Posted

To Our Valued Subscribers:

I hope you and your families had a Safe and Healthy 4th, of July. I usually use this cover letter as an introduction to our latest American Recruiters Global Foodservice News to share thoughts on recent articles I have read or to remind you of the great full time or contract talent pool me and my American Recruiter colleagues have available to meet your human capital needs. Or, get you to look at our new Outplacement Gateway Services program specifically developed during the pandemic to assist companies in these times. Today’s message is different. I have turned the page over to John Muldowney, CFP Advanced Level 1, and founder of Clarity Marketing who specialize in providing strategic marketing and management assistance to 90% of the top 20 corporations in the food equipment industry. John’s thoughts on Product Rationalization is not only insightful but Timely especially now. Below are his Top 10 Reasons for culling your product line. E&S manufacturers refer to product rationalization while talking to Wall Street. While it is one of the most cost-effective moves to make on an annual basis, it presents real challenges amongst various functions (Sales, Accounting, etc.). World-class companies engage this rationalization process annually.

  1. It’s inefficient be “all things to all customers” by carrying low performing, orphaned products in your line-up; it imposes extra “operating costs”
  2. Sales professionals must focus on profitable products, and not cling to low-demand selections just to keep a larger sales catalog
  3. Carrying unsold / unpopular inventory for a year costs approximately 20% of product costs, reducing profit for said products, diluting a company’s bottom line
  4. For conglomerate portfolios, redundant products can hinder customer/distributor selling strategies, where inter-brand “cannibalization” impedes sales efforts leading to “internal dueling discounts,” depressing prices & profitability
  5. Too many SKU’s confuse your customers, especially those new to your brand. What is convenient for your accounting folks may not be helpful to your customers and/or channel partners
  6. Regulatory issues and agency approval testing, listing and documentation requirements become more cumbersome by maintaining orphaned products
  7. Keep grandfathered products wastes engineering resources to maintain annual cost rolls, market pricing offset by inaccurate costing leads to unprofitability.
  8. Rationalization provides for efficient marketing and new product development
  9. Eliminate “orphaned” products kept solely for “relationship” reasons are an unnecessary and costly drag on profits
  10. Obsolete inventory write-offs are favorable against tax burdens borne in profitable years; it may result in a reduction of taxable income

Thanks John, I hope all of you found these as useful as I do. Until our next edition, good luck and stay well.

Craig Wilson

President American Recruiters

____________________________________________________________________________________________________________________________________________

What Does it Take to Reopen a Restaurant During Coronavirus? Here’s an Example

COVID-19 case spikes have complicated the reopening process further for restaurants. It’s surfaced the concern—fair or not—whether steps taken in early phases were stringent enough to keep guests safe. And even with step-backs on capacity limits, restaurants are still reopening or preparing to do so en masse. It remains a dynamic and imposing task. While there are official restrictions and guidelines from local health officials, as well as protocols from the CDC and National Restaurant Association, most details fall on restaurants owners’ shoulders. The good news is the industry sports a deep history in safety thanks to preventing foodborne illnesses. Yet mitigating the spread of COVID-19 is a different animal because it leads with person-to-person transmission. The Association noted in a recent article that operators need to consider ways to add layers of protection—reopening strategies focused on reconfiguration that maximizes social distancing and sanitation. And, in that challenge, this is an aim completely unique to pandemic times. For most restaurants, it begins with tracking and managing the flow of people—kitchen staff, waitstaff, guests, suppliers, delivery drivers, etc. But a good place to tack on to current upgrades would be to reconfigure the flow of food through a restaurant, the Association said.

Here are some tips from the Association:

Deliveries

Designate one entrance for all deliveries (even small packages from UPS or FedEx).

Clear a receiving area where deliveries can be off-loaded, sorted, unboxed and inspected. The area should be easy to keep clean and sanitized.

If deliveries come to your restaurant through a public space, such as a common hallway or elevator, make sure those spaces are cleaned and sanitized before moving food deliveries through them.

Be sure food and supplies are taken directly to their designated storage area, whether frozen, refrigerated or dry. Clear space for new supplies in advance.

Prep and cooking

If possible, create a staff entrance separate from your guest entrance.

Set aside a space to check employees for COVID-19 symptoms upon arrival. Create a standing questionnaire to ensure your shift leader asks all the right questions about how employees are feeling, recent exposure, recent travel, etc. Take employees’ temperatures with a surface thermometer.

Where possible, stagger kitchen workstations or set up additional ones to provide six-ft. separation between employees. Otherwise, consider other options, such as face coverings (masks, shields) or barriers (Plexiglas, curtains—non-cooking areas only), and clean and sanitize surfaces frequently.

Stagger employee breaks so they don’t congregate in groups in break areas.

Exchange areas

Set up food exchange areas between the kitchen and the front-of-the-house with a one-way path from the kitchen to the exchange/pick up area for food, and a one-way path back for dirty dishes.

On the FOH side of the exchange area, you may want to set up one area where waitstaff pick up orders for seated customers, and a totally separate area (ideally near the door?) for customers and delivery drivers to pick-up to-go orders.

Clean and sanitize exchange areas after each order has been picked up.

Think about installing a temporary or even permanent handwashing station near the exchange areas so employees and customers can wash their hands before getting orders or before they eat.

A checklist to check off

The Association also shared a reopening example from eight-unit Blazing Onion, a hybrid chain located in Washington. Owner David Jones and his wife, Lorri, tried to approach the process from every corner. They gave staff a $3 per hour raise to make up for lost wages and asked everyone to fill out a general health questionnaire prior to starting their shift. They take their temperature. The brand added new training and positions, asking managers to specialize in Phase 3 reopening training and putting extra employees on food-running teams. To quicken service and minimize contact, Blazing Onion invested in a call-button system. Tables in dining rooms have Kallpods, which are buttons customers press to get a server’s attention. The decision cuts down on the waitstaff’s need to conduct table checks. They show up when needed and deliver the hospitality customers expect. It’s more efficient and safer since it cuts down on unnecessary visits. To get a sense of how much goes into this process, here’s a look at the Blazing Onion’s full list of reopening steps for Phase 1 and 2, as shared by the Association.

