Brands like Checkers and Pizza Hut are fighting against labor shortages by opting into expedited paychecks.
Within recent years, the restaurant industry has been facing a labor shortage. To attract and retain employees, some food service chains are taking matters into their own hands.
Beginning in June, some restaurants such as Checkers and Pizza Hut will offer same-day and next-day paychecks. Church’s Chicken is among the first to test the initiative, offering employees half their earned pay the day after their shift, stated a recent Bloomberg article.
The article reported, “The test will gauge whether the 50% is enough for workers, and the idea is to roll it out more widely going forward. It’s not a loan, and there are no fees.”
The restaurant industry has struggled to maintain staff, facing a higher than average turnover rate. Unfortunately, simply raising wages isn’t enough. Brands have had to become more creative with hiring initiatives, trying digital recruiting and training, signing bonuses and even tapping into new labor opportunities.
It is yet to be determined if expedited pay will help retain restaurant staff, but brands are already gearing up to mention the pay opportunity and are eager to see the results of the June trial run.
Learn more by reading the full article here.