Dive Brief:
- Hiring and scheduling remains an imperfect and cumbersome process for service organizations and the hourly workers they employ, according to a new study by employee relationship management platform WorkJam.
- The study found 56% of employees receive their schedules a week or less in advance and 29% rarely receive consistent schedules - controversial practices fueled by outdated HR technology in service organizations.
- Contributing to workers’ scheduling woes, 57% of service organizations rely on manual processes when scheduling employees and 68% communicate schedules by posting charts in break rooms or communal spaces.
Dive Insight:
Steven Kramer, co-founder and CEO of WorkJam, believes that the hourly work economy is broken due to "historical misalignment" between employees and their employers regarding hiring, scheduling and management. As a result, friction drives negative repercussions between the social, political and business fronts.
"If service organizations fail to innovate their employee relationship management processes, the issue will only worsen and continue to stifle profitability and staff morale," Kramer says.
Considering more than a third of managers report a quarterly turnover rate of at least 26% for their hourly employees, and 33% claim this rate has increased over the past two years, Joshua Ostrega, WorkJam's co-founder and COO says managers need to realize that investing in better ways of hiring, scheduling and managing employees is an investment in the company’s bottom line.