Why the GIG Economy Could Alter How Restaurants Hire, Manage Their Workforce

- Financialnewsmedia.com News Commentary

PALM BEACH, Florida, May 7, 2020 /PRNewswire/ -- The GIG Economy model has proven to be a sustainable, alternative employment structure even in times before it was called GIG… it existed in traditional part-time shift-work industries like, food delivery, bartenders, retail and hotels, but over the past few years, it has really taken hold to one industry notably drowning in employee turnover and churn problem… restaurants. Much of the restaurant industry has been using the GIG economy forever already.... Bartenders, servers, and others who are paid just for those shifts which they work, rather than a consistent salary (and benefits) are GIG workers. There are a number of companies in the restaurant GIG-work space that help managers in need fill empty or understaffed shifts immediately. These companies have seen continued growth over the past few years and are projected to continue. They help owners incorporating GIG workers to a restaurant staff roster and prevent the need to over-schedule staff without worrying there won't be enough hands on deck. Active companies in the markets this week include ShiftPixy, Inc. (NASDAQ: PIXY), Grubhub Inc. (NYSE: GRUB), Slack Technologies, Inc. (NYSE: WORK), Uber Technologies, Inc. (NYSE: UBER), Lyft, Inc. (NASDAQ: LYFT).

The GIG economy workforce allows restaurants to staff according to their needs at the time, in both the number of employees and the quality of them. As a hole opens in the schedule it can be filled very quickly, as well as keeping a flush roster of potential workers in times of uncertain availability. Engaging with GIG workers also gives restaurants a way to evaluate potential new staff members before bringing them on as full-time employees, and the contractors can likewise assess if the establishment would be a good full-time fit. Managers are also able to replace an absent staff member immediately to reduce the stress of a missing server on the rest of their staff.  Incorporating GIG workers into a restaurant's operations can be a wonderful choice for restaurants struggling with turnover or finding the right people for the right shifts.