Here’s how overtime changes could hurt restaurant employees

The National Restaurant Association and other business groups aren’t waiting for the Department of Labor to release its proposed changes to overtime regulations to make sure the regulators who are rewriting the rules fully understand the impact changes could have on opportunities for career advancement within restaurants and other industries.

The NRA is co-leading the Partnership to Protect Workplace Opportunity to educate policymakers about how changes to overtime regulations will affect businesses at the ground level.

More than a dozen leading business organizations have joined so far, including the Society for Human Resource Management and organizations representing retailers and manufacturers. Together, coalition members employ millions of Americans.

“The types of changes that are being discussed have the potential to radically change standards that have been in place for decades,” said Angelo Amador, NRA vice president of labor and workforce policy. “Any change in overtime regulations will affect all industries, but the restaurant and retail sectors may be hit particularly hard.”

The background: President Obama in March issued a memo asking the DOL to update overtime regulations, which were last revised a decade ago. Since then, the DOL has held a roundtable session with business leaders to hear their concerns about possible changes, but hasn’t released its proposal.

Three criteria are now used to determine whether an employee is exempt from overtime. All three are expected to be targeted for revision:

• Salary threshold: Employees must earn a minimum of $455 a week, or $23,600 a year.
• Manner of pay: Employees must be paid on a salary basis, meaning employers can’t reduce their pay for working a partial day. 
• Managerial/executive: The employee’s “primary duty” must qualify them as an executive, professional or administrative employee.

Get the NRA’s summary of the current rules on overtime.

The challenge for restaurants: Supporters say they want to increase Americans’ take-home pay, but far-reaching changes to the rules could have the opposite effect. That’s what restaurant operators told DOL officials in the recent roundtable session. Specifically, they said:

• Managers could lose pay. If the DOL’s criteria no longer align with the duties restaurant managers typically perform, many will likely be paid on an hourly rather than salaried basis. That could mean lower pay, even with overtime.
• Incentives could disappear. Many restaurant managers and executives start their careers in non-managerial positions and move up to managerial jobs with new, performance-based incentives. A shift back to hourly pay for managers will remove an incentive for other employees to become managers, and make it harder for restaurants to move people up.
• Flexibility will be lost. Under current rules, as long as an employee’s primary duty is management, a manager has the flexibility to occasionally pitch in on duties traditionally performed by non-managerial employees, like preparing food or operating a cash register, depending on the restaurant’s needs at the time. Bureaucratic, inflexible rules on managerial duties could mean managers lose that ability.

An increase in the salary threshold and change in the duties requirements could all but ensure that restaurant managers would no longer qualify as “exempt” employees, Amador said.  “We won’t get a sense of the precise impact until the proposal is released, but we are very concerned that the DOL will take an entire class of restaurant managers and re-define them as hourly employees.”

The DOL has said it intends to propose its overtime-rule changes by November.

The LRA is your provider for food safety and sanitation, alcohol server training

The Louisiana Restaurant Association (LRA) is the largest provider of food safety and sanitation and alcohol server training in the state. Members of the LRA receive significant discounts on these state-mandated training courses. Are you taking advantage of the convenience and savings?

ServSafe Manager, the eight-hour course is offered to members at just $109, compared to the non-member price of $160. Classes are offered at numerous locations across the state and year around. The cost includes study material, the in-person course and testing materials in a proctored setting. To date, the LRA has trained over 30,000 foodservice professionals in ServSafe Manager and the course is regarded as the gold standard for the industry.

ServSafe Alcohol training is available online, 24-7; anywhere the individual has access to a PC and an internet connection. The LRA was the first to offer the state-mandated, two hour course online.  Members receive special pricing of just $24 with the a special discount code (call the LRA for the code), while non-members pay $30. The LRA’s Louisiana’s BEST (Beverage Education Server Training) private classes are still available upon request. Call the LRA for details or to schedule your in house alcohol server course at (504) 454-2277.

Voluntary courses are also offered online for ServSafe Allergens and ServSafe Food Handler. More than 15 million Americans have food allergies and the trend is growing each year. Allergens training can help you serve those guests with food allergies safely and gain their repeat business. Food Handler is a two-hour course covering the basics of food safety and sanitation for your front of the house and back of the house staff.

