The practical guide to hiring hourly workers

Foreword

I have been supporting restaurants for more than 40 years. Thirty years ago, I said restaurants were in the business of serving food and delivering an experience. Twenty years ago, I added that restaurants were in the business of hiring and training people to deliver the food and service experience. Ten years ago, I began saying that restaurants are in the technology business, enabling people to staff and run restaurants better so that food servers can deliver the food and dining experience.

Workstream is an example of a disruptive, convenient, and easy-to-use technology that enables restaurants to source, screen, select, and start employees quickly and efficiently. As we move through the pandemic and beyond, nothing is more important for restaurants than finding and hiring the right employees quickly to drive your business forward.

Jim Mizes | Former President and CEO, Blaze Pizza

As a 40+ year restauranter, I have been the beneficiary of so many entrepreneurs and restaurant operators who have paid forward their lessons learned and best practices. In turn, I have done the same, sharing my experiences as well as the innovative, best-in-class technologies I’ve come across that solve meaningful problems for our industry.

Our industry, after all, is full of challenges. Over time, many have stayed persistent and even become more complex. Specifically, our ability to efficiently source and hire hospitality talent is more challenging today than it has ever been—and this was also true before the pandemic. Fortunately, this is one of the challenges that is being solved through technology.

For many years, single-unit restaurateurs and smaller multi-unit operators were materially disadvantaged compared to the very large companies with the resources to develop proprietary technology solutions which provided them competitive advantages. That is, until now. With Workstream, local businesses now have the technology they need to find, hire and onboard talent, saving time and improving the quality of the entire process.

How you hire and engage with prospective employees is crucial to the success of your business, and with Workstream—and the insights they’ve gathered from the many businesses they serve— you’ll be better equipped to solve the hiring crisis.

David Gilbert | Former COO, National Restaurant Association

Here's to your next hire

Hiring hourly workers is one of the biggest challenges local businesses face, and not just today. Finding qualified candidates and retaining enthusiastic team members has been difficult for years, and it’s becoming harder as the competition for talent continues to increase. Today, almost every local business has a “now hiring” sign in its window, which means that candidates have plenty of employment options. It also means that you’re competing on a much bigger field. Candidates looking for their next opportunity are choosing the companies that give them the best hiring experience.

And that starts with you.

How you engage with applicants—from the words you use in your job posting to how quickly you respond to applications—shows how much you value them, and can change the trajectory of your hiring success. That’s why we’ve written this book: to empower you to hire faster, better, smarter. We hope you enjoy these hiring insights and best practices from local businesses and top brands.

Here’s to your next hire!

Desmond Lim | Co-founder and CEO, Workstream

Take a proactive approach to finding qualified candidates

Half of local businesses say finding qualified talent has gotten harder compared to a year ago. A third also say they have open roles they haven’t been able to fill for at least three months. To say hiring is difficult is an understatement. Luckily, there are several things you can do to actively fill your roles with top talent.

Write a job posting

As one of the first branded experiences you will offer your potential hires, your job posting should speak directly to your audience in a consistent voice that resonates with how you communicate with your existing team. You have one chance to make a good first impression, so let’s make it count.

Let’s start at the top with the title. Having the right keywords in the title of your posting is one of the most important elements to search engine success. Have the right keywords, and your posting will rank higher in searches, driving more traffic to your open role. While drawing more eyes to your job posting is great, getting your ideal candidate interested in it is better. Use this top-line real estate to make your open role stand out above the others. One way to do this is to include a benefit or perk next to the title.

Once you’ve landed on a title, follow it up with a compelling introduction to your company’s vision and typical collaboration process. When writing the description, use common terms and be transparent about the role’s requirements, qualifications, compensation and duration (if applicable). This allows candidates to get an accurate understanding of the role and gives you an opportunity to share a bit about the team and company to attract candidates that align with your mission, values and goals.

This is a lot of information for you to consider including in your job posting. As you build out job descriptions, be as clear and as brief as you can. More than 60% of applicants search for jobs on their phones, so it’s best to review and trim down your job posting, using short bullet points where functional.

Essential pieces to include when writing your job description

Promote your job opening

Now that your job posting is written, it’s time to publish it.

To optimize its performance, consider your hiring demographic’s daily schedule and commute for cues on when to best get their attention. Also think about how to get their attention.

Let’s shift back into the conversation about demographics. A large portion of today’s workforce is made up of millennials and Generation Z. In fact, millennials are currently the largest generation in the U.S. labor force, and Gen Z will be filling internships and entry-level roles for years to come.