PHASE I, March 16, 2020

New Initiatives

  1. Work with Auto Chlor to install sanitizer stations throughout restaurant (i.e. Lobby, dining rooms, pass through).
  2. Work with US Foods to find sustainable mask supply, back up sanitizer supply, individual table sanitizer supply.
  3. Establish communication with US Foods regarding protein supply with back-ups sourced well ahead of supply outages.
  4. Supply large gloves outside at point of entry, leave doors open when possible.
  5. Order and install plexiglass shields at all lobby POS stations.
  6. Survey team to capture their preference, disposable or cloth masks.
  7. Order cloth mask and set up back-up order.
  8. Find floor decal supplier and initiate order.
  9. Review CDC guidelines, WHA (Washington Hospitality Association) guidelines, NRA guidelines and tune in to various webinars to stay current on requirements and readiness.
  10. Ramp up Table Up platform to advance online ordering, curbside, loyalty, waitlist
  11. Find a source for touchless card readers.
  12. Set up table pick-up for 3rd Party vendors as well as call in orders.
  13. Add cleaning parties to schedule to ensure the restaurant is sanitized at all times.
  14. Transfer schedules from labor $/% goals (Cost saving) to hours budget goals (labor spending) to help change mindset to spend more PPP funds.
  15. Close unprofitable locations until PPP funds arrive.
  16. Create new job functions to spread labor, ensure social distancing and train new initiatives.
  17. Build and train our own curbside plans without Table Up technology to spend PPP and learn best practices prior to launching on app.
  18. Implement mask usage for FOH when first supply of masks arrive.
  19. Create mask wearing guidelines.
  20. Increase glove usage – Add to take out container handling, soda fills and guests food hand-off.
  21. Close soda machines to public, fill soda’s for guests.
  22. Create language for phone etiquette that helps guide guests experience. Add staffing for phones.
  23. Purchase bottles/cans for new liquor policies regarding take-out beer (including growlers & cans), wine, hard seltzers and cocktail kits.
  24. Convert menu to paper one time use until all locations have menu boards posted.
  25. Limit menu to ease kitchens, help social distancing and sustain menu supply.
  26. Establish communication lines with all furloughed staff weekly, provide meals for them, continue to pay their medical benefits.
  27. Establish wage benefit for all returning staff beginning the week of PPP loan to help incentivize staff to return when called.
  28. Develop best practice signage to help inform customers and team.
  29. Implement Facebook initiative to increase restaurant industry issues, increase engagement and build a stronger following. Monitor feedback to assist in re-opening policies while screening inappropriate comments.
  30. Constantly engage in social distancing, masks, etc. to ensure employee team respects policies and educate to help ensure safe practices when they go home.
  31. Follow up quickly on all reviews or email feedback to ensure safety procedures are being followed.
  32. Seal take-out containers and clearly mark name to ensure food is delivered as made.
  33. Purchase forehead thermometers for all locations to be a part of pre-screening team at initial clock-in for.
  34. Implement screening questions to POS
  35. Emphasize hand washing, hand sanitizing, mask usage, sanitizing touch points, food handoff, focus on safety.
  36. Call all furloughed team to ensure they know how to navigate unemployment.
  37. Implement standards to ramp up staffing, screen all staff to know who is ready to return, call back those ready first. Understand those that are home schooling and work through schedule, implement a plan to call back bar staff with Phase II and allow others to continue on unemployment to ensure balanced income to all.
  38. Stay current with PPP rules & synchronize forgiveness as we go with schedules, spending, etc.
  39. Write letters to congress, POTUS and State legislature/Governor to constantly remind them of the restaurant industries plight and issues with PPP rules and forgiveness.

PHASE II, June 1, 2020

Safety and Service:

  1. All employees must wear masks. Spread of the COVID virus has been mainly traced to droplets. Wearing a mask prevents this droplet spread. When a guest is present in the restaurant or you are working within 6’ of another employee, you must wear a mask to protect those around you.
  2. Space all tables 6’ apart, 50% or less occupancy. Each restaurant has a table schematic. Please remeasure each night or mark an x on your floors to keep this spacing accurate.
  3. All guests must be seated by staff to ensure spacing and seating at sanitized tables only.
  4. Sanitizer stations are located in lobby, dining room and bar for both employees and guests. Please know where they are if asked and keep them stocked.
  5. Sanitizing of touch points must be accelerated. Chairs, handles, knobs, counters, chairs, tables, POS, tech instruments. Please staff extra hours to meet this need. Note: cleaning technology touch points should have no direct sanitizer, spray the towel instead.
  6. Encourage guest usage of touchless ordering and payment. Lounge staff should practice social distancing to take orders at table. Six feet away might not be possible, but you should be perceived as trying to be safe.
  7. Drink stations must be sanitized regularly. Please remember to not spray them directly. Have a box of large gloves open near the soda machine at all times. Issue new cups for any refills with no charge. Drink station limited to one Freestyle.
  8. Use lobby menus for fast casual restaurant. We have added plexiglass to lobbies for initial ordering. Encourage using our app for dessert orders and to enhance lounge ordering. Use disposable menus as backup.
  9. We have increased our signage to support our policies. They should be posted at the main POS, restrooms, closed tables, soda machine and entry/lobby. Please see the manager for each sign’s location.
  10. Hand washing and sanitizing should be accelerated by all team members.
  11. All employees handling food, including table delivery, cocktail crafting and pouring draft beer or wine must wear gloves.
  12. A lobby wait list for tables for both the restaurant & bar must be maintained with cell numbers, allowing us to text customers, encouraging them to wait in their cars.
  13. Curbside has been activated on our app. Please introduce this to our guests.
  14. Online has done well in test. Please encourage this new touchless ordering to our guests.
  15. Review our new take-out pick-up stations that have been coordinated with our table schematic. Learn them and give feedback if you see congestion.
  16. Kallpod buttons are replacing Service Alert signs. All restaurant service staff should ask their manager to be trained on this.
  17. We have implemented a screening system for all employees, including forehead temperature scanning. This must be done at clock in. If you need to answer “yes” to any question on the questionnaire, STOP, find the manager and fill out a separate form. Discuss next steps with your manager.
  18. We have tried to imagine walkways to the restrooms. If these are compromised, please let your manager know immediately so we can make improvements.

Ongoing both Phases:

  1. We plan to continue our limited menu. We hope to add 2 items back for each phase. If asked about a missing item, please refer them to our contact email.
  2. We are limiting our kegs to our core beers only. We will increase a few with each Phase.
  3. We will expand hours in each Phase. Phase II will be 11am – 9pm. We also will bring back Happy Hour from 3-6pm and 8-CL, 7 days per week until Phase IV.
  4. Please work with Mike closely to ensure supply chain. React quickly to news of shortages. He will continue to communicate with our vendors.
  5. Step up safety protocols for all food prep and cooking areas to ensure freshly made & great food.
  6. Strive to make every guest’s experience GREAT! Thank you for your hard work during this CRISIS. You are our heroes. – Source: fsrmagazine.

    Mike O’Donnell to Retire as Ruth Hospitality’s Executive Chairman

Ruth’s Hospitality Group, one of the largest upscale steakhouse companies in the world, today announced that Michael O’Donnell, the Company’s current executive chairman, will retire effective December 9, 2020. Following this date, O’Donnell will remain as member of the board of directors. Mike O’Donnell stated, “It’s been a privilege to serve as Executive Chair of Ruth’s Chris for the past two years. The Company has grown and flourished, and despite recent challenges posed by Covid19, I have total confidence that Cheryl Henry and the senior team will execute its recovery plan and continue to build our iconic, resilient brand.” O’Donnell continued, “Moving forward, I will focus my energy on serving as a Board member and will continue to support and safeguard Ruth’s Chris and it’s 55-year history of serving guests, supporting team members and delivering consistent returns to shareholders.” – Source: fsrmagazine.

