Worker shortage taking toll on local businesses

Whitefish business owners and managers say there are two interconnected challenges facing them in their operations — hiring employees and a lack of affordable housing in town for those employees. 

About 15 business representatives joined in a round-table discussion last week hosted by the Whitefish Chamber of Commerce. Several owners said last summer was a difficult one for finding employees and they are concerned about what next summer will bring.

One of the causes of this, they noted, is a lack of both available and affordable housing in the area for their employees. Some also pointed to the loss of a number of downtown parking spaces this summer due to construction as another challenge.

Doug Reed, owner of Whitefish Lake Restaurant, said hiring summer employees is always a challenge.

“We always have a staffing crunch and it was more intense this year,” he said. “We did hire some kids, who it was their first job. We grab them and teach them and it’s a rewarding experience.”

Paula Greenstein, owner of Wasabi, said she too had a difficult time hiring employees this summer and is concerned about next sumer. She has also turned to hiring high school students to fill those open spots.

“There is a workforce here that we all have to invest in because they need jobs,” she said. “Hiring high school students won’t end the problem, but it can put a dent in it.”

Rick Nelson, owner of Nelson’s Ace Hardware, said he has an employee who drives from Kila to work here.

“There really isn’t a lot of availability out there,” he said. “We employ a lot of high school kids. It’s really fun getting the kids in and showing them what to do.”

Affordable workforce housing was the subject of a summit this fall hosted by the chamber and Montana West Economic Development. Community leaders pointed to the on-going problem of seasonal workers unable to find housing and young professionals who can’t afford to purchase a home. The results being a deficit of workers for the thousands of service jobs in Whitefish.

Following the meeting, the chamber said it would lead a task force to look for solutions for creating affordable workforce housing.

Chris Hyatt, representing the chamber, said the goal of the meeting was to get input from the businesses and do what it can to work toward solutions.

“I’m trying to get a read on the economics of our future — what do we see, what do we hear,” said Chris Hyatt, representing the chamber. “What do we need to do. One of the most prominent things that has been stated is workforce housing for employees. We’re trying to figure out how we make this happen.”

Business owners and managers continued at the meeting last week to speak about the need for providing affordable housing for employees. Several said they would like to see property developed to create housing.

Brian Carper, with Whitefish Mountain Resort, said the resort faces a disadvantage in drawing employees compared with other resorts in the ski industry in that it doesn’t have on-site housing.

“We are struggling to hire line cooks and it’s not just the wage,” he said. “It is a place to live.”

Carper said the resort is looking at options for housing on the mountain, but it faces challenges in construction.

“It’s at the forefront of our minds,” he said. “We may re-purpose some structures rather than build something.”

Reed said he is considering partnering with other businesses to create some type of affordable housing together.

“Finding the housing in town is critical,” he said.

Pat Carloss, owner of Tupelo Grille and Haskill Station, said he would like to see more affordable housing and that needs to be developed by finding land before it gets more expensive.

“We’re going to toss this around for awhile and we’re going to miss the opportunity,” he said. “We don’t have to look just inside Whitefish to find land.”

Brad Ridgeway, president of Glacier Restaurant Group, said hiring employees is a challenge in Whitefish, and almost all of the other towns where the group operates restaurants. He said it is difficult in Billings, Great Falls, Helena and Spokane, Wash.

“This is a Flathead Valley issue,” he said. “We need to think outside of Whitefish. We’re not seeing the seasonal workers we saw 10 years ago. They’re just not coming here because there is no housing.”

Ridgeway said his difficulty in hiring employees extends beyond seasonal workers.

“It’s not just line cooks,” he said. “We’re having a difficult time hiring accountants, marketing — it’s everywhere.”