Why Hospitality Workers in Puerto Rico Leave Their Jobs and How Cobraste Can Help

The hospitality industry in Puerto Rico plays a vital role in the island’s economy, with thousands employed in restaurants, hotels, and tourism-related businesses. However, like the broader global trend, the industry faces a significant challenge: high employee turnover.

According to recent studies, hospitality turnover rates hover at alarming levels. A key driver behind this issue is financial instability among workers, many of whom live paycheck to paycheck. Cobraste’s Earned Wage Access (EWA) solution offers a transformative way to address this challenge, empowering employees with financial flexibility while benefiting businesses.

The average hourly wage for restaurant workers in Puerto Rico is $8.70 for servers, with tips bringing the total closer to $12 per hour for some roles (CareerExplorer). However, irregular work hours, seasonal demand, and unpredictable tipping patterns can exacerbate financial insecurity.

This financial instability is one of the main reasons hospitality workers leave their jobs. A recent industry survey revealed that 63% of employees would stay longer at a company if they had access to their earned wages before payday.

Cobraste’s Earned Wage Access solution directly tackles the root cause of high turnover in the hospitality sector: financial stress. Here’s how Cobraste makes a difference:

Immediate Access to Wages Hospitality workers in Puerto Rico often face sudden expenses—be it a car repair,unexpected medical bill, or even just picking up grocery between paychecks. Cobraste enables employees to access a portion of their earned wages instantly, providing a financial safety net when they need it most.

Reduced Turnover and Recruitment Costs Replacing an employee in the hospitality industry can cost thousands in recruitment and training. By offering EWA, businesses can improve retention rates, saving on these avoidable costs.

Improved Employee Productivity Financially secure workers are more focused and motivated. Employers who use Cobraste report increased productivity and higher customer satisfaction scores.

No Additional Employer Costs Cobraste’s EWA solution is designed to integrate seamlessly with existing payroll systems without requiring employers to pre-fund wages or bear additional expenses.

In Puerto Rico’s highly competitive hospitality market, offering benefits like EWA can differentiate your business as an employer of choice. The studies have shown that 76% of employees would choose a job with on-demand pay over one without it.

For Puerto Rican businesses, this means fewer job vacancies, a more engaged workforce, and a stronger bottom line.

Cobraste is the leading Earned Wage Access provider focused on Latin America and the Caribbean. Our platform is tailored to meet the unique regulatory and cultural needs of the Puerto Rican market. With Cobraste, you’re not just offering a financial benefit—you’re creating a partnership that drives employee loyalty and business success.

Transform Your Workforce Today Ready to reduce turnover, enhance productivity, and strengthen your workforce? Contact Cobraste today to learn how our EWA solution can revolutionize your hospitality business in Puerto Rico.

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