Hire Part-Time F&B Workers or Gig Workers : A Singapore SME Owner Guide

As a Singapore SME owner in the F&B industry, you know hiring part-time staff can be challenging. With high turnover and unreliable workers, your business suffers. There may be another solution - gig workers.

In this article, we'll compare hiring part-time and gig workers for common F&B roles like service crew, cashiers, dishwashers, cleaners, and kitchen helpers. With insights tailored to the Singapore context, you'll learn the pros and cons of each hiring approach. You'll also get data-driven recommendations to build a flexible, reliable workforce that serves your customers well, without breaking the bank. Keep reading for practical tips that could transform how you staff your F&B business.

The Gig Economy Evolution & Impact on F&B Industry

Rise of the Gig Worker

The gig economy has rapidly evolved, transforming how businesses operate. As a Singapore SME owner in the F&B industry, you're likely grappling with staffing challenges - high turnover rates, and difficulty finding reliable part-timers. Enter the gig worker - a flexible, on-demand workforce.

Flexibility for Both Sides

Gig workers offer unparalleled flexibility for roles like service crew, cashiers, dishwashers, cleaners, and kitchen helpers. They can work on their own schedules, fitting shifts around other commitments. For you, it means accessing a vast talent pool when needed, without the overhead of full-time employees.

Cost Savings & Efficiency

Embracing the gig model can lead to significant cost savings. You only pay for the labour you need, when you need it. This lean staffing approach boosts efficiency, allowing you to scale your workforce up or down seamlessly based on demand fluctuations.

Overcoming Challenges

However, managing a blended workforce of part-timers and gig workers requires careful planning. Clear communication, robust onboarding processes, and performance tracking are crucial. But when done right, the gig economy presents an innovative solution to your staffing woes, future-proofing your business.

COVID-19 and the Gig Economy

The Pandemic's Disruption

The COVID-19 pandemic caused widespread disruptions across industries, leading to job losses and economic hardship. According to an ILO report, 81 million jobs were lost in the Asia Pacific in 2020. This upheaval pushed many workers to seek alternative income streams through the gig economy.

As traditional sectors like retail and F&B faced lockdowns and closures, the gig economy provided a lifeline. A survey found over 50% of gig workers lost jobs, while others transitioned from hard-hit industries like travel and hospitality into gig roles like food delivery. These flexible jobs offered income opportunities during uncertain times.

Resilience and Adaptability

Companies relying on gig workers acknowledged the changes. Some provided assistance to affected workers, while platforms like Grab saw surging demand for delivery services. The gig economy's ability to rapidly adapt by connecting workers with shifting consumer needs demonstrated its resilience.

Inequities and Reforms

However, the pandemic also highlighted inequities faced by gig workers like lack of benefits and job security. There were calls for reforms to ensure minimum wages, insurance and better worker representation. Singapore will mandate accident insurance and retirement savings from 2023, though concerns remain about companies passing costs to workers.

The Difference of Part-time vs Gig Workers

Stability vs Flexibility

Part-time jobs offer more stability with set schedules and monthly salaries, which is valuable for those with financial obligations. Workers become part of a team in a structured environment, fostering a sense of belonging. They may also qualify for benefits like health insurance. Gig jobs, however, provide unmatched flexibility - workers choose their schedules and jobs without commitment to any company. This suits those with busy personal lives.

Income Potential

Gig workers can pursue multiple income streams concurrently by taking different jobs. This diversification allows for potentially higher earnings. Part-timers have fixed hourly wages or salaries from their employer. While gig roles lack stability, top performers can maximize their income.

Autonomy and Control

Flexible part-time roles grant more autonomy over schedules compared to traditional fixed-hour part-time jobs. Gig workers operate as self-employed individuals with maximum independence, but lack employment benefits. This independence comes with greater responsibility for costs like vehicle maintenance.

Ultimately, one's financial needs, lifestyle preferences, career goals and desire for consistency or flexibility should guide the choice between part-time and gig employment models.

Benefits of Hiring Casual Part-Time Workers in F&B

Flexible Staffing

One of the primary advantages of hiring casual part-time workers is the flexibility it offers F&B businesses to scale their workforce up or down as per fluctuating demand. According to FastGig, these workers can be hired on demand, allowing efficient management of peak hours, events, and seasonal fluctuations. Roles like service crew, cashiers, dishwashers and kitchen helpers can be staffed based on real-time needs.

Cost Optimization

Reducing reliance on a permanent full-time workforce can significantly lower overhead labour expenses for F&B establishments. As per HSBC Business Go, casual workers are only paid for completed deployments, eliminating unnecessary costs. This cost-effective staffing approach maximizes productivity and profitability.

Diverse Talent Pool

F&B businesses gain access to a diverse talent pool with casual hiring. FastGig highlights that these workers often possess varied skill sets and experiences across multiple roles, enhancing overall workforce capabilities. For instance, a dishwasher may also have expertise as a kitchen helper.

Operational Agility

The flexible nature of casual staff enables F&B operations to nimbly adapt to changing market conditions and consumer demands. As noted by researchers, familiar gig workers can be repurposed across roles based on evolving needs, allowing businesses to quickly respond to shifts.

Reduced Administrative Burden

Hiring casual staff through an agency relieves F&B businesses of recruitment, onboarding and payroll responsibilities. As per FastGig, this reduced administrative burden allows operators to focus solely on core operations and service delivery.

Challenges of Hiring Casual Part-Time Workers in F&B

Unreliable Availability

Part-time employees often have limited availability due to other commitments like school, other jobs or family responsibilities. This makes scheduling and coverage difficult, leading to potential understaffing issues during peak hours. With casual workers, there is also a higher likelihood of last-minute cancellations or no-shows that create staffing gaps.

