Staffing

How 'low-hire, low-hire' puts QSR employee experience in the hot seat

To maintain true workforce stability and avoid stagnation in a "low-hire, low-fire" market, quick-service restaurants must prioritize the employee experience by leveraging AI-driven scheduling, flexibility and modern benefits like on-demand pay.

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February 6, 2026 by Michael Spataro — SVP, Alliances and Employee Value Solutions, Legion Technologies

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Quick-service restaurants are no strangers to high labor churn. But a significant shift is underway, as more frontline employees are opting to stay where they are.

On the surface, it's a positive trend: a stable workforce typically leads to greater efficiency, improved service quality and higher sales. However, there's a fine line between stability and stagnation. Facing economic uncertainty and a perceived shortage of opportunities, workers may feel stuck in their jobs instead of committed to them, increasing the likelihood of burnout and low engagement.

To maintain a truly stable, productive and satisfied workforce, QSRs need to put employee experience at the core of labor operations. An optimal labor plan is no longer simply the most cost-effective, but one that best aligns employees' preferences and skills with the demands of the business.

How a Low-fire, Low-fire environment complicates QSR staffing

While restaurant turnover remains high compared to other industries, it has declined from pandemic-era peaks. "Low-fire" conditions are playing a role in this shift, and while the reduction in turnover may create the illusion of stability, a low-fire environment could do more harm than good when it comes to the employee experience.

"Low-fire" in a QSR goes beyond employees' fears that they can't get a job elsewhere. Restaurants are reluctant to fire employees due to the high cost of replacing them, which can exceed $2,300 per hourly worker. In other cases, managers cut hours for underperforming or extra staff, encouraging them to leave voluntarily.

However, even if they're not actively firing employees, QSRs still face the pressure of a shallow hiring pool. Economic pressures and burnout are actively reducing the frontline workforce, as people seek greater financial stability and more predictable work schedules. Meanwhile, many workers are avoiding traditional employment in favor of gig roles that offer more flexibility. The lack of available talent leads QSRs to hold onto "known" staff, even if they aren't performing their best, to avoid the risk of an empty spot.

At the same time, QSRs facing labor budget constraints may fall into the "low-hire" category, where they don't have the headcount to bolster their workforce. This requires them to be exceedingly efficient with their current teams — which could lead to overstretched, stressed-out workers without the right strategy and tools in play. Leaders must look beyond turnover to examine whether their workplace is delivering true employee value.

Reimagining employee retention

Instead of thinking of retention as preventing employees from leaving, QSRs should create an employee experience that makes them want to stay. That means giving staff and their managers the tools and benefits to shape a better day-to-day experience.

Hourly employees' schedules are a primary determinant of their job experience, informing their total pay, productivity, stress levels and even opportunities for learning on the job.

Giving employees more control over their schedules unlocks the gig-like flexibility employees demand; a 2025 survey found that restaurant workers value flexible scheduling the most in their current roles, second only to pay — and not by a particularly large margin. This aligns with research into the broader hourly workforce, which found that schedule flexibility is consistently a top factor when considering a new job.

AI-driven scheduling enables QSRs to accommodate employees' needs without compromising the business's needs. Employee preferences are considered among other key factors–like projected demand, employee skills and productivity levels — to create an optimal schedule for every shift. The result is more flexibility on and off the job, and with greater flexibility comes greater satisfaction.

Schedule automation is crucial, but so is employees' ability to easily express their preferences. Self-service tools allow employees to take their schedules into their own hands, easing friction while promoting employee autonomy — a critical factor in employee satisfaction. It also reduces the back-and-forth between employees and managers, giving managers more time to focus on business-critical tasks, such as liaising with customers or leading training and development.

AI provides an extra lift here, with AI agents emerging across the restaurant industry. Within labor management, they can help managers craft better communications, gain schedule insights to make more informed staffing decisions and deliver employee communications on a shift-aware basis, reducing potential compliance violations and preserving employees' all-important work-life balance.

On-demand pay is another factor that has become integral to the hourly worker experience, especially in the hospitality industry. Unlike a traditional bi-weekly paycheck, on-demand pay allows them to access their wages regularly, reducing the mental impacts of financial stress. It's a benefit that's become table stakes for today's talent, as 86% of working Americans desire same-day pay.

Building loyalty that lasts

When employees see that their experience remains at the forefront, even when staffing is tight and demand is unstable, they're more likely to stay for the right reasons. "Low-hire, low-fire" won't last forever, but how QSRs respond will set the tone for brighter days ahead.

About Michael Spataro

Michael is the SVP of Alliances and Employee Value Solutions at Legion Technologies. He has 30+ years of retail WFM, store operations, and technology experience. He spent 16 years leading the Retail and Hospitality Services Practice Group at Kronos. His passion for Retail WFM is rooted in the ten years he was Director of Store Technologies at Gap Inc. Previously, Michael led the Kronos Services Group at Axium. After being a customer, vendor, and consultant, he has a unique vantage point when showing retailers how to optimize labor efficiencies and empower frontline employees.

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