Restaurants experience high levels of employee turnover.
How can PEOs reduce turnover rates and improve restaurant employee satisfaction?
Just a couple of years ago, a Gallup analysis determined that employee turnover had cost businesses over one trillion dollars. While that number might surprise some, it isn’t news to restaurant owners. They know exactly how expensive it is to recruit and train a new employee, because the restaurant industry has one of the highest turnover rates in America.
Not only does turnover impact a restaurant’s bottom line, but it can also be harmful to employee morale, which leads to even higher turnover. If you are looking to save money and reduce your employee turnover, it might be time to consider a PEO. Curious? Let’s look at several benefits of a restaurant PEO (professional employer organization) that will help lower your company’s turnover rate.
PEOs Take Out the Guesswork
First and foremost, PEOs will serve as an extension to your Human Resources department. They will handle the paperwork that doesn’t help you produce revenue. The PEO you work with will have experience in dealing with a multitude of business operations that help ensure employee satisfaction from day one of their employment. This helps to reduce employee turnover because workers know they can always turn to the PEO for assistance.
Employee Benefits Options
In the current job market, employee benefits can be just as important as a worker’s salary. Partnering with a PEO means your employees will always have someone who can handle the minutiae of selecting benefits and implementing claims, making changes, etc. They’ll also work closely with management to help them provide benefit packages that work for everyone.
This attention to employee well-being will go a long way to show your staff that you care about them as people, rather than just numbers or employees.
Smooth Payroll Services
Any bump in the payroll process can wreck employee morale. If your team doesn’t have confidence that they’ll get paid on time or, even correctly, they aren’t likely to stick around for long. A restaurant PEO handles all aspects of payroll and payroll tax management, taking the guesswork out of the process. By handling employee status changes, payroll disputes, time and attendance requirements, payroll taxes, federal and state laws, and other aspects, employees will never have to worry about those bumps in the road.
Keeps Employees Happy
It should probably be clear to every business that keeping employees happy is the best way to make sure that they stick around for as long as possible. With the variety of solutions, you’ll receive by working with a PEO, you’ll have more time to ensure your staff are happy and satisfied in their positions. This is a huge factor in reducing turnover rate because, when an employee is happy, they’re much more likely to be loyal and not look for work somewhere else.
Create a Safer Working Environment
Every employee deserves to work in a safe environment, but we hear a lot of stories where businesses have failed to provide this very basic need. A restaurant PEO does whatever is necessary to ensure the safety of its employees, which includes preventing discrimination and harassment that can unfortunately occur. They also routinely audit the company’s business practices, ensuring compliance with labor standards, laws, and regulations that employees rely on for their safety and security.
Workers’ Comp Insurance
It’s no secret that every restaurant experience accidents from time to time, whether it’s an employee being burned by a hot stove or cut by a broken dish. Although most injuries are very minor, some can lead to a workers’ compensation claim because the injury is more serious. Employees are more likely to be loyal to a company that has processed workers’ comp claims in an efficient and effective manner.
A PEO will help you select the best workers’ compensation insurance options for your business and ensure you are within compliance with workers’ comp law.
PEOs will also assist with:
- OSHA Compliance Reporting
- Claims Administration
- Pay as You Go Workers’ Compensation Programs
- Workplace Safety Audits
- And more
Tackles Problems Quickly
In many situations, workers will leave a company because of how other employees have been treated. If you get a reputation that problems such as workers’ compensation, payroll issues, benefit changes, etc. aren’t handled in a timely manner, an employee might decide to leave. A central role of a restaurant PEO is to help you manage daily operations so you can be more aware of your team’s needs and improve your response time to certain situations that may be causing issues within your restaurant.
Contact Vested HR for Restaurant PEO
Vested HR provides essential restaurant PEO solutions that will help lower turnover rate by keeping workers engaged, happy, and taken care of. If you have any questions about our services or would like a free, no-obligation quote, give us a call at (727) 474-2114 today.