CUTTING LABOR COSTS

Curtailing Time Clock Abuse and Trimming Health Insurance Costs

“Operators can reduce labor expenses by curtailing time clock abuse – when employees punch in/out before or after their scheduled shifts or if they have multiple jobs, punching in under the highest pay rate. You can use a POS system module to lock them out from doing these things, but managers have to adjust manually for schedule changes. The easiest solution is for managers to monitor the time clock as part of their daily checklists. At the start of each day, managers should make a list of who is coming in, at what time, and in what job role. As shifts start and end, they should check against the time clock.”
–David Scott Peters, founder, TheRestaurantExpert.com

“We were faced with a 40% increase in premiums for group health insurance for our corporate and franchised units. Then we found LyfeBank, a service that lets us set our healthcare budget and allocate it across all employees – full-time, part-time, seasonal, and temporary. We make contributions and tell LyfeBank how much to distribute to each employee’s account, tax-free. We don’t have to select a one-size-fits-all plan or deal with insurance administration. The savings are substantial over group plans, but perhaps the biggest benefit is knowing there won’t be health care cost increases unless we contribute more. Employees can find a plan that works for them, combine benefits from multiple employers, and keep the account wherever they go. Because LyfeBank has so many benefits over group insurance, I helped form FranHealth, a LyfeBank distributor to franchise restaurant companies.”

–Lex Nepomuceno, chief information officer, Garlic Jim’s Famous Gourmet