May 2022

6 Easy Ways To Drop Your Labor Costs Without Cutting Staff

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June 19, 2024

If you work in the restaurant space, you know that labor costs make up the most significant piece of the pie when it comes to expenses — typically hitting around 30% of gross revenue.   So what can you do to lower your restaurant labor costs without cutting down on your much-needed staff? In this article, we will review 6 great tips to cut back on costs while keeping your staff on the floor!


What are labor costs?

Labor costs refer to the expenses paid to staff during working hours. Labor costs are often compared against sales in a restaurant and then reported as a percentage. 

"Good labor" means high sales with low labor, whereas bad labor would be the contrary.  

Labor costs also represent the monetary value provided to staff, including but not limited to: hourly wages, salaries, overtime, payroll taxes, benefits, and so on. 


Labor costs represent the monetary value provided to staff, including but not limited to: hourly wages, salaries, overtime, payroll taxes, benefits, and more. 


What are some other restaurant operating costs? 

Most commonly, you can break restaurant operating costs down into three buckets: Labor and people management, food costs, and rent/miscellaneous. 


What goes into those buckets may vary depending on the type of restaurant you run or the kind of support you need to run a successful operation, but for the most part, those buckets will look like this: 


Food costs 

  • Ingredients
  • Wastage 
  • Theft
  • Delivery Costs 
  • Menu Engineering


Labor and people management

  • Hourly Labor Costs 
  • Salaries
  • Payroll Software
  • Workforce Management Software
  • HR Software
  • Bookkeeping and Accounting Costs


Rent and other costs

  • Rent
  • Utilities
  • Maintenance and Repairs


How can I lower labor costs without cutting staff? 

Sometimes cutting staff isn't the answer, especially if you have a busy restaurant where less staff might impact your ability to optimize food and liquor sales.  


When this is the case, it pays to consider other ways that you can optimize your labor and increase your overall restaurant profits while you're at it!

restaurant labor costs


1 - Consider more intelligent scheduling tools. 

Consider reducing labor by using futuristic restaurant scheduling tools that pull real-time sales data and measure it against past labor to generate optimized schedules using machine learning! This magic tool is called schedule forecasting, and it's the future of restaurant scheduling. Using these software tools can help reduce labor costs by 3%!


2 - Stop paying for unworked hours.

In a recent study, a local juice bar discovered they were losing $91,200 per year paying employees for unworked hours. Why did this happen, and how can you overcome it? 

An easy solution to combat time theft is using time tracking software. This tool alerts business owners when staff members punch into their shifts outside their allotted scheduled shift times and warns them. This allows business owners to stay on top of unpaid work hours, and when they add up that much - it's worth it!



3 - Hire more efficiently.

According to multiple sources, the average cost of hiring a new position is around $4,000, so using innovative technology, tools, and tips to streamline these operations can save you big money. If you haven't already, consider using an applicant tracking system to make hiring easy. You might also want to consider a platform that allows employees to self-onboard and other tools like interview templates and SOPs.

restaurant labor costs


4 - Make automation your best friend.

Can you automate it? Then do! We live in the glorious age of technology, meaning many epic tools can help us run our business without lifting a finger. 

If you manage a restaurant, consider using a software solution that offers automated tools such as streamlining worked hours to payroll, automating restaurant payroll calculations, or creating schedules based on week forecasts. 

How does this help you cut down on labor? With this software, you could save up to 40 hours per week on admin tasks, because manual calculations are out, and payroll in one click is in.   



5- Always consider the data.

The most shocking thing about data is that the results are often not what you would expect. 

As a business owner who manages sales vs labor metrics, understanding and learning from the data could help you avoid losing money from being over or understaffed regularly. Lean into tools that offer integrations between your labor and sales so you can make choices that will make your business money. 

Using the data and running restaurant reports will help you save on labor, but it will also help you optimize other aspects of your business, such as food and operations costs. Data is your new secret sauce. 


restaurant labor costs


6 - Hold onto the good ones.

It takes time to onboard, train, and refine your skills when working in the services industry. And the longer your staff stay, the more valuable they become. There is even a term for it, Human Capital Management. In other words, it pays to hold onto good people through best retention practices. So how can you pull it off? 

There are many ways to keep great people, including hiring smart in the first place, having a great onboarding process, offering flexible working hours, listening to and appreciating your staff, and tracking employee performance. Great HR software can help you accomplish these goals.  

