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A joint report by the Confederation of Indian Industry (CII) and EY has said that the country’s tourism and hospitality sector is projected to require an additional 61.31 lakh workers to cater to an increasing tourism activities by 2036-37. The CII and EY in a whitepaper titled ‘Employment Landscape in Tourism and Hospitality in India’ provides a forward-looking analysis of employment trends in one of India’s most dynamic sectors and highlights its critical role in driving economic growth and job creation.

It stated by 2036-37, spending in this sector is projected to rise by 1.2 times, driving the need for an additional 61 lakh workers-comprising 46 lakh males and 15 lakh females. This highlights the sector’s pivotal role in gender inclusion and workforce expansion. Tourism and hospitality currently contribute to about 8 per cent of India’s total employment.

Despite setbacks from the COVID-19 pandemic, the sector is witnessing a strong resurgence, fueled by domestic tourism. Further, report stated that India’s tourism industry is a vital engine of economic growth, contributing significantly to employment and GDP of the country. As one of the largest contributors to foreign exchange earnings and employment, the industry’s development is essential for achieving broader economic objectives.

India’s rank on the World Economic Forum’s Travel & Tourism Development Index 2024 has risen to 39th position as compared to 54th position in 2021. Besides, it mentioned in 2023, the sector’s direct contribution to India’s GDP surpassed $231 billion, making India the second-highest tourism GDP contributor in the Asia-Pacific region. To meet this rising demand, report emphasises the need for specialised skills in digital marketing, sustainable tourism, and customer service.