With many restaurants struggling to find workers, some managers are embracing on-demand hiring apps to cover short-term staffing needs.
The Covid-19 pandemic gutted the hospitality industry, which shed 2.5 million jobs in 2020, according to the National Restaurant Association.
Although restaurants have added jobs in 2021, the unemployment rate for restaurant workers remains above the national average. Nevertheless, many restaurants are stretched to find workers with almost half of establishments are operating with 20% less staff than usual, the National Restaurant Association reported.
Moreover, accommodations and food service job openings spiked to nearly 1 million in March, according to the Bureau of Labor Statistics.
As the industry continues to battle increased worker shortages, many employers are turning to GigPro, an on-demand hiring app, to fill temporary needs, such as line cooks or dishwashers, CNBC reported.
Managers may offer higher pay for last-minute workers. For example, if a dishwasher’s typical hourly rate is in the $15 per hour range, they may offer to pay $20 per hour on GigPro.
The app also allows managers and workers to try a shift together before taking the plunge with employment, the report continued.
Worker advocates argue there may be some drawbacks to on-demand hiring apps.
Workers hired through the apps are treated as independent contractors, meaning they are not subject to labor protections, while another potential shortfall may be the increased risk of race or gender discrimination based on the worker’s profile pictures in the app, the advocates said.
