The Importance of Duty of Care to Big Businesses

Duty of Care is more than a legal obligation; it can be the hallmark of a successful business. And successful businesses have one major thing in common: they go above and beyond to care for their customers and employees. 

Doing so fosters trust and loyalty while enhancing safety, reducing risks, and adding credibility to a company’s positive reputation. Take it from Marriott, whose founder's philosophy was famously, “Take care of associates, and they will take care of the customers."  

Many global decision makers agree: according to research from American Express Lens' 2023 Decision Maker Survey of 784 respondents, travel policies are driven by employee duty of care, digitization of processes, and cost containment. The survey found that 68% of respondents ranked employee safety and security as a top priority. 

Additionally, in a 2023 survey of 2,000 U.S. full-time employees across various industries by Alert Media, 85% cited being more concerned about experiencing an emergency at work in 2023 vs. 2022 – indicating room for improvement on duty of care policies.   

For the hospitality industry, duty of care is especially vital. Hospitality is known for paying particular attention to customer care. However, hotels, restaurants, and casinos report being short-staffed. Going beyond the standard duty of care can help businesses lure and retain essential employees and ensure that their customer experience stays strong. 

3 Ways To Go Beyond the Standard Duty of Care in Hospitality

Duty of care in hospitality is the legal and ethical responsibility to ensure guests' and employees' safety, well-being, and security. Here are three ways businesses could go beyond the norm.

1. Be proactive 

Anything can happen in hospitality, and businesses are asked to address problems swiftly. This might include safety concerns and hazards to employee and guest well-being. However, companies could consider implementing the following practices to limit risk before problems exist.  

• Improve training curriculum. Training enhances a customer-centric culture. A 2023 safety report by Alert Media surveyed 2000 employees across various industries and found that 30% of employees want more – or better – safety training, drills, and rehearsals. According to American Express Lens’ 2023 Decision Maker Survey, 88% of surveyed businesses plan to allocate equal or more budget toward employee training and development in 2024 than in 2023. Consider, too, including de-escalation, conflict resolution techniques, identifying security risks, and appropriate reactions in emergencies within the curriculum.
• Enhance cybersecurity. A 2024 report from the World Economic Forum found that 81% of global executives feel more or as exposed to cybercrime than they did last year. Of the organizations that suffered a material cybersecurity incident in the previous year, 41% faulted a third party. Hospitality businesses can collaborate with cybersecurity experts to avoid this risk and protect guest and employee data.
• Invest in digital transformation. Technology upgrades can enhance guest experiences, reduce human error, and increase efficiency. Hotels could consider incorporating or enhancing smart hotel room features like voice-activated functionalities, mobile check-in and check-out procedures, virtual concierge services, and contactless payment choices. 

2. Create safer workplaces

According to a 2024 Bureau of Labor Statistics report, the hospitality sector experiences one of the highest turnover rates of reported industries, with a month-to-month turnover rate of roughly 6%. One 2024 article from BCG proposes that a safer workplace can help to curb attrition. Consider the below suggestions to help improve workplace safety..  

• Enhance staff security. Businesses might partner with security consultants to assess and address risk on-site and establish procedures for emergency scenarios. These procedures may contain evacuation plans, communication guidelines, and medical response plans. Enhanced security on-site could also mean installing panic buttons so staff can request help if they feel uncomfortable or unsafe (with some states requiring them by law). Offsite measures could include implementing an employee tracking system in the event of a safety concern.
• Have a process for raising concerns. Having an issue or crisis and not knowing where to go for support might frustrate workers. Consider creating a system for staff to bring safety concerns, such as harassment.  Leaders might review their processes for alerting employee during a public health emergency or technology failure. The 2023 safety report by Alert Media also found that four-in-10 employees say they would feel unsafe if their employer didn’t notify them about a safety incident. 
• Upgrade cleaning protocols. Physical injury is a significant part of duty of care – and hotels are often impacted by slip and fall incidents, which put guests and staff at risk. Treating tubs, showers, and floors with slip-resistant products could reduce risk. Another method to consider is focusing more on housekeeping. A 2023 report from McKinsey & Company found that 43% of hotels note housekeeping as the most seriously understaffed.

3. Showcase the ROI

The safer your people are, the safer your profits and your ability to grow and compete can be. Showcase the positive impact of duty of care by tracking and communicating returns. 

• Save with safety. Workplace accidents can result in substantial (and avoidable) financial losses. Based on U.S. Department of Labor estimates, employers pay about $1 billion weekly toward direct workers' compensation costs. Investing in elevating duty of care can protect employees and customers while avoiding potentially extreme costs resulting from workplace safety incidents.
• Make your reputation profitable. Data tells us that the hospitality sector tends to have the highest quit rate. Without satisfied workers, hospitality businesses risk unsatisfactory customer experiences. Consider analyzing what a proper wage looks like for staff across various regions, as doing so could avoid staff walkouts and alleviate labor shortages. Beyond wages, enhancing duty of care could also change the narrative and be what encourages workers to stay and sway customers to choose your brand. And good experiences? They can lead to more loyalty and more recommendations.
• Record the impact. Consider tracking duty of care metrics that impact your bottom line. This might include costs associated with compliance and personnel injury, or tracking how quickly a business rebounds from a safety-related interruption. It could even involve assessing employees' satisfaction and well-being through pulse surveys aimed to measure impact.  

Make the Most of Care

As duty of care initiatives take shape – from proactive measures to enhanced safety, to tracking impact – consider leaning toward transparency. It's possible the value of enhanced safety measures might go unused or unnoticed. You could ensure all employees and clientele have easy access to new policies. You could nominate team members to champion new duty of care initiatives and gather feedback internally. You could even celebrate improvements publicly and make safety synonymous with your brand. 

Taking the time to implement – and communicate – targeted and thoughtful duty of care policies could contribute to happier employees and loyal customers, leading your business toward cost savings, reduced vacancies, and a strong differentiator from your competitors. 

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