Fast food loses out to BPO
FAST food companies are finding it increasingly harder to recruit and retain talent, losing out for the most part to competition from entities in the business process outsourcing (BPO) sector.
Fast food stores in St Catherine confirmed the situation to the Jamaica Observer after enquiries about several “Help Wanted” signs that have been observed.
It is being posited that the heavy recruitment of the BPO sector, done in continuous rotation, is sapping resources which are usually available to fast food chains and other stores which have been expanding, even under pandemic conditions, or simply need to replace workers.
Fast food representatives have responded to say that “competition is a fact of life.”
Workers to whom the Business Observer spoke reported that tasks in the fast food sector are heavier and the times longer. The cerebral job roles in the BPO sector are more appealing, it would appear.
The Business Observer spoke to a 33-year-old woman who has worked in both the fast food and BPO sectors.
She said, “speaking on the basis of having knowledge of both worlds, the fast food industry is more than modern-day slavery. [The experience is that of being] overworked based on the demand of the job with little pay.”
“You have workers in recent times who have come out to say that they are making $28,000 per fortnight, with some claiming even less.
She stated, “The BPO is not a bed of roses either, but it’s not the sector [ that’s the source of the problem there]; it’s the people who are given the high-ranking positions. Benefit wise, it (BPO) makes better sense. You get at least $30,000 fortnightly and you are given a health card to which you can add your child/children and spouse if you wish to.”
NHT benefits
She added that in the BPO sector, “You get a small life insurance policy, your NHT (National Housing Trust) benefits are paid and you are guaranteed a car loan or owning a home working in this industry. As for fast food, I am afraid I cannot say the same.”
The Business Observer reached out to Restaurants Associates Limited which runs Burger King and Popeyes and also Restaurants of Jamaica which operates KFC and Pizza Hut stores, for a response.
Restarants Associates responded to say that “competition is a fact of life in the industry”. A representative informed the Business Observer, “We have received competition from within and outside the food service industry.”
Although it did not specify strategies, the company stated, “We are positioning ourselves to always be the employer of choice by offering win-win employee/employer partnerships. We will continue our game plan to always have a pool of personnel that we can train, develop and promote from.”
The company noted, “We are also strengthening our partnerships with the Ministry of Labour and the HEART Trust/NSTA. We will also continue with targeted personnel development programmes that will help existing and new team members to achieve their full potential while they are part of our company.”
Intensity
The company outlined that its recruitment strategy has been intensified in the last three months, noting, “Our approach to talent management is to always be recruiting team members at various levels…We have been conducting recruitment drives across Jamaica over the past few months to achieve this goal.”
Restaurants Associates declined to break down offers made to recruits, but outlined, “In our quick service restaurant business, we offer our team members competitive salaries and allowances; as well as bonuses and performance incentives.”
“We believe in people development and so any one joining our team will be trained in technical and soft skills that will allow them to capitalise on career growth opportunities. Most of our senior managers started as crew members. In fact, our head of operations also started as a crew member.”
The company noted that it runs an annual scholarship programme where the children of employees can apply for scholarships and grants.
However players in the BPO segment put the competition down to salaries and benefits offered in both sectors.
Yoni Epstein, CEO of itel, told the Business Observer that “Despite being the first job of many Jamaicans these two industries are fundamentally different. However, within the BPO industry there is a lot of competition for pay & benefits. However, itel continues to remain at the forefront of this competition in the BPO space due to its culture, facilities, clients, attractive base pay, commissions & overall benefits.”
Gloria Henry, president global services association Jamaica, the BPO lobby group, added, “We are working with a research firm to conduct an empirical survey of salaries within the sector and would prefer to wait to respond to you on that question. I am aware though that basic salaries are higher for several entry-level positions in other sectors.”
