How To Retain Catering and Hospitality Staff

Why is it important to keep employees happy?

Keeping your employees happy is a priority for any business that wants to be successful. Between the cost of re-hiring and loss of productivity while a trainee learns the ropes, a stable roster of workers ensures your business can operate at full capacity.

The UK has experienced a chronic shortage in hospitality workers for a few years now, and it's been reported that Brexit could exacerbate this due to the industry's reliance on EU migrants. From chefs to seasonal fruit pickers, we've seen a significant decline in EU nationals applying for work in the UK since the June 2016 EU referendum.

Cost of Re-hiring

With the well-documented difficulties in recruitment, the staff you already have become doubly important. If you'll struggle to replace them, make sure you keep them in the first place!

In a survey of over 900 people currently in work while looking for another job, the average tenure before looking further afield was 4.5 years. For hospitality, this number drops to just over 2 years.

Clearly, something needs to be done to boost staff retention.

In a line of work with such a high turnover rate, that means there’s always another job waiting for your employees if they want to jump ship.

Productivity

As well as the costs of HR personnel, job ads and everything else goes into hiring – there’s also the hidden costs when it comes to loss of productivity. It’s not always possible to hire someone during your out-going employee’s notice period, so there may be a time when you’re a person short.

And even if you do, the new person has to learn the ropes. It could be months before your operation is running at the efficiency it was before your employee left – and that’s just if one person leaves. If you have people leaving all the time, new faces have fewer experienced heads to learn on the job from.

Good PR

Businesses have never been under such scrutiny as they face today, with social media encouraging the discussion and sharing of information freely and easily. From reviews of your food and how you treat staff to customer service and environmental policies, you have to be on your game in all departments or risk potential public backlash. The outcry over TGI Friday's misuse of staff tips and ensuing walk-outs have shown that now more than ever, you need to look after workforce.

On the flip side, there are PR benefits to be gained for going above and beyond. For example, encouraging and sponsoring your staff to take part in charity events could gain traction in local media. Your business gets showcased along with imagery of smiling employees, which is great promotion and shines a positive light on you.

In short, keeping your staff who know the drill and who you trust is imperative to a high-functioning business.

Article: Once you've paid your dues in the kitchen, you may feel it's time to go it alone. Our article on how to be a freelance chef has the inside information you need to take the next step in your career.

Accurate job descriptions

When you advertise a role, it's necessary to give an accurate description of what the job entails and the skills the candidate will need. Overselling a role or giving inaccurate information creates unrealistic expectations. If someone comes through the door and finds the reality of the job is not what was advertised, it won’t be long before they decide to leave.

Do your 17-year-old applicants know about split shifts? Have you made clear on your KP recruitment ad that they'll be working in a hot, busy kitchen? The more detailed and realistic the job spec, the more likely you are to receive applications from people who understand what they're signing up for.

With this in mind, you may be hesitant to use recruitment agencies for the lower-ranked roles. Agencies are looking to get paid and may not necessarily ensure the candidate is best suited to the role. Getting people through the door is their aim, so taking control of your job ads and recruitment ensures candidates know exactly what to expect.

Misrepresentation breeds disloyalty, resentment and ultimately – another recruitment search in the near future.

TIP: It’s estimated that replacing an employee costs more than double their yearly salary, so keeping as many of those you’ve brought through the door is smart business. Know the value of your staff and save yourself the headache of assessing new candidates.

Hire suitable candidates

The first step is hiring people who you believe are likely to stick around. Checking a candidate’s employment history will tell you how often they change jobs, and finding out their career goals and future plans (i.e. someone starting university at the end of the summer) will indicate whether they see your vacancy as merely a stop gap.

Personality is important as well. At the interview, does the candidate project a positive outlook and upbeat demeanour? Clearly this is essential for front-of-house staff, but even back-of-house must have the right temperament to handle the heat of the kitchen.

Consider asking prospective employees to have a short trial shift to gauge suitability. Witnessing a candidate completing simple tasks like serving bread and butter, or standing at the pass to get a feel for how kitchens run, gives you a better idea of how they will perform. It also gives the candidate first-hand experience of the role before any commitment is made on both sides.

