A Guide to Salaries in the Hospitality Industry
Hospitality is a growing and diverse industry, offering a wide range of career opportunities across various sectors, including hotels, restaurants, event planning, and more. Understanding what kind of salaries you can expect to receive is an important consideration for anyone considering a career in this varied industry.
This article will explore the salaries of different roles within the hospitality industry, the factors affecting these salaries, and the future outlook for hospitality professionals. Institutions like Les Roches play a vital role in shaping the future of hospitality by providing world-class education and internship opportunities.
Overview of Hospitality Salaries
Hotel Management Salaries
Hotel management is one of the most prominent sectors within the hospitality industry. Salaries in hotel management can vary significantly based on the size of the hotel, its location, and the specific role. According to the U.S. Bureau of Labor Statistics (BLS), hotel managers earn a median salary of $65,360 per year, which equates to an hourly rate of $31.
Salary Breakdown by Hotel Size
- Under 150 Rooms or Annual Revenue Under $3,000,000:
- General Manager (Select Service): $59,400 – $78,800
- Director of Sales (Select Service): $53,300 – $70,600
- General Manager (Full Service): $76,500 – $101,400
- Director of Sales (Full Service): $68,800 – $91,200
- 150-250 Rooms or Annual Revenue $3,000,000 – $6,000,000:
- General Manager (Select Service): $72,000 – $95,500
- Director of Sales (Select Service): $65,200 – $86,400
- Front Office Manager (Select Service): $51,800 – $68,700
- General Manager (Full Service): $88,100 – $116,800
- Director of Sales (Full Service): $79,500 – $105,300
- Front Office Manager (Full Service): $60,300 – $79,900
- 250-350 Rooms or Annual Revenue $5,000,000 – $10,000,000:
- General Manager: $109,500 – $145,200
- Assistant General Manager: $86,600 – $114,800
- Director of Sales: $85,200 – $113,000
- Sales Manager: $57,600 – $76,400
- Director of Catering: $72,600 – $96,200
- Director of Food and Beverage: $83,000 – $110,000
- Executive Chef: $80,200 – $106,200
- Executive Housekeeper: $63,600 – $84,400
- Front Office Manager: $61,100 – $81,000
Restaurant Management Salaries
Restaurant management is another critical area within the hospitality industry. Salaries in this sector can also vary widely based on the type of restaurant and its revenue.
Full-Service Restaurants
- Annual Revenue Under $2,500,000 per location:
- Multi-Unit Manager (3-5 locations): $84,000 – $111,200
- General Manager: $66,400 – $88,000
- FOH Manager: $52,600 – $69,800
- Executive Chef: $61,700 – $81,600
- Sous Chef/Kitchen Manager: $48,600 – $64,500
- Annual Revenue $2,500,000 – $5,000,000 per location:
- Multi-Unit Manager (3-5 locations): $97,200 – $128,800
- General Manager: $75,800 – $100,500
- FOH Manager: $58,400 – $77,400
- Executive Chef: $71,400 – $94,600
- Sous Chef/Kitchen Manager: $54,600 – $72,400
- Annual Revenue $5,000,000 – $10,000,000 per location:
- Multi-Unit Manager (3-5 locations): $121,300 – $160,800
- General Manager: $84,600 – $112,200
- FOH Manager: $63,500 – $84,200
- Executive Chef: $79,100 – $104,900
- Sous Chef/Kitchen Manager: $62,400 – $82,800
Fast Casual and Quick Service Restaurants
- Fast Casual Restaurants:
- Multi-Unit Manager (4-6 locations): $80,500 – $106,800
- General Manager: $58,800 – $78,000
- FOH Manager: $46,700 – $61,900
- Quick Service / Fast Food Restaurants:
- Multi-Unit Manager (4-6 locations): $76,600 – $101,600
- General Manager: $55,500 – $73,600
- FOH Manager: $46,200 – $61,300
Private Club Management Salaries
Private clubs offer another avenue for hospitality professionals, with salaries often reflecting the exclusive nature of these establishments.
