While restaurants have always dealt with high staff turnover – with staff churning at more than 1.5x the rate of other private sector workers – restaurant managers usually stayed in roles longer as part of a career path in this industry. However, in the post-pandemic world, a concerning new trend has emerged – restaurant managers departing their roles at rates similar to staff turnover. As all successful restaurant owners and operators know, quality managers are key to their success. When managers leave, replacing them can take weeks or even months in some cases. So, why are managers leaving, and what can you do to prevent this churn?
Why Restaurant Managers Leave
1. High-Stress Environment
The restaurant management role is an intricate balancing act encompassing staff coordination, customer service, inventory management, and financial oversight. This continuous high-pressure environment can lead to burnout, something our customers have told us is causing managers to leave.
2. Long Working Hours
The demanding nature of the restaurant business often results in extended, irregular work hours, not to mention working many holidays with very limited time off. This schedule can erode work-life balance and contribute to managers seeking positions with more predictable hours.
3. Limited Advancement Opportunities
A perception of limited upward mobility within the restaurant industry can prompt managers to explore opportunities in other fields where career progression seems more attainable.
4. Low Compensation
As mentioned, restaurant managers have a wide range of responsibilities that have only gotten more difficult post-pandemic, such as keeping their store appropriately staffed amidst staffing shortages and staying profitable in the face of rising labor and food costs. With all this pressure, many restaurant managers feel that their compensation does not align with their workload and responsibilities, which leads to exploring alternative career paths.
Strategies for Retaining Top Managers
- Invest in Professional Development and Provide Clear Growth Paths: Offering continuous training opportunities can enhance a manager’s skill set and provide a sense of growth within the organization. The National Restaurant Association Education Foundation emphasizes the value of ongoing learning in retaining motivated managers. When you combine training with advancement opportunities, you have a winning recipe for manager retention.
- Offer Competitive Compensation: Offer a competitive salary combined with performance-based bonuses to make managers feel appreciated. Use salary comparison tools to determine fair market rates, and compare salaries not just for managers in restaurants, but also other industries that might lure your top talent away. When thinking about compensation, also consider offering in-demand benefits and increase paid time off to keep your managers happy.
- Provide Flexible Schedules: While the restaurant industry requires adaptability, achieving a balance is crucial. Implementing rotating schedules can contribute to better work-life balance and reduce turnover.
- Automate Scheduling Tasks: Managers who feel overwhelmed are more likely to leave. By implementing an automated scheduling solution using AI-driven forecasts and a compliance rules engine, managers could save upwards of 4 hours per week on scheduling.
- Reduce Time Spent on Inventory Management: In addition to hours spent on weekly schedules, managers must also manage inventory orders to ensure they have what they need and minimize waste through spoilage. Automated inventory management solutions that reduce hand counting, manage ordering, and handle returns can save up to 8 hours/week. Plus, demand forecasting can help set up production and prep schedules so restaurants are prepared to delight guests.
- Foster a Positive Work Culture: A positive work environment encourages communication, collaboration, and respect. Regular recognition and appreciation efforts can also significantly impact retention rates. Genuine acknowledgment can foster a sense of belonging and loyalty among managers. Another way to foster a positive culture is to create open avenues for managers (and employees) to share concerns and offer suggestions. Listen to your staff and implement suggestions.
Our fully integrated cloud-based workforce management software is designed to meet the unique needs of the hourly workforce.
Conclusion
With the vital role that managers play in helping restaurants grow profitably, operators can’t afford rapid turnover. But, by understanding the root causes and implementing targeted strategies for retention, restaurant owners can build and retain a skilled managerial team that contributes to the long-term success of their establishment. A restaurant’s success depends on nurturing and retaining talented managers in order to ensure consistent operations, high customer satisfaction, and overall profitability.
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