How tech is helping restaurants speed up the hiring process

Chipotle is using a chatbot to help screen applicants. | Photo courtesy of Chipotle

For restaurants, hiring a new employee can be a lengthy, time-consuming and costly process. Some are turning to technology to make it easier.

According to a report published Tuesday by the National Restaurant Association, restaurants are increasingly using things like chatbots and automated scheduling software to streamline hiring, reducing the time it takes to hire someone from weeks to as little as a day in some cases.

It comes as some restaurants find themselves swimming in job applications as they emerge from a post-pandemic labor shortage. Last year, 59% of operators said they had open positions that were hard to fill, down from 70% in 2023 and 79% in 2022, according to the report.

“It’s a little easier to hire today than it was a year or two ago. But you’re still getting huge volumes of applications,” said Chad Moutray, VP of research and knowledge for the restaurant association, in an interview. “And so how do you as human resources process that volume of resumes? You really lean on technology.”

The report, which is based on interviews with 16 restaurant companies, highlighted a few pieces of tech that restaurants are using to help ease the hiring workload, which often falls on the shoulders of busy managers.

One popular feature is AI-powered chatbots that can help pre-screen candidates. The bots appear at the start of an online application and help guide the applicant through it. But they also ask questions about basic things like age or citizenship that can quickly determine whether the prospective employee is even eligible for the role. 

“It did a little bit of that screening that someone who was reading it manually might do,” Moutray said. 

There is hope that as chatbots become more sophisticated, they could take on an even bigger role in the screening process. Chad Hewitt, senior product manager for the digital employee experience at Chipotle, noted that the chain’s hiring chatbot, called Ava Cado, currently uses simple language, but could progress to more complex conversations in the future.

Tech is also stepping in at the next stage of the process: setting up an interview. There are a number of tools that allow managers to automate scheduling so that once a worker has applied, they can easily sign up for an interview slot.

The report found that these tools have reduced hiring times and taken some pressure off of managers. Three-fourths of the operators surveyed said that tech allows them to get new employees hired within eight days, and all agreed that hiring times have improved noticeably.

Southern Rock Restaurants saw the most dramatic impact. The company, which operates 160 McAlister’s Deli locations, said that with automation, job candidates can now apply and be hired within 24 hours, compared to an average of 14 days using a manual approach. 

Putting more tech into hiring has also allowed restaurants to appeal to younger people who have different lifestyles and expectations when it comes to applying for jobs. According to the report, 38% of candidates apply outside the hours of 9 a.m. to 5 p.m., for instance. 

“Being able to apply in the middle of the night or using a QR code, I think that certainly appeals to younger generations that are much more tech-savvy in general,” Moutray said.

This has helped restaurants deepen the applicant pool. Chipotle has said that since launching Ava Cado late last year, applicant flow has nearly doubled and application completion rates have improved to 85%, from 50%. 

Restaurants are also using tech to support employees once they are hired. Onboarding and orientation procedures can be digitized, and online surveys can be used to keep tabs on how newcomers are feeling.

Potbelly Sandwich Shop sends out quarterly surveys called the Potbelly Pulse to gather employee feedback. The surveys help the company monitor morale and identify areas for improvement. Chief People Officer Pat Walsh called the Pulse a “major differentiator” for Potbelly.

That said, operators also emphasized that hands-on management remains key to onboarding employees and keeping them around long-term. Several said new hires are paired with a mentor or buddy to help them navigate their first few months on the job. 

“No matter what technology you use, it’s important to have a human connection,” Jonathan Seyoum, a partner at the Original Pancake House, told the association. “This makes people feel comfortable and helps us connect with our new and current employees.” 

In terms of the cost of all of this new technology, Moutray said he did not know what the actual dollar amount looks like for restaurants. But he said the benefits were clear.

“I think certainly the payout there is that, again, the last thing you want as a restaurant is to be understaffed,” he said.

He noted that some smaller operators are more resistant to moving away from the traditional hiring process. But overall, a good number of restaurants are exploring investments in this area. Last year, 37% said they had plans to invest in automated labor management, recruitment and scheduling systems, according to the association. 

The new report, titled Research Insight: Workforce Technology, was sponsored by Paradox, which makes conversational AI for hiring. Some of the restaurants featured in the report are Paradox customers.

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