{"id":130798,"date":"2013-11-21T20:15:00","date_gmt":"2013-11-21T20:15:00","guid":{"rendered":"https:\/\/pizzatoday.com\/departments\/employee-incentive-programs-help-control-turnover\/"},"modified":"2025-08-21T08:57:57","modified_gmt":"2025-08-21T08:57:57","slug":"employee-incentive-programs-help-control-turnover","status":"publish","type":"post","link":"https:\/\/pizzatoday.com\/news\/employee-incentive-programs-help-control-turnover\/130798\/","title":{"rendered":"Employee Incentive Programs Help Control Turnover"},"content":{"rendered":"

\"creatingConsistency02\"<\/a>Inside the Chicago-based corporate office of Home Run Inn<\/a>, a wall features dozens of photographs of employees who have been with the 90-year-old company for more than two decades.<\/p>\n

For Home Run Inn president Dan Costello, the images not only celebrate loyal employees, but also remind corporate staff that employees \u2014 from GMs to busboys \u2014 fuel the pizzeria\u2019s success.<\/p>\n

\u00a0In the restaurant industry, where annual turnover can range from 50 percent at upscale spots to 300 percent in quick serves, long-term employees are prized commodities. They increase efficiency with their knowledge; save money and time from having to train new hires; provide consistent service to guests; and allow management to devote greater attention to menu development, marketing, and other revenue-generating initiatives.<\/p>\n

While the last recession curtailed job-hopping’s pace, the economy\u2019s continued rebound has reignited discussions around retention.<\/p>\n

Yet, getting employees to stay put, especially in an industry notorious for its stress and low pay, is no easy matter for restaurant operators. It takes effort, strategy, investment and sincerity.<\/p>\n

According to Robin DiPietro, associate professor in the School of Hotel, Restaurant and Tourism Management<\/a> at the University of South Carolina, cultivating long-term employees begins with restaurant leaders seeing their employees as more than temporary industry help.<\/p>\n

\u201cToo often, we become our worst enemy and assume turnover,\u201d DiPietro says. \u201cWe need to see staff as long-term employees before they do.\u201d<\/p>\n

\"Photo<\/a>

Happy employees are loyal employees.<\/p><\/div>\n

Then, DiPietro contends, it\u2019s about providing a positive work environment, one with competitive wages and benefits, advancement opportunities and responsive management willing to reward employees\u2019 efforts, which includes providing incentives and recognition.<\/p>\n

Melissa Van Dyke, president of the Incentive Research Foundation (IRF), a St. Louis-based organization that tracks employee engagement issues, differentiates incentives and recognition.<\/p>\n

Incentives, Van Dyke says, are targeted at engaging employees in a specific goal and helping them persist toward it. These rewards, which might be based on anything from performance metrics and mystery shopper scores to hustling into the restaurant to serve an unexpectedly packed dining room, might not only boost retention numbers, but also help curb attendance issues, improve customer service and increase sales.<\/p>\n

Incentives need not be elaborate or even costly. For instance, perhaps a top performer gets to select the section he\u2019ll serve for the evening or receives a complimentary meal for he and a guest.<\/p>\n

DiPietro recalls one franchisee within a national chain who rewarded staff with trade dollars that could be used at the restaurant as well as local businesses the operator had created trade agreements with, including the local movie theatre, bowling center and grocery store. DiPietro says incentives like that play an important role in creating an energetic, motivated atmosphere.<\/p>\n

\u201cIncentives are a way to create a positive culture and that\u2019s what creates longevity,\u201d she says.<\/p>\n

Though the Bureau of Labor Statistics<\/a> reports that 2012\u2019s average foodservice employee had a tenure lasting a little over two years, Van Dyke says the first two weeks, first month, and first year can be major milestones for employees.<\/p>\n

\u201cTo help engage employees to \u2018hang in there\u2019 past some of these critical first-year milestones, incentives make sense,\u201d she says.<\/p>\n

Van Dyke, meanwhile, defines recognition\u00a0as rewarding employees who have accomplished some important milestone or effort. IRF research shows that electronics, luggage, housewares, jewelry and watches remain among the most popular reward items.<\/p>\n

\u201cWe have also done\u00a0research\u00a0that shows recipients prefer receiving a gift card five-to-one over cash,\u201d she adds.<\/p>\n

Home Run Inn offers longevity incentives in five-year intervals. When employees hit an employment milestone, they can select their own gift from a catalog program. The company took the program a step further when Edward Prorok reached his 50th year with the company. They handed the now-retired GM keys to a Lincoln.<\/p>\n

Similarly, Pizza Luce<\/a>, a seven-unit, Minnesota-based chain, provides longevity incentives for all employees who reach five, 10, 15, and, soon, 20 years, CEO JJ Haywood says.<\/p>\n

\u201cUnderstanding that five or 10 years dedicated to a single establishment is a very big accomplishment in the foodservice industry, having some sort of reward and recognition for employees when they reach these milestones is critical if you want to ensure they do not become disengaged,\u201d Van Dyke says.<\/p>\n

I\"firstImpressions02\"<\/a>t\u2019s important to note, however, that incentives and milestone recognition will never replace the importance of having strong leadership, good training and personable managers.<\/p>\n

\u201cI don\u2019t know many employees that will tolerate rude bosses, inflexible scheduling and a poor work environment no matter what they might get at the end of five years,\u201d DiPietro says.<\/p>\n

Home Run Inn\u2019s Costello, in fact, believes that \u201csofter\u201d employee engagement issues, such as handwritten notes of appreciation from management or public recognition of quality work outweigh formal incentive programs \u201cnine out of 10 times.\u201d<\/p>\n

\u201cRetention is driven by people feeling valued,\u201d he says. \u201cI believe there\u2019s more weight when you can tap into emotions.\u201d<\/p>\n

Darryl Reginelli, who heads the 10-unit, New Orleans-based Reginelli\u2019s<\/a> chain and spoke about his company\u2019s hiring and retention efforts at last year\u2019s Pizza Expo, shares Costello\u2019s perspective. He says management\u2019s little daily actions \u2014 jumping in to make pizzas or sweeping the floor \u2014 play a critical role in creating a we\u2019re-all-in-this-together culture.<\/p>\n

\u201cYou earn peoples\u2019 respect through your everyday actions,\u201d Reginelli says. \u201cThat\u2019s what breeds loyalty.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"

Inside the Chicago-based corporate office of Home Run Inn, a wall features dozens of photographs of employees who have been with the 90-year-old company for more than two decades. For Home Run Inn president Dan Costello, the images not only celebrate loyal employees, but also remind corporate staff that employees \u2014 from GMs to busboys […]<\/p>\n","protected":false},"author":11,"featured_media":20207,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","inline_featured_image":false,"footnotes":""},"categories":[3236],"tags":[],"topic":[3256],"class_list":["post-130798","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","topic-employee-management"],"acf":[],"yoast_head":"\nEmployee Incentive Programs Help Control Turnover - Pizza Today<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/pizzatoday.com\/news\/employee-incentive-programs-help-control-turnover\/130798\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Employee Incentive Programs Help Control Turnover\" \/>\n<meta property=\"og:description\" content=\"Inside the Chicago-based corporate office of Home Run Inn, a wall features dozens of photographs of employees who have been with the 90-year-old company for more than two decades. 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