Another way you might consider holding onto great staff is by implementing an Instant Pay or EWA (early wage access) program into your restaurant. The more incentive to stay and build their skills, the more efficient the worker. And the more efficient the worker, the lower your labor costs will be without having to cut staff!


That's all for now.

When it comes to significant ways to help lower your labor costs without cutting staff or sacrificing your restaurant's operations, these tricks should help you out.

If you are looking for an easy way to manage your people, book a free demo with us today. 


Want to learn more ways you can increase your restaurant's profits? Check out our free guide with 20 hot tips here!


how to lower restaurant labor costs.


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The food and hospitality industry is entering a transformative era in 2024 — driven by consumer demand for transparency, health, environmental responsibility, and a touch of culinary innovation. Diners are more informed, adventurous, and values-driven than ever before. Whether it’s a craving for Korean-BBQ tacos, gut-friendly mocktails, or carbon-labeled menus, today’s customers are embracing trends that combine personal wellness with global consciousness.

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For restaurant owners and foodservice managers, keeping pace with the latest food trends is more than a matter of creativity — it’s a necessity for profitability and long-term success. This guide explores the top food trends for 2024, from plant-based innovations to tech-forward sustainability practices, and how operators can successfully integrate them into their businesses.

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Let’s dig into what’s trending, what your customers want, and how your restaurant can stay ahead.

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What Are the Top Food Trends for 2024?

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Here’s a snapshot of the most impactful food trends shaping menus and operations in 2024:

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  • Plant-based innovations – Beyond tofu: think cultivated meats, mushroom mycelium, and chickpea-based seafood substitutes.
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  • Climate-conscious menus – Locally sourced, low-waste, and forward-thinking menus aligned with environmental responsibility.
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  • Functional wellness foods – Ingredients that support mood, energy, and immunity are being infused into dishes and drinks.
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  • Tech-driven dining experiences – AI tools, robotics, and smart systems are elevating back-of-house efficiency and customer-facing dining.
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  • Global flavor fusions – Mashups of regional cuisines (like Indian-Mexican or Korean-South American) offer novelty and richness.
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Why Do Restaurant Owners Need to Pay Attention to Food Trends?

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  • Consumer demand is shifting: According to the National Restaurant Association’s 2024 Culinary Forecast, over 70% of diners say they actively seek healthier, more sustainable options when dining out.
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  • Increased brand loyalty: Restaurants that align with customer values — health, ethics, innovation — earn trust, repeat visits, and social shares.
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  • Operational agility: Trend-oriented kitchens are quicker to pivot when supply chains shift, diets evolve, or digital preferences change.
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Which Foods Are Trending This Year Across the U.S.?

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Rise of Plant-Based Food Trends

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  • Cultivated meats: Also known as lab-grown meats, these are becoming mainstream. Brands like UPSIDE Foods and GOOD Meat are breaking into U.S. markets with chicken grown from animal cells in controlled environments.
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  • Mycoproteins & legumes: Derived from fungi or pulses, protein-rich alternatives like tempeh, jackfruit, and lupin are being used creatively in tacos, BBQ ribs, and seafood analogs.
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  • Mainstream adoption: Major chains like Burger King and Chipotle continue expanding plant-forward menus, while independents offer bold meatless dishes with flavor-forward sauces, global spices, and satisfying textures.
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Healthy Food Trends for 2024

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  • Gut health focus: Probiotic-rich dishes (kimchi grilled cheese or sourdough naan wraps) and fermented sides are on the rise.
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  • Lower-sugar desserts: Sweet treats are being reimagined with monk fruit, dates, and other low-glycemic ingredients.
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  • Immunity boosters: Menus highlight ingredients like turmeric, ginger, vitamin C, and zinc through smoothies, teas, and power bowls.
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  • Clean-label commitment: Consumers are studying ingredient lists, preferring dishes with wholesome, recognizable components.
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Functional Foods and Beverages

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  • Nootropic-infused drinks: Beverages powered by L-theanine or functional mushrooms cater to focus and calm.
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  • Adaptogenic add-ons: Herbs like ashwagandha, maca, and rhodiola are finding their way into smoothies, lattes, and sauces.
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  • Wellness cocktails: Mixed drinks sans alcohol — but heavy on health — promote detox and energy, flavored with botanicals and natural extracts like spirulina, matcha, and activated charcoal.
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How Are Sustainable Food Trends Shaping the Industry?

