social outcomes: A literature review across developing economies. [Unpublished manuscript]. 19. Zhang, Y., Silva, B., Moreau, É., & Tāne, H. (2025). Financial ratio analysis: A literature review [Working paper].