Contribution of hotels industry on unemployment reduction and poverty alleviation :

Abstract

The study aimed at contribution of hotels industry on reduction of unemployment and poverty alleviation in Kampala. The objectives of the study were; To examine the contribution of hotels industry in Kampala, to assess the reduction of unemployment and poverty alleviation in Kampala, to find the relationship between contribution of hotels industry and reduction of unemployment and poverty alleviation This study was confined to Mt. Zion hotel Kampala Uganda. This placed business organization which was chosen to take form of this study because it provided various services and they were packed differently for differentiation to attract more customers and this helped to give information required to accomplish this study hence reliable and valid data was obtained at the end of the study. A stratified sampling procedure was selected from hotel employees so as to ensure representativeness and minimize bias, whereby the strata were composed of different Hotels categories. The Hotels were the main targets for the study. From each of the sampled Hotels, two respondents were selected. The first respondents were persons identified by the Hotels leadership as the staff, and the second was a member of the Hotels governing body. From the findings on table 4.5 the majority of respondents (66.7%) agree that hotels employ 50 permanent staff, who receive above average compensation and also benefit from a 26.7%percent service charge which is distributed monthly, and 6.7% were not sure. From the computation, the findings indicate that hotels affect the development of Kampala levels by 0.05 which reduces unemployment and poverty This is positive significant relationship (r= 0.837) implying that if hotels do perform its functions very well, development will highly affect positively and when hotels are not well development will be highly affected negatively. The study concluded that the development of hotels was very important because without hotels the tourism industry cannot develop since these hotels host tourists from different parts of the world who wish to have recreation in their holidays, however these hotels face a great challenge concerning the service they offer to the tourists. The findings reveal that among the challenges facing the hospitality industry include shortage of qualified personnel, different expectations and different demands of the tourists which make it difficult for every customer to be satisfied due to their different attitudes and different perception on the services they get. Hotels and Tourism sector in Uganda act as the back born of our economic as the second after mining sector increasing the GDP of our country. The government should invite more tourism investors to invest in our country particularly hotels investors that provide meals and accommodation and other tourist facilities both in cities and rural area where the tourists attractions found.