The $47,000 Question: Why Can't You Keep a Full Staff?

The process of finding, selecting, and hiring qualified candidates to fill roles within an organization. It can also refer to the practice of using temporary workers from a staffing agency.
Jimmy Law
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You've run the same help wanted ad for three weeks. You're covering shifts yourself. Your best server just gave notice because the pizzeria down the street offered $2 more per hour and a signing bonus. Meanwhile, the lunch rush is in two hours and you're short two people.

Welcome to staffing in 2025. For shift-based businesses in restaurants, retail, and service industries, keeping positions filled has become one of the most expensive and exhausting parts of operations. But businesses that master modern staffing strategies are building teams that stick around and attract even more of the best.

Unlike office environments where roles remain relatively stable, shift-based staffing involves constant challenges: unpredictable customer traffic, high turnover rates, no-shows, last-minute schedule changes, and seasonal fluctuations that can double or halve your workforce needs within weeks.

The Harsh Reality: Labor Market Numbers for Shift-Based Businesses

The staffing crisis isn't in your head. According to the U.S. Bureau of Labor Statistics, the leisure and hospitality sector continues to face unique workforce challenges, with restaurants and retail experiencing particularly acute staffing pressures.

Current staffing landscape:

For a restaurant hiring five employees per year, you're spending over $23,500 just on recruitment costs before factoring in lost productivity, training time, and the quality issues that come with chronic understaffing.

Why Staffing Has Become So Difficult

Several converging factors have created a perfect storm for shift-based employers:

1. Competition from other industries
 Jobs in logistics, delivery services, and warehouse work often offer better pay, more predictable schedules, and less physically demanding conditions than restaurant or retail positions. Your local pizzeria is competing with Amazon for the same entry-level hourly workers.

2. Changing workforce expectations
 After 2025, workers increasingly prioritize flexibility, work-life balance, and predictable schedules. The traditional "we'll text you when we need you" approach to scheduling drives potential employees toward employers who offer advance notice and control over their hours.

3. Demographic shifts
 As older workers retire, younger generations entering the workforce have different priorities. They value career development opportunities, benefits, and workplace culture, not just a nice hourly wage.

4. The no-show epidemic
 Hospitality worker quit rates have historically been high, and last-minute no-shows force managers to scramble for coverage or work short-staffed, creating a cycle that burns out remaining employees.

The Most Cost-Effective Staffing Strategy: Employee Referrals

Before spending money on job boards, start with your current team. Employee referral programs consistently outperform every other recruitment method at a fraction of the price.

Why referrals work:

How to build an effective referral program:

  1. Offer meaningful incentives: Cash bonuses typically range from $500-$2,500 depending on the role's difficulty and importance. For hard-to-fill positions, consider higher rewards. Pay part of the bonus at hire and the rest after the new employee completes 90 days.

  2. Make it easy: Don't require essays or complex forms. A simple "who referred you?" question on your application is enough. Employees should be able to share open positions with their network in seconds.

  3. Promote constantly: Your team can't refer people if they don't know you're hiring. Use your employee communication tools, team meetings, and schedule postings to remind staff about open positions and referral bonuses.

  4. Cast a wide net: Don't limit referrals to people who have restaurant experience. Skills like customer service, reliability, and work ethic transfer across industries. Your best server might have a friend from their retail job who'd be perfect for your team.

  5. Celebrate success: When someone gets hired through a referral, announce it publicly. Recognition motivates other employees to participate in the program.

Where to Find Candidates When Referrals Aren't Enough

When your referral network runs dry, you'll need to cast a wider net. Here's where shift-based businesses are finding success:

Job boards and platforms:

Free options:

Industry-specific platforms: For restaurant and hospitality roles, specialized job boards often deliver better-qualified candidates:

Local recruitment strategies:

Don't underestimate the power of local connections:

Alternative Staffing Models: When Traditional Hiring Isn't Enough

Sometimes you need coverage without the commitment of a permanent hire. Understanding different staffing models helps you fill gaps strategically:

Staffing agencies
 Temporary staffing agencies provide workers for short-term needs or trial periods before permanent hire. You'll pay a premium (often 50-100% above the worker's hourly rate), but agencies handle recruitment, screening, and payroll administration. This creates a joint employment relationship where both you and the agency share certain legal responsibilities.

