Posted on 10/12/2021 10:12:50 AM PDT by george76
More than half the wage earners currently working in the hospitality business are planning to quit by Jan. 1, according to new research..
Restaurants struggling to hold onto their employees are about to hit by a major setback, according to new research.
A survey of 13,659 wage earners by the online job marketplace Joblist revealed that 58% of restaurant and hotel employees intend to quit their jobs by the end of the year, stoking what the researchers have dubbed The Great Resignation.
If the pattern set by earlier quitters persists, a fourth of the workers will leave the hospitality industry for good.
The employees who intend to bail are in addition to the 16% of industry respondents who indicated they’re already no longer working.
The overall driver is the individuals’ dwindling satisfaction with their positions, the study found. The proportion of workers turned off by their hospitality jobs has doubled during the pandemic to a third of the labor force, compared with the 15% who said they were dissatisfied before the coronavirus crisis.
The percentage who said they’re satisfied with their positions dropped to 42%, from a pre-pandemic benchmark of 64%.
“Such extreme levels of employee dissatisfaction will likely lead to a wave of resignations in the near future,” the Joblist study states. “This is a strong signal that the labor shortage affecting the hospitality industry might get worse before it gets better, as increased turnover exacerbates an already difficult hiring environment for employers.”
Among the 25% of former hospitality workers who said they’re done with restaurants, bars and hotels, the leading source of their dissatisfaction was low pay (cited by 56%). The other most frequent triggers for departures were a desire for a new career (50%), a lack of benefits (39%), difficult customers (38%), long hours and rigid schedules (34%) and potential exposure to coronavirus (23%).
The exodus is also being fueled by a desire for more education. Eleven percent of the respondents said they’ve already gone back to school or enrolled in a training program as a prelude to a new career, and more than a quarter said they’re thinking of pursuing that route.
Some good news..
The findings suggested that employers are far from helpless. Across all fields of employment, about a third of job hunters said they would reconsider quitting their current positions if the employer addressed just some sources of their dissatisfaction.
In addition, Joblist said that all employers should benefit from the reopening of schools for in-classroom learning. About 40% of the respondents said their work lives were impacted by the need to participate in their children’s remote learning.
A restaurant owner on Cape Cod told us she would interview wait staff and then they would never respond to calls for hiring etc. They just needed to show their unemployment office that they were "looking".
PAY MORE FOR THEM
The fast-food places are actively advertising their starting salaries—at least $12/hr and sometimes up to $16/hr and this is a college town with lots of kids.
Don’t have any idea of what the sit-down places are offering. But at some point, they will either close or raise prices so hight that most people won’t be able to afford an evening out. And then they too will close.
A lot of things really. Pretty good offers for hospitality people to jump to. In my area for example we have “no experience, we train” jobs in meat production, $20-27/hr, forklift $23.50, and specialized mechanics, $31.50.
All with full benefits, the mechanic job even has pet insurance.
Really. Who is this “they” that have “tons of cash” stashed away.
I think unemployment laws vary from state to state.
This was in NH. I think in NH you have to actually get a job for at least ONE day.
In MA(being a very liberal state) you probably just have to say you were looking for work to qualify.
I guess that is why the unemployment rate in NH is 3.0% and MA is 5.0%
FYI, NE is 2.2%, UT is 2.6, ID & SD 2.9
NV 7.7, CA 7.5, NY 7.4, CT, NJ, NM 7.0
https://www.bls.gov/web/laus/laumstrk.htm
“...we have “no experience, we train” jobs in meat production, $20-27/hr, forklift $23.50, and specialized mechanics, $31.50.”
That’s interesting. The wages seem high for entry level. Is that because of the labor shortage or is that these positions have historically paid at the entry level?
What is “meat production”?
Tough sh!t. Life as an IT worker in a H-1b visa crazy world is difficult.
We should not have one of two political parties soley in tune with small business and their need for cheap labor. There is more to life than "small business".
Life is difficult for a lot of folks, but I don’t tell you how you should do your job, and unless you own a small business in this nasty environment it is hard for you to understand their challenges.
So that translates too "I can AFFORD to close and still not go out of business" = large cash reserves.
Long hours, low pay, few if any benefits, what's surprising that people want to find something else?
I’ve worked for many small business. A mechanical contractor and a restaurant. They under pay and over charge. That is fact.
Dear ( fill in name here ),
Yo have reached the age of 30 and are no longer useful. You only make min wage. So you are terminated. Report to the “rehab” facility for further processing.
If a business model requires employees to make less than a wage that will support them, they’re essentially expecting their profits to be subsidized by someone else— government, the employee’s family, charity, or whatever.
Chop up cow and make steaks. Butchering factory.
These used to be the place that people with too much dignity to go on unemployment went when they were out of work. Wages low, no one wanted to be there.
JBS bought them out and now it requires a jab.
In other words, back to my childhood!
A friend used to have a small pizza place (for 10+ years). Great pizzas. I suppose it has been 5+ years now that he went out of business.
Ingredients were getting more expensive, and the minimum wage kept going up and up (Seattle area). In order to keep his good people he had to increase their pay as well to keep them above his newly hired at the minimum wage.
We would go there once in awhile to bring him some business as he started slowing down as the price of the pizzas kept increasing. But if he hadn’t been a friend, no way would I have paid what those pizza’s cost (I can’t recall now - but $27 or something??)
I know you do not want to hear this, but labor is a commodity.
It does not make any difference what “wage....will support...workers”.
I would encourage everyone to own a small business for a few years—great way to learn basic economics in a hurry!
I understand that labor is a commodity, but a business that doesn’t pay a wage that will support its workers is expecting someone else to pick up the tab for their profits.
If you add inflation to front-line hazard duty, the lower-end workers at least should probably get their pay boosted by a third immediately, with regular inflation hikes as long as we’re on this path.
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