- Annual Revenue Under $5,000,000:
- Chief Operating Officer: $130,000 – $172,000
- General Manager: $114,200 – $151,500
- Clubhouse Manager/Food & Beverage Director: $73,200 – $97,000
- Executive Chef: $78,800 – $104,500
- Catering Director: $60,100 – $79,700
- Membership/Marketing Director: $62,500 – $82,900
- Course Superintendent: $86,200 – $114,300
- Annual Revenue $5,000,000 – $10,000,000:
- Chief Operating Officer: $151,000 – $200,300
- General Manager: $131,300 – $174,100
- Controller: $74,700 – $99,100
- Clubhouse Manager/Food & Beverage Director: $89,400 – $118,500
- Executive Chef: $90,600 – $120,200
- Catering Director: $70,800 – $93,800
- Membership/Marketing Director: $73,500 – $93,800
- Course Superintendent: $96,900 – $131,700
Factors Affecting Hospitality Salaries
Several factors can influence salaries in the hospitality industry, including experience, education, location, and the specific employer.
Experience
Experience tends to have the most significant influence on earning potential. For instance, a catering director with a proven track record of successful events will likely command a higher salary than someone new to the industry.
Education
Most hospitality manager positions typically require a bachelor’s degree. Advanced degrees, such as a master’s in hospitality management, can open doors to higher-paying senior roles. Institutions like Les Roches offer specialised programs and hospitality internships that significantly improve your employability and earning potential.
Location
Salaries can vary significantly based on geographic location. For example, hospitality managers in high-cost living areas like San Francisco or New York City tend to earn more than those in smaller markets.
Employer
The specific employer can also impact salaries. High-end luxury hotels and exclusive private clubs often offer higher salaries than budget hotels or smaller establishments.
Future Outlook for Hospitality Salaries
The hospitality industry is expected to grow, with increasing demand for skilled professionals. According to the American Hotel & Lodging Association, U.S. hotels are projected to pay employees a record $123 billion in wages, salaries, and other compensations in 2024, up 4% from 2023 and 20% from 2019. However, the industry still faces challenges like staffing shortages and inflationary pressures.
The Impact of Education and Internships
Education and internships play a significant role in determining salaries in the hospitality industry. Graduates from renowned institutions like Les Roches, which offers specialised programs in hospitality management, often command higher starting salaries. Internships provide valuable hands-on experience, making graduates more attractive to potential employers.
Trends in Employee Benefits
In addition to salaries, employee benefits have become a significant factor in attracting and retaining talent in the hospitality industry. According to Horizon Hospitality, the most competitive benefits in 2024 include performance-based bonuses, hyper-flexible scheduling, financial health programs, paid family leave, expanded medication coverage, and growth opportunities.
Statistical Insight: Over 120 countries have laws that ensure paid leave for new parents, yet the US is not one of them. American workers are aware of this and are looking for employers who will proactively step up.
Regional Variations in Salaries
Salaries in the hospitality industry can vary significantly based on geographic location. States with higher costs of living, such as California and New York, tend to offer higher salaries to compensate for the increased living expenses. Conversely, states with lower living costs may offer lower salaries but still provide a good quality of life.
Statistical Insight: The highest wage increases for hospitality workers were in Maine (up 41% over four years), New Jersey (35%), Florida (34%), and Virginia (33%).
The Future of Hospitality Salaries
The future of salaries in the hospitality industry looks promising, with continued growth expected in the coming years. The industry’s recovery from the pandemic has been robust, and the demand for skilled professionals is rising. As the industry continues to evolve, salaries will likely increase, especially for roles requiring specialised skills and experience.
Statistical Insight: Nationally, wages for the bottom 10% of earners have grown more than for the top 10% since 2019, a change that has undone about 40% of the inequality that had built up since 1980.
Conclusion
Understanding the average salaries in the hospitality industry is important for anyone considering this type of work. With the right education, experience, and skills, professionals can command competitive salaries and enjoy a rewarding career. Institutions like Les Roches play a vital role in shaping the future of hospitality by providing some of the best education and internship opportunities in the world.
By weaving in these insights and data points, this article aims to provide a comprehensive guide to hospitality industry salaries, helping job seekers and employers make informed decisions.