Olive Garden Extends Hospitaliano to Hourly Staff

To aid in recruiting and retaining hourlies, the casual-dining Italian chain offers several benefits beginning on the date of hire.

By Mary Boltz Chapman, Editor-in-Chief -- Chain Leader, 4/15/2005

Olive Garden’s tagline, “When you’re here, you’re family,” is not just directed toward customers. “We always try to keep an environment and brand that is attractive to customers and to employees,” says Andy Snitz, senior director of employment for Orlando, Fla.-based parent company Darden Restaurants.

To aid in recruiting and retaining hourlies, the casual-dining Italian chain offers several benefits beginning on the date of hire. Unit-level staff can take advantage of health, dental, short-term disability, life, and accidental death and dismemberment insurance; a 25 percent dining discount at all of Darden’s concepts; eye-care discounts; low-interest student loans; a 401(k) plan; and a week of paid vacation. As tenure increases, benefits improve; for example, after a year, the company will match part of 401(k) contributions.

It offers all 70,000 workers an employee-assistance program, a legal plan, and flexible-spending accounts for health and day care.

“On the recruitment side, if employees are at a career fair, going from table to table or from company to company, it’s hands down,” Snitz says. “Olive Garden is unequaled.”

As for retention, “that’s where we get into culture,” he adds. “Training and orientation are intensive. Hourly employees are involved in the recruiting process. There is a lot of ownership.” Snitz won’t disclose turnover rates but says Olive Garden’s figure is one of the industry’s best.

To keep their finger on the pulse of both customers and employees, Olive Garden executives visit units and survey staff regularly. As a result of these communication methods, Olive Garden instituted a prescription card and flexible-spending account.

The company seeks feedback to improve the working experience, including benefits, to keep its workers. “The longer an employee is around, the better for the organization,” Snitz concludes.