Women in Hospitality, Travel & Leisure 2020 Review
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MBS Intelligence Women in Hospitality, Travel & Leisure 2020 Review 2019 Edition: Collaborating to Achieve Diversity and Inclusion Contents Welcome Tea Colaianni – Chair, WiH2020 4 Forewords Dame Cilla Snowball – Chair, Women’s Business Council 6 Kate Nicholls – CEO, UKHospitality 7 Executive Summary Elliott Goldstein – Partner, The MBS Group 8 The WiH2020 Charter 10 The numbers: diversity in the HTL sector Research and analysis by The MBS Group 12 Behind the numbers: trends, analysis and the voice of the sector Research by The MBS Group 20 WiH2020 Work Streams: collaboration in action Joanna Aunon – WiH2020 30 Views from the industry Jane Bentall - MD Haven Holidays, Bourne Leisure 38 Zoe Bowley - MD UK & Ireland, Pizza Express 40 Johan Lundgren – Group CEO, easyJet 42 Jillian Maclean – CEO, Drake & Morgan 44 Ann-marie Murphy – Director, People & Development, The Gym Group 46 Karin Sheppard – MD Europe, IHG 48 Phil Urban – Group CEO, Mitchells & Butlers 50 Moving the dial: turning good intentions into real progress on diversity and inclusion Jon Terry – Partner, PwC 52 Leading By example: 5 companies demonstrating commitment to diversity and inclusion Joanna Aunon and Jennifer Dutlow – WiH2020 60 A focus on hiring: a key driver of progress Elliott Goldstein – Partner, The MBS Group 66 Enabling work and family: emotional, cultural and practical steps Jennifer Liston-Smith – Director, My Family Care 72 Executive mentoring: bringing the outside in Jamie Wilson – MD Group Services, Criticaleye 74 Further reading 76 Acknowledgements 78 WiH2020 Masterclasses 79 About us 80 4 Welcome he WiH2020 (Women in Hospitality, Our 2019 report highlights that the progress TTravel and Leisure 2020) campaign made so far is encouraging. The sector is was launched at the end of 2017 to assess making great strides towards the target of whether the sector would achieve the target 33% women in FTSE 350 leadership teams by set by the Hampton-Alexander Review of 2020 and there are signs that momentum is 33% women in senior executive positions being built in a sustainable way, with gender across FTSE350 companies. diversity amongst Direct Reports (into the Executive Committee) looking particularly The inaugural WiH2020 report published in promising right across the sector. early 2018 highlighted that while companies across hospitality, travel and leisure were However, it is also clear that there remains making progress towards increasing gender a great deal of work to do. Over the last year, representation at senior levels and identifed the gap between companies performing pockets of excellence, the industry faced well and those that still have a way to go has some tough challenges ranging from widened. Despite an ever-increasing pool operational barriers to an outdated cultural of female executives and non-executives to mindset. The lack of role models and senior choose from, women occupy just 7% of the infuencers and the signifcant loss of talented CEO, CFO and Chair triumvirate in FTSE 350 women at middle management level were HTL businesses, and only 10.4% of CEO roles also highlighted as key challenges. across the HTL sector are held by women. It looks like this shortage of women in key Since the launch of the 2018 report, the leadership roles is unlikely to change in industry has come together with the aim the near term. of making a real and lasting difference in gender representation through the WiH2020 The spotlight has been on listed businesses collaboration platform. Over 50 of the largest for a number of years now, so it is not employers in the sector are meeting regularly surprising that FTSE companies in the sector and sharing best practices, learning from have made strides towards greater gender each other, identifying tangible actions for diversity. However, since our last report, the collaboration and amplifying the impact of emergence of mandatory gender pay gap individual initiatives. In 2018, we launched reporting has helped to ensure that the issue the Diversity in HTL Charter and some of the is pushed up the agenda even for non-listed largest employers in the sector have now businesses who have until now been under signed up to the Charter. Many CEOs are less public scrutiny. Our research shows that, making a personal commitment in relation while the number of women on Boards is to the 10 action points listed in the Charter to lower for non-listed businesses, they compare both their internal and external stakeholders well with the FTSE 250 for gender diversity and I am hugely grateful for their support when it comes to their Executive Committees and participation in the WiH2020 campaign. and Direct Reports. For the frst time, the 2019 Review has This collective momentum is starting to show looked beyond gender and thrown light clear results and there is a real opportunity on the lack of ethnic diversity amongst for companies in the Hospitality, Travel