5 Reasons For High Staff Turnover in Hospitality
Hospitality staff turnover has become an increasing challenge for the industry. In fact, according to stats from Deputy data, the staff turnover rate in the industry is at 30% (double the UK average).
Furthermore, a YouGov survey outlined that 42% of hospitality staff leave their job within the first 30 days.
This is why it is critical to ensure you not only attract ideal hospitality talent but you also keep them wanting to stay around.
While the cost of replacing a lost employee can be significant, it’s worth remembering that anywhere up to 75% of turnover can be avoided.
That is why it is crucial to understand the reasons your employees might be looking elsewhere.
In this post, we are going to share several reasons for high staff turnover in hospitality and what you can implement to reduce your staff turnover.
Employee Benefits & Experience
According to a YouGov survey, one of the top reasons for people leaving the industry is because of low pay and benefits. This is all part of employee experience and engagement within your business.
Employee experience and engagement is the key to your success as a business. It increases productivity, improves customer service and satisfaction, all of which can help you drive business growth and success.
Ways you can boost employee engagement and experience are through benefits like:
- Health Benefits such as healthcare cashback, access to GP and wellbeing resources
- Discount cards for shops and days out
- Discounts on or free use of your onsite facilities and food
- Paid for team events such as social outings or team building days
- Options to have shares in your business
- Salary sacrifice
All of the above can be done through employee benefit schemes.
Long Hours and a Lack of Work Life Balance
The YouGov survey stated the top reason people leave the industry was because of the long and unsociable working hours. The same survey advised people would be willing to stay for a better work life balance.
We know unsociable hours comes with territory but it causes stress and anxiety leading to burnout. The Burnt Chef Project ran a survey and found an estimated 17 million working days were lost due to work-related stress, depression, or anxiety within the industry. This is over half of all working days lost due to work-related ill health.
The World Health Organisation says “burnout” is a significant occupational phenomenon that has increased drastically in recent years. Burned-out and overwhelmed employees disengage from the workplace, show clear signs of exhaustion, and often look for alternative work opportunities. With this in mind, tracking your employee’s mental and physical health is important.
Pay attention to signs of exhaustion, like the heavy reliance on caffeine, yawning, a slower-than-usual pace, being late, forgetfulness, snapping and arguing more regularly than normal with colleagues and being withdrawn.
Ways to Help Employees Overcome Burnout
Providing flexibility of the hours staff work through split shifts, time in lieu, shift choices and option of split parental leave. Along with if possible allowing two days leave at least once a month. Assessing each employees individual circumstances and providing an option that works best for them and you. This shows you are compassionate about their needs as well as being able to keep the needs of the business aligned too.
Providing access to mental health support for employees that need it will help them and you. Don’t forget to check in with your employees and ask if they are ok. Are they coping well. Assess if there is anything you are able to do to support them.
Lack of Career Prospects
Only 3% of people from the YouGov survey advised they went into hospitality for the career prospects it offered. While 35% are leaving the sector because of the lack of them.
The good news is the industry is noticing this and is starting to make change. Hospitality Rising was born in 2021 with the aim to change the perception of working in the hospitality industry and educate employers on offering careers not jobs.
As an employer you can do this too without having to spend lots of money. Focus on the positive side of the industry for example the team atmosphere and offering wellbeing support. Helping to remove the negative misconceptions.
If someone comes to work for you where could their career go? Could you talk about people who have been in your business and where they are now? Even if they no longer work for you but have leveled up their responsibilities.
If you don’t currently have career plans for people think about offering them. Contact local colleges and see if you are able to work with them to encourage young people to join the industry. If you can offer apprenticeships.
Toxic Work Environment
A toxic work environments can cause stress, anxiety, negative atmosphere and employees to be physically ill. This can impact your business through poor customer service because staff aren’t communicating, burnout and have more time off than usual. In the end, ultimately your reputation could be damaged.
This can be caused by a number of aspects including:
- Bad Fit – One employee who doesn’t fit your culture can ruffle lots of feathers and cause a divide. The worst case scenario is the atmosphere this person causes gets too much for some of your employees and they leave. This can sometimes be your best staff members.
- Disconnect with Managers – Managers who dictate and don’t listen to their staff will cause you a headache.
- Lack of Trust – If employees don’t feel you can trust them to do their job, they are unlikely to have a can do attitude. Staff will talk amongst each other and a reputation about working for you will start to fester.
What Can You Do To Eliminate Toxic Work Environments
Ensure you know the type of personality that will work with your business team culture. You can do this by looking at the people you have. Involve them in putting a profile together of the ideal team member. Personality is more important than skill set. You could have the best Head Chef in the world but if they don’t work well with your team, it will cost not enhance your business.
Put a programme together for any managers in the business to ensure they understand what is important. An us versus them mentality is not going to move your business forward. Everyone should be listened to and have a say in the business. A student who is waiting tables may have an idea which could really up level your business. Work collaboratively together and you will create a culture where people want to work for you.
Lack of Recognition
A simple thank you can go a long way. Studies have shown that recognition in the workplace improves performance. It shows your employees you value them and this will give them a sense of accomplishment, achievement and security. They in turn will work more productively for you.
Ways To Enhance Recognition
- Praise employees individually but also let your other staff members know. Announce it in team meetings or on the team chats.
- Shout out on your socials. Make a post to say why you are proud of your employee/s. Not only will this give them a high level of satisfaction but also show your customers how much you care about your staff.
- Encourage staff to praise each other. Maybe have a box where staff can say something about each other and you read these out weekly or monthly. You could also ask customers to do this too.
- Employee of the week/month/quarter/year where you give a monetary award such as a voucher, experience etc. It goes a step further and motivates employees to work above and beyond for you.
Don’t Lose Your Best Staff
Staff turnover is a challenge but it can be turned around. Revisiting your recruitment strategy, onboarding process and employee engagement programme can help you find ways to keep your best staff on board. Do you know how much staff turnover is costing you? In today’s changing hospitality landscape, issues like disengagement, burnout, and even “quiet quitting” are becoming increasingly common. Fortunately, if you can recognise these signs ahead of time, there are still things you can do to re-ignite your staff’s passion for your company and prevent them from seeking other employment options. Pay attention to your best staff, and make sure you’re not actively pushing them away.
Here at KSB Catering and Hospitality Recruitment Agency, we have been helping hospitality and catering businesses for over 30 years. If you would like to find out how we help our clients recruit call us on 0121 314 9365 or click the link below.