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Rural Tourism Cluster

The Inconvenient Reality Behind the Greek Tourism Success Story: What New Research Reveals About Working Conditions in Tourism and Hospitality

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*By Dr Charalambos Giusbasoglou, Professor at Bournemouth University

The Greek tourism industry is currently enjoying one of the most successful periods in its history. In recent years, Greek tourism has been breaking records for visitor numbers, tourism revenue and investment, and the country is now one of Europe’s leading tourist destinations. According to the data presented in the new research report *Fair Work and Employment Conditions in the Greek Tourism and Hospitality Sector*, tourism and hospitality now account for more than 20% of Greek GDP and total employment, confirming that they are the most critical productive pillar of the Greek economy. The sector’s contribution is not only economic but also social, as in many parts of the country (particularly on islands and in regional destinations) tourism is almost the sole source of income and employment.

However, behind the fictional image of growth and investment, a very different reality emerges when it comes to work. The research, which is based on a nationwide sample of tourism and hospitality workers, shows with particular clarity that the Greek tourism “miracle” continues to be based on a working model characterised by intense flexibility, seasonality and a high degree of job insecurity. Although in some companies – mainly larger ones or chains – clear improvements are evident in terms of staff management and professionalism, the overall picture remains deeply contradictory. The research reveals that two distinct worlds of work coexist in Greek tourism: on the one hand, there are companies that offer a decent working environment, organised procedures and basic job security, whilst on the other, a large proportion of workers face gruelling daily working hours, undeclared or partially declared work, job insecurity, low wages and, often, abusive behaviour.

The particularly worrying aspect of the study is that many of these conditions now appear to have become the norm. Workers do not describe pressures, burnout or job insecurity as temporary distortions of the system, but as a “normal” part of working in tourism. It is precisely this normalisation of precariousness that is perhaps the most serious finding of the research, as it reveals that the problem is not confined to certain employers or individual cases, but relates to deeper characteristics of the productive model of Greek tourism itself.

The growth of Greek tourism and the paradox of the labour crisis

The impressive economic growth of Greek tourism is accompanied by an equally striking contradiction: as investment, visitor numbers and tourism revenue rise, it becomes increasingly difficult for many businesses to recruit and retain staff. The research highlights that the sector is now entering a period of severe labour shortages, which are expected to intensify dramatically over the next decade. This phenomenon cannot be explained solely by demographic or educational factors. On the contrary, it is directly linked to the quality of work offered by the sector.

For decades, Greek tourism was based on a model characterised by low labour costs, intense seasonality and increased flexibility. This approach was considered essential for maintaining the competitiveness of the Greek tourism sector. However, the research shows that this particular model now appears to be reaching its limits. New generations of workers appear much less willing to accept gruelling hours, uncertain working conditions and limited career prospects. Working in tourism is no longer necessarily seen as attractive or sustainable in the long term, especially when compared to other sectors or job opportunities abroad.

The study shows that seasonality continues to be a key factor in creating insecurity. Almost half of the participants state that they work or have worked seasonally in recent years, which implies constant uncertainty about the future, limited ability to plan their careers and dependence on the conditions of each tourist season. Seasonal work affects not only the stability of income, but also the entire social and personal life of workers. Many are forced to move to different destinations every year, live far from their families and adapt to temporary conditions that have a profound impact on their mental well-being.

This constant insecurity creates a paradox: tourism is the country’s most powerful economic sector, yet a large proportion of its workers are unable to feel a sense of professional and financial security. The research shows that many workers now view their work not as a career prospect but as a temporary and exhausting means of survival.

The reality of everyday work: intensification, burnout and “semi-compliance”

One of the most important findings of the research concerns the significant gap between the institutional image of work and workers’ actual experience. On a formal level, the majority of participants state that they have a written employment contract and that companies appear to operate in accordance with the legal framework. However, everyday work experience reveals a different reality, where formal compliance often coexists with informal practices that violate labour rights.

The research uses the particularly apt term “semi-compliance” to describe this situation. In other words, many companies appear to be operating within the law on paper, but in practice they operate with considerable flexibility to the detriment of their workers. Workers report instances of undeclared overtime, discrepancies between the hours stipulated in their contracts and their actual working hours, late payments, or even parts of their wages being paid “under the table”.

