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ShiftPixy, Inc. was one of the sponsors for the Benzinga Global Small Cap Conference that took place on December 8-9, 2020.
From businesses closing and implementing off-premises strategies to unemployment ramping, the current crisis has upended the traditional working world, causing many to pursue gig opportunities to restructure their income. According to data from the Bureau of Labor Statistics, as of November, over 10 million Americans were unemployed, almost double the same period last year.
In response to these substantial lay-offs, digital platforms have become critical, connecting freelancers and companies to contract short-term and frequently asset-sharing opportunities.
The implementation of these new technologies spearheaded by companies such as Uber Technologies, Inc. (NYSE: UBER), Lyft, Inc. (NASDAQ: LYFT), GrubHub, Inc. (NYSE: GRUB), DoorDash Inc (NYSE: DASH), and ShiftPixy, Inc. (NASDAQ: PIXY), are known as "The Gig-Economy." This economic model will be vital to reconstruct the country's economy, and it is expected to reach $455.2 billion by 2023.
The New Challenges Faced By Business Owners
It was a particularly transformative year for the restaurant industry, as many restaurateurs relied on delivery and take out to keep themselves afloat. With restaurant foot traffic projected to remain low, others adopted a new approach with ghost kitchens and the support of third-party delivery platforms.
Yet, this brings new challenges for business owners that now rely on a smaller pool of workers for critical restaurants operations. Not to mention that dissatisfaction with third-party platforms can lead to misplaced negative reviews from customers.
At the same time, scaling up operations—whether for delivery or otherwise—can be very expensive. According to some reports, onboarding a new employee can cost up to $1,816 per hourly worker. And these services take a large cut of the restaurants' profits. Brands that use third-party platforms pay fees between 15-30% on orders, an inordinate cost with delivery comprising such a large chunk of restaurant sales.
Now more than ever creating beneficial situations for both the restaurant and the workers is crucial to survive. This is where platforms like ShiftPixy come in.
ShiftPixy is a platform that helps businesses manage their workforce and remain compliant with part-time employee mandates while allowing them to self-deliver better customer experience. The idea is to make it more cost-efficient for restaurants to employ gig economy workers.
ShiftPixy And The Restaurant Industry
ShiftPixy’s gig platform truly represents a new way to work. Without physical stores, it is vital that brands focus on customers having pleasurable experiences. ShiftPixy combines the modern perks of the gig economy with traditional employment benefits. The app serves as an all-in-one workforce management platform for business owners that rely on contingent employees. But it’s also a dynamic employment resource for shifters (aka, part-time workers) who want the freedom to make their own schedule.
Shifters can receive valuable benefits such as health insurance and workers’ compensation. Meanwhile, operators are able to rest easy knowing that they remain compliant with labor laws and free of time-consuming admin tasks.
“ShiftPixy is in the business of making operators agile. Our biggest lesson in the COVID crisis working with restaurant operators is that to survive your business needs to be agile and able to move quickly to keep your connection with your customers,” said Scott Absher, Co-Founder and Chief Executive Officer. “To rethink your business used to require courage, now rethinking customer engagement, rethinking real estate, and rethinking human capital will be required for survival.”
For more information, please visit the company’s website.
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