That's the message to fast-food hamburger chain restaurant owners from a Purdue University survey of wages and benefits in the industry. Restaurants typically have higher employee turnover rates than other industries, yet the Purdue study found those rates were lowest for restaurants that offered part-time workers benefits such as Christmas bonuses, incentive pay and regularly scheduled wage hikes.
Customers expect consistent and efficient service when they purchase a burger and fries.
If a restaurant is constantly hiring new employees to replace old ones, that may compromise its ability to deliver a satisfactory product every time. In the study of 209 fast-food chain restaurants in Indiana, managers reported annual employee turnover rates of between 133 percent and 238 percent. The findings indicated that 72 percent of all the restaurants' employees were part-time workers. Some of the costs of turnover are hiring and training new employees, lost sales because of slower service, and poor customer relations. In comparing the various restaurants, the researchers calculated the mean turnover rates based on the various wages and benefits offered.