1851

<a href="https://www.npr.org/2021/07/20/1016081936/low-pay-no-benefits-rude-customers-restaurant-workers-quit-at-record-rate?utm_source=1851franchise.com&utm_medium=article&utm_campaign=the-new-tactics-of-franchise-employee-retention-2716271" target="_blank" rel="nofollow">Restaurant workers are quitting in record numbers</a>, and many business owners are instituting new compensation plans in an effort to retain employees.Shake Shack recently announced a plan to invest <a href="https://www.qsrmagazine.com/employee-management/shake-shack-invest-more-10-million-restaurant-workers?utm_source=1851franchise.com&utm_medium=article&utm_campaign=the-new-tactics-of-franchise-employee-retention-2716271" target="_blank" rel="nofollow">“more than $10 million”</a> in their workers. And that move may do more for the burger brand than just protect against employee walkouts.&nbsp;On Thursday, <a href="https://www.qsrmagazine.com/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=the-new-tactics-of-franchise-employee-retention-2716271" target="_blank" rel="nofollow">QSR Magazine</a>’s <a href="https://www.linkedin.com/in/ben-coley-46a0548b/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=the-new-tactics-of-franchise-employee-retention-2716271" target="_blank" rel="nofollow">Ben Coley</a> took a deep dive into Shake Shack’s new employee retention, highlighting how “more than $9 million will go toward increasing wages for hourly workers.“$1 million will be designated for bonuses upon hiring, while hiring bonuses will also be allocated for employees hired between June 10-August 31,” the article says. Shake Shack will also issue a “monthly subscription allowance” that can cover “things that improve their [employee’s] mental, physical, or emotional well-being.”Earlier this week, <a href="https://www.npr.org/2021/07/20/1016081936/low-pay-no-benefits-rude-customers-restaurant-workers-quit-at-record-rate?utm_medium=social&amp%3Butm_source=twitter.com&amp%3Butm_campaign=npr&amp%3Butm_term=nprnews&utm_source=1851franchise.com&utm_medium=article&utm_campaign=the-new-tactics-of-franchise-employee-retention-2716271" target="_blank" rel="nofollow">NPR published a column</a> detailing how low wages, no benefits and hostile customers are contributing to restaurant workers leaving the industry. NPR’s <a href="https://www.linkedin.com/in/alinaselyukh/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=the-new-tactics-of-franchise-employee-retention-2716271" target="_blank" rel="nofollow">Alina Selyukh</a> highlighted how unemployment benefits alone allow some employees to begin saving cash for the first time in their lives.Resolving employee walkouts can be as simple as upping employee salaries, but there is a difference between paying employees and investing in them.A “subscription allowance” can ensure employee well-being is prioritized. Getting paid more is a clear way to improve employee morale, but a few strategic incentives can capitalize on that morale and ensure that compensation is directly translated into workplace efforts.Shake Shack didn’t stop there, either. As mentioned in their QSR feature: “To grow its next crop of leaders, [they] started Shift Up, a career development program for entry-level managers to learn professional and business communications, financial acumen, and leadership skills.”&nbsp;Their investment in employees’ personal growth can help answer an age-old question: <a href="https://xplor.org/what-happens-if-we-dont-and-they-stay/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=the-new-tactics-of-franchise-employee-retention-2716271" target="_blank" rel="nofollow">What happens if you don’t invest in your employees, and they stay?</a>Some restaurant managers haven’t been able to keep their employees at all, which tips the scale in a different direction. Successful companies are composed of ambitious people, and Shake Shack is helping to pioneer a model that could soon resemble a normal industry-wide practice.

The New Tactics of Franchise Employee Retention

1851 Franchise

Here’s what the restaurant segment should learn from Shake Shack’s $10 million employee-retention plan.

the-new-tactics-of-franchise-employee-retention

TruBlue Home Service Ally

TruBlue Home Service Ally Celebrates Major Milestone With Opening of Its 100th Franchise Location

trublue-home-service-ally-celebrates-major-milestone-with-opening-of-its-100th-franchise-location

Children's Lighthouse

Children’s Lighthouse Named Among the Top Franchises in Entrepreneur Franchise 500® Ranking

Children’s Lighthouse Named Among the Top Franchises in Entrepreneur Magazine’s Franchise 500® Ranking

childrens-lighthouse-named-among-the-top-franchises-in-entrepreneur-magazines-franchise-500-ranking

Layne's Chicken Fingers

Four Layne's team members stand in front of a wall decorated with artwork from the community

The Easiest $10,000 Made in a Day: How Layne’s Built Operations for Volume

the-easiest-10000-made-in-a-day-how-laynes-built-operations-for-volume

Pet Wants

Why Pet Wants Is Perfect for First-Time Franchise Owners

why-pet-wants-is-perfect-for-first-time-franchise-owners

Griswold

7 Winter Safety Tips for Seniors: Staying Safe During National Winter Safety Month

7-winter-safety-tips-for-seniors-staying-safe-during-national-winter-safety-month

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

Login

facebook

instagram

twitter

linkedin

youtube

Yum Brands - KFC - Pizza Hut - Terminates Franchise Agreements in Turkey - 1851 Franchise

Yum! Brands Terminates Franchise Agreements in Turkey Due to Non-Compliance

yum-brands-terminates-franchise-agreements-in-turkey-due-to-non-compliance

Recent Franchise News - Why Franchisors Churn Through Marketing Suppliers - 1851 Franchise

Forbes: Four Reasons Why Franchisors Churn Through Marketing Suppliers

forbes-four-reasons-why-franchisors-churn-through-marketing-suppliers

QSR Magazine: Big Chicken Targets Global Expansion

qsr-magazine-big-chicken-aims-for-global-growth

Starbucks Strike Brews Opportunity for the Next Coffee Franchisee

starbucks-strike-brews-opportunity-for-coffee-franchise-hopefuls

I Heart Mac and Cheese - Franchisees Sue I Heart Mac and Cheese - Franchise News - 1851 Franchise

Restaurant Business Online: Franchisees Sue I Heart Mac and Cheese

restaurant-business-online-franchisees-sue-i-heart-mac-and-cheese

Two Attorneys, Restaurant Professionals To Serve Germantown Community With New Paris Baguette Café

two-attorneys-restaurant-professionals-to-serve-germantown-community-with-new-paris-baguette-cafe

Top 10 Franchises for New Year’s Resolutions

Top 10 Franchise Opportunities for New Year’s Resolutions

top-10-franchises-for-new-years-resolutions

Leveraging Technology in Franchise Management

How to Leverage Technology in Franchise Management

leveraging-technology-in-franchise-management

The Best Franchises To Own With Low Initial Investments

best-franchises-with-low-initial-investments

Newk's Eatery - Magee, MS - Skip Russell Franchisee Profile - CI

Former Popeyes Franchisee Builds on Decades of Success with Newk's Expansion Plans

former-popeyes-franchisee-builds-on-decades-of-success-with-newks-expansion-plans

The New Tactics of Franchise Employee Retention

MORE STORIES LIKE THIS