Last updated on June 15th, 2023
The COVID-19 pandemic hit the food service industry hard. Restaurants closed all over the country, there were food shortages for months, and now many businesses are struggling to rehire a full staff as many states get “back to normal.”
According to The National Restaurant Association’s 2021 State of the Restaurant Industry Report, 62% of fine dining operators and 54% of family dining and casual dining operators say staffing levels are more than 20% below normal, and there are nearly two million fewer 16-to-34-year-olds in the labor force (the most prominent age group in the restaurant industry workforce).
Why Are Staffing Shortages Happening Right Now?
While more and more restaurants have started opening up and rehiring, it hasn’t been easy for them to find staff for newly open positions. Why is this happening? It could be a variety of reasons, from potential employees not wanting to be exposed to the virus to wanting higher wages and better benefits than food service has traditionally offered. It could also be that many people in the workforce are seeking remote positions or found permanent jobs in industries that were not suffering during the pandemic. In fact, almost 40% of restaurant companies said they’re having trouble finding servers, cooks, and other workers. That compares with about 5% of finance and insurance businesses, where workers are more likely to be able to work remotely.
There’s also what has been called a “Big City Exodus.” Young people have left big cities, like New York and Chicago during the pandemic because remote work made it possible to live anywhere, not just cities with a high cost of living.
Many restaurant owners have blamed the food service labor shortage on unemployment benefits. The American Rescue Plan extended pandemic unemployment assistance from 50 weeks to up to 73 weeks through September 6, and it provides an additional $300 in weekly benefits through September 6. Some restaurant owners have claimed that it’s more profitable for workers to collect this unemployment insurance than to go back to work, but the data surrounding that claim isn’t clear.
Healthcare Food Services Can Offer Big Benefits
Businesses in the healthcare industry, like senior living and behavioral health communities, may also be feeling a staffing shortage. However, you have an advantage that everyday restaurants don’t. Healthcare communities have more benefits to offer potential employees.
For example, you can offer more flexibility to your team and put them on a more consistent schedule. They won’t need to find out when they’re working each week because your community most likely has set hours and set processes. No surprise brunch rush will require more hands on deck. Healthcare food service also allows employees to have more consistent schedules. They may even be able to have some evenings or occasional weekends off.
You also have a mission that employees can rally behind. Your work makes a difference in people’s lives. Many restaurants are starting to understand that employees want to feel like their work serves a purpose. Yum! Brands, which represents Taco Bell, Pizza Hut, KFC, and Habit Grill, have shared information with employees about how the company is investing in a social purpose and “championing equity, inclusion, and belonging across all aspects of our brands and franchise business.”
According to Monster.com, 74% of Gen Zers and 70% of Millennials value purpose over a paycheck. They want to feel good about the work they’re doing.
Thinking about what you can offer to potential employees that goes beyond standard wages will help your business overcome today’s staffing shortage.
What is Culinary Services Group Doing About Staffing Shortages?
Our team has taken the country-wide staffing shortage seriously and wants to make sure that our communities can continue to maintain food service staff. One of our guiding principles is to “manage and own it like it’s yours.” Everyone who works at and works with us has a vested interest in the success of Culinary Services Group. Owning our roles, processes, and outcomes will ensure our success. By doing the right thing and being fiscally responsible, we will continue to enjoy growth as an organization, and our communities will enjoy that growth as well.
We recently had a brainstorming session on staffing challenges with all of our food service directors. Here are some ideas that came out of that session that our team will be exploring further:
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- Working with local schools to provide continuing education and certifications
- Paid benefits for part-time workers
- Sign-on bonuses
- Increased advertising about the benefits of working in healthcare food service
- Rewards for long-term employees
- Walk-in or drive-thru job fairs
- Promoting work-life balance
- Employee recognition programs
We’re going to be launching a Staffing Taskforce to look into a few of the ideas above and others. The Taskforce will also be responsible for developing new ideas around engaging and gaining new employees.
We’ve also launched a new referral bonus program to encourage our good employees to recruit more good employees. But we’d also like to hear from you. Contact your Culinary Services Group point of contact about any ideas you may have to entice those looking for work to choose your community over the other opportunities out there.
And if you’re experiencing a staffing shortage, it’s not just you. This is a country-wide problem, and we’re doing everything we can to make sure our communities have the team they need to be successful and make a difference for their residents.
If you’d like to learn more about how the Culinary Services Group’s team can help solve your community’s staffing issues, contact us here.