McDonald’s Unveiled an 8,024 Square Foot Solar-Powered Restaurant at Disney World on July 1

The new restaurant is covered in solar panels and has a 1,700 square foot living wall that naturally cools the building and collects rain water. The restaurant is already open for drive-thru and delivery from 8 am to 10 pm. The 8,024 square foot restaurant is covered in solar panels and features eco-friendly design features that minimize energy use and keep the building naturally cool. It was designed by Chicago-based Ross Barney Architects and Florida-based architectural and engineering firm CPH, according to a press release emailed to Business Insider. “These unprecedented times have only heightened the importance of innovation that fosters long-term security and sustainability,” Marion Gross, McDonald’s North America chief supply chain officer, said in the press release. “While health and safety in our restaurants is our top priority, we must also remain focused on creating positive change for our communities and the planet. This restaurant marks an important step in McDonald’s journey to reduce our carbon footprint and identify meaningful solutions in the fight against climate change.”  McDonald’s intends to reduce greenhouse gas emissions from its restaurants and offices by 35% by 2030. Learnings from the solar-powered restaurant will be applied to those efforts. The chain will also apply for a zero energy certification from the International Living Future Institute for the restaurant. The new McDonald’s is located on Buena Vista Drive in Disney World Orlando. Although Disney World will not reopen until July 11, the solar-powered McDonald’s is already open for drive-thru and delivery service. Take a look at its eco-friendly features below. – Source: Business Insider.

Shake Shack Launches a Virtual Summer Camp

Shake Shack, which still has about 40% of its dining rooms shuttered to slow the spread of COVID-19, is rolling out an interactive summer camp box to entertain consumers who are stuck at home. The New York City-based fast-casual burger chain launched Shack Camp this week. The program provides six weeks’ worth of family-friendly activities for those who purchase a $79 Shack Camp Box (plus shipping). The box includes supplies to make a lemonade stand, tell ghost stories around the campfire, make crafts, throw a field day, build ice cream sundaes and get involved in local communities. It also includes $75 in Shake Shack promotions, including free burgers, to be redeemed via the brand’s app and website. Each week’s suggested activity will be demonstrated on Shake Shack’s Instagram TV channel. “It’s no secret that summer feels different this year, but Shake Shack is still here to bring the fun and keep you and your families entertained throughout,” the company said in a press release. Shake Shack, which has a real estate portfolio centered in dense, urban areas, has struggled amid the pandemic. Unlike many burger chains, it does not have any drive-thrus, so it is building pick-up windows and is exploring the addition of order-ahead drive-thru lanes. Its same-store sales fell 49% for the quarter ended June 24, driven by a 60% traffic decline. – Source: Restaurant Business.

How Los Angeles-based Honey’s Kettle Fried Chicken will Anchor its Expansion Plans with Ghost Kitchens During COVID-19

When COVID-19 hit in March, Vincent Williams, the owner of Los Angeles-based, fast-casual concept Honey’s Kettle Fried Chicken, was planning on expanding his business with both virtual and traditional brick and mortar restaurant locations in new markets throughout Southern California and Arizona. But by the start of the coronavirus-related lockdowns, his sales had dropped by 60% overnight and he had to pivot to off-premise orders of fried chicken to stay afloat. “I have a lot of experience with dealing with adversity so COVID-19 was just one more thing,” Williams said, indicating that he felt prepared for the pandemic-related challenges because they were already on multiple digital platforms for takeout and delivery. “We’ve come out looking good so far. [This experience] gave me some research in terms of how we would morph into a virtual kitchen because our restaurant had transformed into takeout and delivery-only.” Despite the initial challenges related to the pandemic, Honey’s Kettle Fried Chicken’s ghost kitchen expansion plans are moving forward as anticipated. Now, after 20 years in business, Williams has finally opened up his second location, a ghost kitchen in Downtown Los Angeles, with a second virtual kitchen to follow in Hollywood this August. Aptly named Honey Drop Kitchens, these ghost kitchens will feature a more limited menu of Honey’s Kettle Fried Chicken favorites (for example, with rice instead of mashed potatoes because rice can be made quicker and in bulk more easily) and will expand Honey’s Kettle Fried Chicken delivery zone to six miles. Other new menu highlights to the virtual restaurants include the Biscuit Bake, with chicken, eggs, and sausage baked into a biscuit. While the average check at the original restaurant is $25 per person, the Honey Drop Kitchens could differ on average guest check.  Calling the two new ghost kitchen locations “relief valves” for the increasing popularity and demand of his  original Culver City brick and mortar restaurant, Williams said that the pandemic made it ever clearer to him that virtual restaurants were the future for an industry that had so much to risk and to lose during times of crisis, and even when navigating the “normal” challenges of business operations. “The benefit [of the virtual kitchens] was to be able to have further reach without putting in incredible investment and taking a huge risk,” Williams said. “I can’t imagine being in the middle of a hugely expensive project when something like COVID hits.” He added that it was a no-brainer in terms of time and money investment because while building out a brick and mortar location could cost $1 million and 18+ months to get going, they could rent out space in a co-op ghost kitchen for a fraction of the cost and be up and running within 60 days. This strategy won’t just be limited to the two new virtual restaurants that are opening this summer, however. Williams plans to expand Honey’s Kettle Fried Chicken to new cities and markets throughout Southern California and Arizona over the next five years. In each new city and area that they expand to, Williams said, he will purchase (instead of rent out) a storefront and build a physical flagship location to anchor their presence. Then, he will open up virtual ghost kitchens to fan out and expand the delivery and pickup capabilities of the first physical location. “Once we get our roots in the ground through these virtual kitchens, we will march right on forward,” Williams said. “We are opening these places off a credit card because it simply does not take the same type of capital and investment as it does with traditional brick and mortar. We want to take advantage of this tsunami of a situation and make the enemy our friend in order to really take off as a company.” Williams said that in the future, he sees Honey’s Kettle Fried Chicken as a national brand with a virtual presence similar to Amazon: if you want to order their fried chicken and other comfort food you’ll be able to (in most places) get it delivered straight to your door without having to actually live near one of their restaurants. For a one-unit restaurant, his plans may seem “pie in the sky” for now, but Williams is confident in his vision: He said that the fact that as restrictions began to lift, the line for fried chicken at Honey’s Kettle Fried Chicken has oftentimes stretched a block and a half long, is proof that they have outgrown operating just one unit. It has been difficult just to keep up with demand, Williams said.  “I don’t think of us as just a restaurant,” he said. “We’re a food production facility and we produce food by the ton.” – Source: Restaurant Hospitality.

