Re-Building Your Hotel F&B Value Proposition for Recruiting and Retaining Gen Z Talent

Adding in furloughs and layoffs, the pandemic exacerbated these issues, which resulted in hospitality F&B workers finding other service sectors to work in, such as healthcare and retail. Now that the industry is firing up again, there is a concerted interest in enticing workers to come back, with additional concerns that the old ways of recruitment and retention may no longer be as effective.

So, how about trying a new recruitment and retention strategy? There are some untapped opportunities for targeting Generation Z workers by improving your hotel F&B recruitment value proposition.

It's Not All About the Money for Gen Zers

Members of Gen Z were born after 1996 and were raised in the 2000's. Deemed the "Digital Natives" generation, Gen Z has never known a time without the Internet.  Gen Z is poised to fill the workforce gap left from the 30 million Baby Boomers who are leaving to retire, and Gen Z already represents 20% of the workforce.

Generation Z is highly adept at forming relationships over social media, yet many of their cohort characteristics more closely resemble those of the Traditionalist generational cohort, or their great grandparents. Gen Zers are family-oriented, pragmatic, self-reliant, and hopeful about the future, all values shared with Traditionalists. Given these values, Gen Zers' want more than financial gains from a job. They want quality of life in the work-life balance, and a continued path of training and development for long-term planning.

Therefore, while signing bonuses might be enticing to some generational cohorts, Gen Zers also want a longer-lasting relationship and commitment from their workplace. So, it may be time to re-imagine the nature of hospitality work and how we might go about attracting and retaining Gen Z workers.

Improving Your Hotel F&B Recruitment and Retention Value Proposition

Before the COVID-19 pandemic, hospitality organizations and HR departments competed for talent, often relying on wages and benefits packages as the main driver for differentiation. Given the current post-pandemic recruitment environment characterized by an exodus of hospitality workers reluctant to return to hospitality work, it is time to re-evaluate recruitment strategies (and the associated business practices) to recruit new Gen Z workers. The following are some helpful marketing and management strategies that hotel F&B departments and their HR partners should consider when targeting this special generational cohort.

Recruitment and Materials

Identify mentors and recruit in teams so your Gen Z applicants will work with those same recruiters who spent time to find new hires. This builds relationships. Think about alternative work schedules and job sharing. Consider offering four 10-hour day work schedules, one weekend off every month, and one of the major holidays off every year, which would not present negative impacts, but rather it would allow that work-life balance so valuable to Gen Z.

For those applicants not ready to commit to full time work, consider a job-sharing schedule with other Gen Z applicants, offering a community-building work environment. Mandate management maximum hour thresholds to not exceed 50 hours and make this a point of differentiation in the recruitment.

Career Progression

Organize a path to build a career in hotel F&B by illustrating a career progression in the marketing and recruitment materials. Explain to Gen Z applicants a typical career progression and how your organization will invest time and resources to be partners in their (and your) success. Present career options early on that stem from F&B. For example, demonstrate how someone from hotel F&B can navigate a career in housekeeping, marketing, or to a GM position. Create a realistic, transparent profit-sharing program, which offers a 'win-win' scenario for both the hotel organization and for the employees. The pragmatic Gen Zers will be enticed by the long-term investment in their future.

Training and Development

Work on driving F&B employee engagement by developing an internal 'lunch-n-learn' program with an incremental pay rate increase for participation to develop employees. Consider organizing "reverse mentoring" sessions, where Gen Zers engage with co-workers and leaders from older generational cohorts (i.e., Millennials, Gen X, Baby Boomers), identifying organizational and external challenges to hotel F&B, bringing those issues to the group exploring new ways of operating and managing.

Implement a "chunking system" for knowledge transfer to Gen Z in the training and development programs. Gen Zers learn in smaller "chunks", so short training videos or podcasts in 3–5-minute chunks work well for Gen Zers on the move, even accessed from their mobile devices. Invest in "gamification" training, as Gen Zers love to compete. Gamification training platforms boost engagement and encourage a teamwork culture. 

Develop and maintain an online 'progression library' of learning files, which will offer an employee to tap-in at their discretion. Each of the knowledge files (articles, videos, PowerPoints, or modules) could be linked to a learning objective that will add value to the employee and to the company.  Points could be attached to viewing the files and accompanying assessments, which could be incentivized through a compensation or certification program, physical or digital proof over their entire career.  As a result, the employee can increase compensation at will, add new skills and capabilities, improve chances for promotion, and underscore the company's promised F&B experience - win, win, win, win!

Improve Facilities

Upgrade and maintain F&B employee facilities (e.g., restrooms and break/lunchrooms) as good as the guest facilities to demonstrate that the employees are a top priority and every bit as valuable as the guests whom they serve. Add music and videos to promote health and financial tips, or perhaps upcoming events. Increase the emphasis on providing tools and equipment that are well maintained, with an adequate number of uniforms that are in good condition, well above par. Upgrade the kitchen and heart-of-house facilities to reduce the institutional aesthetics by including attractive wall and door paint, hand-painted murals, lighting, soft music, a futuristic vibe, etc.

Build Community

Create an inclusive, family-friendly work-life environment. Host complimentary family day events quarterly, welcoming family and close friends of your Gen Z F&B staff. Institute generous discounts to bring family and friends to the restaurant(s) and hotel during non-peak times.

The College and Vocational Program Gen Z Talent Pool

Hospitality management programs and vocational school programs are an excellent resource from which to recruit new hotel employees and the future leaders of your organization. Consider partnering with a local college, university, or vocational program. Visit them often for guest speaking and tabling events. Get to know what's important to Gen Z students and graduates by taking questions after a guest lecture or offering mentoring. Work on building relationships with college recruiters and faculty and strive for a long-term recruitment pipeline strategy.

It is important to look beyond wages and benefits as to what more your organization can offer to Gen Z hotel F&B workers. So, when you re-evaluate your value proposition, ask your team: What's special about your organization and how does F&B work within it? What's special about how you train, and succession plan your F&B employees? Does your organization follow through on training and development initiatives? Does all the F&B management support and participate in the initiatives?  Do you have successful employee ambassadors from F&B who can attest to your specialness? Consistency is the key, and purposeful planning is the first step to organize recruitment and retention strategies in hotel F&B with Gen Z. By the way, these strategies can be amended to work across other hotel departments for a more holistic organizational recruitment and retention plan of Gen Z workers who will be the future leaders of the industry.

By Cynthia Mejia Associate Professor, University of Central Florida Rosen College of Hospitality Management. This article was co-authored by Michael "Doc" Terry, Senior Instructor, Rosen College of Hospitality Management, UCF