Warning of two tier recovery as hospitality sector in the West faces major post Covid challenges

Galway Bay fm newsroom – A representative group has warned there will be 3,730 fewer jobs in the drinks and hospitality industry in the West in 2022 due to the continuing impact of pandemic.

The analysis compiled by the Drinks Industry Group of Ireland has warned of a two-tier recovery in 2022, with hospitality facing major post-Covid challenges despite the broader economy’s ongoing recovery as the country approaches full vaccination.

The study predicts 140,000 people will be employed by drinks and hospitality businesses in 2022, down from almost 180,000 in Q4 2019.

It also finds rural areas, women, and young people are likely to be disproportionately affected by industry contraction.

In the final quarter of 2019, prior to the onset of the pandemic, in the West region, which includes the counties of Roscommon, Galway and Mayo, 7.5% of the adult population were employed in drinks and hospitality jobs – 6.8% in Galway alone.

Drinks Industry Group of Ireland is calling for a 7.5% reduction in excise tax in October’s Budget to help the industry weather this difficult trading environment.