Franchise operators face high hourly worker turnover rates and costly consequences from low employee engagement. A learning management system (LMS) can help streamline employee onboarding and training, the first step in building a positive and rewarding employee experience.

Franchise operators are up against many challenges in today’s economy: labor shortages, economic constraints, and high hourly worker turnover rates. The constant turnover can be an expensive proposition, with Gallup estimating that voluntary turnover costs U.S. companies more than $1 trillion annually.

To reduce turnover rates and curtail costs, franchise operators must prioritize investing in a positive and rewarding employee experience, starting on the first day with onboarding and training. A modern learning management system (LMS) can streamline employee onboarding and training while simultaneously enhancing overall engagement and effectiveness.

Friction on the Job Leads to Higher Turnover

According to the U.S. Chamber of Commerce, January 2023 ended with 10.8 million job openings but only 6.4 million hires were made. Within that gulf of open jobs, hourly work simply doesn’t stand out — many perceive these jobs as “thankless” and not worth pursuing.

Part of this perception stems from how franchises train and manage their hourly workers. Hourly workers won’t tolerate inefficient processes on the job. And inefficiencies through minor friction points can sneak into every aspect of a franchise worker’s shift.

For instance, workers will get worn out if they have to remember multiple passwords for point solutions and switch between several different applications. This activity is called context-switching, and too much of it kills productivity, stresses people out, and ruins concentration. According to a study published by Harvard Business Review, the average user toggles between apps and websites about 1,200 times every day. When each toggle takes up two seconds, a worker loses up to four hours per week just switching between platforms. That time could have been spent helping customers, restocking shelves, or conducting other customer-centric activities.

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