However, be careful with unpaid trial shifts. There may be some legal concerns if the trial goes beyond a “reasonable” demonstration of a person’s suitability.

TIP: Giving a candidate some on-the-job experience before hiring is beneficial for the both of you, as is making them aware of the realities of the position. If they will work split shifts, tell them! Are they opening up at 6am? Are they closing and cleaning at 11pm? Honesty will help get the right person through the door.

Pay

Though it’s not the sole factor, pay is undoubtedly always at the forefront of employees’ minds. No-one wants to feel like they are underpaid, anyone who does won’t be around for long. People who work hard and get results should be rewarded. If people feel like their experience will warrant a better financial package elsewhere, it’s inevitable they’ll look to take that opportunity.

An annual salary review helps staff feel like they aren’t standing still by sticking around. It’ll also help them feel valued and rewarded for their good work. A great way to get people invested in company performance is offering a bonus based on how well they company did the previous year. Staff will be more engaged and tuned in to how the business is doing and realise how their performances can make a difference.

No-one will be doing the bare minimum when they know a big cheque could be waiting for them at the end of the year. And equally as important, people will be less inclined to leave if you offer financial incentives.

Other ways to compensate your staff can include free meals and discount on accommodation to supplement pay. Additionally, your policy on tips can severely impact your reputation. Businesses which take a cut of tips and service charges open themselves to public backlash, as well as those which pool tips to include kitchen staff without consulting all workers on the decision first. Some have seen this in the past as a way around paying a fair wage, with tips merely replacing a pay rise - much like the American system.

Leaving staff to decide tip policy is your safest course of action. Customers can also feel misled if they discover their tip isn't going directly to the server, so why risk alienating your customers and your workers?

Article: See our guide on Mental Health in the Hospitality Industry to understand more about keeping your staff engaged.

Engage Your Workforce

It's vital to keep your staff engaged with the business. You can do this via a number of methods.

Face-to-face meetings

Having regular one-to-one sessions with your staff is a good idea for a number of reasons. Firstly, these meetings give you the chance to chat privately and build rapport – it’ll also give you the chance to address any concerns before they have the chance to grow into something bigger.

Workers will stay on task, motivated and engaged if they have assigned goals to aspire to – even beyond their probationary period. Knowing a meeting is around the corner where performance will be discussed keeps workers on their toes in a positive way – so rather than plodding on they will remain sharp and focused.

These meetings give two additional benefits to employers. It gives them the chance to monitor performance and give regular feedback, so if a worker isn’t on track to achieve targets you can find out why and aid improvement. It also gives the opportunity to praise an employee who is working well. Praise and acknowledgment of good performance helps an employee feel appreciated, which is key to retaining your staff.

Involve them in the business

It should never be a case of “us vs them”. Allowing this attitude to fester between management and employees creates a discord in the business.

Of course, we’re not saying ask the kitchen hand to decide the advertising budget – but give staff regular updates on how the business is performing, listen to their views on what’s working and what isn’t.

Your workers are the people on the ground floor in the day-to-day, so take advantage of their knowledge. Two-way dialogue makes them feel involved and their feedback can also help your business prosper.

Fostering team spirit

Firstly, eradicate the word “staff”. Referring to employees as team members instead will create unity and engagement as they begin to think about the group more than themselves. Introduce new starters to everyone in the company – even those at the top of the chain – and let them know you’re all in it together.

Celebrate successes and occasions like birthdays and work anniversaries together, and have team outings. A group who gets on well will enjoy working together and project a positive atmosphere.

This will also be evident to customers who recognise and appreciate a vibrant workforce from an uninterested one.

By promoting the importance of teamwork, the group will help each other and go the extra mile. Working towards a common goal will breed a culture of positivity and success will help your business drive forward.

Employees who get on well with colleagues, enjoy their job and feel like they’re part of something bigger will want to stick around.

Article: The recruitment process is tough in the hospitality industry. Enjoy our article on how to hire catering staff to put yourself in the best position to attract the best talent.

Development

No-one wants to work in a job they feel is leading nowhere. If your company promotes a mentality of stand-still-or-move-on, people will likely use you as a stop-gap before finding something more meaningful.

