Get a life

01 September 2003 by
Get a life

Contract catering, like many other sectors of the hospitality industry, experienced a lean time for the first few months of this year. Uncertainty over Iraq and a number of big companies changing hands, say the recruitment agencies, all added to jobs being a little thin on the ground.

But the past three months have seen a strong recovery, according to Darren Campbell, client support manager at hospitality recruitment agency Berkeley Scott, and demand for people is exceeding what it was this time last year.

"It's starting to feel like a golden age. Even event catering is buoyant again," he says.

The marketplace

Despite the general economy, contract catering has experienced steady growth, with last year seeing a 5.1% increase in turnover. And when it comes to jobs, the British Hospitality Association's Food and Service Management Survey reveals there was a 2.6% rise in the number of employees in the industry last year.

Catering firms attribute the growth to the increasing trend for outsourcing and a growing demand for caterers to provide additional services, such as cleaning and security.

There is no certainty, however, that the market will continue to grow at the same rate. After all, last year's growth is down from the 7.6% increase seen in 2001 and competition from high-street chains such as Pret A Manger is keeping contract caterers on their toes.

Among the biggest success stories is Compass, the world's largest contract caterer, which in May reported a 4% rise in first-half profits and forecast growth of at least 6% this year. Recent deals include a 10-year contract worth £110m in turnover to provide catering to British Army training sites, and a nine-year agreement, worth about £144m, to operate shops and food services at Zurich airport.

Many independent firms, such as BaxterSmith and Catering Alliance, have also done well. BaxterSmith, which was set up only three years ago, anticipates a turnover this year of £22m and boasts 700 employees. In April Catering Alliance came 11th in a survey by Deloitte & Touche and the Independent on Sunday of the UK's 100 fastest-growing medium-sized companies.

The Opportunities

The biggest demand, as in other areas of hospitality, is for chefs and entry-level positions.

BaxterSmith's biggest recruitment problem is finding chefs de partie and sous chefs. They have plenty of commis chefs, but new contracts are coming in too fast to get them ready in time, says the firm.

The trouble is, contract catering suffers from a "school dinners" image, although this is far from the reality, with the diversity of potential places to work ranging from City banks to football stadiums.

Career development has also improved over the past 10 years, with most firms providing a range of options. Mike Stapleton, spokesman for Compass, says: "We have tried to put a career path in, with jump-off points for people. So, if you don't want to go into management but want to stay a chef, there is a multiplicity of training programmes which take you to those points."

BaxterSmith also has a sophisticated career development system with online appraisals for all staff; and Sodexho has responded to the shortage of skilled junior staff by restarting its graduate trainee scheme, which had "lain dormant for a while", says spokesman Phil Hooper.

Regionally, the biggest manpower shortages are in London followed by the other major cities, because there are so many options for applicants, say firms. It is also tough recruiting people for out-of-the-way locations, such as airports and motorway service stations.

Companies say there is a demand for staff at every level, but people may still find it harder than they think getting in at a senior level. Senior jobs can be harder to get, because while catering tends to be shunned by school and college leavers, it is a big draw for senior people in other areas of hospitality who are starting a family or simply want a better work-life balance. Management turnover is also lower in contract catering.

That said, once you're in, the sector offers greater variety than any other in hospitality, says Mike Smith, managing director of BaxterSmith.

"You can do anything, from airports to fine dining to high-quality food in City boardrooms; or serving office blocks; serving the Armed Forces, hospitals or schools. There's something for everyone."

The Pay

Salaries, at a first glance, may not compare well with the restaurant sector. According to Berkeley Scott's figures, there are unit managers in London earning £16,000, whereas a manager at the bottom of the scale in the restaurant sector can expect about £22,000.

Likewise, the highest-earning head chefs in catering operations outside London make up to £25,000, while their counterparts in themed or branded restaurants can rake in as much as £38,000.

However, Campbell admits that while some salaries are quite low, these unit managers are often "looking after four to five staff and working eight till four. It's very appealing, and they're nice environments to work in."

Mike Smith, managing director of BaxterSmith, agrees: "There's a girl who works for us, who had spent years in the restaurant business and got to a high level as a chef with a well-known restaurateur, earning in the mid-30s.

"She decided to leave and join BaxterSmith, and took a salary drop of £5,000. But all of a sudden she was working Monday to Friday, office hours, where she had been working 60 to 70 hours a week."

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