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Labor & Hiring Solutions Toolkit

Labor Cost Calculator

As your partner, Sysco has provided a Labor Cost Calculator within Sysco Studio to make it easier for you to understand the full scope of your costs.

  • October 27, 2021

As one of your biggest expenses, labor cost is an essential metric to track and should be considered when reviewing your overall profit picture.

Utilizing The Labor Cost Calculator Is Powerful And Informative

For each staff member, enter the appropriate labor information, including hourly wage or annual salary, and hours worked. Based on your data, the Labor Cost Calculator will automatically factor your Total Labor Cost.

Labor Cost Percentage Is Key To Understanding Your Operation

By entering your Weekly Revenue, your Labor Cost Percentage is automatically calculated. Although percentage of labor costs varies from restaurant to restaurant, most operators look to have a labor cost percentage between 25%-35% of sales. Here are a few guidelines depending on your service style:

  • 25% Quick Services
  • 25-30% Casual Dining (based on the menu and methods of service)
  • 30-35% Fine Dining (based on the menu and methods of service)

Leveraging Your Menu To Offset Labor Costs Is Essential To Maximizing Your Profit

With this essential data now in hand, it’s time to turn your attention to your menu item pricing. The Wage Increase Scenario in the Labor Cost Calculator can assist you to determine the value of menu price adjustments needed to overcome potential profit loss.
Access this tool today at SyscoStudio.com, by using your Sysco Portal username and password.