Business · Labour · Payroll taxes · Innovation

Cutting labour costs in the kitchen: equipment, remote and innovative solutions

Labour is the largest controllable cost in food service, and every paid hour also carries payroll taxes. At the same time, chefs and kitchen porters are harder to find every year. Using Irish figures for 2026, we work out what one working hour really costs, which equipment and remote solutions free up the most time, and how this reduces both the wage bill and payroll taxes.

€20.41employer cost of one hour at the sector average pay (€18.08/h, CSO Q2 2026)
€30.62one overtime hour paid at time-and-a-half
~27%of gross pay goes on PRSI, USC and income tax at the sector average
In this article
  1. What one working hour really costs in 2026
  2. Where kitchen time disappears
  3. Equipment that frees up the most hours
  4. Remote solutions
  5. Innovative solutions that already work
  6. Calculation: savings, taxes and payback
  7. Taxes and investment: what to consider
  8. Restaurant, café, canteen, hotel, takeaway
  9. How to implement: 6 steps
  10. Common mistakes
  11. Service, spare parts and downtime
  12. Solutions in the BHS range
  13. Frequently asked questions

01What one working hour really costs in 2026

Gross pay is not the employer’s full cost. Employer PRSI and pension contributions come on top, and the employee’s PRSI, USC and income tax are deducted from it. In Ireland the main 2026 parameters are:

  • National minimum wage — €14.15/h (aged 20+, from 1 Jan 2026)
    Who pays: —
  • Employer PRSI (Class A) — 11.40% of gross; 9.15% if weekly pay ≤ €552 (from 1 Oct 2026)
    Who pays: Employer, on top of pay
  • Employee PRSI — 4.35% if pay > €352/week (from 1 Oct 2026)
    Who pays: Deducted from pay
  • USC — 0.5% / 2% / 3% / 8% (bands to €12,012 / €28,700 / €70,044 a year)
    Who pays: Deducted from pay
  • Income tax — 20% up to €44,000 (single), 40% above; credits €4,000/year
    Who pays: Deducted from pay
  • Auto-enrolment pension (My Future Fund) — 1.5% employer + 1.5% employee (eligible staff, from Jan 2026)
    Who pays: Both
  • Overtime — no statutory premium; set by contract (often time-and-a-half)
    Who pays: Employer
  • Sunday work — premium, extra pay or time off required by law
    Who pays: Employer

Minimum wage vs the sector average

According to the CSO, average hourly earnings in accommodation and food services were €18.08 in Q2 2026 (preliminary) — the lowest of all sectors and only ~28% above the minimum wage (€14.15). The whole-economy average was €31.96, so the sector is at ~57% of it. Average weekly earnings in the sector are only €506.78 because the average paid week is 28 hours, so for a fair comparison we convert hourly rates to a full-time 39-hour week (~169 h a month):

