7 Solutions for Businesses Facing a Restaurant Worker Shortage

April 08, 2022
  • Blog
  • 7 Solutions for Businesses Facing a Restaurant Worker Shortage

A major shift in America's workforce is occurring in the wake of COVID-19, and it's about power. An unprecedented hiring crisis is affecting many industries, but particularly hospitality. 

Many factors have conspired to prevent restaurant workers from returning to hospitality jobs, and employers are having to reassess their hiring conditions to accommodate worker needs. The power is shifting into the hands of the worker.

This article explains how the COVID-19 pandemic has affected the employer-employee relationship and the reasons for the restaurant worker shortage. It offers best practices for employers who want to both attract and motivate new employees. Lastly, the article suggests a front-of-house solution to automate services and reduce restaurant owners' need for new staff.

Restaurant Worker Shortage in the Hospitality Industry

The U.S. economy is reopening — yet eateries are struggling to recruit and retain employees.

The National Restaurant Association reports the industry eliminated 2.5 million jobs in 2020. According to the Bureau of Labor Statistics, the employment rate in the leisure and hospitality industry as of February 2022 remains significantly below pre-pandemic levels. As a result, employers are struggling with a restaurant worker shortage. 

Total payroll counts are lower than pre-pandemic levels as well, with establishments ranging from coffee shops to cafeterias — and from food trucks to formal sit-down restaurants — significantly depressed from a labor standpoint.

The U.S. Chamber of Commerce has gone so far as to say the restaurant worker shortage is “getting worse by the day,” even making it the core focus of an initiative designed to shed light on the problem.

Titled “America Works,” this initiative is a solid place to start — but is it enough to solve the hiring crisis? Challenges ranging from fear of the virus, state-administered pandemic benefits surpassing work wages, and the struggle of keeping up with changing lockdown guidelines are all contributing to the restaurant worker shortage.

And with that, one thing is certain: Restaurants are searching for new solutions to hire and onboard the staff they need to survive. 

7 Strategies for Restaurants Struggling to Hire New Staff

Many Americans have realized they can stay home, earn unemployment benefits, and make a living without the need for a full- or even part-time job. This has made hiring more difficult than ever across many industries — and the restaurant sector is no exception.

What this means is that if restaurants want to retain their staff, attract new team members, and continue prioritizing the guest experience, owners and supervisors must do their due diligence in acting strategically. Here are seven solutions they might leverage to mitigate the hiring crisis.

1. Create a Referral Program for Restaurant Jobs

Know who can help you hire seasoned restaurant workers? Your current employees.

By creating a referral program for restaurant employees, you can engage your staff and connect with highly qualified workers. The idea is to touch base with your teams and issue referral bonuses to staff who recommend friends and family for job openings.

From there, you can offer additional rewards to the referring party if the new team member stays for a certain amount of time — say, six or nine months. Word will absolutely get around about this appealing incentive, and you’ll have your people recommending others before you know it.

2. Offer Signing Bonuses

Bonuses are a great tool in helping to find — and retain — restaurant staff.

While some restaurateurs are increasing their starting pay and offering higher wages, others are shelling out weekly bonuses that reflect the state’s current unemployment benefit. The idea here is to offer something compelling so that staff want to come back to work in the food service industry.

So, whether it’s a $500 hiring bonus or even $500 on their start date and another $500 after six months of employment, aim to get creative with perks. (If you need inspiration, note that one McDonald’s franchise was offering $50 to anyone willing to come in for an interview!)

3. Promise Competitive Compensation

Bonuses are great, but they’re often a one-time deal.

Candidates who are in the industry for the long haul want to be recognized for their efforts and capabilities. This is precisely where competitive pay comes in. And if you’re struggling to find new staff during the restaurant worker shortage, you may need to rethink your starting salary or hourly wage.

Many restaurant operators have successfully hired and onboarded new staff after boosting their pay above minimum wage. So, consider upping the ante by even just 10% from where you’re at currently, and see if eliminating low wages makes a difference.

4. Market Career Development Opportunities

Workers appreciate employers who value their career development as much as they do.

By marketing opportunities to upskill, you can invest in the success of your restaurant staff and improve your staff retention. Discounted courses and conferences, mentorship programs, and pathways to climb the corporate ladder are all intriguing options.

They’re also a great way to show your team that hard work pays off. Even in a restaurant setting, career development is critical, and owners can elevate their brand by making it a pillar of their business.

5. Keep Coronavirus Prevention Precautions in Mind

As of March 2022, over 65% of the U.S. population were fully vaccinated against COVID-19.

And while it may seem as though things are more or less back to normal, restaurants still need to take public health seriously. They should respect mandates, allow their staff to keep wearing masks if they so choose, and continue to sanitize shared spaces on a regular basis.

Essentially, you want to show prospective staff members that you take their health — and your guests’ health — seriously. It’s important to welcome feedback on your health and safety practices in the work environment and to encourage new hires to speak up if ever they have thoughts or concerns.

6. Host Enticing Hiring Events

While some restaurants rely on hiring fairs to recruit new staff, others make this process a bit more, well, fun.

Rather than throwing together the same-old hiring event, consider turning things up a notch. You may choose to host an actual party and use your patio or indoor dining rooms as an area for bartenders to whip up complimentary drinks — or serve some delicious apps — to make recruitment a bit more on-brand.

These gatherings are a fantastic way to combat the restaurant worker shortage because they allow attendees to mingle, bring friends, and interview for open positions on the spot. With a little social media promotion and some word-of-mouth marketing, you’ll have plenty of new recruits at your disposal.

7. Unleash New Tech

If you’re still struggling to hire restaurant staff, you may choose to automate certain positions.

Self-service kiosks, for instance, can seamlessly step in and take on the role of a cashier. These contactless systems make ordering and upselling easy, and they can be tailored to showcase your branding, menu, and any digital signage that comes to mind.

Easy and intuitive, self-order kiosks offer unparalleled convenience and ease of use. Your staff will appreciate the streamlined approach to frontline ordering, while your guests will come to love the efficiency these systems bring.

Combat the Labor Shortage With KioskBuddy Self-Order Kiosks

Restaurant owners across the U.S. are scrambling to source the food service workers they need. And while the hiring crisis is plaguing even the best-prepared restaurants, there are a number of strategies owners and managers can leverage to find top-qualified talent amid staffing shortages.

Regardless of where you’re at in your hiring journey, a self-order kiosk can pick up slack while staying true to your brand. The attractive, intuitive customer experience is simply an added bonus — and we can’t wait to share it with you.

Interested in learning more about kiosks and how they can elevate your restaurant and reduce labor costs? Start your 30-day free trial with KioskBuddy today, or schedule a quick call with our expert team.