Small restaurant owners often find it difficult to compete for talent with larger restaurants regarding employee benefits. In an industry where 100-precent yearly turnover is the norm, most independent restaurants do not offer extensive benefits packages. By outsourcing your payroll and HR responsibilities to a professional employer organization (PEO), a small restaurant can level the playing field, and offer its employees the same benefits as a chain.

 

Frequently, things as small as direct deposit and a small benefit plans for dental and vision contribute to increased employee retention. Many restaurants see a change by letting an employee benefits service focus on these things for them.

The economies of scale provided by PEOs are helpful when procuring and administering health insurance benefits. By pulling all of its clients’ insurance premiums together and aggregating all of its worksite employees, a PEO can contract with providers all over the country and keep annual premium increases lower than average yearly double digit increases currently being experienced.

Forty percent of businesses that use PEOs upgrade their benefit packages with supplemental health-care choices, including vision and dental care, employee assistance programs and even adoption assistance.

This was the case with Howl at the Moon franchisor, Lee Jerousek, who switched from employing a full time HR manager to PEO, Modern Business Associates, two years ago.

Employee benefit services are professional communication experts in being able to help bring new employees onboard. They also help with your communications plan to keep all the employees up-to-speed with the benefits offerings, to help retain them.

Many restaurants have predominately young males and females working together late into the night. This environment tends to create problems in the form of sexual harassment and a hostile work environment.  A PEO is uniquely suited to train and develop managers, as well as institute proactive procedures for dealing with problems as they occur.