1851

A worker shortage is causing restaurants to get creative in hiring as they struggle to find enough workers to meet growing demand. This shortage is impacting part-time and full-time positions as restaurants are fighting to hire kitchen, wait and front-of-house staff. As of March 2021, the U.S. restaurant industry was about <a href="https://1851franchise.com/this-week-in-franchise-news-492021-2715464">1.2 million workers</a> down from March 2020.Many <a href="https://nypost.com/2021/04/16/worker-shortage-further-hurting-nyc-restaurants/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchises-paying-workers-just-to-interview-amid-worker-shortage-crisis-2715519" target="_blank" rel="nofollow">restaurant owners are blaming</a> government assistance programs for people’s lack of incentive to re-enter the workforce. In New York City, for example, individuals can collect up to <a href="https://nypost.com/2021/04/14/businesses-are-struggling-to-hire-workers-and-say-uncle-sam-is-to-blame/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchises-paying-workers-just-to-interview-amid-worker-shortage-crisis-2715519" target="_blank" rel="nofollow">$804 per week on unemployment</a> ($300 in Federal Pandemic Unemployment Compensation and $504 in state benefits), which is about $20 an hour. In a state with a $15 per hour minimum wage, it makes it difficult for businesses to compete.“It’s as bad as I’ve ever seen in my 17 years in New York,” Bernard Collin, partner in New York City’s Upper East Side’s Orsay, La Goulue and <a href="https://www.restaurantji.com/ny/new-york/bar-italia-/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchises-paying-workers-just-to-interview-amid-worker-shortage-crisis-2715519" target="_blank" rel="nofollow">Bar Italia</a> restaurants told the <a href="https://nypost.com/2021/04/16/worker-shortage-further-hurting-nyc-restaurants/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchises-paying-workers-just-to-interview-amid-worker-shortage-crisis-2715519" target="_blank" rel="nofollow">New York Post</a>.As a result, many restaurants are getting creative with incentivizing new applicants. Fazoli’s, a 200-unit Italian restaurant chain in the Midwest, <a href="https://ownafazolis.com/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchises-paying-workers-just-to-interview-amid-worker-shortage-crisis-2715519" target="_blank" rel="nofollow">increased its minimum pay by 8%</a> to attract workers. Taco Bell is upping their benefits for general managers to <a href="https://www.businessinsider.com/fast-food-struggles-to-hire-as-demand-soars-us-economy-roars-2021-4?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchises-paying-workers-just-to-interview-amid-worker-shortage-crisis-2715519" target="_blank" rel="nofollow">4 weeks of paid vacation</a> and 8 weeks of paid maternity leave. A McDonald’s franchisee is offering <a href="https://www.businessinsider.com/mcdonalds-pays-50-for-job-interviews-highlighting-hiring-struggles-2021-4?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchises-paying-workers-just-to-interview-amid-worker-shortage-crisis-2715519#:~:text=A%20Florida%20McDonald's%20is%20paying,still%20struggling%20to%20find%20applicants&amp;text=One%20McDonald's%20in%20Florida%20is,are%20%22scrambling%20for%20help.%22" target="_blank" rel="nofollow">$50 just to interview</a>.The <a href="https://1851franchise.com/fast-food-franchises-face-nightmare-worker-shortage-2715431#home">worker shortage couldn’t come at a worse time</a> for many operators as business is returning at a rapid pace due to stimulus checks, vaccines and loosening of regulations nationwide.&nbsp;Blake Casper, owner of the McDonald’s franchise location offering $50 interviews, told Business Insider, “It's a perfect storm right now. You've got a lot of people with a lot of money, and they're out there shopping. And then, on the flip side, we're scrambling for help."&nbsp;As the economy re-opens, restaurants nationwide are seeing an <a href="https://www.nasdaq.com/articles/restaurant-sales-jump-yoy-in-march%3A-5-solid-stocks-to-buy-2021-04-19?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchises-paying-workers-just-to-interview-amid-worker-shortage-crisis-2715519" target="_blank" rel="nofollow">increase in demand</a>, and demand for workers is increasing right along with it. Last week, McDonald’s held an event to <a href="https://www.cnbc.com/2021/04/14/restaurants-see-diners-return-but-feel-a-labor-crunch-.html?utm_source=1851franchise.com&utm_medium=article&utm_campaign=franchises-paying-workers-just-to-interview-amid-worker-shortage-crisis-2715519" target="_blank" rel="nofollow">hire 25,000 people</a> in Texas alone. IHOP is looking to hire 10,000 people nationwide, and Taco Bell’s parent company Yum Brands is looking to hire 5,000 over the coming weeks.