Gen Z is the first generation of digital natives, having interacted with mobile devices, touch screens, voice computing and apps since childhood. These job seekers not only understand digital technology and social media platforms, but they also appreciate the fact that a digital world makes life easier and more flexible. It’s important for you to meet them where they are: on their phones.

There are several ways you can do this. For example, you can directly reach your offline Gen Z patrons and easily convert them into informed team members by offering a text-to-apply option. Easily incorporated into posters, flyers, emails and even receipts, text-to-apply allows job seekers to start their application process by texting a unique short code directly from their phone. You can also actively promote your role (e.g. Cook) by posting the open role in social media groups created for the role you’re hiring (e.g. a Facebook group for cooks).

Another way to promote your open role is through a referral program. More than 60% of Generation Z prefers and relies on referrals from an employer’s current or former employees as their most trusted job-search source. Referred candidates are hired faster, through a less costly process and stay with their company longer than traditional candidates.

Cast a wider, more reliable net by sharing text-to-apply opportunities with current employees, specific professional connections on social media and even friends and family who might be personally invested in the success of your brand or business. Promoting your open role doesn’t mean listing it on a job board. There are several strategies and tactics you can use to draw in the right candidate—faster.

Finding qualified talent takes a little creativity

"Workstream is the ultimate solution to reduce ghosting. It fixed inefficiencies, and cut time to hire in half."

Jaya Varheese | Dunkin', Jersey Mike's, Baskin Robbins

Increase applicant interest—and win them over— with early engagement

At its core, applicant engagement keeps candidates informed during every step of the hiring process. It’s an important part of the hiring practice because it increases applicants’ interest in your company. And that matters because you’re not the only business that’s hiring. We’re living in a candidate’s job market, which means that candidates aren’t competing with each other for top roles. In fact, it’s just the opposite. Companies are competing for top talent. To be competitive—and ultimately fill jobs faster, you need to be very intentional about how you interact with each applicant. Afterall, you’re building a relationship that you hope will last far beyond an initial interview.

Reach out immediately

Once the applications start to roll in, respond quickly by using an applicant tracking system (ATS) to stay in touch with applicants through text and email.

Reaching candidates by text could solve the larger problem of getting the candidate and the recruiter connected quickly. (Unfortunately, the fault lives on both sides of the fence.) Immediate communication is critical. More than 80% of candidates expect a two-week hiring process at most, while the hiring process today, unfortunately, takes longer than ever. To close the gap, employers and job seekers should engage using methods that have proven to be most effective.

Texting provides a layer of personal space by giving the recipient room to respond when they find free time, without undermining the importance of the message. Even the most direct emails can be caught up in spam filters, but push notifications for texts are often turned on by default. With phones so deeply ingrained into our everyday lives, texting can break down a barrier to entry for those who have prioritized getting the job.

When it comes to hiring new talent, technology adoption can itself be a selling point for your organization. If your business is using modern, efficient technology, it markets you well. With 86% of reported candidates feeling positive about getting text messages during the interview process, the odds are in your favor.

“Workstream saves us a lot of time spent communicating back and forth with applicants by using text messages.”

Daljit Hundal | Owner of Jama, Carl’s Jr., Pieology

Streamline the hiring process by using a screening questionnaire

Managing a team and running a business takes a lot of time and energy. Preserve your schedule by only interviewing candidates who meet minimum requirements for your open role. Identify the role’s criteria, and build it into your screening questionnaire.

Use an applicant tracking system to automate the screening process for you.

“Every time a new applicant comes in, they get filtered through questions before they reach our district manager. This saves our district managers a lot of time!”

Philip Hsia | Jack in the Box, Operator (7+ locations)

Increase productivity by using technology

Consistent contact is key in recruiting. More than two-thirds (67%) of candidates in the current market turn down job offers because they accepted another offer while waiting to hear about a preferred role. So, once they’ve started on this journey, it’s up to you to secure the best leads before competitors do. Automated interview scheduling helps companies meet top talent faster by eliminating candidate loss caused by unnecessary back-and-forth emails and phone calls.

Automating interview scheduling gives you a first-mover advantage in hiring top talent. It also gives you back your time—a lot of it. Hiring managers and recruiters typically take 1.5 hours to schedule one interview, and that adds up. Using technology to automate processes like interview scheduling frees your schedule so you can tackle other priorities and focus on your team.

Interviewing will always be a part of your schedule, so keep a regular interview cadence blocked off in your calendar. When you block this time on your calendar ahead of time, incoming appointments become less disruptive to your workday. Also, reserve time to predict and manage inevitable churn. The annual churn rate for hourly workers is 49%, meaning that half of your hourly staff likely churns every single year. In some industries, like hospitality, the churn rate jumps to 130%, so it’s easy to feel like you’re constantly hiring. Building working time into your schedule to solve both of these challenges will help you—and your team—reduce both the direct and indirect stresses associated with hiring.

