How to Reduce Restaurant Staff Turnover
Developing a loyal and devoted staff may seem like an afterthought, compared to everything else that running a successful restaurant entails. But even without realizing it, every time a staff member leaves, your bottom line is affected by the expense of recruiting, hiring, and training new workers. To prevent this type of drain on your profits, the trick is planning a long-term strategy for lowering your employee departure rate, while at the same time increasing the efficiency level of your business and its financial results.
High Turnover = Lower Revenue
According to restaurant statistics, the turnover rate for employees in the restaurant sector averages about 62.6%, compared to 42.2% in the overall private sector. Even more alarming, the cost of hiring an hourly employee can total more than $3,500 when you factor in the entire hiring process. In other words, staffing your restaurant is an investment, and, when part of that investment walks out the door, your bottom line will take a direct and debilitating hit.
Employees leave jobs every day for a variety of reasons. A restaurant is a high-stress environment that offers relatively lower pay rates; and together, these two factors can lead to employee burnout. However, with time and effort, this situation can be remedied.