This situation is directly linked to the intense increase in workload. Many workers describe an environment of constant pressure, where staff shortages and the increased demands of the tourist season result in an excessive workload. Participants speak of working seven days a week without a day off, shifts lasting more than 10 hours, and daily physical and mental exhaustion. Work is often described as a “survival marathon”, particularly during the peak months in seasonal occupations.

It is also worth noting that a large proportion of workers believe that wages do not reflect either the intensity of the work or the increased cost of living in tourist destinations. The problem is not only the level of pay but also the feeling that their work is undervalued. Workers directly link low wages to a broader culture of devaluing work in the sector.

Even more worrying are the figures on psychological pressure, verbal abuse and abusive behaviour in the workplace. The survey reveals particularly high rates of verbal and psychological abuse, whilst a significant number of workers report that they are systematically subjected to bullying or humiliating behaviour. This pressure comes not only from superiors but often also from customers, which highlights the profound power imbalance that characterises work in the hospitality sector.

Of particular interest is the fact that several workers regard these behaviours as being somewhat “to be expected” within the context of tourism work. This shows that abusive or exhausting work is not always treated as an exception but as part of the industry’s culture.

The housing issue for seasonal workers

One of the most revealing aspects of the survey is the analysis of the housing conditions of seasonal workers. This issue is now emerging as one of the most significant social and operational challenges facing Greek tourism.

The growth of tourism, particularly on the islands and in popular destinations, has led to a sharp rise in housing costs. Short-term rentals and increased demand from tourists are drastically reducing the availability of housing for workers. As a result, many workers are now entirely dependent on the accommodation provided by their employer.

Although several companies provide accommodation, the quality of this accommodation is often problematic. The survey documents cases of overcrowding, shared rooms, inadequate facilities and a lack of basic comfort and privacy. In many cases, workers state that the actual living conditions differ significantly from those agreed upon before they were hired.

The housing problem therefore takes on a twofold dimension. On the one hand, it is a matter of human dignity and quality of life; on the other, it is becoming a serious operational problem for the tourism sector itself. More and more workers are refusing to move to destinations where they cannot secure decent living conditions. This further exacerbates staff shortages and makes it difficult for businesses to operate.

The research highlights that the problem can no longer be tackled in a piecemeal manner or as the sole responsibility of individual businesses. On the contrary, a comprehensive strategic policy is required to address the housing needs of tourism workers, particularly in areas experiencing high tourist pressure.

The “fair work” condition as a prerequisite for the sustainability of Greek tourism

Perhaps the most important conclusion of the research is that improving working conditions is not only a moral or social obligation but a strategic economic necessity for the future of Greek tourism.

The sector now faces a critical dilemma. Can it continue to grow on the basis of the existing model of intensification and low labour costs, or will it need to invest substantially in the quality of employment? Research clearly shows that without improvements in wages, working conditions, housing and institutional protection for workers, staff shortages will intensify and the sector’s attractiveness will continue to decline.

The quality of work is now directly linked to the quality of the tourism product. An exhausted, frustrated or insecure employee can hardly provide a high-quality hospitality experience. On the contrary, businesses that invest in decent working conditions, professional development and substantial staff support seem to achieve better staff retention, greater organisational stability and a higher quality of service.

The real stakes, therefore, do not concern labour justice alone, but the very future of the Greek tourism model. The next phase of development for Greek tourism will not be determined solely by investment, infrastructure or visitor numbers. It will be judged primarily on whether the sector can be transformed into a workplace that offers dignity, stability and genuine career prospects to the people who keep it running every day.

Note: This research forms part of a wider international study on working conditions in the tourism industry, including the hospitality and catering sectors, which was carried out in a total of 16 countries under the auspices of the Global Hospitality Research Alliance (GHRA). Researchers from five universities collaborated on the Greek study: the University of Strathclyde, Bournemouth University, the University of Piraeus, Nottingham Trent University and Manchester Metropolitan University.

The full research report is available in English HERE

The official presentation of the research will take place at the University of Piraeus on Wednesday, 20 May, at 15:00, in the main building of the University.

Applications to take part can be submitted HERE

Source: money-tourism.gr