and the sector’s senior leaders. BAME (black, Leisure sector to lead the way. I look forward Asian and minority ethnic) talent is to more CEOs engaging with the WiH2020 signifcantly under-represented, with just campaign, signing the Diversity in HTL 1 in 33 leaders (Combined Board, ExCo Charter and joining the many collaboration and Direct Reports) across the whole HTL initiatives we have planned for this year. sector. This is an area WiH2020 will focus on over the coming months. I would like to thank the Sponsors of this Review - Jon Terry at PwC and Elliott Change is happening. However, a sustained Goldstein at The MBS Group and their teams and systematic focus is still required, - for their great support throughout the year, especially on all aspects of recruitment, as well as a number of visionary CEOs and development and retention. The progression Senior Leaders across the sector for their of women remains a key objective, coupled time, encouragement and contribution. with an emphasis on creating an environment in which all talent can thrive, leadership stereotypes are challenged and individuals are valued for their skills and capabilities. The 2019 report showcases some best in class examples from the most progressive organisations in the industry, as well as some ground-breaking collaboration initiatives where companies, working together under the WiH2020 umbrella, are making a real Tea Colaianni difference, such as the launch of the frst Chair and Founder WiH2020 ever cross industry Returners Programme Diversity in Hospitality, Travel and Leisure – Comeback to HTL – aimed at attracting and supporting women returning from a career break. CHAPTER TITLE HERE 6 Forewords elivering a workplace ft for the 21st Female role models are key and we need DCentury, one which harnesses the power to see more of them flling top executive- and potential of women, is not only the level roles within this sector. Our work on right thing to do but is good for business. the Women’s Business Council has also It is estimated that bridging the gender highlighted just how important it is for men pay gap in work would add £150 billion to become the agents of change within their to the UK economy by 20251 sector as well. Everyone has a role to play. This is why the work of the WiH2020 Transparency is also key. The recent gender campaign, with its ambition for 33% of pay gap reporting regulations are already executive leadership positions being held playing a key role in highlighting gender by women by 2020, is so vitally important. inequalities. The work of the WiH2020 campaign complements this drive for It is great to see just how much progress transparency, supporting companies has been made over the past year. in assessing where they are on this agenda For the frst time, there are no all-male and then begin to take action to resolve FTSE 250 boards in the Hospitality, Travel any inequalities in the way their companies and Leisure sector (HTL) and the number are governed. of women on these boards has increased. The HTL sector in the UK must build on Taking an average across the sector, the the momentum highlighted in this report percentage of women among Direct Reports demonstrating that it is a world leader to the executive committee has already on this agenda. signifcantly surpassed the Hampton- Alexander target of 33%. It is possible that the same target could be reached regarding the composition of executive committees by the end of 2020, but this will require a concerted, cross-industry effort. However, the report also makes clear that a step change is still required if the sector is to improve its gender balance at CEO, CFO and Chair levels. There is a large Dame Cilla Snowball number of women entering the HTL sector Chair of The Women’s Business Council at more junior grades, yet this is not refected within these senior executive roles. 1 McKinsey, ‘The Power of Parity: Advancing Women’s Equality in the UK’ (2016) 7 he hospitality sector is one of the most and diversity in the sector. As part of this Tdiverse and exciting in the UK. We are pledge UKHospitality together with Odgers the 3rd largest private sector employer in the Berndtson, Elliotts and BT Sport have set up country, providing employment for 3.2 million the frst industry-wide mentoring initiative people, which is double the number which was launched at the BT Tower in in fnancial services. Hospitality businesses London in October. The initiative aims to help spend £10 billion on capital each year in female managers working in hospitality and local communities around the UK. The sector leisure to break through into senior executive creates £130 billion in economic activity, and board level roles. more than the automotive, pharmaceutical and aeronautical sectors combined. We are also very pleased to throw our full Our businesses also pay £39 billion in taxes, weight behind the Women in Hospitality providing vital funds for national and local Travel and Leisure 2020 initiative, which public services.