High Turnover Rates

The F&B industry is notorious for high turnover rates, which is even more pronounced when hiring casual part-time workers. These employees may not stay for long, requiring constant recruitment and training of new hires - an administrative burden.

Limited Commitment

Part-timers often see their roles as temporary work. As a result, they may not have the same level of commitment or loyalty as full-time employees. This lack of engagement can impact the quality of service provided to customers.

Operational Inflexibility

It may not always be possible to find casual workers with diverse skill sets covering both front-end and back-end operations. This limits a business's ability to cross-utilize staff across different roles as per operational needs.

Meeting Manpower Requirements

To meet the ideal local-foreign worker ratio required for the foreign worker quota, part-timers need to work at least 70 hours per month at a minimum pay rate. Ensuring fair compensation while keeping costs low when hiring many casual staff can be challenging.

Roles for Casual Part-Time Workers in F&B

As an F&B business owner in Singapore, you likely face challenges in finding reliable part-time staff for roles like service crew, cashiers, dishwashers, cleaners, and kitchen helpers. These casual, blue-collar positions are often seen as stopgap jobs with high turnover rates.

Work Flexibility and Motivation

Many part-timers take on these roles for supplemental income or short-term needs. Their motivation and commitment levels can vary greatly. Some may view it as a temporary gig, while others use it to gain experience or fill time between other pursuits.

Scheduling Challenges

Coordinating schedules and ensuring adequate staffing coverage is a constant juggling act with part-time workers. Their availability is often restricted by other commitments like studies, family responsibilities or multiple job-holdings.

On-the-Job Training

Frequent onboarding and training is usually required due to the casual nature of part-time roles. Maintaining consistent service standards and food handling protocols across a rotating staff can be difficult.

Reliable Alternatives

Gig economy platforms offer an intriguing alternative to traditional part-time hiring. They provide access to a flexible workforce willing to work on-demand, reducing scheduling hassles. However, relying too heavily on gig workers could impact your operations and branding if not properly managed.

By understanding the unique challenges of part-time F&B roles, you can explore creative staffing strategies. This may involve leveraging gig workers more strategically or rethinking your approach to attracting, training and retaining quality casual staff.

FastGig - Your One-Stop Solution for Hire Part-Time F&B Workers

A Hassle-Free Platform

FastGig is an online platform tailored to connect businesses with reliable part-time F&B workers on an hourly basis. It eliminates the hassle of traditional hiring by providing a one-stop solution to quickly find temporary staff for your F&B outlet. Creating job posts is a breeze - simply specify the position, location, date, time, and number of staff required.

Trusted Candidates at Your Fingertips

FastGig thoroughly vets all candidates, ensuring they possess the requisite experience and availability to meet your job requirements. To provide you with trusted workers, they also verify identities through a stringent screening process. This attention to detail guarantees you can focus on operations while having access to a pool of qualified part-timers.

Streamlined Hiring Process

Once a candidate is hired through the platform, FastGig streamlines the entire process. They handle payment processing while sending real-time updates to both parties, allowing you to effortlessly manage your workforce. This seamless approach aims to meet the growing demand for part-time staff in Singapore's dynamic F&B industry.

Flexible Opportunities for All

On the other side, FastGig caters to students, homemakers, and professionals seeking flexible job opportunities in their free time. By fostering a better work-life balance, the platform empowers individuals to explore part-time roles in the F&B sector, such as service crew, cashiers, dishwashers, cleaners, and kitchen helpers.

FAQ on Hiring Part-Time F&B Workers vs Gig Workers

Employee Classification: Part-Time vs Gig

When hiring workers for your F&B business, a key decision is whether to bring on traditional part-time employees or leverage the gig economy workforce. Part-time employees have set schedules, receive statutory benefits like CPF contributions, and are considered employees under the Employment Act. In contrast, gig workers are classified as self-employed freelancers or independent contractors, with greater flexibility but fewer employment protections.

Flexibility & Cost Considerations

One major advantage of gig workers is increased staffing flexibility to meet fluctuating demand. You can quickly tap into a pool of freelance workers for roles like service crew, cashiers or kitchen helpers without long-term commitments. This allows you to better manage labour costs compared to part-timers on fixed schedules. However, relying heavily on freelancers means less consistent customer service.

Employee Benefits & Grants

Hiring part-timers provides stability with consistent staffing but at higher costs for benefits. That said, government grants like the Casual Re-Employment Assistance (CREA)) can help offset wage costs for rehiring older part-time workers. You'll need to weigh the costs of part-time employee benefits against potential productivity gains from having a more stable core team.

Legal & Compliance Aspects

When working with gig workers classified as self-employed, be mindful of legal risks around employment misclassification. Ensure clear contracts and avoid overly restrictive terms that could be construed as an employee-employer relationship. For part-timers, follow regulations like providing itemized payslips, CPF contributions and granting annual leave entitlements.

Retention & Loyalty

While gig workers value flexibility, high turnover remains a challenge. Providing continuous feedback, rewards and growth opportunities can help retain part-time staff longer and build a more loyal core team. For gig workers, transparent payment terms and positive working experiences encourage them to prioritize your business.

Conclusion

As a small business owner in Singapore's competitive F&B industry, you face constant pressure to balance labour costs and customer satisfaction. Hiring part-time workers provides needed flexibility, but high turnover can undermine service quality. Alternatively, gig workers offer on-demand staffing without long-term commitments.

While more research is required, early evidence suggests gig workers may better meet your fluctuating business needs across front and back-of-house roles like service crew, cashiers, dishwashers, cleaners and kitchen helpers. With the insights provided, you are now better equipped to evaluate the tradeoffs and make informed hiring decisions that support your business goals.