ServSafe Allergens is just $22 and ServSafe Food Handler is just $15. 

For more information, please call the LRA at (504) 454-2277 or visit www.lra.org. 

National Restaurant Association's Industry Forecast receives top ASAE Honors

The National Restaurant Association (NRA) has earned a 2014 ASAE Power of A Gold Award for its Restaurant Industry Forecast, the association announced. The Forecast equips association members with the information and trends they need to strategically grow their businesses, and serves as an important source for media and the business community following the industry.

ASAE honored NRA for providing its vast membership with unbiased, comprehensive restaurant operator and consumer research and government data analysis to help them make informed business decisions about future promotions, expansion plans, technology investments, hiring strategies and menu development. The Forecast also helps educate lawmakers and opinion leaders about the restaurant industry and is extensively used by journalists to build news coverage on topics of public relevance.

“We are extremely proud of our research team members for their diligence each year in putting together one of our industry’s most valuable resources - the Restaurant Industry Forecast,” said Dawn Sweeney, President and CEO of the National Restaurant Association. “Our industry is a leading contributor to the nation’s economy and employs one in 10 working Americans. The annual Restaurant Industry Forecast helps build understanding of how essential our industry is to the nation’s continued economic and employment growth.”

“Congratulations to NRA for benefitting not just their own industry or profession, but serving society at large,” said Paul Pomerantz, CAE, CEO of the American Society of Anesthesiologists and chair of the Power of A Awards Judging Committee. “This year, our committee had an exceptionally strong group of entries to consider, and it’s heartening to see so many organizations excelling in their work.”

NRA’s Restaurant Industry Forecast is a key resource for restaurant operators – from the corner coffee shop, to the neighborhood diner, to national chains – to strategically enhance business performance. The NRA also shares the report with state restaurant association partners and suppliers/distributors for a better understanding of their customers’ needs. Industry analysts also use the Forecast for reliable insights.

ASAE’s Power of A (association) Awards, the industry’s highest honor, recognize the association community’s valuable contributions on the local, national and global level. The Power of A Awards reward outstanding accomplishments of associations and industry professionals for their efforts to enrich lives, create a competitive workforce, prepare society for the future, drive innovation and make a better world.

For more information, visit Restaurant.org/Forecast.

We Live to Eat Restaurant Week participating chefs to offer exclusive culinary demonstrations at Whole Foods Markets

Gourmands can get an advance taste of the Louisiana Restaurant Association Greater New Orleans Chapter’s (LRA) highly anticipated annual culinary promotion – We Live to Eat (WLTE) Restaurant Week, September 8-14, 2014. Throughout August participating chefs from the area’s most sought-after dining destinations will showcase items from their WLTE menus at exclusive cooking demonstrations to be held at Whole Foods Market – Arabella Station and Metairie.

Below is the August schedule and location information for the not-to-be-missed cooking demonstrations, which are free and open to the public.

Whole Foods Market – Arabella Station, 5600 Magazine St, New Orleans, LA 70115

Sunday, August 3, Noon – Chef Tommy DiGiovanni, Arnaud’s Restaurant

Featuring: Slow Roasted Pork Loin with Black-eyed Peas and Orange Demi-Glace

Monday, August 11, 6 p.m – Chef Michelle McRaney, Mr. B’s Bistro

Featuring: Blackened Tuna with Sweet Corn Puree

Monday, August 18, 6 p.m. – Chef Dave Gotter, GG’s Dine-O-Rama

Featuring: Shrimp BLT Wrap with Mac’N on Magazine - 7 Cheese Macaroni & Cheese

Monday, August 25, 6 p.m.  – Chef Alon Shaya, Domenica

Featuring: Shaved Brussels Sprouts Salad with Golden Raisins, Toasted Almonds & Creole Mustard