Restaurants Take Advantage of Outdoor Space as Indoor Dining Regulations Change with Coronavirus Surges

Nothing says summertime like outdoor dining. Sidewalk tables have always been major business for restaurants, but with many states still in reopening phases that require indoor dining to be closed down, what will outdoor dining look like during summer 2020? New York, the original center of the coronavirus crisis when it first came to the U.S., has been reopening extremely slowly. Indoor dining is not even in the next phase of reopening. In California, indoor dining reopened only to be shut down and rolled back as rising numbers of coronavirus cases in the state made the governor take action. Across the country, restaurateurs are getting creative with their outdoor dining areas. From Old Vine and Bar in California to Gitano Garden of Love in NYC, restaurants are using this opportunity for extra space to bring in new diners yearning for out-of-the-house dining. Some restaurants, such as Curio in San Francisco, have turned increased outdoor space into entertainment venues showcasing silent movies, while other groups of restaurants in the Bronx have joined together to create an al-fresco outdoor dining plan that’s being billed as a “European-style outdoor dining experience” – socially distanced of course. Click through to see some of the inventive ways operators have taken advantage of this new business to make money during the busiest months. – Source: Restaurant Hospitality.

How to Stay Health-Care Compliant as a Small Business

Offering restaurant health care benefits can help you attract and retain loyal staff. Yet these benefits come with many regulations that are important for small businesses to know.

As you begin the process of rehiring employees, learn about common mistakes — and how to avoid compliance penalties.

1) Ask only limited health questions, even with COVID-19

If you have 15 or more employees, you are covered under the Americans with Disabilities Act (ADA). You cannot ask employees about disabilities or medical exams unless it’s related to their ability to perform essential job functions.

However, while the ADA and Rehabilitation Act rules continue to apply in the current pandemic, they do not prevent you from following the COVID-19 guidelines made by the Centers for Disease Control & Prevention (CDC) or state/local public health authorities.

You may send employees home if they have COVID-19 or similar symptoms.

You may ask employees who report feeling ill at work, or who call in sick, questions about their symptoms to determine if they may have COVID-19.

You may take their temperature.

Only in a pandemic, you may ask about disabilities or require medical exams of employees who do not have symptoms, to identify those at a higher risk of complications.

If an employee returns from travel, you may ask questions about his or her exposure during the trip.

All symptoms would be subject to ADA confidentiality requirements.

2) Protect employees’ information under HIPAA

If you offer an employer-sponsored health plan or benefits such as an Employee Assistance Program, you may be a covered entity under the Health Insurance Portability and Accountability Act (HIPAA). Use this tool to find out if HIPAA applies to you. Under HIPAA, you must safeguard protected health information (PHI), such as your employee’s name, date of birth, and medical information. PHI includes data collected from employee wellness programs, flexible spending accounts, workers’ comp claims, and the like. If you’re not a covered employer, it’s a good idea to respect privacy in the same way, to establish trust with your employees.

3) Make a cybersecurity plan

Small businesses often overlook the technical safeguards that the HIPAA Security Rule requires. Put in place a strong cybersecurity plan to protect employee data. Encrypt data whenever it goes beyond your firewall. Have a disaster recovery plan in place in case of a breach. Remember to physically secure electronic PHI from unauthorized access, in your data center, server, cloud, workstations, and on mobile devices. Lock everything. Strengthen your administrative security too, with risk management policies and assessments, contingency plans, and restrictions on who can access data. Train employees in HIPAA compliance each year. Report any data breaches to employees.

4) Track hours and classify employees correctly

If you don’t pay for all hours worked or misclassify employees, you could violate the Fair Labor Standards Act (FLSA). Track employee hours, and always pay overtime when employees work more than 40 hours a week. Do not give time off in return for overtime. Pay for training time and for breaks. You do not have to pay for mealtimes. Keep timecards for two years. Classify employees properly; do not designate them as independent contractors to skirt overtime and benefits responsibilities. Learn and comply with the federal tip laws. Your state’s minimum wage for tipped employees may be higher.

5) Count employee hours carefully to make health insurance decisions

Under the Affordable Care Act, if you employ 50 or more full-time-equivalent employees (FTEs), you must offer minimum essential health care coverage to at least 95% of them and their dependents. Otherwise, you will have to pay a penalty to the IRS called the employer shared responsibility payment. If even one of your full-time employees gets a federal tax subsidy to buy a health plan through a Health Insurance Marketplace on HealthCare.gov, the IRS can fine you $2,000 per for each of your eligible employees (although the IRS excludes the first 30 full-time employees from the count). Under the ACA’s adjusted community rating (ACR) laws, you cannot use employees’ health status or claims experience to set premiums for your group or the individual employee. You can only adjust premiums in the individual and small group market for age, family size, geographic location, and tobacco use. The ACR can result in higher premiums. Count your employee hours carefully. If you are not required to provide insurance under the ACA, you can consider self-funded or level-funded plans. With these plans, you must report the Minimum Essential Coverage (MEC) you offer employees each year using 1094-B and 1095-B forms. If your employees do not enroll in MEC, they may have to pay the individual mandate tax. 6) Send the right notifications to employees about welfare benefit plans Did you know that your group health plans — plans with major medical benefits plus health flexible spending accounts, health reimbursement arrangements, dental and vision plans, and wellness programs — have disclosure and reporting requirements as welfare benefits under the Employment Retirement Income Securities Act (ERISA)? If you have two or more employees and offer a group health plan, you must automatically send an easy-to-understand summary plan description (SPD) to all plan members, including those receiving COBRA. SPDs should go to new participants within 90 days of coverage and within 120 days for new plans. You may also need to file Form 5500 each year.

7) Notify employees they can continue health insurance under COBRA

If you have 20 or more employees, when covered employees lose coverage under your health plan through a qualified event, they are eligible to continue health insurance under the Consolidated Omnibus Budget Reconciliation Act (COBRA). Qualifying events include a reduction in hours and termination. COBRA can apply to health insurance, certain wellness programs, flexible spending accounts, health retirement accounts, and other plans. To avoid a common small business mistake, you must notify the employee and covered adult dependents of their right to COBRA. Send a notice that describes how to choose COBRA, application dates, costs, etc., within 44 days of the qualifying event.

8) Manage eligibility for pre-tax cafeteria plans

A Section 125 cafeteria plan lets your employees choose to receive benefits such as health savings accounts and dependent care assistance pre-tax. To stay compliant, if you offer a simple cafeteria plan, manage employee eligibility very carefully. You must ensure that enough employees can get into the plan who are not highly compensated employees or key employees. The plan cannot provide more than 25% of the total plan benefits to key employees. You also must have a written document before taking out pre-tax deductions, so that the IRS knows you are withholding the correct amount of taxes. – Source: The National Restaurant Association.

