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Hay Group Study Identifies Top Locations for Multi-Unit & Restaurant Management Pay

Top locations for multi-unit management pay growth (2008-2010) include:

• Hamilton, OH (36%)
• Little Rock, AR (33%)
• Orlando, FL (24%)
• Toledo, OH (24%)
• Gary, IN (22%)
• McAllen, TX (21%)
• Cincinnati, OH (20%)
• Bakersfield, CA (19%)
• Indianapolis, IN (18%)
• Louisville, KY (18%)
• Cleveland, OH (17%)
• Modesto, CA (17%)
• Trenton, NJ (16%)

According to Tom McMullen, Vice President and U.S. Reward Practice Leader of Hay Group, "these findings identify locations where organizations are looking to step up the talent in key multi-unit management roles. Many of these cities do not necessarily have a large talent pool to draw from and for that reason, they will pay what is necessary to recruit and retain top talent."

Per Hay Group's survey, compensation data movement from 2008 to 2010 for restaurant managers indicates a similar trend. Hay Group sampled more than 320 metropolitan areas and found the national median base salary for restaurant managers increased 4.5% from 2008 to 2010. The hottest markets in terms of restaurant manager compensation, however, saw increases of greater than 20% from 2008 to 2010.

Top locations for restaurant management pay include:

• Grand Forks, ND (35%)
• Lake Charles, LA (34%)
• Monroe, LA (34%)
• Appleton/Oshkosh, WI (32%)
• Kenosha, WI (29%)
• Columbus, GA (28%)
• Lubbock, TX (26%)
• Wichita Falls, TX (22%)
• Charlottesville, VA (21%)
• La Crosse, WI (21%)

"As with pay for multi-unit managers, we are seeing large increases at the restaurant manager level in mid-size cities," said Dana Rawlins, Survey Director of CRCA. "Pay in larger markets like Los Angeles, New York, and Chicago grew significantly prior to the recession and while there is a larger talent pool from which to draw from in these cities, these markets are likely not able to bear substantial jumps in pay where labor costs have already put pressure on unit profitability."

"In the current economy, every restaurant dollar matters more than ever," adds Hay Group's McMullen. "Having talented people in key management roles is critical throughout the organization as this talent drives business performance. The data suggest that organizations are focusing on markets across the U.S., even traditionally smaller markets, to ensure their pay practices are competitive."

*Analysis is based on median base pay from 2008 to 2010 in the Chain Restaurant Compensation Association Survey.

About Hay Group

Hay Group (www.haygroup.com) is a global consulting firm that works with business leaders to transform strategy into reality. It develops talent, organizes people to be more effective and motivates them to perform at their best through 88 offices in 47 countries. Hay Group is the total rewards information and consulting partner to the Chain Restaurant Compensation Association (CRCA). Hay Group also conducts annual research on Most Admired Companies for FORTUNE and on the Best Companies for Leaders for Chief Executive magazines.

About the Chain Restaurant Compensation Association (CRCA)

The Chain Restaurant Compensation Association (CRCA) is the industry's premier source of compensation and benefit information. In partnership with over 180 concepts, CRCA's leading edge market data and benchmarking helps its members gain significant competitive advantage. For over 30 years CRCA has exclusively served the industry, providing quality educational and networking opportunities to chain leaders. CRCA members use the association's website, crcaweb.org, to access robust data to drive their compensation strategy.

For Hay Group
Aven James, 212-584-5472
aven@blisspr.com