The Struggle Behind the Bar: Why Fair Pay and Security Matter in Hospitality

The Struggle Behind the Bar:

Why Fair Pay and Security Matter in Hospitality

The closure of 68 Pizza Hut restaurants and 11 delivery sites across the UK marks another major setback for the struggling hospitality industry, with 1,210 workers facing redundancy in towns and cities from Brighton and Hull to Bristol, Leeds and Edinburgh.

Administrators have blamed rising costs, tax pressures, and difficult trading conditions for the collapse of DC London Pie Ltd, the franchise company that only took over Pizza Hut’s UK restaurants earlier this year after a previous insolvency.

While the global owner, Yum! Brands, has stepped in to save 64 sites and protect 1,276 jobs, the loss of so many venues underscores the deepening crisis facing hospitality workers as insecurity, low pay, and corporate restructuring continue to threaten livelihoods nationwide.

To many, the hospitality industry may look busy from the outside — bustling restaurants, lively pubs, and crowded hotels — but behind the scenes, the picture is far less rosy.

Post-Pandemic Pressure

After the pandemic, the sector was hailed as one of England’s comeback stories. Yet in 2025, the cracks are showing. Many workers are still living hand to mouth, juggling insecure hours, patchy contracts, and poor pay, while businesses face intense pressure to cut costs.

According to UK Hospitality, there are over 130,000 job vacancies across the sector, almost half as many again as before the pandemic shutdown. But that doesn’t mean workers have the upper hand. In many places, low wages, short-term contracts, and reliance on tips have become the norm.

Employers are struggling to attract and keep staff, but too many still treat fair pay as optional. For workers, that means burnout, stress, and little chance of building a stable future.

Rising Costs and Falling Morale

At the same time, rising costs and shrinking margins have left many venues on the brink. Energy bills, food prices, and rents have all soared, and businesses are forced to do more with less.

For staff, that translates into longer hours, fewer breaks, and pressure to deliver “exceptional service” without the reward to match. When hospitality giants boast about recovery and record bookings, it’s the workers who make it possible — and yet they are the ones feeling the squeeze.

Fair Tips and Fair Treatment

Tipping reform was supposed to help, but too often, service charges vanish into company coffers instead of workers’ pockets.

The new Fair Tips rules can only work if enforced — and Trade Unions such as the Workers of England Union (WEU) have a crucial role to play in making sure that happens. Every pound in tips should go to the person who earned it, not the boardroom.

Respect, Pay, and Progression

Hospitality is also facing wider challenges: staff shortages, skills gaps, and rising expectations from customers. But there’s one solution that would help tackle them all — treating workers with respect, paying them fairly, and offering real training and progression.

A fair wage and decent conditions aren’t just moral issues; when applied by an employer, they are good for business.

Stephen Morris, General Secretary of the Workers of England Union, said:

“It is disgraceful that once again workers across England are being undervalued and underpaid. The WEU is fighting for its members, campaigning for fair pay, secure contracts, and transparent tipping.

The message to employers and policymakers alike is simple: the hospitality industry can’t rebuild itself on the backs of underpaid, overworked staff. A thriving hospitality sector depends on a workforce that’s valued, protected, and paid what they deserve.”