3 Ways to Optimize Labor Efficiencies and Cut Costs
Restaurant operators are facing major challenges when it comes to hiring and maintaining a quality, motivated labor force. Turnover in the restaurant industry has been on the rise for years, while at the same time the number of young people in the labor force has declined.
According to the Bureau of Labor Statistics, the employee turnover rate for the hospitality industry has been increasing for the last five years. In 2010, the average turnover rate was 56 percent; by 2015, this has spiked to 72 percent. Dallas-based research firm TDn2K reports that in 2015, 71 percent of all voluntary terminations had been on the job for less than one year.
Combine those trends with higher wages and new labor regulations, and it is apparent that restaurant companies of all sizes are facing a labor crisis. Fortunately, there are some steps operators can take to get ahead of these. Those steps were part of a panel discussion at the 2016 Fast Casual Executive Summit, held in October. Click here to access a free whitepaper to help you reduce costs.
Source: Richard Slawsky for Fast Casual