Rosa’s Pizzeria

Restaurateur Paul Moir may well have summed up how small business owners are feeling: “The labor shortage is the cherry on top of what has been a very difficult year.”

The co-owner of Brix and Proper Meats and Provisions and many other small business owners in the state are reporting a similar challenging timeline throughout the past 15 months. Businesses were closed in March 2020. Some were able to adjust and open through the summer and fall with curbside service and strict social distancing guidelines. Winter’s cold brought people indoors in a limited capacity.

“In December, everything went inside; business slowed dramatically. We made the decision to close Criollo for the winter,” he said about the downtown Flagstaff restaurant.

And then, the holidays hit Moir with another debilitating punch. “Brix had a COVID outbreak. We closed the restaurant on Christmas Eve because we had no staff. It freaked me out when everybody got sick.”

Pre-COVID, Paul and Laura Moir employed 45 people. During COVID-19, they were down to four who kept the Proper Meats artisanal butcher shop and deli open for grocery take-out.

Battle weary from the fight to have three restaurants staffed, supplied and running at various levels throughout the pandemic, the Moirs did not reopen Brix again until April 15, 2021. At the same time, they made the difficult decision to close Criollo Latin Kitchen permanently, after a decade of operation.

Today, casual fine dining at Brix on San Francisco Street is bustling again five days a week – down from six before the pandemic, because finding workers is a daunting problem. “We’ve been incredibly busy since re-opening Brix. We’re trying to hire, train and serve on the fly. I’ve waited stations and worked behind the bar. We’re doing what we have to do to get it done and slowly but surely bringing people on one or two at a time.”

Moir and other business owners say people are not showing up for job interviews and many do not want to work full-time. “I don’t know if that’s the result of laying low during COVID or attitudes and priorities have changed as people are trying to find that balance in their life. We feel badly when employees say they may only want to work three or four days. We need everyone working full-time to cover all the shifts.”

Meanwhile, Simply Delicious caterer Nancy McCulla is turning business away. With weddings back on the books, she says Sunday events are difficult for her to take on. “You have to give staff a day off, and usually we work really late on Saturdays. I work seven days a week and every single restaurant owner that I know is doing the work of three people.”

McCulla has turned to online hiring services for help, such as Indeed and Monster. “I scheduled two interviews last Monday. Neither one of them showed up. It’s very strange.”

“The workforce shortage has been a challenge for everyone,” said Prescott Chamber of Commerce President and CEO Sheri Heiney. “I hear the same concerns from my colleagues around the state.”

Margo Christensen, vice president of marketing and public relations for Ponderosa Hotel Management Services, which owns and manages five hotels in Arizona, including SpringHill Suites by Marriott Prescott and Residence Inn by Marriott Prescott, agrees. “We are having a very hard time finding people.”

Alondra Flores, general manager of Ponderosa’s Prescott properties, has been with the company for nine years. She says she’s never seen anything like today’s workforce situation. “This is really, really strange to me. The hotels used to receive 20 to 30 applications a week without advertising for applicants. I do know that I’ve never had that experience before where I don’t even get replies to my ads and if I do and we set up a meeting, they don’t show up for the interview.”

She says the hotels were able to keep their core staff and most of those in management positions through the pandemic. “We never actually closed or had to force a furlough, and for that we are blessed. But we’re struggling with finding housekeepers, or even front desk employees. It’s very tough and frustrating.”

Flores is regularly approving overtime requests and salaried workers are doing more. “One of the things we did internally was look at the people we did have who are working way more hours than they used to and provide a slight bump in pay to thank them.”

But, still, she knows employees are stretched. “I’m here today making beds and doing whatever I can to get us through the day. We wish people would want to work because we definitely have work for them.”

Heiney says the business community is looking at creative ways to attract and obtain a strong workforce again. “We’re partnering with HR directors on solutions as well.”

She points to a back-to-work incentive being implemented at Rosa’s Pizzeria on Gurley Street in Prescott. “Skyler Reeves has created a college scholarship fund for his employees,” she said. “Having a restaurant owner step outside the box like that is a really neat idea.”

“About six weeks ago, I got frustrated trying to out-compete other employers to fill jobs,” said Reeves. “I decided to look at the situation as a challenge, not an obstacle.”

The scholarship at his restaurant is available to benefit eligible employees who maintain an average of 32 hours of week while taking a full schedule of classes at Yavapai College. “It shows we are willing to reinvest in our employees and that speaks to the culture of our company. It gives employees something they can take with them forever and leaves them with a love and affinity for the company for a long time, hopefully referring their friends to come work for us.”

And, the investment is paying off. “I have to say I didn’t know what to expect, but it has raised the profile of Rosa’s in the community and spurred a ton of interest.”

The pizzeria owner has incorporated other ideas as well, such as investing in better equipment to make jobs easier. “I believe a better place to work will attract better employee,” he said.

In May, Governor Doug Ducey announced his plan to support Arizonans getting back to work and help employers fill the thousands of jobs available across the state. Beginning July 10, he says Arizona will no longer be taking the Federal Pandemic Unemployment Compensation, and instead will offer bonuses to returning workers, along with child care support, educational opportunities and rental assistance.

“In Arizona, we’re going to use federal money to encourage people to work, instead of paying people not to work,” he said.

Through the Governor’s Back To Work program, Arizona will set aside $300 million of federal resources to offer a one-time bonus of $2,000 to eligible individuals who return to the workforce and get a full-time job, while those who return part-time will receive $1,000. The bonus will be awarded when the individual has left the unemployment insurance program and completed at least 10 weeks of work with an employer, and will be offered on a first-come, first-served basis.

“We’re hopeful that when the governor’s order comes to pass, more people will sign up for work and be gainfully employed,” said Heiney. QCBN

By Bonnie Stevens, QCBN