Franchises Paying Workers Just To Interview Amid Worker Shortage Crisis

1851 Franchise

Worker shortage leaves the restaurant industry down 1.2 million workers compared to March 2020. 

franchises-paying-workers-just-to-interview-amid-worker-shortage-crisis

TruBlue Home Service Ally

NJBiz: Preventing Falls Crucial in Helping Older Adults Maintain Independence

njbiz-preventing-falls-crucial-in-helping-older-adults-maintain-independence

Griswold

How to Protect Seniors From Tax Day Scams This Year

protecting-seniors-from-tax-day-scams

Happy Joe’s Franchising

A Once-in-a-Lifetime Franchise Opportunity: Happy Joe’s Looks To Reignite Its Legacy in Iowa 

happy-joes-franchise-cedar-rapids-iowa-opportunity

Children's Lighthouse

Children’s Lighthouse Wraps Up Q1 With Two New Openings and Continued Industry Recognition

childrens-lighthouse-wraps-up-q1-with-two-new-openings-and-continued-industry-recognition

Why Texas Is the Perfect State To Open a Happy Joe’s Franchise

why-texas-is-the-perfect-state-to-open-a-happy-joes-franchise

Buying a Franchise Masterclass

 Franchise Opportunities

Get Support Buying a Franchise

How to Buy a Franchise White Paper

How to Buy a Franchise

How to Sell Franchises

How to Grow a Franchise

Find a Franchise Supplier

1851 Franchise Opportunities

Franchisor News

Franchisor Power Rankings

FranCamp Mastermind Summit

Franchise Resources

What ALEC-Laffer's Report Means for Franchising

Website Awards

Power Rankings

About 1851

Advertise on 1851

Contact 1851 Editorial

Terms of Use

1851 Login

GROWTH CLUB LOGIN

facebook

instagram

twitter

linkedin

youtube

Layoffs Surge to Pandemic-Era Highs, Opening Doors for Franchise Growth

layoffs-surge-to-pandemic-era-highs-opening-doors-for-franchise-growth

FAT Brands Becomes First Restaurant Franchise To Accept Bitcoin for Royalty Payments

fat-brands-becomes-first-restaurant-franchise-to-accept-bitcoin-for-royalty-payments

Yum! Brands CEO David Gibbs To Retire in 2026 After 36 Years With the Company

yum-brands-ceo-david-gibbs-to-retire-in-2026-after-36-years-with-the-company

Hooters Bankruptcy - Chapter 11 - April 2025 - 1851 Franchise

Hooters Files for Bankruptcy, Sells Restaurants to Franchisee Group

hooters-bankruptcy-chapter-11-april-2025

Fly Dance Fitness Expands With First Franchise Location in Georgia

fly-dance-fitness-franchise-expansion

Paris Baguette Ranks Among Top Franchises on Entrepreneur’s Franchise 500® for 2025 - 1851 Franchise

Paris Baguette Ranks Among Top Franchises on Entrepreneur’s Franchise 500® for 2025

paris-baguette-ranks-among-top-franchises-on-entrepreneurs-franchise-500-for-2025

1851 Agg - McDonald's Sales Decline Expansion Continues - 1851 Franchise

McDonald’s Franchisees Feel the Pressure as Sales Decline and Expansion Continues

mcdonalds-franchisees-feel-the-pressure-as-sales-decline-and-expansion-continues

Design with hundred dollar bill and orange "recession" banner across the middle

ABC News: Recession Risks Are Rising, Economists Say. Here’s What to Know.

recession-risks-impact-economy-franchise-world

Franchise Deep Dive: Studio Pilates Franchise Costs, Fees, Profit and Data

franchise-deep-dive-studio-pilates-franchise-costs-fees-profit-and-data

Florida Franchisee Reflects on Success and Growth with Sylvan Learning

florida-franchisee-reflects-on-success-and-growth-with-sylvan-learning

Military Veteran and Craft Beer Enthusiast to Bring Voodoo Brewing Co. to Toledo, Ohio

military-veteran-and-craft-beer-enthusiast-to-bring-voodoo-brewing-co-to-toledo-ohio

Franchisee spotlight image with Randy and Sandy Craft, Children's Lighthouse logo on blue background

The Crafts’ Successful Journey from New Parents to Children’s Lighthouse Franchisees

the-crafts-successful-journey-from-new-parents-to-childrens-lighthouse-franchisees

Lindora’s New President Discusses Franchise Growth and the Future of Health and Wellness

lindoras-new-president-discusses-franchise-growth-and-the-future-of-health-and-wellness

Franchises Paying Workers Just To Interview Amid Worker Shortage Crisis

MORE STORIES LIKE THIS