Training & Hiring
In 2016, the annual employee turnover rate in the restaurants and accommodations sector was a whopping 73%, according to The United States Bureau of Labor Statistics’ Job Openings and Labor Turnover Program [JOLTS].
To put this in perspective, say you started 2017 with 100 employees. If your restaurant has a 73% annual employee turnover rate, 73 of the original 100 employees who began the year working at your business will be gone by years end and hopefully replaced with someone new.
If you’d like to calculate the annual employee turnover rate for your restaurant, use our helpful calculator below!
According to a recent study from Cornell’s School of Hotel Administration, The cost of losing and replacing one hourly employee can be as high as $5,864. If your restaurant is maintaining a 73% annual employee turnover rate, you’re potentially losing $428,072 or more annually as a result.
Employee turnover is not only an operational nightmare, it’s a hefty financial burden your restaurant can’t afford to shoulder.
You’re not Atlas, after all.
As a restaurant owner, manager, or leader, cutting costs is undoubtedly an ongoing project for you. Consider cutting your restaurant’s annual employee turnover rate your #1 cost saving priority in 2018.
Employee retention isn’t as easy as negotiating with distributors, tracking inventory closely, staffing down on slow shifts or picking the right restaurant technology. Luckily, Toast and 7shifts have done the heavy lifting for you.
It’s time, friends, for an industry overhaul. Together we, the restaurant community, can make working in a restaurant an enticing, gainful employment opportunity for prospective and existing employees alike.
Together, we can 86 the pesky 73% annual employee turnover rate plaguing the restaurant industry.
Toast and 7shifts have been hard at work analyzing the reasons why restaurant employees quit at such an alarming rate and coming up with effective, informed solutions that enable restaurant management to empower and retain their staff members.
Here’s a glimpse at what’s waiting for you inside The Employee Retention Playbook :
Click below to download The Employee Retention Playbook and 86 your staff retention program once and for all