The American Diner has challenges filling open roles, but pay concerns have not been what’s kept potential workers away during the financial reopening, told Denny’s Chief Executive Officer to CNBC.
“I think the starting wage for a brand like Denny’s is really not the challenge,” Miller said on “Power Lunch” while confirming that it is higher than it was before the coronavirus pandemic.“It’s not really a barrier to being staffed. It’s more about people building confidence to go back to work,” he added.
After more than a year of disruptions related to the Covid crisis, as economic activity has recovered, many industries, including restaurants to transport, have reported difficulties hiring workers. According to data released by the Labor Department earlier this month, there are more than 9 million job vacancies in the United States.
It is expected that there will be more insights into employment prospects when the Labor Department releases its June employment report. In the May report, the US unemployment rate was 5.8%.
Hiring challenges are due to multiple factors, including health and safety issues caused by the coronavirus and lack of reliable childcare services. Some people also believe that the improved unemployment benefits during the Covid era deterred some laid-off workers, especially those in low-wage industries, from returning to work.
Denny’s is looking to hire 20,000 employees for both its corporate and franchised eateries. Using the company’s 53-foot motorised kitchen truck, the tour started Monday in St. Louis and ends Friday in the Los Angeles suburb of Arcadia. Denny’s is proposing application assistance on-site and complimentary breakfast for those who apply.