10 Mistakes Most Restaurant Owners Make With Labor Scheduling (And How to Fix Them)
Labor costs are one of the largest expenses for any restaurant often taking up 30% or more of revenue.
Yet, many restaurant owners unknowingly overstaff, underutilize employees, or misalign shifts with sales patterns, draining thousands of dollars every month.
At The Chef’s Idea, we’ve worked with upscale and casual restaurants alike to fix these mistakes and give owners back control over their schedules and their profits.
The 10 Most Common Labor Scheduling Mistakes (and How to Fix Them)
1️⃣ Overstaffing During Slow Hours
The Problem: Too many employees scheduled when foot traffic is low.
The Fix: Analyze POS sales data by hour/daypart and match staffing levels to demand.
2️⃣ Ignoring Historical Sales Patterns
The Problem: Scheduling based on “gut feeling” instead of data.
The Fix: Review at least 6 months of sales trends before creating a schedule.
3️⃣ Not Accounting for Seasonal Fluctuations
The Problem: Keeping summer staffing levels in slow winter months.
The Fix: Build seasonal templates and adjust staffing monthly.
4️⃣ Excessive Overtime
The Problem: Allowing unnecessary overtime inflates labor costs fast.
The Fix: Track overtime weekly and split shifts to avoid hitting overtime hours.
5️⃣ Last Minute Shift Changes
The Problem: Constant changes disrupt workflow and create inefficiencies.
The Fix: Use a scheduling app that locks in shifts 7 days in advance.
6️⃣ Poor Role Allocation
The Problem: Too many people assigned to the same task while other areas are short staffed.
The Fix: Cross-train staff to cover multiple positions as needed.
7️⃣ Not Using Labor Percentage Targets
The Problem: No benchmark for how much labor should cost relative to sales.
The Fix: Set a labor target (e.g., 28–32% of revenue) and adjust schedules accordingly.
8️⃣ Understaffing Peak Hours
The Problem: Not enough staff during rushes leads to poor service and lost sales.
The Fix: Staff according to peak traffic, not just total daily sales.
9️⃣ No Real Time Monitoring
The Problem: Managers don’t track labor vs. sales in real time.
The Fix: Train shift leaders to monitor and make in shift adjustments.
🔟 Lack of Communication Between FOH and BOH
The Problem: Kitchen and front of house schedules are made in isolation.
The Fix: Coordinate both schedules to ensure balanced workflow.
Why This Matters
Cutting labor costs without hurting service is one of the fastest ways to increase profitability.
Small changes like adjusting shifts by just one hour per day can save thousands per month.
"Weekly Labor Scheduling Audit Sheet"
The Chef’s Idea – Helping Restaurants Work Smarter, Not Harder
Instructions:Use this checklist at the start of every week to ensure your labor schedule is optimized for profitability, efficiency, and service quality.
Step 1 – Sales & Labor Data Review
☐ Pull last week’s sales by hour/daypart from your POS.
☐ Compare actual sales to scheduled labor hours.
☐ Note any overstaffing or understaffing patterns.
☐ Compare actual sales to scheduled labor hours.
☐ Note any overstaffing or understaffing patterns.
Step 2 – Match Staff to Sales Patterns
☐ Adjust this week’s schedule to align with historical sales patterns.
☐ Confirm peak hours are fully staffed (no missed sales).
☐ Reduce hours during low-traffic times to avoid waste.
☐ Confirm peak hours are fully staffed (no missed sales).
☐ Reduce hours during low-traffic times to avoid waste.
Step 3 – Labor Percentage Check
☐ Calculate projected labor cost % for the week (Labor $ ÷ Sales $).
☐ Ensure the percentage is within your target range (e.g., 18–25%).
☐ Ensure the percentage is within your target range (e.g., 18–25%).
Step 4 – Overtime Control
☐ Review employees’ weekly hours before scheduling.
☐ Reassign shifts to prevent unnecessary overtime.
☐ Reassign shifts to prevent unnecessary overtime.