Whole Foods Market – Metairie, 3420 Veterans Blvd, Metairie, LA 70002

Thursday, August 7, 6 p.m. – Jeffery Thibodeaux, Zea Rotisserie & Grill

Featuring: Rotisserie Beef Sirloin with Baby Bella Cabernet Sauce

Friday, August 15, 6 p.m.  – Chef Chris Montero, Ralph Brennan’s Café B

Featuring: Grilled Redfish with Aged Balsamic and Wild Mushrooms

Friday, August 22, 6 p.m. – Chef Eric Solar, Mizado Cocina

Featuring: Peruvian Style Salmon Ceviche

Friday, August 29, 6 p.m. – Chef Michael Sichel, Galatoire’s Restaurant

Featuring: Parmesan Broth Risotto with Diced Tomatoes and Basil

Celebrating its fourth year, foodies will rejoice at this year’s WLTE Restaurant Week line-up, featuring New Orleans’ finest restaurants at affordable prices. The weeklong celebration is set to run September 8-14, 2014, when locals and visitors alike will be able to enjoy exclusive discounted two-course lunch ($20 or less) and three-course dinner menus ($39 or less) from more than 50 of the city’s most acclaimed dining destinations including celebrity Chef Emeril Lagasse’s flagship restaurants – Emeril's, Emeril's Delmonico and NOLA Restaurant; acclaimed Chef John Besh’s establishments – Domenica, Lüke, Borgne, La Provence and August; New Orleans culinary institutions – Commander’s Palace, Antoine’s Restaurant and Café Giovanni, and Drago’s Seafood Restaurant, Red Fish Grill, Le Foret, Ruth’s Chris Steak House, SoBou; Galatoire’s 33 Bar & Steak and many more.

WLTE Restaurant Week sponsors to date include Camellia Brand, OpenTable, NOLA Rebirth Pale Ale, Stella Artois, Auto-Chlor System, Patrick Gros CPA, Crystal Clear Imaging, Zambeni and Eat Fit NOLA.

Guests can check back regularly to the WLTE Restaurant Week website for updates on participants, sponsors and deals.  Restaurant menus will be available online beginning August 1, 2014 at http://www.welivetoeatnola.com/. The We Live to Eat smartphone app will also available for Android and iPhone August 1, 2014.

In the swim: Gulf State seafood catch safe for now

Courtesy of the National Restaurant Association

Businesses fighting to preserve commercial access to seafood fished in the Gulf states scored a big win this month when the Gulf of Mexico Fishery Management Council deferred action on giving over an additional portion of that fish for recreational fishing.

 

The council voted July 24 not to enact Amendment 28, which would have allowed nearly 500,000 pounds of red snapper to be taken out of the commercial seafood market and given to the recreational sector in the next year alone.

“This is a very positive outcome,” said Stan Harris, president and CEO of the Louisiana Restaurant Association. “The work we’ve done over the last two and a half years, the partnerships we created with the state restaurant associations in the four other Gulf states, the Environmental Defense Fund (EDF) and the National Restaurant Association (NRA), has led to this victory, which not only ensures we will continue to serve the indigenous fish that comes from the Gulf, but also reminds people this resource belongs to everyone in the United States – not just the recreational side or commercial fishermen.”

The NRA and its Gulf state partners joined Share the Gulf, a coalition of chefs, restaurateurs, restaurant associations, seafood suppliers, fishermen, consumers and conservationists, last April to help protect commercial access to fish from the Gulf States. The initiative aims to ensure the region’s restaurants and grocery businesses maintain an equitable share of the region’s red snapper catch. In addition to the Louisiana Restaurant Association, the Florida Restaurant and Lodging Association, Texas Restaurant Association, Mississippi Restaurant and Hospitality Association and the Alabama Restaurant & Hospitality Alliance joined forces on the effort.

Scott DeFife, the NRA’s executive vice president of policy and government affairs, said the NRA supports Share the Gulf’s work.

“The fresh, local seafood of the Gulf States is essential to the growth of this area’s economy and its varied foodservice businesses,” DeFife said. “We are committed to helping ensure that this seafood is not only fished sustainably so its population continues to grow, but that the voices of small businesses here, their employees and customers, also are heard. We are very pleased with the council’s decision on this issue.”

The NRA also engaged the governors of the five Gulf states to support local restaurants and restaurateurs in their quest to protect their access to the seafood, asking the governors to “stand with us and support the commercial fishing sector that supplies restaurants in your state[s] and throughout the country.”

“Everyone, from independent chefs to fishermen to state associations, local food advocates and conservationists has been really helpful," said Tim Fitzgerald, the EDF’s director of seafood market strategy. “The restaurant industry was essential in this engagement. They were some of the earliest and vocal supporters on this.”

