Hospitality Salary Trends 2025 – What Employers Need to Know

The hospitality industry is facing a period of change, with salaries and benefits evolving to meet candidate expectations. The latest Hospitality Salary Trends 2025 report by Caterer.com provides essential insights for employers looking to attract and retain top talent.

Over the past five years, wages have increased by 25%, showing steady progress. However, compared to the UK-wide median salary of £35,650, hospitality still lags behind and only 56% of hospitality workers are satisfied with their pay, placing the industry among the top five least satisfied sectors.

So, what can be done?
✅ Offer Competitive Salaries: Even small pay rises (1% – 5%) can improve retention. Salary increases help businesses stay competitive while reducing hiring costs
✅ Be Transparent About Pay: Clarity attracts better applicants. 83% of candidates prefer job ads with salary details, and 72% abandon applications without them. Clarity attracts better applicants
✅ Expand Benefits That Matter: Employees value flexible working (84% prefer it over a pay rise), enhanced sick pay (30% want it, but only 2% of employers offer it), and career development (58% won’t apply without it)
✅ Invest in Retention: Regular pay reviews, career growth plans and mentorship help employees feel valued and reduce turnover

With hospitality job postings up 35% year-on-year, competition for talent is fierce. By offering fair pay, meaningful benefits and clear career growth, businesses can attract and retain the best talent in 2025 and beyond.

28th April 2025

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