Annapolis, Md.-based Ledo Pizza Names Will Robinson as the Company’s First Chief Marketing Officer

The 100+-location, Annapolis, Md.-based regional pizza franchise Ledo Pizza has announced Will Robinson as the company’s first chief marketing officer. With 12 years of experience as Ledo Pizza’s vice president of restaurant marketing, Robinson was promoted to CMO where he will oversee the company’s sales and marketing budget and technology, manage franchise partners and third-party marketing vendors, lead direct reports, and utilize his social-media marketing expertise in his new position. “We are very fortunate to have such a loyal and dedicated person like Will on our Ledo Pizza team,” Ledo Pizza president Jamie Beall said in a statement. “He is an incredibly hard worker and is very deserving of this promotion. I look forward to watching him take our marketing team, and our brand as a whole, to the next level.” Robinson, left, began his career as a server at a Ledo Pizza restaurant and worked his way up to marketing specialist and eventually vice president, as well as chairman of the Restaurant Association of Maryland Education Foundation. “I am very excited to take on this new position at Ledo Pizza,” Robinson said in a statement. “Ledo is a unique brand rich with history, and I am proud to have been a part of it for over 20 years. I am honored to become the leader of such a dynamic department. I can’t wait to strengthen my relationships with franchisees and vendors, and continue to tell our brand’s story through effective, strategic marketing.” Ledo Pizza is a regional pizza franchise with 100+ locations in seven states and was in the top 10 brands with the most loyal fans for Nation’s Restaurant News’ 2019 Consumer Picks report in partnership with Datassential. – Source: NRN.

Ghost Kitchens Fuel Menu Innovation

Not the traditional ones with tables and wait staff, where the right space and location matters, rather they are renting space in industrial kitchens and using third-party delivery services. Known as ghost kitchens, with most facilities lacking signage or any visible branding, this concept helps bring new cuisines and menu concepts to urban areas. “A ghost kitchen has none of the things we commonly associate with a restaurant, namely servers, seating and signage,” said Christopher Sebes, restaurant technology strategist, Naples, Fla. “Also sometimes called a virtual restaurant, dark kitchen or cloud kitchen, this facility exists only to serve orders placed via mobile app or delivery service web page. “Ghost kitchens are coming into their own. Their promise is lower rent and lower up-front costs. Many of the costs, once prohibitive and slow to recoup, will drop.” Ghost kitchens are often owned and operated by a management company, which may assist with sales and marketing. Multiple kitchens allow for many varied cuisines prepared in a single facility, which gives new meaning to the concept of “something for everyone” when a family or office places an order. The shared commissary space often will house a takeout and delivery counter to ease the process, a feature that proved to be useful with coronavirus restrictions. Most kitchens come equipped with cold storage, stove top, oven and sink. Counter space and industrial electrical outlets allow for extras, everything from blenders to deep fryers. “The space allows chefs to create a virtual brand or expand the reach of an existing bricks-and-mortar brand,” Mr. Sebes said. “It’s all digital. You can create a restaurant from your imagination.” This includes the menu. Such flexibility invites chefs to offer daily specials and work with local, seasonal suppliers. If an ingredient becomes too expensive or is no longer available, a digital menu allows for easy substitution or changing. Keeping the menu fresh and different encourages customers to become “regular” patrons during the new normal approach to “dining out.”  “The opportunity is immense,” Mr. Sebes said. “The changes we’re seeing will provide unprecedented chances to experiment, test and refine. Launch a new concept exclusively in a delivery app. Run multiple concepts from a single location. Meet demand for constant variety.

Ghost kitchens and today’s digital-first world make all of this more accessible and manageable. “The chefs are constantly getting feedback as part of the delivery app, allowing them to pivot or tweak. If something doesn’t work, move on to try something else without much financial loss.” This feedback helped many businesses streamline their menus during the delivery and take-out only restrictions when digital orders skyrocketed in many densely populated cities. Ghost kitchen operators found themselves uniquely poised to already be following health and safety guidelines, as they have small staffs, make food to order and package foods in individual containers.   “During a time of uncertainty in the restaurant space, ghost kitchens provide effective solutions for both restaurant owners and customers,” said Andy Wiederhorn, chief executive officer, FAT Brands Inc., Beverly Hills, Calif. FAT Brands opened its first ghost kitchen in Chicago in late April. Four of the company’s brick-and-mortar brands — Fatburger, Buffalo’s Express, Hurricane Grill & Wings and Yalla Mediterranean — currently operate out of the space owned and managed by Epic Kitchens, Chicago. This allows customers to simultaneously order menu items from multiple menus. This Chicago partnership is part of a larger development agreement between FAT Brands and Epic Kitchens. The deal is set to include 20 ghost kitchen locations throughout Chicago, Boston, Philadelphia, and New York over the next two years. Los Angeles-based 800° recently moved into the same Chicago space. Founded in 2011 by Chef Anthony Carron, the philosophy of 800° starts with the purest ingredients — scratch dough, fresh produce and artisan-quality meats and cheeses — sourced from top purveyors, then fire-roasted to impart a unique, subtle, smoky taste. The chef-driven menu includes Mr. Carron’s signature appetizers, bowls, pizzas, salads and sandwiches and allows for seasonal innovation.

At the onset of COVID-19, Wingstop Inc., Dallas, moved quickly to close its dining rooms and shift to 100% off-premises. The company was well-positioned based on its pre-COVID investments in digital and technology platforms, allowing for the brand to seamlessly shift from 80% off-premises and adapt to the change in consumers’ dining behaviors. The resiliency of Wingstop was demonstrated in its April 2020 same-store sales growth of 33.4% and 65% digital sales, which included a delivery sales mix of more than 30% of total sales. In efforts to continue this growth trajectory and adjust to the changing landscape, the company opened its first domestic ghost kitchen in Dallas on July 1. It spans less than 400 square feet, compared to Wingstop’s average restaurant footprint at approximately 1,750 square feet, while offering the same full menu. “We have a goal to digitize 100% of transactions as we drive to become a top-10 global restaurant brand and we believe ghost kitchens are a great step for the brand as delivery and digital sales continue to increase,” said Charlie Morrison, chairman and CEO. Specialty food purveyor Eddie’s of Roland Park, Baltimore, operates a pseudo ghost kitchen in its bricks-and-mortar retail store. The company started a “Staycation Supper Club,” a summer adventure series for local foodies that combines heat-and-serve convenience with the thrills of culinary tourism. Featuring an array of global, chef-prepared dishes, the pay-as-you-go series offers a bi-weekly, $99.99 prix fix menu designed to serve six, along with free curbside pickup or contactless delivery. The concept was the company’s answer to its customers’ appetite for adventure while acknowledging current travel limitations. The program kicked off with Tropical Paradise. The menu featured grilled shrimp and chicken kabobs, tropical gazpacho, fiesta slaw, coconut rice pilaf and a key lime tart. Taste of the Bay is the current menu and includes peel-and-eat jumbo steamed shell-on gulf shrimp with onions and Old Bay seasoning, Yukon potato salad, tomato cucumber salad and cherry pie. To accompany the meals, the company issued a free Staycation Supper Club soundtrack on Spotify, consisting entirely of music from current Baltimore-area musicians and bands. Another modified ghost kitchen concept is a partnership between supermarket chain Tom Thumb based out of Dallas and Terry’s Black Barbecue, a Texas restaurant with locations in Dallas and Austin. In response to the changing dining scene, Terry’s pivoted its business model and is now bringing its smoked meats directly to neighborhoods by packaging and stocking top-selling menu items at five Tom Thumb locations. – Source: Food Business News.