To control food costs, start at the cook line

The National Restaurant Association's Manage My Restaurant has articles in categories such as Marketing and Sales, Workforce Engagement, Food and Nutrition and Operations. Visit Manage My Restaurant here for this and other helpful tips.

The cook line is, perhaps, the most volatile area for controlling food cost. Whereas theft can occur anywhere, and vendor prices and proper preparation practices certainly can have an equally negative effect on food cost, it usually is on the cook line that many restaurants lose their profits. Common issues include incorrect portioning, waste and overcooked or cold food resulting from the kitchen getting slammed with orders, items being prepared without a food ticket, or unrecorded sales, and communication failures between kitchen and service staff that can result in incorrect orders.

Review these proven tips to control your food costs:

No ticket, no food. This is perhaps the singularly most effective policy for controlling food and beverage costs. By employing a policy that all orders must be rung up on the point-of-sale system or cash register before they can be made, you eliminate the possibility of unrecorded sales. If your POS or cash register doesn't have the ability to print orders to the kitchen and bar ‑ often called requisition printing ‑ then you may want to start shopping for one that does. It is common knowledge among POS vendors that restaurants using requisition printers typically enjoy as much as 5% or more in cost savings than those that don't.

Keep a waste log. Every restaurant experiences some degree of waste, but it is a controllable expense. Create systems to both minimize and record wasted product, such as meals returned by the customer, kitchen mistakes and spoilage. Keeping an accurate accounting of the value of wasted product can help to account for variances between ideal and actual food cost.

Portion control tools. Poor portion control is one of the leading causes of food cost variances. Consider that your ideal food cost is based on the premise of exact portioning for each menu item, including the portioning of each ingredient within a menu item. If your prep and line cooks have gotten in the habit of "eyeballing" measurements rather than sticking to the exact recipes, chances are your food cost variance could be as much as 5% or more. Proven portion control strategies include the use of portioning scoops, scales and measuring spoons and cups. Pre-portioning can be effective in controlling costs by using portion baggies and a scale to pre-weigh product before stocking the cook line.

Recipe quick-reference charts. The fast-paced environment at most restaurant kitchens makes it impractical to use the recipe manual for every menu item. Characteristically, cooks are required to memorize the proper portions and steps for preparing each item on their station. The recipe "quick reference" is used as the name implies ‑ providing the cook with an at-a-glance list of ingredients, portion size and proper portioning utensil for each preparation step. Optionally, recipe references can be accompanied by photos of the finished product. Proper portioning and adherence to recipes, along with a visual reference of the properly prepared menu item help to ensure consistency in both taste and presentation.

This article is presented courtesy of RestaurantOwner.com, a source of operational and business resources for independent restaurant operators. For more information, visit www.RestaurantOwner.com.

LRA Members: Help provide valuable feedback to the La. Dept. of Health & Hospitals

As part of the Louisiana Restaurant Association's advocacy activities, we work in collaboration with state entities that regulate and have oversight for our industry. Last year, we passed an updated permit fee initiative for all foodservice establishments in Louisiana, working in close association with the Department of Health and Hospitals (DHH). We planned this modest fee change for over 18 months and had gained the assurance from the Governor's office that if the bill passed, he would sign it into law. (This is one of the few fee bills Governor Jindal has signed during his term.)

The funds generated were dedicated to maintaining our state's outstanding record of food safety in our restaurants, catering operations, convenience stores, hotels and other permit holders. We asked the DHH to add a new position that would provide outreach to the industry while carrying this feedback to the field sanitarian staff to ensure more consistency in site visits and reporting. In addition, they committed to add several new sanitarian supervisors around the state that could provide additional follow-up when a permit holder had an issue with their assigned sanitarian. Another enhancement to the DHH system will be their installation of an upgraded field reporting program that will be consistent across the state. 

We are circulating this electronic survey request from the DHH for LRA members to complete. Mr. Scott Green of DHH, who serves as their quality control liaison, will be reviewing the responses and then meeting with the Chief Sanitarian and Assistant Secretary to assess how the industry thinks they are meeting their responsibilities.

Please click HERE to access the survey. It should only take a few minutes to complete. Your responses will be anonymous and used to assist the DHH in measuring how they are doing and what they can improve on.

The deadline to complete the survey is Friday, August 8, 2014. The survey can be found here.