Staffing Issues for Summer of 2021
 

I know that many restaurants (and other businesses) have traditionally had difficult times in filling their open summer positions (especially after the second week of August) but there are early indications that the summer of 2021 may have the largest staffing issues ever.

If these predictions come true, could this cause some of these restaurants to seriously limit their days/hours, or close entirely? After all, the owners of these businesses can only work so many hours themselves before they are totally burned out....

The Lakes Region may in fact see a record amount of summer tourism, and I am hoping that our favorite restaurants are able to thrive and survive the anticipated surge of business.

It will be a very interesting summer for sure.......

Better after May 23?
 

According to the state unemployment site, Starting May 23rd the department will once again be requiring claim filers to conduct a weekly work search as a condition for being considered eligible for unemployment benefits. The supply of people looking for jobs may increase after that.

It will be a good summer to stay home and cook on the grill.

As if previous years were not difficult enough for staffing...

Now the businesses have to compete with the couch career path.

It's getting interesting...

Wondering if this is happening here. It must be
Cutthroat on the Cape: Restaurants vie for shrunken pool of employees https://www.bostonherald.com/good read in today’s Boston Herald 2021/04/30/cutthroat-on-the-cape-restaurants-vie-for-shrunken-pool-of-employees/


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Very bad for two reasons this year.
The large resorts and camps in the lakes region rely on H2B
and J1 students with seasonal visas for much of their summer help and they are not getting many this year so they have to draw on the local labor pool to fill summer jobs.
Also,the enhanced unemployment benefits which are in effect through september, are causing people to just stay home and not work.
We are considering closing evenings for the summer because we just don't have enough staff to cover the shifts.
People are getting out more and it's shaping up for a big recovery this summer so it's going to be a struggle for many in the hospitality industry

Hey Samiam. Lots of retired folks in the lakes region. I realize the vast majority of the summer labor is from young kids out of school, but is there a meaningful contribution from older folks looking for a gig to bring in a few extra bucks or stay busy?

Maybe check with FLL. He seems to have a lot of time on his hands with all those posts and all.

http://www.nh.gov/labor/inspection/w...nimum-wage.htm

The New Hampshire minimum wage is $7.25/hour and a tipped employee "will receive a base rate from the employer of not less than 45 percent of the applicable minimum wage."

45% of $7.25 is $3.26/hour.

In the real restaurant, wait staff business here in the lakes region, the big question is naturally; "How much should I expect to be earning at this here restaurant job?"

Google this to read it: "Should New Hampshire freeze the tipped minimum wage?" ...... NH Business Review ..... April 25, 2021

So what rates of pay are being offered in the Lakes region to summer help? Seems to me as in everything else, low supply plus high demand =higher pay rates.

My grandkids usually spend the summer here and have worked at a local food store. But the wages were terrible. They can make $13.50 /hr in MA and only get $7.25 here in NH. So they will get jobs there. If there were decent wages for the kids, they would all want to work here. I have 2 @ 16 and one @ 15 1/2. The young one can get a job at a food store but the wages are terrible. Problem is the wages.......

I don't think there's any question that the low wage compared to EVERY surrounding state results in a lot of potential labor going elsewhere. Businesses of course are free to pay what they want. So, if business A plans to pay $7.25/hour and business B $12.00/hour, we know who's going to have an easier time filling their positions (all other things being relatively equal).

The conundrum is that businesses will argue (accurately so in some cases) that increasing the minimum wage to something competitive with surrounding states will make it difficult for them to stay in business. Yet those same businesses will say they may go out of business if they can't fill their positions. From a legislative standpoint, I'm not sure what the middle ground is but from a business owners standpoint, I think you need to increase wages - at least during the bread and butter summer season - to try and fill those positions...and increase prices to some extent to cover that. Seems to me that the summer folks would support those increased costs. But, do you unwind the hourly wage you pay to your employees and reduce costs to your customers during the off season?

I'm assuming the problem isn't so bad during the off season when hours decrease and positions are filled with local employees who don't have the options that potential summer employees have. But, if I'm a 16-year plus old kid whose parents summer in the lakes region (or a college kid who's looking to travel anywhere for a good three-month job and a little adventure), I'm not going to opt for $7.25 in NH when I can easily get 30-40% or more than that elsewhere. Just like Tummyman's grandkids.

