What can be a significant effect of high employee turnover in QSRs?

High employee turnover in quick-service restaurants (QSRs) can lead to increased training and onboarding costs. This occurs because when employees leave frequently, the restaurant must continually invest time and resources into hiring and training new staff to maintain adequate service levels. Training new employees involves not only the costs associated with hiring, such as recruitment expenses and potential background checks, but also the time current employees and managers spend training newcomers.

As these new hires often require guidance to reach the productivity levels of more experienced staff, the restaurant may face interruptions in service and other inefficiencies during the training period. This constant revolving door of staff can strain operational resources, divert management focus from other essential tasks, and inhibit the development of a cohesive team culture, ultimately impacting the overall effectiveness of the restaurant.

In contrast, higher turnover can negatively affect service delivery and customer satisfaction as new employees may take longer to become proficient. Also, management might need to allocate more funds to training instead of marketing or other operational improvements. Hence, the significant effect of high employee turnover is indeed reflected through escalating training and onboarding costs.