Ask the right questions

When you factor in recruitment and training costs, the average cost-per-hire for hourly employees is $4,129. The best way of reducing that cost? Smarter hiring. Hiring managers need to ask more questions to understand whether an applicant is a good cultural fit and likely to stick around.

To help you gain a better understanding of the applicant, here are several questions you should consider asking:

Refresh your current interview questions by exploring the top questions you should (and shouldn’t) ask.

Best and worst interview questions

Behavioral questions

As you’re interviewing, be sure you’re listening for qualities that best align with the role, team needs, and company culture. Bad-mouthing previous employers, short work experience, tardiness and being unprepared, having no references and/or the lack of shared goals can all be signs that a potential hourly worker might disrupt the current peace and productivity of your existing team and drive rock-star employees away.

Bad-mouthing or negativity

Bad-mouthing former team members from the start could indicate a generally negative outlook or even a lack of personal responsibility in the workplace.

Ask how they’ve improved on a recent critique.

Short work history

One too many previous jobs over a short period of time can be a signal that the candidate has experienced a string of hardships, that they’re difficult to work with, or that they are uncommitted.

Address the candidate’s short work history to understand the true why.

Tardiness or disorganization

Failing to prioritize the scheduling of or attendance at their interview, being unprepared, or seeming uninterested during your time together could signal that a candidate might struggle with preparedness.

Communicate company preferences around timeliness.

No or low-quality references

A long history but no references might indicate that the candidate did not make a notable impact in their last role. It could also mean that their previous employer may not have an accurate understanding of their capabilities.

Ask about the last manager that really inspired them.

Unrelated goals

Having goals that are not in alignment with your role’s track could be a sign that your candidate will continue to look elsewhere to fulfill those goals once hired.

Present long-term milestones to gauge interest.

Level up your offer (and rejection) letter

After you’ve gone through the process of attracting and interviewing the candidates, you finally get to offer them the role! The offer is, hands down, one of the most exciting moments of the hiring process—for you and the candidate. No matter what the role is, an employee is still an investment in your organization, and a meaningful offer letter tells them that you’re as invested in them as you hope they will be in your company. Continue to build that excitement and show your future team members that you care by sending them a well-thought-out offer letter.

Create an official template

There are just three things you need to remember to include in a job offer letter to protect both you and the job candidate: the offer of the position, the details of the position, and some legal considerations.

Your offer letter is another touch point that you can use to communicate both how much you value the candidate and your company culture. Feel free to infuse it with personality.

Here's an example.

Offer

The offer letter should be written in an exciting tone and convey the message that the candidate should be proud to have made it to this final level in the process.

Want a deeper dive into offer letters?

Often overlooked, but just as important as extending an offer, is how you tell someone they didn’t get the job. After all, this impacts your business’s reputation—and bad word of mouth can work against you as you continue to source candidates in the future. It also serves as a great opportunity for you to maintain your relationship should the candidate be better suited for a role you post in the future or if your preferred candidate doesn't accept the job.

There are several reasons why you may choose not to move forward with a candidate. To help you, we’ve put together several templates:

How to Write a Job Offer Letter for Restaurant Workers

How to Tell Someone They Didn't Get the Job

Build a foundation for employee success through onboarding

Did you know that 69% of employees are more likely to stay with a company for three years if they experienced great onboarding? Onboarding serves as your employee’s foundation for success. A poor onboarding experience will impact the team member’s ability to perform well—not because of their lack of skills, but rather because of their lack of knowledge of your business. Give thought to what your new hires will need to know to do their job, and get everything ready before they start. Showing them that you’ve planned ahead and had everything ready will give them a sense of belonging.

Share and collect paperwork

Legal documents: They may not be the most exciting part of the hiring process, but they are one of the most important. How you gather the forms is ultimately up to you. You can print them or share electronic copies. Either way, be sure you collect the information before the new employee starts.

Here are the top forms you’ll need. Each is linked to its respective federal website for easy downloading.

Welcome your new hire

Day one for your new hire is another critical moment when you can show them you value them and are invested in their success. Here are some simple and effective ways to get them integrated into—and seeing themselves as part of—the team.

Greet employees at reception

The first day of work sets the tone for the days ahead. Make sure it goes smoothly for your new hire by ensuring they see a friendly face when they first arrive.

Collect paperwork

Collect all new hire paperwork. If needed, help your new employee review and sign all the HR administrative paperwork.

