Industry’s First Fair Workweek Impact Survey Reveals Serious Compliance Headaches, Harri Releases End-to-End Solution to Address

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Harri, a leading workforce management solution for restaurants, reveals 60% of operators feel at risk to comply; Nearly 80% experiencing labor cost inflation.

Harri, the disruptive end-to-end workforce management software platform powering hospitality businesses to build, manage and engage their teams today released its 2020 Hospitality and Food Service Fair Workweek Readiness Survey.

These survey results represent a range of restaurant operators from approximately 5,300 restaurants and over 45,000 employees across US markets impacted by Fair Workweek (aka Predictable Scheduling).

The report centers on analyzing the impact of scheduling legislation, enacted or proposed by more than 26 cities and states across the U.S. The findings point to a number of notable impacts on business and labor operations:

  • 37% percent experienced labor costs increases ranging from 3 to 9%;
  • To counteract rising labor cost, 41% reduced employee hours whilst 12% eliminated jobs
  • Indirect costs are also having a major impact; 51% of respondents identified significant increases in weekly time spent by managers creating compliant schedules and 40% accounting for premiums in payroll and reporting workflows

“There’s been a publicized wave of high-profile violations stemming from a complex and confusing wave of recent scheduling-related legislation. Our first-of-a-kind research shows the effort to comply triggers a chain reaction of suboptimal outcomes as businesses attempt to counteract the direct and indirect costs of compliance,” said Ryan Mang, CRO of Harri.

“It's clear that Fair Workweek laws are well-intentioned and a framework that brings consistency and predictability of work patterns and earnings is of benefit to both employees and businesses alike. However the complexity and lack of clarity surrounding how these regulations translate to real-life scenarios, make them operationally untenable for even the most sophisticated and well-resourced operators.”

The survey reveals that the following areas are the greatest source of compliance concern amongst operators:

  • Calculating and updating good faith estimate documentation 39%
  • Publishing compliant schedules to employees in well in advance of working periods 49%
  • Tracking employee and manager driven scheduling changes 54%
  • Avoiding scheduling penalties 29%
  • Reporting, tracking and paying premiums resulting from scheduling changes 27%
  • Providing evidence that available shifts are first exposed to existing employees prior to posting jobs externally 39%

Harri Responds with Industry's First Complete Fair Workweek Platform Solution

Harri has launched the first nationally scalable, comprehensive technology solution that allows multi-unit operators to navigate the operational burden posed by Fair Workweek legislation. Central to the methodology is an agile framework capable of responding to the rapidly changing variations of these laws as they proliferate from jurisdiction to jurisdiction. Deep consideration was given to eliminating all manual processes and intelligently linking multiple points of control throughout the employee lifecycle.

“As Fair Workweek laws became more prevalent, we identified that operational, HR, and finance leaders required a robust and cohesive technological solution that would intelligently connect multiple day-to-day functions impacted by Fair Workweek,” said Luke Fryer, Founder and CEO of Harri. “Onboarding, scheduling, time keeping, employee communications and payroll environments have traditionally been handled by fragmented, legacy solutions. We saw an opportunity to provide a single platform that would mitigate risk, drive business performance and ease managerial burdens.”

Harri’s Fair Workweek solutions platform delivers multiple first-to-market solutions for complex requirements including:

  • Provision of Good Faith Estimates to employees
  • Employee attestation capture
  • Intelligent coordination of scheduling, timekeeping and payroll workflows
  • Advanced reporting and audit response frameworks
  • Easing the operational burden, imposed on managers, to build schedules that are both compliant and optimized for sales performance

Turning a Negative Into A Positive

Since 2018, Harri has conducted thousands of exit interviews of hospitality workers. This data has revealed that 65% of employees leave during the first 90 days due to scheduling dissatisfaction.

“We’re seeing a clear trend amongst the best performing operators to use Fair Workweek as a catalyst to improve the employee’s experience with more predictable, accessible and flexible scheduling agreements. We’re helping clients improve their Employee Experience whilst also addressing compliance, labor cost and employee engagement challenges. There’s a strong win-win scenario here.”

The full Fair Workweek Readiness Report results can be viewed here: http://bit.ly/2V5V7cZ

For more information visit: http://bit.ly/38ovIhq

About Harri:
Harri is an end-to-end workforce management technology platform that helps hospitality businesses build, manage, and engage their teams. With more than 30 modules, the platform provides solutions for talent acquisition, employer branding, applicant tracking, scheduling, time & attendance, communications, compliance, and analytics. With over 300 enterprise clients, Harri is a best in class solution that helps solve the labor-related challenges that plague the hospitality industry.

About Fair Workweek:
Fair Workweek or “predictive scheduling” laws require employers in retail and hospitality industries to provide employees with 10 to 14 days advance notice of work schedules, access to more hours, rest between shifts and flexible schedules. For each employer-initiated change to the posted work schedule after the required advance notice, the employer must pay predictability pay plus the employee’s regular pay for hours actually worked. Employers also face steep penalties of $1,000 or more for infractions.

Press Contact:
Dan Murdoch, VP of Marketing
203-970-1127
marketing@harri.com

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Daniel Murdoch
Harri
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