Plant-Based Meat Placement Matters, says Kroger

Sales of plant-based meat alternatives increased by 23% when merchandised in the meat department at grocery stores, according to new research from the Plant Based Foods Association and the Kroger Co. The placement of plant-based proteins was tested during a 12-week period prior to the coronavirus pandemic at 60 stores in Colorado, Indiana and Illinois. Within the Midwest, where more flexitarians are emerging, sales of plant-based meat alternatives increased 32% compared to control stores during the testing period. In the Denver area, which already had a large concentration of plant-based consumers, sales were 13% higher. “This test provides one more proof point that plant-based meats have moved from niche to mainstream,” said Sean Brislin, merchandising director at Kroger. “Kroger continues to experience double-digit growth in the plant-based category, and this test demonstrates the viability of shifting product placements to reach even more customers.” Julie Emmett, senior director of retail partnerships at the Plant Based Foods Association, said, “This research proves that it is important for retailers to place plant-based meat where shoppers expect to find it: in the meat department. Other retailers are sure to make this change with this new data in hand. “The increase in sales in the Midwest demonstrates there is tremendous opportunity for plant-based meats to succeed everywhere, including in the nation’s heartland.”  Since the virus’s onset, Kroger’s plant-based meat sales have remained strong. The retailer said it has attracted 50% more new plant-based consumers between March and June over the prior year and, as shoppers stockpiled groceries during the timeframe, sales of plant-based meat grew by more than 75% at Kroger stores. “As plant-based meat sales continue to grow, with sales increasing even more rapidly compared to pre-pandemic levels, this research becomes even more compelling for retailers to locate plant-based meats in the meat section if they want to maximize sales by reaching more consumers,” said Michele Simon, executive director of the Plant Based Foods Association. – Source: Food Business News.

Starbucks will Require Customers to Wear Face Masks Starting July 15

Starbucks announced that starting July 15, customers will be required to wear face masks in all company-owned café locations in the U.S. Customers, however, will not be required to wear facial coverings in the drive-thru or picking up curbside “unless locally mandated,” Starbucks clarified in a tweet announcing the news. Customers who prefer to not wear facial coverings (and are not required to by law) can always choose one of the off-premise options such as drive-thru, curbside pickup or delivery. “The company is committed to playing a constructive role in supporting health and government officials as they work to mitigate the spread of COVID-19,” Starbucks said in a statement. “Our partners have the right and responsibility to refuse service to customers who are not wearing facial coverings.” The news follows an incident where a Facebook post went viral of a customer complaining when a San Diego Starbucks barista refused to serve her in late June because she was not wearing a mask. As a result of the viral Facebook post, nearly $100,000 was raised through a Go Fund Me for the barista who stood his ground. The new mask policy — which was announced ahead of time so that “customers and partners have the space and time to prepare” — will be enforced alongside other previously announced COVID-19 safety procedures, including sanitation procedures, temperature checks and frequent employee hand-washing. Additionally, Starbucks announced that it has “temporarily closed restrooms” to the public in Starbucks locations that do not have café seating (with exceptions made for uniformed first responders or those affected by the Restroom Access Act). – Source: NRN.

Starbucks to Close 400 Stores, Speed Expansion of Pickup Locations, curbside and more

Starbucks announced it will expedite the rollout of its new “Pickup” store concept, powered by mobile ordering, in response to the coronavirus pandemic. It will also expand access to curbside pickup, drive-thru and walk-up counters in less dense, suburban markets, the company said. These changes aren’t going to arrive as new additions to Starbucks’ existing store lineup, however. Instead, the company said it will close up to 400 company-owned stores in the U.S. and Canada over the next 18 months, as it rolls out the new format stores and makes other changes. During Starbucks’ fiscal second quarter, it opened approximately 200 net new stores in the Americas, and it plans for a total of 300 net new stores in fiscal 2020. This is down from Starbucks’ original expectation of 600 net new stores — an indication of how the pandemic has taken a toll on Starbucks’ business. Typically, Starbucks closes around 100 company-owned stores in the Americas per year due to lease expirations, location shifts and market conditions. These changes will ultimately result in “net” new store growth in fiscal 2021 but will come with a moderate impact to Starbucks’ Americas revenue, the company says. A large part of the restructuring plan is to shutter more of Starbucks’ traditional cafe-like locations in favor of new formats that better cater to convenience orders, not sitting around with friends. One of these is the Starbucks Pickup store concept.

Ahead of the COVID-19 crisis, Starbucks had been testing the Pickup store concept on a small scale. In the last seven months, the company opened and had been operating two of these stores — one at Penn Plaza in Manhattan and another in Toronto’s Commerce Court. Both have offered the company early insights into how to design the pickup-store experience for both employees and customers. Starbucks says it’s now preparing to launch a third Pickup location near Grand Central Station in Manhattan in the immediate future. Originally, Starbucks had planned a steady rollout of these Pickup stores across the U.S. in response to what it saw in terms of changing customer behavior. Before COVID-19, for example, Starbucks found that approximately 80% of U.S. transactions in its company-operated stores were for “on-the-go” orders. In light of that data, Starbucks had been working to better meet these customers’ needs through changes like store remodels that emphasized pickup counters and even new store launches. The Pickup store concept had also emerged from this reexamination as a way Starbucks could more efficiently serve its customers in major U.S. metros. Like it sounds, Pickup stores specifically cater to customers who order ahead and pay through the Starbucks mobile app. In addition, they cater to customers who place delivery orders through Uber Eats, Starbucks’ delivery partner. The pandemic has forced Starbucks to speed up its plans with regard to the rollout of its mobile ordering-powered Pickup stores as its traditional cafe business suffered.

The company has been impacted by government lockdowns for businesses, shelter-in-place orders, as well as the increased number of companies allowing employees to work from home. Presumably, the latter has led to a reduction in the number of commuters who swing by Starbucks on their way into the office — that’s a metric that may never fully rebound, as work-from-home becomes more commonplace. Pickup stores won’t solve all these issues, but they will make it more convenient to grab an order while social distancing. But Starbucks’ investment in this pickup format is an indication that the company believes things won’t bounce back to normal even when the COVID-19 pandemic passes — perhaps one day by way of a vaccine, for instance. Instead, mobile ordering with pickup will become a large part of the “new normal.” “We are now envisioning the accelerated development of Starbucks Pickup stores in major U.S. cities over the next 18 months, including retrofitting and repositioning many existing cafes to expand our store portfolio with a mix of appropriate store formats,” the company noted in an SEC filing. “This acceleration of our strategy requires that we assess our existing store portfolio with respect to renovations, relocations, and closures.” In the near term, Starbucks plans to expand Pickup stores in New York, Chicago, Seattle and San Francisco. Its vision is for each large U.S. city to have a mix of both traditional Starbucks cafes and Starbucks Pickup locations that are located within walking distance of one another. This will help to reduce crowding in the cafe locations and aid with social distancing, the company notes, as it shifts more of the “on-the-go” customers to another location. Also in response to COVID-19, Starbucks says it will renovate select store layouts to include a separate pickup counter for mobile orders at high volume stores, making it easier for customers and delivery couriers to grab their orders. In addition, Starbucks says it will increase the number of locations offering curbside pickup, where customers order ahead and pay with the app. Some locations will participate in a pilot test of curbside-only store formats, as well. Access to drive-thrus will be expanded, too, with the opening of new locations outside of densely populated cities. Starbucks says it may test other new concepts in drive-thru, like double lanes or combinations of drive-thru and curbside. “Starbucks stores have always been known as the ’third place,’ a welcoming place outside of our home and work where we connect over a cup of coffee,” said Starbucks CEO Kevin Johnson, in a statement. “As we navigate through the COVID-19 crisis, we are accelerating our store transformation plans to address the realities of the current situation, while still providing a safe, familiar and convenient experience for our customers,” he added. Starbucks additionally provided an update on tis store sales in May, noting that U.S. comparable store sales improved versus the prior year from -63% in the month of April to -43% in the month of May, as stores reopened in line with government guidelines from 50% open in April to 91% in May. In China, comparable store sales versus the prior year declined 21% in May, an improvement from a decline of 32% in April. Shares of Starbucks were down 4.8% as of the time of publication. – Source: Starbucks.

