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Abstract
One of the most intense issues in today’s hospitality industry is the growing labor cost, especially pertaining to provision of employee benefits. In such a scenario, the industry must not look at welfare activities as a cost but as an investment for a better future in the business. Survey suggests that employment practices in the business sector of the hotel and related industry tend to be poor. Very few employers in hospitality business meet all of the fundamental norms set by employment legislation and the managers and proprietors are poorly advised or trained about 'good practice'. Poor employment practice is of great worry because, ultimately, it affects India’s triumph in tourism and hospitality market as well as results in provision of inferior quality of employment for many people. Thus there is a need to check the impact of these employment practices on employee productivity in hotels as a major representative segment of the hospitality industry. This study aimed at analyzing the facts of employee productivity in the hospitality industry. The findings of the study suggest that the management of hotels is keen on measuring the productivity of its employees, “Tangible product is the major challenge in measuring the productivity and provision of “Work-Life Balance and “Monitory Benefits are the major boosters of employee productivity.