Let’s talk about it. The ugly “Great Resignation.”
American companies are facing the issue of how to retain employees and remain an attractive employer to today’s modern workforce. It’s a problem for all industries, but restaurants and hotels saw more of their workforce quit in February than employers did in virtually every other type of U.S. business. Six percent of the hospitality industry’s total labor force walked off the job. In all, 795,000 foodservice and lodging workers voluntarily left their positions (U.S. Bureau of Labor Statistics).
You don’t need any more scary statistics, because as an owner—you’re living it. We’re preaching to the choir here, so let’s just get down to it and talk solutions. How do you go about boosting employee retention? Your HR department (in many cases, you) should be developing solutions to help retain and attract employees. The two most actionable items for you are company culture and employee benefits.
Use the issue at hand to talk to your employees about what they want out of their work. What are their needs, what is missing, what can be better? Have an open door communication policy that encourages new ideas. Perhaps develop an Employee Attitude Survey that addresses topics like:
- Employee Satisfaction
- Workplace Environment
- Employee Compensation—Is it competitive with market data?
- Professional Development Opportunities (Promotions)
- Training opportunities
- Workplace Flexibility
- Employee’s career plan
- Source of employee’s stress
This gives you a place to start. Identify some potential issues within your company culture, and make changes that create an environment that employees want to work in. Answers and solutions could vary greatly, don’t be afraid to get creative!
The biggest benefit you offer your employees is their pay, and in response to the Great Resignation, 84% of restaurants reported raising wages (National Restaurant Association). According to a recent survey of 1,200 restaurants by the Independent Restaurant Coalition, nearly 40% have added paid sick leave for the first time, and more than 20% have added paid vacation during the pandemic. But there are other opportunities to explore. Employee Benefits are a function of your HR department, and there are ways to be creative here too (without breaking the bank)! Many restaurants are adding benefits not traditionally offered in the industry.
- Voluntary Benefits (Vision, Dental, Life, Long/Short term disability insurance)
- Health Insurance
- 401K and Retirement Opportunities
- Paid Parental Leave
- Flexible Workweek
- Employee Assistance Programs
- Signing Bonuses
- Tuition Coverage
- Prepaid Child Care
- Streaming Service Subscriptions
- Grocery Perks
- Tickets to Local Events
Like your company culture, there is no ‘single solution’ for your benefits package. But even on the tightest budget there are options you can explore to increase employee retention and attract the best employees. It’s one of our specialties at FocusHRO, and we’ve teamed up with PRLA as their preferred HR partner. Our experienced team will take the time to learn about the issues you face and the resources you have to solve them—developing and offering solutions you may not have known about, or didn’t think possible! •
We’re here to assist you with all things HR. Visit www.FocusHRO.com/PRLA to get started.