The digital world is hiring — or, more accurately, traditional businesses are using the Internet to counteract a longtime problem: high turnover rates. “Cut down on employee turnover and you have a new revenue source,” says Blake Helppie, CEO of Job App Network in Bloomfield Hills.
The company, which got its start recruiting for the U.S. Navy, recently developed an online program for prospective employees that can be accessed via a Web browser or cell phone. In turn, managers looking to fill positions can screen applicants with an Internet connection, which alleviates the need to handle every aspect of hiring on-site.
That’s good news for businesses that are known to have high turnover rates — the average length of time a fast-food employee worker stays on the job is six months, for example. In some cases, a restaurant staff can turn over twice in one year.
“It turns out the sweet spot for reducing restaurant turnover is distance traveled,” Helppie says. “The average hourly employee lives within five miles of their job, so just finding those people can reduce your turnover overnight. With rising gas prices, that’s become even more important.”
Job App Network recently worked with Travel Centers of America, a Fortune 500 company, to reduce the company’s turnover rate at more than 200 locations by 40 percent. Meanwhile, Team Schostak Family Restaurants in Livonia, which operates several dozen eateries — Burger King, Olga’s Kitchen, Del Taco — saw its turnover drop 50 percent in five months when it started using the online service.
“The system works best for hourly pay, so food service and retail outlets are our biggest customers,” Helppie says. Available by subscription, the company sources, screens, and scores potential employees. It also conducts background checks.
The company, founded in 1999, expects to post $5 million in revenue this year. “We have clients in all 50 states, and Michigan is one of our most active markets,” Helppie says. “Our main goal is to help people find work.” db