FOOD INFLATION IS THE BIGGEST RTO BARRIER: HERE’S HOW TO EASE THAT PAIN POINT

June 26, 2024 | 4 min read

As companies navigate the challenges of Return to Office (RTO), they face an unprecedented barrier: rising food costs. The global surge in food prices is significantly influencing employees' decisions about returning to physical workspaces. Surveys indicate that anywhere from 20 to 30% of employees are less willing to commute to work primarily due to the increased cost of lunches or snacks. Here are some ways businesses can address this issue, making return to office more appealing and financially manageable for their teams.

1. Understand the Impact of Food Inflation

Understanding the breadth and depth of food inflation is crucial. In the past year alone, New York City has seen an increase of 5.8% in the cost of restaurant dining — notably more than NYC’s overall inflation rate of 2.9%. This price hike directly affects employees' disposable income, which may force some to reconsider the feasibility of working onsite. Employers must acknowledge these economic pressures and develop targeted strategies to mitigate them.

2. Subsidize Employee Meals

Subsidizing employee meals can be a game-changer. Companies like Google and Facebook have long embraced this approach, offering extensive, diverse culinary selections at little to no cost to their employees. These programs are not just perks; they are strategic tools that boost return to office. For instance, a company could partner with local restaurants or meal delivery services to provide meal options.

Services such as FELFEL simplify the process by curating several restaurants’ and chefs’ offerings on one platform, all available through a modern smart-fridge. This allows companies to provide diverse, affordable, and nutritious meal options on-site, significantly reducing the daily expense burden on employees.

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Subsidizing employee meals vastly improves office attendance and employee retention — perfect for achieving return to office goals.

3. Implement Flexible Meal Benefits

Flexibility in meal benefits allows employees to tailor food perks to their specific needs. Providing a monthly or weekly stipend can empower employees to choose how they spend their meal benefits—whether ordering in, dining out, or purchasing groceries for meals. Companies like FELFEL, which provide custom subsidies and a diverse array of options for all dietary needs, make flexibility and menu customizability a core part of their operating model. This approach respects individual dietary preferences and lifestyles, making the return to the office more appealing.

4. Enhance the Office Pantry

An enhanced office pantry stocked with nutritious and appealing snacks can significantly diminish the impact of food inflation. By providing free access to high-quality snacks—like nuts, fruits, yogurt, and health bars—employers can offset the cost of snacks and light meals that employees would otherwise purchase on their own. This perk not only eases financial pressure but also encourages healthier eating habits. Altogether, it makes the return to office easier on employees.

The FELFEL smart fridge combines technology with fresh, healthy snack options for every office.

5. Organize Weekly Team Lunches

Introducing weekly team lunches is a dual-benefit strategy that boosts both morale and financial wellbeing. By ensuring that one day a week features a free, high-quality meal, companies can make the office a more attractive place to be. These lunches also foster community and can serve as a cornerstone for team-building and collaboration, adding more value to return to office policies.

6. Provide Cooking Facilities

Offering cooking facilities at work is an innovative long-term solution. Some companies have adopted this approach, enhancing their overall work experience and reducing daily expenses — all of which may encourage higher attendance and return to office rates. However, managing a kitchen in the workplace may also present logistical challenges for the office manager or respective teams, as kitchens require adequate space, supplies, clean up, and maintenance. Companies that don’t have the bandwidth to manage a kitchen can explore all-in-one solutions like FELFEL, which provides a full service.

Supporting your team through rising food costs doubles an opportunity to bring people back to the office and increase team engagement.

7. Regularly Review and Adjust Benefits

The economic landscape is constantly changing, and what works today may not be as effective tomorrow. Regularly reviewing and adjusting food-related benefits ensures that your strategies remain relevant and supportive, keeping pace with both inflation trends and employee needs. Look for customizable services with reactive support teams that will work with you to develop new benefits, such as FELFEL, which provides 24/7 support, reports on employee usage, and custom subsidies that can be changed over time. Remaining flexible and proactive makes return to office a collaborative effort, not just a mandate for employees to follow.

The challenge of food inflation shouldn't be underestimated as companies encourage employees to return to the office. By implementing thoughtful food-related initiatives, businesses can not only ease this burden but also enhance their appeal as empathetic and employee-centric workplaces. Services like FELFEL play a crucial role in this aspect by providing convenient, diverse, and cost-effective meal solutions that cater to the needs of a modern workforce.