Improving staff retention in hospitality

Employment within the hospitality industry is often regarded as a temporary arrangement, both by employees and employers themselves. What can we do to change this view, and why would it help both businesses and the people working within them?

According to a pre-covid survey commissioned by YouGov, staff turnover in the UK hospitality industry averages around 30% – twice as high as the national average. Some of this turnover is accounted for by seasonality of roles – employing temporary staff to cover busier periods – but the industry is often seen as one for young people and students, to tide them over before embarking on their long term career.

The YouGov survey listed key improvements that would be likely to encourage staff to remain including:

• Better pay and benefits (63%) 
• More control over work life and shift patterns (55%) 
• More stable income and guaranteed hours (52%) 
• Better career prospects (42%) 
• More transparency from employers regarding shifts/scheduling (32%)

Why retention matters

In the post covid market, running an efficient operation will be a vital factor in the survival of hospitality businesses. Retaining good staff adds to your operating efficiencies by:

• reducing recruitment costs
• reducing training costs
• improving team stability and morale
• minimising payroll costs and potential salary errors.

Better working patterns and shifts

The great news is it is relatively cheap, quick and easy to address staff concerns regarding working patterns and shifts. Creating a system that allows staff to access shift information weeks in advance, and gives them regular, fair and predictable working patterns allows staff better control over their own lives and therefore reduces stress. This may encourage job applications from prospective staff who require stability from their employment – such as working parents or those with caring commitments – who would in turn be more likely to remain in a job that suits their lifestyle.

Consider using an online tool to give greater visibility of rotas to staff. Cloud based tools such as Google calendar or Doodle poll provide low cost and easy to use software which allows your team to view and even collaborate with your resource planners to find the best rota solutions for everyone. Organised forward planning is a very low cost, high impact way to improve your team’s working life.

Better career prospects

To offset the perception of hospitality as low skilled, temporary employment, consider creating a clear career path that staff can follow. Think about suitable training to help them increase the right skills as they follow that path – not just functional job related courses such as food hygiene or allergen training, cookery or sommelier courses, but training that incorporates invaluable softer skills, including team work, customer service and leadership skills. A recognised award programme such as the Catering Professional Award demonstrates that you value a team member enough to invest in their development and future, and can actually encourage new staff to seek employment with you.

Creating a defined career path adds to individual and team stability. Once you have a number of staff who have a good career record with you, they will be able to act as mentors for your less experienced staff and will demonstrate the real benefits in staying with you.

Winners of the 2021 ‘Best Pub Employer’ award, Brewhouse & Kitchen, were commended for their team first approach – this included their innovation training programme that was strengthened during the pandemic, reinforcing the importance the pub and microbrewing company places on staff wellbeing.

Better pay and benefits

Paying minimum wage to staff may look sensible in your budget planning, but it can be a false economy. A low wage is most likely to attract staff who are looking for a temporary, stop gap role while they look for something with better conditions. Also consider that they will attach similar value to their role as you do – so if you demonstrate that you consider your staff to have little value in the benefits you provide, your team will think similarly; this will be reflected in the time they spend in role before looking for a new opportunity.

When deciding on a pay and benefits package, do your research. Look at average pay rates of similar businesses in your area and ensure you don’t undervalue your team. Think about the wider package of benefits you offer – such as tips, staff discount, team meals, long service rewards and annual leave – and be clear about these right from the start.

And one last tip – don’t forget to say thank you! We are all human – the impact of being recognised for a job well done, keeping going through a difficult period, or just being a great colleague is huge.