FDA Uncovers Mislabeled CBD Products

A preliminary study by the US Food and Drug Administration found many products containing cannabidiol (CBD) are mislabeled, containing either significantly more or less CBD than advertised. Nearly a quarter of food products tested by the agency did not meet their label claims, according to a report sent to the House Appropriations Committee obtained by Hemp Industry Daily. The numbers come from the agency’s recent sampling study of the CBD marketplace, which only included products available online. The FDA randomly tested 200 tinctures, oils, capsules, edibles, drinks and pet products containing CBD, a non-intoxicating compound. Nearly half were found to contain THC, the psychoactive component of cannabis. Of the 20 food and beverage products that listed a specific amount of CBD on the label, five contained less than 80% of the amount indicated and six contained more than 120% of the amount indicated. Eight food products were found to contain THC. The results are from a limited sample size and warrant a longer-term study that includes products sold in brick-and-mortar stores, the FDA said. Recent efforts to gather data on the CBD marketplace, including a public hearing last May, raised concerns about mislabeling, according to the report. The FDA also said it “lacks significant information on what CBD-containing products are on the market” and that there is little information available about the products themselves. The agency has yet to give CBD a Generally Recognized As Safe (GRAS) status or approve products that contain it. Besty Boren, senior vice president of regulatory and technical affairs at the Consumer Brands Association, said the FDA should do more to regulate the CBD marketplace. “The FDA’s recent report on the labeling accuracy of CBD products further affirms the need for federal regulatory clarity,” she said. “Allowing bad actors to continue to put products on the market, unchecked, is a threat to consumer safety everywhere.” A similar study from the Minnesota Hemp Farmers & Manufacturers Association and Confidence Analytics found some CBD products contain as much as three times the stated amount while others contain no CBD. The association tested 25 products sold in Minneapolis and found 64% did not meet their label claims. – Source: Food Business News.

The United States-Mexico-Canada Agreement (UMSCA) Officially Replaced the North American Free Trade Agreement (NAFTA) on July 1

The United States, Mexico and Canada concluded negotiations for a new trade agreement to replace NAFTA in September 2018 and on Jan. 29, 2020, US President Donald Trump signed the new trade deal. Mexico passed the agreement in June 2019 and Canada approved the deal on March 13, 2020. Under the USMCA, all food and agriculture products that have had zero tariffs under the NAFTA will continue to enjoy zero tariff access to the partner nations’ markets. “Today marks the beginning of a new and better chapter for trade between the United States, Mexico and Canada — just as President Trump promised he would deliver for the American people,” said Robert Lighthizer, US Trade Representative. “The USMCA contains significant improvements and modernized approaches that will deliver more jobs, stronger worker protections, expanded market access, and greater opportunities to trade for companies large and small. We have worked closely with the governments of Mexico and Canada to ensure that the obligations and responsibilities of all three nations under the agreement have been met, and we will continue to do so to ensure the USMCA is enforced.”

Many US agriculture associations support the implementation of the new trade deal. “We are entering into a new era of trade with Canada and Mexico — one that allows US animal food producers to remain competitive, strengthens our regulatory engagement and commitments with our trading partners and lays the groundwork for innovation to meet the agriculture industry’s future needs,” said Constance Cullman, president and chief executive officer of the AFIA. “I commend our countries’ national leaders, particularly the efforts of President Trump and his administration over the past three years, for making this much-needed agreement a reality.” The US Grains Council (USGC) approves of the future promises the USMCA holds. “This agreement solidifies our country’s most important and strategic trade relationships with our best customers and promises further economic growth in tandem with our most-valued partners — Mexico and Canada,” said Darren Armstrong, chairman of the USGC. “We appreciate the administration’s hard-won efforts to deliver and implement an agreement that includes significant improvements and offers more modern approaches to trade and we thank our partners in both Canada and Mexico whose efforts have been equally appreciated and fruitful.” The American Soybean Association (ASA) is pleased with the stability the new agreement provides the soybean industry and future growth. “USMCA is a win for US soybean farmers and the American economy, as it restores certainty and stability to two important export markets for our farmers and lays a foundation for future growth,” said Bill Gordon, president of the ASA. “In addition to securing the Mexican market as the second largest importer of US soybeans, the terms agreed to by Canada will increase US poultry and dairy exports, which is another positive for the ag industry.” The US Wheat Associates (US Wheat) and the National Associates of Wheat Growers (NAWG) are encouraged by the leveling of the playing field. As part of USMCA the Canadian Grain Commission amended its Canada Grain Act and Canada Grain Regulations, which now allow US grown wheat to be brought across the border to Canadian grain elevators to be graded on a level playing field. To qualify, US producers will need to grow wheat varieties registered in Canada’s Variety Registration System. “A completed USMCA finally gets us past the uncertainty, and that is welcome news to US wheat growers,” said Doug Goyings, chairman of US Wheat. “Especially as we now see an opportunity for US negotiators to take this as a gold standard agreement and launch negotiations with other countries, where US wheat growers face tariff and non-tariff barriers.” The National Grain and Feed Association (NGFA) also support the strengthened trade measures the USMCA offers as well as future framework for other trade agreements. For grains, oilseeds and their derived products and animal food, the USMCA, “preserves and strengthens market access while providing effective new mechanisms and safeguards to resolve sanitary and phytosanitary (SPS) issues that in the past periodically have disrupted trade,” said Randy Gordon, president and CEO of NGFA. “But the accord’s longest-lasting and most important impact may well be the solid framework it provides for the United States to negotiate significant new trade agreements with other countries, including Japan, Vietnam, the United Kingdom, Kenya and other nations on the African continent.” – Source: Food Business News.

