Ask George: Why is there such high turnover in the restaurant industry?

Ask George: Why is there such high turnover in the restaurant industry? Carol M., St. Louis

Not to sound cynical, but my short answer is usually, “because an employee can get another restaurant job in about five minutes.” The cogent answer is a bit more involved.  

Here are some of the reasons, in no particular order:

Lack of Business — The most common reason for a change in scenery, in my opinion. A restaurant slows down or an employee’s hours get cut. Both lead to fewer take home dollars at the end of the week.

Inadequate Pay / Lack of Benefits – Employees sometimes reach a crossroads in their life (returning to school, replacing a car, having a child) where they simply require more: generally more money and/or paid health insurance. Such demands sometimes necessitate at least a lateral job change.

No Opportunity for Advancement — Chain restaurants tout the fact that they promote from within, but opportunities for advancement are not as frequent with smaller, independent restaurants. And if an employee gets passed over for a job, especially in the latter case, it could easily happen again, and the staffer decides to move on.

Lack of Recognition — While money was often thought to be an employee’s main motivator and key to job satisfaction, studies have shown that a little recognition may be an even more important motivator. One of the reasons I got into the restaurant business stemmed largely from an employer who solicited our input and praised our efforts. (Thank you, Don Asel.)

Grass is Greener Syndrome — This one covers a lot of ground (components have been addressed above). Restaurant employees, like many folks, are attracted to the next bright, shiny object, so when a new restaurant gets publicized as the coolest thing since Shake Shack, many of them respond. That’s why restaurant managers see so many apps from “job jumpers”.

Entitlement Syndrome — Some employees think they should be able to take off for a birthday, a holiday, a sporting event, or even a prom. The latter has been the reason for many a termination: the employee makes a half-assed effort to get the shift covered, gives up, then no-shows on the night in question. Had they gone to the owner/manager and asked for some help (begging, pleading, and tears always worked on me), the outcome may have been different.

Issues with Management — I can’t tell you how many applications I’ve seen where the “Reason for Leaving” on at least one prior job was, “My boss was a jerk,” or words to that effect.

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