In their bid to hire the right talent, Taco Bell is planning to test paying a USD 100,000 salary to general managers at select locations. The company made the announcement while unveiling their plans for 2020. FerrilOnyett, Taco Bell’s senior director of global training and international human resources, stated that the company is still in the planning phase and the test is expected to be initiated by the end of this year. A pay-raise is deemed necessary by retail analysts in the current labour market as talent pool has continued to shrink.
The current pay for general managers in the restaurant sector ranges between USD 50,000 to USD 80,000 based on the tenure and location. Onyett reiterated the importance of general managers in driving business and cited that as the primary reason behind the move. The company also announced a couple of more plans for 2020. The company has promised to give employees at least a 24 hour paid sick leave annually. Yum! Brands, the parent company of Taco Bells, is also planning to start making consumer packing recyclable. Their plans are expected to meet success by 2025. Taco Bell’s $100K salary test will pave way for a rise in salaries in the entire sector expectedly with all the big chains including Burger King, McDonald’s, and KFC expected to join the new trend.
Talking about wages in the country, a bill that would increase the federal hourly rate from USD 7.25 to USD 15 over a period of five years was passed in Congress last year. Wage growth for managers however slowed down in December, with the overall wage growth rate falling to a disappointing 2.9 per cent, way below the 3.4 per cent it had reached in February last year.