It usually has an impact on ones mental as well as physical well being. Today, modern life is full of hassles, deadlines, frustrations, and demands. For many people, stress is so common that it has become a way of life. Sometimes, stress is not at all bad. It can help one perform under pressure and motivate him/her to do the best. But in certain cases when you are in emergency mode, your mind and body cannot take the stress and you usually have to pay the price. Employee stress is a significant issue in the Hotel Industry, and it is costly for employers and employees alike. The employers need to understand the state of mind of the employees and accordingly distribute work. The industry is known for professionalism and dedicated employees, however, long working hours and almost no incentive puts a lot of pressure on the employees. In this study it was observed that work stress leads to a lot of absenteeism and turnover. The employees are always on the move and have very little time to socialize. The different shift timings do not allow them to better their personal lives. Stress affects the quality of life of the employees (Dyck, 2001). Through this paper we have made a conscious effort in highlighting the issues and the reasons which leads to stress among the employees. Also, we have give a few suggestions which if used can be fruitful for the organization as well as the employees.