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Staffing Shift: Restaurants Prioritize Retention Over Hiring
5 Sep
Summary
- Fewer restaurants plan staff expansion in 2026 compared to previous year.
- Talent retention is now a higher priority than new worker recruitment.
- Operators are focusing on efficiency and scheduling to manage labor challenges.
Restaurant industry employment plans indicate a significant shift, with only 49% of operators intending to grow their staffing levels this year, a decrease from 60% in 2025. Concurrently, 48% plan to maintain their current staff numbers, an increase from the previous year. This suggests a growing emphasis on retaining talent over aggressively hiring new workers.
Operators cite hiring as their second-biggest challenge after inflation. In response, 51% aim to boost staff efficiency and service speed, while 49% are prioritizing retention efforts. Industry-wide, labor turnover indicators have stabilized, with a downward trend in employee "quits" compared to the immediate post-COVID period.
Strategies to improve labor management include enhanced shift scheduling, with 45% of operators focusing on this area. Additionally, 35% are implementing technology to streamline staff and guest interactions. Examples include Chili's improving scheduling accuracy and Chipotle deploying high-efficiency equipment to enhance labor productivity and guest service.
