Overtourism and employment outcomes for the tourism worker: impacts to labour markets

Abstract

Purpose This paper aims to undertake an ideal-typical analysis of the implications of overtourism on employment at the level of the destination. Design/methodology/approach The paper offers a theoretical analysis that uses as a starting point a traditional labour market model to explore the employment implications of a labour demand shock as a result of overtourism at a destination level. Although a theoretical exploration, examples are provided offering empirical support for the theoretical propositions. Findings Overtourism may lower nominal and real wages, further deepen divisions in an already divided labour market (particularly between local and migrant workers), increase productivity without its benefits accruing to the worker and result in deterioration of working conditions. The study also sets tourism employment within a broader politico-economic framework of neoliberalism. Research limitations/implications This study offers scope for further empirical testing of hypothesized relationships. It also provides a platform to adopt and adapt the theoretical propositions to suit different contexts. Originality/value This study uses overtourism as an ideal-type, combined with an analysis of the labour market to theorise the impacts of a labour demand shock.