Step 5 – Role Allocation & Cross-Training
☐ Ensure all critical stations (FOH & BOH) are covered.
☐ Assign staff with multiple skill sets to increase flexibility.
☐ Assign staff with multiple skill sets to increase flexibility.
Step 6 – Communication Check
☐ Confirm both FOH and BOH managers have reviewed the schedule.
☐ Send the final schedule to the team at least 7 days in advance.
☐ Send the final schedule to the team at least 7 days in advance.
Step 7 – Midweek Review
☐ On Wednesday, compare actual sales to scheduled labor.
☐ Make adjustments for the remainder of the week if needed.
📌 Pro Tip:
Even a 1-hour daily labor adjustment can save your restaurant thousands per month.
☐ Make adjustments for the remainder of the week if needed.
Even a 1-hour daily labor adjustment can save your restaurant thousands per month.
Weekly POS Data–Driven Staffing Adjustment Sheet
The Chef’s Idea – Turning Your POS Data into Profit
Purpose:
Your POS holds the answers to labor efficiency. This sheet walks you step-by-step through reviewing sales data and adjusting your staffing to cut costs without hurting service.
Step 1 – Pull Last Week’s POS Data
☐ Export sales by hour/daypart from your POS system.
☐ Export labor hours per role (FOH & BOH) for the same week.
☐ Make sure data includes gross sales and guest count.
☐ Export labor hours per role (FOH & BOH) for the same week.
☐ Make sure data includes gross sales and guest count.
Step 2 – Identify Peak & Slow Hours
☐ Highlight the top 5 busiest hours of the week.
☐ Highlight the bottom 5 slowest hours.
☐ Note if staff levels matched these peaks & dips.
☐ Highlight the bottom 5 slowest hours.
☐ Note if staff levels matched these peaks & dips.
Step 3 – Spot Overstaffing or Understaffing
☐ For slow hours: Was there excess staff standing idle?
☐ For peak hours: Were ticket times slow or service inconsistent?
☐ Mark each issue as either Reduce Staff, Increase Staff, or No Change.
☐ For peak hours: Were ticket times slow or service inconsistent?
☐ Mark each issue as either Reduce Staff, Increase Staff, or No Change.
Step 4 – Adjust the Schedule
☐ Reduce shifts during slow hours to match sales traffic.
☐ Add coverage to peak hours where service lagged.
☐ Ensure cross-trained staff cover multiple roles during fluctuating demand.
☐ Add coverage to peak hours where service lagged.
☐ Ensure cross-trained staff cover multiple roles during fluctuating demand.
Step 5 – Labor % Calculation
☐ Labor Cost % = (Total Labor Cost ÷ Total Sales) × 100.
☐ Compare to your target (e.g., 28–32%).
☐ If over target → further reduce unnecessary hours.
☐ Compare to your target (e.g., 28–32%).
☐ If over target → further reduce unnecessary hours.
Step 6 – Midweek POS Check-In
☐ On Wednesday, review actual vs. projected sales in POS.
☐ Make real-time staffing adjustments for the rest of the week.
📌 Pro Tip:
Just one less hour of unnecessary staffing per day can save $200–$500 per week in some restaurants — without affecting service quality.
☐ Make real-time staffing adjustments for the rest of the week.
Just one less hour of unnecessary staffing per day can save $200–$500 per week in some restaurants — without affecting service quality.
✅ How We Help at The Chef’s Idea
We specialize in smart labor scheduling for upscale and casual restaurants.
Our process includes:
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Analyzing your current schedules and sales data
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Creating optimized templates for different sales volumes
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Training your managers to control labor in real time
🚀 Our goal is simple: Give restaurant owners back control over their business with systems, strategy, and profitability.
💬 Join the Conversation:
Which labor scheduling mistake do you think is the most common in restaurants?
Drop a comment below we’d love to hear your thoughts.
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📞 Contact Us:
The Chef’s Idea – Restaurant Profitability Experts
📧 Erick@thechefsidea.com | 📞 347-652-5804 | 📅 Book Your Free Strategy Call
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