Whether it’s seeking more stability, finding a better work-life balance, or pursuing higher pay, a large number of restaurant staff members are quitting their jobs at a rapid pace. With a post-recession high of 74.9% turnover rate in the hospitality industry and the average tenure of an employee being one month and 26 days, high staff turnover is a struggle for many restaurant businesses.
In addition to managers having to urgently find last-minute replacements (forcing employees to take on more hours until one is found), high staff turnover is also causing restaurant businesses to lose money. According to the Center for Hospitality Research at Cornell University, it’s estimated that the cost of employee turnover averages around $5,864 per person for a typical front-line employee, broken down to:
- 3% Pre-departure: $176
- 20% Recruiting: $1,173
- 11% Selection: $645
- 14% Orientation and Training: $821
- 52% Productivity Loss: $3,049
Clearly, the high cost of losing an employee makes it worth it to keep your staff as long as possible—and technology can help.
Here’s how technology can help solve high turnover in restaurant businesses.
Create More Frequent Staff Check-Ins
Beyond onboarding and orientation, new hires need a manager to regularly check in with them to make sure that they are on track and performing their tasks effectively, as well as experiencing a sense of value in their role and belonging with the rest of the team.
Unfortunately, managers have a lot on their plate, making it difficult for them to take the time needed for frequent employee check-ins. This is where technology can step in to help.
Using employee engagement apps that manage team communications, managers can:
- Set up automatic alerts customized to a position
- Send individual staff messages or create group chats for an entire department
- Streamline employee feedback
- Review data that shows which employees may be at risk for leaving
Employ the Use of Training Apps
Training apps that gamify the onboarding experience allow restaurants to choose from a range of existing templates or create customized training programs of their own. They also give restaurants the ability to streamline and offer continuous learning opportunities for all employees, regardless of how long they’ve been with the company. These apps play a key role in employee engagement by allowing staff members the opportunity to continuously learn and grow.
Streamline Service with the Help of Wearables
The addition of wearable technology can make the jobs of busy staff members a lot easier and more enjoyable, which encourages retention. At OneDine, for example, our solution includes wearable technology that allows servers and managers to get instant alerts on service requests, payment verification, and speed of service.
Additionally, instantaneously updated information helps make servers more efficient and able to offer guests the information they need without making them wait on a response. For example, if a restaurant has a sold out menu item, servers can receive this update directly on their wearable device and instantly notify their guests about it without having to visit the kitchen or check with a manager for an update.
There are a number of technologies and solutions available that can help restaurants improve their staff turnover rates. And by being proactive in implementing these innovations, restaurants can be better equipped to retain the valuable people that help make their guests’ dining experiences exceptional.
