Restaurant Turnover Hits New All-Time High; Operators Forced to Get Creative

Labor in the restaurant industry is taking a dramatic shift. A recent turnover report released from TD2NK states that three out of four restaurants are understaffed, in conjunction with one of the lowest unemployment rates in nearly 50 years. Without the hustle of employees looking for a steady income, restaurant operators need to think outside of the box when it comes to their restaurant operations.

Turnover has a massive impact on how restaurants operate. Not only does it have the potential to slow down table service, but a shortage in labor can result in incorrect orders and an overall negative guest experience. When a restaurant is understaffed it is recognizable to the customer and, more often than not, they do not return for another visit. There are several ways that a restaurant can go about solving the issue of turnover, and it’s an area where brands can leverage technology to improve efficiencies and drive down labor costs.  

As we consider the future of the restaurant experience, we believe that using the right amount of staff, in the right place and at the right time will be a major element in a restaurant’s success. As labor inflation and minimum wage changes continue to pressure operating margins, technology like Kallpod is able to help ensure operators are efficiently managing labor costs and generating a healthy and sustainable level of ROI on existing labor.

Kallpod specifically allows customers to take control of their dining experiences and gives them the ability to request their server through the push of a button. The server is then able to prioritize their tables based on which customer needs them where and when, and doesn’t hover at tables where they aren’t needed. With the Kallpod technology creating efficiencies and streamlined communication between front of house and back of house staff, operators are able to control labor costs in the restaurant, while still being able to offer elevated service. It’s becoming more pertinent now than ever to leverage existing labor, without letting customer service fall to the wayside.