Introduce your new employee to coworkers

This is incredibly important, as it will foster healthy working relationships with your team. Use an icebreaker game if you’re onboarding multiple people in the same week. For example, you could have each person share a fun fact about themselves.

Accompany employees to their workstations

Make sure your new team member is comfortable and that all equipment is in proper working condition. Direct them to technical support should they have questions on day one or any day in the future.

Give a tour of the department

Show the common areas, such as the lunchroom, bathrooms, employee parking, etc. It’s important for your new hire to know the lay of the land.

"Workstream keeps us streamlined. All the way from using an app to screening an applicant to paperwork where we can get it done overnight and hire an employee.”

Rachel Heus | HR Director of Chick-fil-A + Lehi Pointe

Jump into orientation

As you onboard your new hires, give them all the tools and guidance they’ll need to understand your business, follow company policies, and be successful. Listed below are a few resources you should consider sharing and a few topics to cover during your conversations.

Introduce business fundamentals

Introduce the company mission, values, and leadership. Inspire your new employees and make them feel welcome.

Provide an employee handbook

Give the new hire a copy of the company’s handbook and/or any artifacts that outline rules and regulations, company culture, etc.

Explain and review key policies

Review the major policies in your handbook, even if you share a copy for them to read on their own.

Define job responsibilities

Review the new hire’s core function, share how their work will be reviewed, and give them an opportunity to ask questions. Having a shared understanding from the beginning will be mutually beneficial.

Introduce benefits plans and perks

Share details about benefits and perks (i.e., bonuses, insurance options, paid leave, etc.), and give your new employee a chance to ask questions.

Provide training and mentoring

Schedule a training session with a senior employee to teach them the ropes and develop a mentor relationship.

Give a physical tour of the workplace

Guide the new hires through nearby facilities and identify areas where they are allowed to go and what areas to avoid.

Get feedback

Ask your employees to ask questions once they’ve completed the process and again a few days later.

Retain your employees by investing in the right things

Retaining hourly workers is one of the biggest challenges you regularly face, and the impact of that churn costs you time and money. In addition to creating an amazing hiring and onboarding experience, it’s important for you to continue to invest in the ongoing employee experience. There are several things you can do to keep your employees engaged and feeling valued.

Build a culture of respect

Showing your hourly workers (and all your other employees, really) that you care about and respect them is key to retaining them.

Two-thirds of employees say they would likely leave their jobs if they didn't feel appreciated. For millennials, the number jumps to 76%.

This is why you need to create an enjoyable work environment where all of your employees feel like a team. Show them that you appreciate all their hard work and that you're truly thrilled to have them around. A simple "thank you" can really go a long way. However, you should also provide your team members with more tangible benefits, as kind words don't pay bills.

Offer compelling incentives

Every successful company offers its employees enticing incentives that motivate them to push harder and to go above and beyond to achieve the company's goals. Those incentives often include various benefits, such as health, life, dental insurance, retirement plans, paid time off, vacation, a flexible work schedule, and many other benefits.

While these are all very important, most employees appreciate monetary benefits the most. Giving top performers a bonus or a raise is the best way to motivate them to keep working hard. It shows that you recognize their efforts and that you truly appreciate everything they do.

Apart from the benefits mentioned above, you can provide profit-sharing bonuses, vacations for top performers, and gym memberships. You can also organize annual contests and enable your workers to receive great prizes, like cash, TVs, or other valuable items.

Whatever incentives you choose to offer your hourly workers, the key is to give them something that encourages them to stay. After all, if you don't value their work or compensate them properly for their efforts, they'll have no problem finding someone else who will.

Provide learning and development opportunities

Your employees want their job to be a stepping stone in their career. They want to know that they’re progressing professionally and moving towards more meaningful job opportunities. Why not let them progress with you?

Some employers fear that investing in employee professional development prepares the employee to leave the company for another job. Perhaps it does prepare them for more advanced jobs. But, those jobs could be within your company. According to a new study conducted by Bridge, 86% of millennials say that offering career training and development keeps them from leaving their current position.

The big takeaway? Don't let your hourly workers see their job as a temporary solution before they move to where they actually want to be. Show them that there are plenty of future growth opportunities at your company and help them build strong careers. Provide training courses and career mentorships, and help them learn and grow professionally every step of the way.

Hire faster, better, smarter.

Workstream is an HR, Hiring, and Payroll platform that streamlines how local businesses manage and pay their hourly workers. By automating the hiring process and using text to engage applicants, we make it possible for you to hire faster and smarter—reducing your hiring time by 70%.