What is the meaning / definition of Zero Base in the hospitality industry?

Zero Base Budgeting can be abbreviated as ZBB. The term is used when the budgeting for hiring employees takes into account the occupancy expected for a specific time period or season. This is commonly used in seasonal hotels or in hotels where workers may be hired for a limited period of time (temporary contract) during the high season.

Another benefit to this is that an employee can be hired to do a specific job, like gardening, then laid off when the worker is not needed, like winter. This way hotels can save money as they are not having to supply employees with long-term contracts and are able to hire employees only for the necessary period of time.

See Also:

  • Resort Hotel
  • Costs
  • Operating Costs

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