I pay minimum (currently $8.50) for drivers plus $1 per delivery drop. If they are useful elsewhere, they can clock in at a different rate when they are not driving.
How much you pay for staff is just relevant to your area and your labor supply.
I am attempting starting delivery. I am going to offer 6.50/hr plus tips. I am providing the car and gas. When it is slow I expect them to work in the kitchen. 7/hr is min wage. Our kitchen staff starts at 8/hr. Does this seem to be fair?
My cooks make $10-$12. Drivers make $6 which is below minimum so we declare tips. They fold boxes, stock the drink cooler and do the dishes.
Mostly they drive my cars so I buy the gas and I keep the delivery charge. When we need more than three drivers on the road (Fri-Sat, busy Sundays and throughout maybe 4-5 other weeks per year) a few drivers will drive their own cars. When they do we pay 5.5% of the ticket total as mileage.
$2.50 per delivery flat rate, no hourly on a contract basis. I also charge them a 1.50$ equipment rental fee. The tips are huge for them and we automatically put a 15% grat on all orders over $120.00. We also charge a $6.50 delivery charge.
Hate to bring this up for fear of ridicule. But we will are opening with our own vehicles, three to start. Drivers will earn straight wages like anyone else. Tips will be shared by the entire crew. Yeah, yeah. I know you don’t trust your employees to share.
Careful Charles. Most variations have been tried. There are reasons that most of us have ended up with systems that look pretty similar. Drivers tend to work shorter shifts than cooks and make lower wages by the hour and higher including tips. Insisting that they tip out the kitchen works, insisting that they pool all tips does not. In the end, the system you are proposing will cost you a lot more money in labor and will not work better.
bodegahwy, we had this thread once or twice already with dewar about a new compensation model. He has some ideas he wants to try and make work, and several folks tried to dissuade him; a couple encouraged trying.
HE may be able to create a new paradigm that is good for everyone. He may. Either way, he’s gonna take the shot and see what happens.
Nick, now that you mention it I recall the discussion and participating in it. By all means, try away. I would give some thought to how to unwind it if it does not work as well as hoped. It will be pretty tough to hand out pay cuts.
Ah! A recovery plan. Always good to have when trying a new idea . . . or recipe . . . or changing the color of your sign. Commit to the plan of action and have a plan in pocket for any potential unforeseen disaster.
