Hiring Guide For NYC Restaurants - Hiring challenges in New York City restaurants. Restaurant owners have more applicants than job openings but still have trouble recruiting staff. Some use employee referral programs to bring in new workers and encourage them to remain. The city's economy has rebounded, yet restaurants and bars still require assistance to thrive. Many key workers left the city during the pandemic, while others may have simply sought better paying jobs elsewhere.
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New York City restaurants are notoriously difficult environments in which to work. Employees are often required to work late into the night and early in the morning, which can be exhausting. They also compete with each other for shifts. As a result, many restaurants find it challenging to retain staff as well as recruit new ones.
Restaurants have long been at the center of worker here shortage complaints, with unfilled job vacancies numbering in the millions--particularly within the service industry. Yet some owners continue to struggle in hiring even after raising wages and offering bonuses as incentives to employees.
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Restaurant owners were able to hire more staff and increase employee hours after COVID-19 restrictions ended. Unfortunately, however, progress has been hindered by lingering effects of the pandemic and ongoing challenges facing both workers and owners - such as below-cost-of-living pay, tip inequities, limited or no benefits, race/gender disparities and job instability.
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Samantha DiStefano, of Brooklyn, must close Mama Fox Restaurant & Bar on Sunday evening through Monday because she cannot find enough staff. Susan Povich, of Red Hook, must reduce the number of tables at her Lobster Pound Restaurant to avoid customers being turned away. These owners believe that some workers have simply left the industry and are now working in other fields.
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But New York City workers face added pressures from working in one of the world's most work-oriented cities: professionalism is expected and long hours are commonplace, particularly for junior employees in finance, consulting, law and tech fields. Commuters spend the majority of their time in offices during the week, leaving restaurants and bars with a limited window to attract customers.
Due to a three-day work week, many restaurants have implemented shift schedules and launched campaigns aimed at drawing in customers on Mondays and Fridays - typically the busiest days for restaurants and hotels.
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New York restaurants permit split shifts, but if an employee works over 10 hours in a day they will be eligible for differentiated wages - an additional hour of minimum wage is added to their base hourly rate. Restaurants can pay their staff on a biweekly, weekly or monthly basis. They must inform employees when their wages are due.
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NYC workers enjoy a wide range of benefits in this city. Ranging from professional development opportunities to health insurance plans, NYC has much to offer its workers.
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New York City restaurants are an integral component of cultural diversity and an economic driver. The industry is not without its challenges, both for employees and owners. Employees are faced with low minimum wages, tips and inequities regarding race/gender, job instability, and thin profit margins. Owners also face issues such as reliance on third-party delivery services, high operating costs, competition, soaring rents, rising labor regulations, among others.
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But restaurant hiring's slow pace reflects larger issues in the labor economy. Many workers are clinging to the weekly federal unemployment benefits which will expire in September, while others have opted out of service industry employment altogether. This explains why restaurants face a shortage of workers even though unemployment rates are declining.
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Contrary to other industries, restaurant employees are not entitled to health insurance, paid sick leave or rest breaks. If a host works from 11 a.m. to 3 p.m. before taking two hour break before returning at 5 pm for five more hours until 10 pm then resumes working from five pm until ten pm then the restaurant owes nine hours plus one minimum wage even though they only worked ten total hours!
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Restaurants are heavily reliant on their workers, but they don't always provide enough hours and wages to support them and their families. This was true both before and during COVID-19; today, restaurant workers continue experiencing wages and tips below the cost of living, as well inadequate (or no), benefits, race/gender bias, and job instability. Restaurant owners are also facing thin profit margins, rising costs, competition from third-party delivery services, and a growing need for digital innovation.
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Restaurant careers are notoriously competitive for newcomers. Experienced servers who look to increase income or advance in their careers often face fierce competition when trying to break in as servers themselves.
Many restaurateurs report having difficulty recruiting employees due to low pay compared to other industries in their area, and finding young talent who prefer living at home with their parents and are resistant to moving into cities.
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Most New York City restaurants do not pay enough to support a family on a minimum wage income or less. Employers also often skirt health insurance obligations by scheduling workers to only 28-29 hours each week as close as possible to full-time eligibility - an indicator of how poorly many restaurants place value on their employees.