I'm glad I'm not a small business owner in the retail or hospitality industry. There doesn't seem to be any good answer.

I don't think the amount of pay is the issue. We can't even get a qualified person to apply.

Staffing Issues for Summer of 2021
 

As I have written before, families collecting section 8 housing in the area are allowed a limited income. If that limit was raised you would increase the availability of workers. Many don’t even try working at the risk of losing their housing. Same can be said for social security. Raise the limit a retired individual can earn and you could have many more re enter the workforce


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As most people know, the marine trades are having banner years. There are good jobs at good wages available at almost every marina.

The more talent you have, the more you will make. Boat mechanics get paid well but even if you start just taking the shrink wrap off and washing boats there is a lot of work around.

For the right person, with the right attitude, it could become a career. Some of the marinas offer tuition reimbursement if you take classes at the NH Vocational Technical College.

Many of the marina jobs are full time all year. In past years, a lot of the summer help has left mid-August and that causes a hardship for a business that was counting on them.

Let’s try to solve this dilemma..
 

How very sad. I hope that you can figure a way to stay open evenings. How about a limited buffet, using the counter where people can now be seated, and eliminating that seating....and retaining outdoor tables, perhaps adding to those? Also, continue takeout with limited menu.
Come on, everyone...let’s have some creative ideas!

..... new Market Basket in Plymouth, NH
 

Opened in May 2020, one year ago, how much does the new Market Basket in Plymouth NH tend to pay their employees? Big money Massachusetts is the home state for Market Basket, first store in Lowell in 1917 and now has a total of 84 stores with 51-Mass, 31-NH, and Maine-2. No question to me that it must pay more than the NH minimum of $7.25/hr while I do not know?

This Plymouth NH Market Basket store is totally brand new and it chose to NOT have any self-service check out stations which is very different than Hannaford and Walmart which are big with self-check-out.

What does Market Basket in Plymouth NH pay their new, first year employees and how many work at this one store? It seems like it is always pretty busy with customers in there, so what's the better job, at a Quasimodo ... :eek: ... restaurant or at a strong and steady Market ... :banana: ... Basket!

I am sorry to hear that, have you considered paying living wage to attract more employees ? That could be a solution.

I found that question to be a little insulting. What evidence do you have that they don't make a "living wage"? They do.

The wages paid to waitstaff are assumed to be part of their compensation and obviously they make additional money with tips. They do quite well because of the way they treat customers.

I am familiar with several of the employees at VK and the majority have worked there for many years. That includes people working in the kitchen.

Any substantial increase in wages would result in a corresponding increase in prices. That would affect the balance that has worked well for many years.

Good food, fair prices, and a great staff. One of the reasons VK was able to remain open during the past year was the fair pricing and the dedication of the staff.

The employees wouldn't continue to work there if they weren't treated well.

True...no one is even applying for jobs that pay $15 and up.
No one in the business that I know of is offering $7.25....it's almost a bidding war in the industry

I am not trying to insult you or anyone else, though would love to see you surviving at $7.25 or even $15.00 an hour. 15 * 40 = $ 600 – taxes.
You think that is enough for a family per week ? This is a general question and has nothing to do with VK.

Why do you assume that waiters and waitresses have families to support? If they do, it’s their job to support the family, not the employer’s. The employer’s job is to make a profit, which includes keeping expenses down, including payroll, while providing a service. It’s a balancing act. Economics 101. The group has been talking about high school and college kids. Hopefully they don’t have kids yet. That would portend a deeper problem.


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Your question was directed at the owner of the Village Kitchen. When you asked if he had considered paying a living wage that implied that his employees did not make a living wage.

As a general answer to your question: I have worked at low paying jobs in the past like a Dairy Queen and a two different gas stations. The wages there were not enough to survive on or raise a family. So I got some training and got better jobs and as years went by, did better and better.

If is not necessary for every job to pay a "living wage". Some jobs come with an opportunity for advancement and others just places to earn a little extra money.

People have choices and are free to better themselves in any way they see fit.

You are ASSUMING the fact that SAMIAM is the owner of VK is a public knowledge. I was not aware of that until you pointed out. I do not know where VK is, I have no idea who SAMIAM is, have never been there. Probably will visit one of these years.

Agreed, not all jobs have to pay living wage, but paying someone $ 7.25 an hour should be considered an insult when a gallon of milk goes for $ 3.xx.