Professional Employer Organizations (PEOs)
 A PEO can handle your entire HR function including recruitment support, benefits administration, and payroll. The "co-employment" model means the PEO becomes the employer of record for certain purposes while you maintain day-to-day control. This can be valuable for multi-location businesses that need HR expertise but comes with cost and complexity considerations.

Seasonal employees
 Plan ahead for predictable busy periods by hiring seasonal employees. Retail businesses hire for holiday rushes; restaurants hire for summer tourism or special events. Build a pool of reliable seasonal workers you can call back year after year.

Part-time and per diem workers
 A mix of part-time employees and per diem workers provides flexibility to scale up and down with demand. Some businesses maintain a core full-time staff supplemented by part-timers who work peak times.

The Interview Process: Moving Fast Without Sacrificing Quality

In a competitive labor market, speed matters. Research shows that candidates drop out if the hiring process takes too long or becomes overly complex.

Streamline your process:

  1. Respond immediately: When someone applies, reach out within 24 hours. Candidates are applying to multiple places, and the first to contact often wins.

  2. Phone screen first: A 10-minute phone conversation eliminates obviously unsuitable candidates before you invest time in an in-person interview.

  3. Make interviews convenient: Offer interview times during morning hours or early afternoon before the dinner rush. Candidates with current jobs need flexibility.

  4. Use behavioral questions: "Tell me about a time when..." questions reveal how candidates have handled real situations. Focus on reliability, customer service, and teamwork, not just directly relevant experiences.

  5. Include a working interview: For kitchen or service positions, a paid trial shift shows you how someone actually works, not just how they interview.

  6. Make offers quickly: If you find someone good, don't wait days to make an offer. Same-day offers for qualified candidates prevent them from accepting offers elsewhere.

Onboarding: The Make-or-Break First 90 Days

According to SHRM research, nearly 90% of employees decide whether to stay with a company within the first six months. Your onboarding process directly impacts retention.

Effective onboarding for shift workers:

Before day one:

First day:

First 30 days:

First 90 days:

Retention: It's Cheaper to Keep Them Than Replace Them

With turnover costing $4,700 per employee, retention should be your top priority after hiring. Here's what actually works for shift-based businesses:

1. Pay competitively
 You don't need to be the highest-paying employer in town, but you can't be the lowest either. Research what competitors pay and aim for the middle to upper range. According to the National Restaurant Association, 85% of operators have increased wages to attract talent. Show your people that you value their contribution to profits.

2. Offer schedule flexibility
 Predictive scheduling laws in several states now require advance notice of work schedules, but you should aim for this even where not legally required. Give employees:

Use scheduling tools that let employees view schedules on their phones, request shift swaps, and get automatic notifications of schedule changes.

3. Create clear career paths
 Don't just hire line cooks; hire future sous chefs. Don't just hire cashiers; hire future shift supervisors. Show employees how they can advance:

4. Provide benefits where possible
 Even small benefits make a difference:

5. Build a positive culture
 Toxic workplaces lose employees fast. Focus on:

6. Use technology to reduce friction
 Modern workforce management tools make life easier for both managers and employees:

Managing Common Staffing Challenges

No-shows and last-minute cancellations:

Seasonal demand fluctuations:

High turnover in specific positions:

Compliance with labor laws:

Technology That Makes Staffing Easier

Modern staffing goes beyond just finding warm bodies. The right tools help you:

Schedule efficiently:

Communicate effectively:

Track and manage:

Businesses that invest in these tools report significant improvements in employee satisfaction and reductions in administrative time spent on scheduling and communication.

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