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Labor Costs Surge 12.8% in 2025 Hotel Industry

3/14/2026

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Summary

Story summary

HotelData's 2025 report shows labor costs per occupied room (CPOR) increased 12.8% year over year, from $42.82 in 2024 to $48.32 in 2025.
The fourth quarter of 2025 posted a 21.1% rise in CPOR.
Hours per occupied room rose 4.4% to reflect higher labor time.
Full-service hotels posted the highest wage CPOR increase 23.8% in Q4.
The report emphasizes precise labor planning to align staffing with demand and service levels.

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Story summary

HotelData's 2025 report shows labor costs per occupied room (CPOR) increased 12.8% year over year, from $42.82 in 2024 to $48.32 in 2025.
The fourth quarter of 2025 posted a 21.1% rise in CPOR.
Hours per occupied room rose 4.4% to reflect higher labor time.
Full-service hotels posted the highest wage CPOR increase 23.8% in Q4.
The report emphasizes precise labor planning to align staffing with demand and service levels.