By the way, congratulations on bettering yourself. I think we all worked at McDonalds, BK when we were kids.
All I am trying to say is "Let's not try to take advantage of people", they should be paid honest days of pay for honest day of work.
This also goes for local tradesmen, handymen, charging outrages rates just because there is a shortage.

Application Bonus ?
 

Outside a local Florida Captain D's restaurant, there's a sign offering a $100 "Application Bonus". :eek2:

Probably, in part, because with NH at $7.25, it's what potential employees assume they will get paid. Because MA pays $13.50, they assume that's what they will get paid. Those potential employees are kids that might otherwise summer in NH but stay home for a much higher wage, and college students that travel to wherever they assume they can get the best wage. And that isn't in NH.

It's probably a bidding war no matter what summer resort area you go to. It's just that in MA (or any other surrounding state), it starts at a higher price point.

That is not a fair statement at all!

Back in the mid 80's I worked as a bartender. I don't recall the hourly wage exactly but, as a "tipped employee" I was paid less than minimum wage. Perhaps 50% of Minimum wage/HR. The balance of my earnings was my tip money. If I recall correctly, the owner was responsible for making up the difference to equal minimum wage if my tips fell below the State Minimum.

On a Thurs, Fri, Sat night I would earn $200-$300 each night. So back in the 80's I earned between $600-$900 JUST IN TIPS on the weekends. Granted that was pre-tax. but to me, that alone is a "living wage".

It says a lot when Floriduh’s minimum wage is higher than NH.


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What if the business keeps the hourly pay at $7.25/hour, but offers a bonus if the employee works 10-12 weeks?
For example - Bonus pay of $5/hour. An employee that works 30 hours/week for 12 weeks could earn $1,800 bonus. Pay 50% of the bonus after 1-2 weeks and remaining 50% after the 10-12 week period.

I think your idea is innovative. I'd certainly consider something like that. But I still feel if you can't get the workers there in the first place (from out of state), the local businesses offering a deal like that will simply steal an employee from other local businesses that aren't offering a deal like that. Good for one, not for the other. You're simply pushing the problem around.

What a deal like this doesn't solve is that NH is simply at a disadvantage given their extremely low minimum wage. Many of those relied upon to come into NH for the summer season are going to base their decision regarding where to work on the obvious minimum wage information that blares "NH is not even close to competitive".

I'm not a kid looking for a job but I wouldn't go for a deal like that. I would want my money every week, JMO.

The kid could hire a lawyer for $1,800 to write up a contract.

Terrific idea

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So after you give the lawyer $1,800 you end up with $7.25 an hour?:rolleye1:

Let's see: I could choose to work in MA and make $13+ without question or choose NH and jump through hoops to maybe make somewhere close?

The same issue exists, by the way, in the education field. Teachers on the border can drive 20 minutes to MA and make $10k+ more AND get a much better pension.

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I'm positive you know sarcasm when you read it - even though I didn't use a smiley face. My point in all this is that you can't fight city hall. While Boat's idea is innovative, it seems few business owners want to support a competitively higher wage regardless of how you end up paying it. Somehow there's a fear that they aren't going to survive if the minimum wage is raised. Yet here we are, because NH is uncompetitive with surrounding states, businesses are at risk of not surviving.

As someone pointed out above, few businesses are actually paying only $7.25/hour, yet the optics of them paying that courtesy of the 'minimum wage law compared to other states' is exasperating the problem with recruiting workers from those places. And therein lies the problem. During the summer you have many more jobs/hours, and a less-than-matching infiltration of temporary labor.

So, I don't see a widespread application of solutions like this unless they somehow bring in the laborers from outside NH that are finding more lucrative employment elsewhere.

The fallacy in the discussion assumes that the businesses hiring in either state are only paying minimum wage. Sure there are some, but in the current market that is not the majority.

Local employers I am familiar with are paying quiet a bit more to get employees. I don't think that many people are working for minimum wage. Employees with marketable skills are getting more.

Stealing Servers
 

ROLFMAO

Some people come up with the craziest ideas to save a penny.
If you hire someone, just pay them a reasonable rate.

Pay maybe one reason, however, many businesses have said that no one is answering their ads for job openings.


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I wonder if any of these restaurants offer their employees a free meal during their shift as a recruiting tool in addition to their wages?