Article contributed by Steve Rosenthal, CEO of Triton Benefits and HR Solutions
The hospitality business is undergoing a tough time re-hiring, hiring, and retaining front and back of house personnel. Attracting and retaining restaurant employees is not an easy task while navigating business operation during a pandemic. In fact, the overall turnover rate in the restaurants-and-accommodations sector was 74.9 percent in 2018. Given the ripple effect of COVID-19, restaurants have been hard-pressed to staff their operations to pre-pandemic levels.
How can you attract talent? Employee benefits just might be the answer.
Managing a mixed workforce with both part-time and full-time employees is complex and expensive. How exactly do managers handle benefits in a mixed workforce with full-time and part-time employees? Let’s take a look at some of the factors that managers need to take into consideration when evaluating their benefits program for employees.
The Affordable Care Act’s Employer Mandate effective requires all businesses to offer every employee health insurance and will now identify organizations with 50 to 99 lives as “small businesses.” Every state can operate very differently in terms of the definition of large or small group, how plans are rated and how benefits are impacted by mandates.
Restaurants can offer a range of benefit programs to employees such as health insurance benefits that cover annual physicals and vaccination shots, to plans that only cover medical, dental, and/or vision insurance. With different levels and plans of coverage, this allows both part-time employees and full-time employees the ability to choose the most optimal plan.
Getting Creative
As restaurants continue to find ways to attract and retain prospective employees, restaurants are trying to get creative with the benefits and incentives they provide.
One example of a restaurant going above and beyond is In-N-Out Burger. The chain of fast-food restaurants offers full-time employees and part-time employees and their dependents the option to take advantage of dental, vision, voluntary life and accidental death and dismemberment (AD&D) insurance, in addition to vacation and sick benefits and free meals.
The state of Colorado has also had a hard time with recruiting and retaining employees. As a result, restaurants are improving their benefits offerings for employees and creating incentives to attract employees. “Across Colorado 41% of restaurants have enhanced their benefits packages. More operators are offering healthcare and paid time off, mental health resources, and other benefits to attract and retain talent,” said Dewey.
Beyond Healthcare
McDonald’s franchises across the U.S. are expected to offer backup childcare and tuition benefits to help keep current employees and attract new ones. Raising Cane’s is will also be offering its 34,000 staff members access to tuition savings and education benefits.
Another incentive to offer employees can be free meals. According to Indeed, 67% of employees are “extremely” or “very happy” at their current jobs when they are provided free food at work. Restaurant owners must consider the cost with this incentive; however, this is another way to keep employees happy and more productive on the job.
Review Your Plan
Beyond pay, healthcare benefits can differentiate you from others. Open enrollment offers the perfect opportunity to review your current plan and explore options. Take a look at your employee benefits package and see what can be added and offered to your existing personnel and future hires.
Benefiting From Talent
Learn how restaurant group Smith and the Barcelona Wine Bar utilize group healthcare benefits to attract and retain the best talent which has been vital to their continued growth.
About the Author: Steve Rosenthal is one of the most widely recognized leaders in the employee benefits and human re-source industry. Before becoming CEO of Triton Benefits and HR Solutions, Rosenthal was the CEO and pioneer of CheckPoint HR. Rosenthal previously served as Chairman of EPIX of what became under his leadership, one of the largest human resources outsourcing companies in the country.
