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While the federal minimum wage rate for hourly employees hasn’t been raised in more than a decade, many states and even localities have begun to take matters into their own hands by mandating significant hikes in minimum wage requirements, affecting hotels across the nation.
According to Inc. Magazine, 29 states and Washington, D.C. now require a higher minimum wage than the federal rate, with some going as high as $15 per hour. And while these higher wages have proven to show great benefits for both employees and business owners, such as reduced turnover rates and lower recruiting and training costs, minimum wage increases could also potentially cause layoffs or slower hiring – especially in the labor-intensive hotel housekeeping sector.
As more states raise their minimum wages, how can hotel owners keep their housekeeping labor in check so that they can still empower employees while saving on labor costs?
1. Switch to an automated solution to optimize housekeeping resources
By using an intelligent, cloud-based solution to automate housekeeping workflows and provide real-time visibility into cleaning progress, hotels can optimize their housekeeping resources and save money. An automated solution like Optii Keeper can also predict room-use-patterns to optimize housekeeping schedules in real-time, reducing costs and saving everyone time in the process.
2. Cut labor costs by increasing productivity
Many hotels can offset rising minimum wage costs simply by increasing employee productivity. Implementing an intelligent, cloud-based solution can help do that by replacing manual paper systems and inefficient phone/radio communications. A mobile solution like can streamline staff communication and reduce time spent on manual scheduling processes, increasing housekeeping productivity by up to 25% and cutting labor costs up to 18%.
3. Reduce turnover by creating fair and balanced workloads
A higher minimum wage has already been proven to reduce employee turnover, but what if you could combine that with an intelligent scheduling system to create an even lower turnover rate in your hotel? An automated solution like Optii Keeper helps hotel managers create predictive-use schedules, providing a fair and balanced workload for all room attendants. Happy room attendants = loyal room attendants!
The Bottom Line
As more hourly workers around the nation continue to lobby for a higher minimum wage, hotels both big and small should be prepared to offset those extra costs in creative ways. Optii Keeper is an intelligent housekeeping management solution that serves as a powerful tool to combat minimum wage increases through increased productivity, reduced labor costs and lower turnover rates.
If you’re interested in learning more about how an innovative solution like Optii Keeper can benefit your hotel, request a demo today!