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From Menu to Sourcing: The Push Toward Sustainability

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  • Local and seasonal sourcing: Supporting nearby farms reduces emissions, ensures freshness, and appeals to community-minded consumers.
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  • Zero-waste operations: Chefs are using root-to-stem cooking, fermentation for food preservation, and creative uses for scraps in sauces or stocks.
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  • Eco-conscious packaging: Compostable containers, reusable to-go kits, and edible cutlery are disrupting traditional takeout models.
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Tech and Innovation in Sustainable Dining

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  • Carbon labeling: Climate impact scores on menus help customers make informed dining decisions, much like calorie counts.
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  • AI-driven inventory management: Tools optimize ordering patterns, reducing spoilage and overstock-related waste.
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  • Vertical farming & hydroponic setups: Onsite or bordered supply chains shorten the farm-to-table journey.
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What Is the Most Popular Food Trend Right Now?

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While many trends are gaining traction, one standout in 2024 is the rise of global comfort fusion — particularly dishes that marry traditional comfort food with spicy, umami-rich flavors.

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  • Korean-Mexican cuisine: Think birria bulgogi tacos or kimchi queso.
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  • Indian-South American mashups: Curried empanadas or tandoori arepas are headline grabbers.
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  • TikTok’s viral influence: Trends like \“chili crisp eggs\” or \“pickle sushi\” are being adapted on local menus, proving that social virality turns into real-world demand.
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How Social Media Is Driving Food Trend Adoption

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Role of Social Media in Accelerating Food Fads

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  • Influencer credibility: A single post from a viral chef or creator can spark national interest in a dish.
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  • Hashtag virality: Foods labeled #ButterBoard or #WaterTok evolve into week-long waitlists and menu must-haves.
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  • User-generated content: Diners love documenting quirky, beautiful, or “you’ve-never-seen-this-before” dishes to share online.
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Leveraging Food Trends for Restaurant Marketing

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  • Seasonal menus & pop-ups: Limited-time offerings based on trending foods motivate urgency and trial.
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  • Social callouts: Encourage diners to tag, post, or review your trend-forward menu items.
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  • Reels and behind-the-scenes content: Show viewers where your ingredients come from or how a niche global dish is made.
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Global and Fusion Food Trends to Watch

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  • Japanese-Peruvian (Nikkei) flavors: Featuring citrusy ceviches with umami-rich miso and soy glazes.
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  • West African influences: Dishes using jollof rice, egusi stew, or fonio grain paired with plant-based elements.
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  • Filipino-American blends: Adobo-braised brisket sandwiches or ube milkshakes have mainstream momentum.
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Tips for Implementing 2024 Food Trends in Your Restaurant

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  • Test with limited-time offers (LTOs): Introduce a trending ingredient as a weekly special or seasonal dish to measure interest.
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  • Survey your customers: Use email lists or POS systems to gather input on potential additions.
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  • Train your staff: Equip them with the knowledge and enthusiasm to explain functional or sustainable items.
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  • Work with specialized suppliers: Align with local farmers, health-focused vendors, or zero-waste packaging providers for smoother execution.
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Final Thoughts: Stay Ahead of the Curve with 2024’s Food Trends

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Adapting to food trends in 2024 isn’t about chasing every new idea — it’s about identifying the trends that align with your market, values, and culinary identity. Plant-based options, sustainability, global flavors, and wellness-centric dining aren’t just appealing — they’re economically vital.

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Restaurants that act early — leveraging data, culture, and digital ecosystems — will attract today’s health-conscious, eco-aware diner and become tomorrow’s industry leaders.

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Ready to Lead the Industry with Smarter Menu Strategies?

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2024 promises bold innovations in food — and your restaurant can thrive by embracing the right trends. Whether you’re scaling functional drinks, reducing kitchen waste, or jumping on the next viral fusion dish, the right tools can help you act faster and smarter.

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Subscribe to the Push blog for expert insights on restaurant operations, emerging food trends, and next-gen hospitality technology. Stay ahead — serve success.

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Internal Links

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External Sources

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  • National Restaurant Association 2024 Culinary Forecast
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  • Technomic’s 2024 Foodservice Trends Report
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  • Mintel Functional Food Trends Analysis 2024
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