NEW YORK TIMES: Less Turnover, Smaller Raises — Hot Job Market May Be Losing Its Sizzle

The unemployment rate in America stood at 3.7 percent in August, with twice as many job openings as unemployed workers available to fill the positions. Layoffs are also near a record low in recent weeks, but there are signs that the labor market may be declining. BIGGBY Coffee’s founder and CEO, Mike McFall, recently spoke with the New York Times to discuss this nationwide labor trend.

Recently, the coffee brand saw staffing shortages so severe that many of the BIGGBY Coffee’s franchises had to close early some days or not even open at all. Hiring remains a challenge compared to other years but has begun to ease.

“We are definitely feeling the burden is lifting in terms of getting people to take the job,” McFall says. “We’re getting more applications; we’re getting more people through training now.”

McFall discusses the pressure to increase employee wages. To do that, brands have to raise their prices. So far, BIGGBY Coffee customers have yet to be deterred by the labor shortages, but McFall has seen a loss in sales, efficiency and experienced workers.

“When we were in crisis, it was all we were focused on,” he said. “So now that it feels like the crisis is mitigating, that it’s getting a little better, we can now begin to focus on the culture in the stores and try to build that up again.”

Read the full article here at nytimes.com.