Recruitment and Retention Practices in Independent and Chain Restaurants

The management of employees in the restaurant industry is a major challenge that operators must address as companies work to find the best employees in a shrinking labor market. An exploratory study of twenty restaurants (ten independent and ten chain restaurants) investigated similarities and differences in employee recruitment and retention practices. Personal face-to-face interviews with managers disclosed a variety of interesting practices and ideas in the management areas of recruitment, interviewing and hiring, incentives, discipline, and retention. Environmental issues (relating to atmosphere and work environment) were most frequently cited by managers as reasons employees choose to work and remain in restaurants. Compensation and monetary awards were second in importance, followed by work schedule. This analysis provides an understanding from the manager's viewpoint of why employees work in restaurants and offers a perspective in current practices in employee recruitment and retention processes.