For owners
Labor Cost and Scheduling Basics for Restaurants
Labor and food together make up prime cost. Schedule to demand, not habit.
By ChefMind AI Team · · 6 min read
Labor is typically one of the two largest costs, alongside food. Check local labor rules when scheduling.
Labor cost percentage
Labor % = labor cost / sales x 100. Track it weekly. See prime cost.
Schedule to demand
Look at sales by day and daypart. See forecasting from past sales. Staff more for peaks, less for lulls.
Watch overtime
Unplanned overtime adds up. Plan shifts to avoid it where possible.
Cross-train
Staff who can work several stations give flexibility.
Review weekly
Compare scheduled hours to sales and note what to change. See the weekly numbers routine.
Do not starve service
Cutting hours below what service needs hurts guests and sales.
Where software helps
ChefMind AI includes staff scheduling alongside costs and inventory in one app.
The short version
- Track labor % weekly.
- Schedule from sales history.
- Avoid unplanned overtime.
Frequently asked questions
How do I calculate labor cost percentage?
Divide labor cost for a period by sales for the same period, times 100.
How do I schedule to demand?
Use past sales by day and daypart to staff busy and slow periods differently.
Keep reading
For owners
Prime Cost for Restaurants: What It Is and How to Track It
Prime cost adds your two biggest controllable expenses, cost of goods and labor, into one weekly number. Here is how to calculate it and what to do when it rises.
For owners
The Owner's Weekly Numbers Routine: 30 Minutes That Matter
You do not need a finance degree, just the same few numbers every week.
Kitchen operations
How to Forecast Prep From Past Sales
Past sales are the best clue to tomorrow's prep. Use them without overbuilding the method.
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