Sanitizing: Suppliers and Their Customers Adapt to the New Normal

Food production facilities are already well versed in battling food-borne pathogens and keeping the US food supply safe. But COVID-19 has led to an increased emphasis on employee health and safety that for many companies is unprecedented, said Bob Forner, marketing director of Cockeysville, Md.-based Sterilex. “We’ve seen food manufacturers implementing intensified disinfection protocols in employee common areas and workstations, as well as reinforcing personal hygiene GMPs,” Forner said.  To help its clients respond to COVID-19 and further protect their own employees, Sterilex developed additional disinfection protocols for control of viruses in production and non-production areas as a layer of protection to help safeguard essential workers and to reduce cross contamination between treated surfaces.

All of those protocols, Forner said, use Sterilex products that are featured on EPA List N: Disinfectants for Use Against SARS-CoV-2. One of its key tools in the fight is the Sterilex Ultra Disinfectant Cleaner Solution 1 and Sterilex Ultra Activator Solution mixture, a two-part disinfectant system that can be used on a wide variety of hard, non-porous surfaces including most employee work stations. “We recommend preparing a stock solution mixture in a smaller container, like a 5-gallon bucket,” Forner said. “The stock solution can then be used in a variety of ways, including with portable spray units or mopping.”

Taking the lead

New Orleans-based consultancy Commercial Food Sanitation LLC (CFS) got a jump start on preparing it and its clients for the coronavirus, said Nathan Mirdamadi, senior food safety specialist. “We had a firsthand understanding of dealing with the pandemic while it was still in China with our China-based food safety specialists,” he said. “And as a result, we were well prepared to support our multinational clients based on some of those learnings.” CFS will soon be releasing a Preventative Plan Continuum for COVID-19, which will allow companies to self-assess their preparations, Mirdamadi said. The company also produced a short video that has become very popular, he added. Its goal is to remind viewers of the recommended COVID hygiene practices.  The video was created without words to make it usable for a global audience, and it’s designed to be shown on a loop on monitors in a cafeteria, breakroom or other space accessible to a company’s employees. CFS has also begun reviewing several different technologies to potentially support ongoing remote support, but it’s also reviewing the recommendations of the WHO and CDC to see how they can be applied to the food industry. While CFS has postponed all trainings conducted at its campuses, the company has developed a series of trainings and hosted Q&A sessions with its partners to help cover some of that gap, Mirdamadi said.  “Because of our unique position in the industry, we have been able to serve as a conduit for communicating best practices and strategies that are being used,” he said. “We’ve been working and supporting the major trade associations which have been working in conjunction and providing feedback to the FDA and CDC.”

Best practices

To help its clients adapt to the “new normal,” Sterilex has been working hard to advise companies on effective sanitation and disinfection applications so they can get back into production and stay open. Sterilex has been advising clients to increase frequency of total facility sanitation treatments in Zone 3 and expand their use of EPA registered virucidal disinfectants in Zone 4 (offices, break rooms, locker rooms, etc.). Additionally, Forner said, companies should be disinfecting high-touch objects such as doors, drawer pulls, desks, light switches, hard hats, shared tools, breakroom surfaces, restroom fixtures and other objects.   As a disinfectant manufacturer, Sterilex has been considered an essential business. The company’s R&D team has continued its critical work in the lab to develop the next generation of virucidal disinfectants. And just as Sterilex advises its clients to disinfect high-touch objects and areas, the company created its own “return to work” framework and protocols to implement in its office to prepare for a full return to the office. Changes at Sterilex in recent years have made the company’s COVID experience easier to endure, Forner said. “We’ve invested in teleworking capabilities — about half of our staff worked from home prior to the pandemic, making the transition to a mass work-from-home model go smoothly.”

Remote assessments  

Like most companies, CFS is still learning what the “new normal” will be, Mirdamadi said.  Whatever it is, CFS will continue to play a vital role in helping food manufacturers and their supply chain partners provide safe and clean working environments. “Long term, the expertise we bring will always be necessary, and we will adapt as we learn ourselves based on the risk and recommendations from our public health experts,” he said. “In the interim, we have also started conducting some of our food safety assessments remotely, which will prepare facilities better for the actual visit.” CFS is protecting its own team and minimizing the risk of the spread of the virus by halting all travel with the exception of travel that is required to support and protect the food supply, Mirdamadi said. “Unless our onsite support is needed to prevent the potential closure of a facility, we are supporting our clients and the industries remotely.”   Other changes at Sterilex in recent years have included more than doubling the company’s office space and building out four new product labs. Looking ahead, Forner said Sterilex will continue to adopt new technologies and make other changes to find ways to help its customers once the pandemic has passed. “We are an innovative company that prioritizes investing in R&D and new technologies and is committed to developing forward thinking solutions for microbial control,” he said. “In a post-COVID world, we hope to expand our product portfolio to continue to drive advancements in food safety, provide thought leadership and develop value added solutions to safeguard our food supply, protect human and animal health and optimize operational efficiencies.” In the midst of the pandemic, Sterilex has had the opportunity to get closer to its customers, as it helps implement new programs. “We hope to build on these relationships and work together to boost consumer confidence as we continue to keep both our food workers and food supply safe,” Forner said. “We are committed to helping our clients protect their valued employees. By keeping essential workers safe, Forner said, Sterilex is doing everything it can to keep a critical industry operational and food on shelves and tables across the U.S.

A solution for every need

Kieler, Wis.-based food safety and contract sanitation provider PSSI offers multiple hard surface sanitizers and disinfectants to fit different needs, said Ulyana Stebelska, the company’s R&D director.  “Several of our products are suitable for use against SARS-CoV-2 as per EPA List N,” she said. “Our PCI PURE Hard Surface, silver citrate-based sanitizer and disinfectant is our go-to product for customers who want to disinfect common areas in their facilities. PCI PURE Hard Surface has a broad range of microbial kill and 24-hour residual.” Sanitation remains the core of PSSI’s business model, added Jake Watts, the company’s vice president of food safety. While PSSI was largely prepared to confront the challenges of COVID-19, the company has quickly adapted and modified practices to ensure all facilities are clean and safe, and employees remain protected. PSSI’s Chemical Innovations division has launched a new product, Microbarrier Elite, that Watts calls the only food contact surface approved antimicrobial that can be left on food processing machinery/equipment after its application during the sanitation process, which provides a long-lasting protective coating between regular cleaning and sanitation.  The product gives substrates an added level of protection against damaging microbes such as bacteria, mold, and mildew that can cause stains, odors, and product deterioration, Watts added. It’s applied to surfaces via fogging or spraying applications, is non-corrosive to most surfaces and has a low-risk safety profile for handling. PSSI Chemical Innovations provides a full range of employee hygiene products which include sanitizing hand soaps, hand sanitizers, and dispensing equipment. The division has developed two new hand sanitizing products in response to the COVID-19 pandemic: PSSI E-San and PSSI I-San, both formulated per WHO guidance, Watts said.  To ensure the highest standards of sanitation, PSSI is continuing to implement its 8 Step Sanitation Process, as well as implementing additional safety protocols in communal areas, Stebelska said. “ “Each step we take is pre-planned through our guided decision tree and communicated with all teams for a streamlined process based on the customer’s needs,” she said. – Source: Food Safety Monitor.

Thank you for reading The Global Foodservice E-newsletter from American Recruiters!

Leave a Reply