Employees should be encouraged to deal with any mistakes and to satisfy angry customers to keep a long-term relationship with them and keep the hotel's image. Hence, the purpose of this study is to investigate factors that improve service recovery performance (SRP) in hotel operations. A survey was designed and distributed to hotel employees in three departments; front office, housekeeping and restaurant. They were randomly selected from five-star hotels in Egypt. Results indicated that training, empowerment; motivation, organizational support, and service technology are effective elements for work environment and to predict SRP. The study concludes that hotel management should struggle to provide better work environment to their employees to perform service recovery effectively. It emphasized that training, empowerment; motivation, organizational support, and service technology are effective elements for work environment to enhance employees' SRP. Accordingly, the study advises hotels management to provide encouraging work environment for all guest contact employees.