The hospitality industry is renowned for its reliance on youth. Young people (aside from culinary school students) will likely be looking for quick cash on the weekends while they study, or in the first few months after leaving school when reality of growing up hits.

While they may not necessarily enter the workplace motivated with a passion for service, the work culture you breed can certainly help this develop.

Consider putting in place a structure that helps staff move up in the business. A ‘future leader’ programme where interested and deserving staff are given weekly training to learn different sides of the business, expanding their awareness of the company and putting them in a position to move upwards when vacancies arise.

Offer training – whether in-house or externally – so that staff continue to learn after they’ve become comfortable in their role. A stagnant workforce loses motivation and productivity, so keeping people sharp is a sound investment.

Making staff feel like there’s scope for progression will take their focus off simply getting through their shift and onto how they can move to the next level.

TIP: A policy of promoting within will go a long way to keeping staff motivated to stick around. It’s up to you to recognise the most deserving, have faith in them and act accordingly!

Flexibility and Facilities

Flexibility

Millennials (recognised as those born between the early 80s and early 00s) value flexibility in their working life and don't want to be tied down to the same set of working hours every day. This can be tricky for the hospitality industry. But if it wants to shake the long hours tag, something must be done.

Offering flexible hours – whether that’s a later start or working longer on a busy day and getting that time back later – will go down well with staff. This allows them to cater for their life outside work, such as doctor appointments, picking the kids up from school or attending that family function they've been talking about.

In the process, staff happiness increases as well as the likelihood they'll stick around.

Facilities

The facilities you provide in staff-only areas can be important to the happiness of your employees.

From break rooms and lockers to toilets and showers, creating an environment that offers comfort while they're away from home. Comfortable seating, hot water and perhaps a TV will show your staff that you value them. This will give them the chance to relax on their break and come back refreshed for their shift.

Social responsibility

David Attenborough's Blue Planet II has sparked a world war on plastic after showing the depraved situation facing our oceans, showing us our current way of life is simply unsustainable.

Companies that take environmental concerns seriously will be more attractive to a socially aware generation of workers.

Millennials will make up half of the labour market by 2020, so companies must adapt to what this generation values most. According to the 2015 Deloitte Millennial Survey, 75% agreed that ‘businesses are too fixated on their own agendas and not focused enough on helping to improve society’.

People desperate for a job might join you, but if your company values aren’t good for the environment and the local community then they probably won’t be in it for the long haul. If you get your meat from inhumane slaughterhouses abroad or don’t pay a fair rate for dairy from local farmers, you’ll likely find shrinking profits and a shrinking workforce if word gets out.

Things are shared quickly via social media and there can be backlashes against perceived unethical business practices. Go green and shout about it!

Actively promoting your company’s commitment to the environment and fair trade will give your staff a sense of pride for where they work. This will certainly help with both recruitment and retention in the long term.

TIP: Explore the Fiesta Green and Vegware ranges to keep your business eco-friendly.

Exit interviews

If they leave, find out why they made that choice! You can gain valuable insight into what leads your employees seeking work elsewhere. As they’re on their way out, they may open up and talk freely and honestly about what it’s like to work for you and how you can improve.

Whether it’s due to salary, work culture, their relationship with you, workload, work/life balance or career growth – there are many reasons people might have for leaving. Multiple exit interviews will help build a picture as to what it is driving people away – and you can move to rectify the situation.

Also consider ‘stay’ interviews to find out what you’re doing right. Sit down with long-term employees and find out what it is that’s made them stay with you. What do they like? Can you find a way to boost these positives?

Finding out what people like and don’t like about working for you is essential feedback to help you improve.

Article: Get our top tips on how to market your restaurant to ensure your business stays at the forefront of customers' minds.

Worth the effort

A lot of work goes into finding the right candidate for the job and keeping them in the role. It can take a change of business culture, a bigger chunk of company profits, time and effort into getting it right.

However, the benefits far outweigh the negatives – both financially and in terms of reputation.

Retaining your staff shows both you and the outside world that your business is doing something right, which can even increase consumer confidence in what you have to offer.