Gross pay
Minimum wage
€2,391.35
Sector average
€3,055.52
National average
€5,401.24
+ employer PRSI
Minimum wage
€218.81
Sector average
€348.33
National average
€615.74
+ employer pension (1.5%)
Minimum wage
€35.87
Sector average
€45.83
National average
€81.02
= Employer cost
Minimum wage
€2,646.03
Sector average
€3,449.68
National average
€6,098.00
− employee PRSI (4.35%)
Minimum wage
€104.02
Sector average
€132.92
National average
€234.95
− USC and income tax
Minimum wage
€177.75
Sector average
€330.50
National average
€1,216.93
− employee pension (1.5%)
Minimum wage
€35.87
Sector average
€45.83
National average
€81.02
= Take-home pay
Minimum wage
€2,073.71
Sector average
€2,546.27
National average
€3,868.33
Taxes total (PRSI, USC, income tax)
Minimum wage
€500.58
Sector average
€811.75
National average
€2,067.63
Tax share of gross pay
Minimum wage
~21%
Sector average
~27%
National average
~38%
For €1 take-home, the employer pays
Minimum wage
€1.28
Sector average
€1.35
National average
€1.58
Employer cost per year
Minimum wage
~€31,750
Sector average
~€41,400
National average
~€73,180
One hour for the employer (~169 h/month)
Minimum wage
~€15.66
Sector average
~€20.41
National average
~€36.08
One overtime hour (time-and-a-half)
Minimum wage
~€23.49
Sector average
~€30.62
National average
~€54.12
⚖ What the comparison shows
1. The gap between the minimum wage and the sector average is €664 gross a month, but ~€804 for the employer (~€9,640 a year), because PRSI and pension come on top. 2. The tax share grows with pay: ~21% at the minimum wage, ~27% at the sector average and ~38% at the national average. A full-time minimum wage week (€551.85) sits just under the €552 PRSI threshold, so the employer pays 9.15%; any pay rise moves the whole wage to 11.40%. 3. The higher the pay, the more each routine hour costs — and the faster automation pays back (see section 06). Use your own figures in the calculation.
? What this means in practice
At the sector average and ~169 hours a month, one hour costs the employer ~€20.41, of which ~€4.80 is PRSI, USC and income tax. An overtime hour at time-and-a-half costs ~€30.62. So every hour saved reduces not only the wage bill but also employer PRSI, and every overtime hour avoided saves even more. All PRSI rates rose by 0.15 percentage points on 1 October 2026, with further increases announced for 2027 and 2028.

02Where kitchen time disappears

Most kitchen hours are not spent cooking but on routine: cleaning, washing up, peeling, monitoring and paperwork. These are exactly the tasks that are easiest to automate without losing quality.

Preparation
Peeling potatoes, cutting vegetables, kneading dough by hand. Repetitive work where a person is the slowest link.
Washing up
Plates, pots, GN pans, cleaning the oven after service. Often the last hour after closing — with overtime.
Monitoring
Temperature logs, watching the oven and pots, “standing next to it” so nothing overcooks.
Peak load
Everything has to be cooked at once, so you need more people at lunch and dinner — and they are idle the rest of the time.

03Equipment that frees up the most hours

The table shows indicative time savings for an average restaurant kitchen (100–250 covers a day). These are cautious assumptions for the calculation, not guaranteed results; your figures depend on the menu, volume and work organisation.

  • Combi steam oven with programmes and automatic cleaning — Unattended and overnight cooking, oven cleaning
    Saving*: 1–2 h/day · Extra benefit: Less weight loss, consistent results
  • Hood or conveyor dishwasher — High-volume dishwashing (cycle ~1–3 min)
    Saving*: 1–2 h/day · Extra benefit: Fewer breakages, less water and chemicals
  • Potato peeler + vegetable cutter — Peeling and cutting (60–120 kg/h peeler)
    Saving*: 1–2 h/day · Extra benefit: Uniform cut, faster cooking
  • Blast chiller (cook-chill) — Cooking ahead, outside peak hours
    Saving*: ~1 h/day · Extra benefit: Less overtime, less waste
  • Dough mixer, planetary mixer — Kneading and whipping
    Saving*: 0.5–1 h/day · Extra benefit: More consistent dough
  • Bean-to-cup coffee machine — Coffee without a barista
    Saving*: No extra person at peak · Extra benefit: Consistent quality, faster service
  • Ice maker — Making and carrying ice
    Saving*: 0.3–0.5 h/day · Extra benefit: Hygiene, no bought-in ice

* Indicative assumption for the calculation, not a manufacturer’s guarantee. Equipment: ovens, dishwashers, potato peelers, vegetable cutters, blast chillers, mixers, coffee machines, ice makers.

04Remote solutions

Remote solutions cut the time staff spend checking, recording and waiting — and the manager does not have to be on site to know what is happening in the kitchen.

Remote temperature monitoring
Wireless sensors in fridges, freezers and cold rooms measure every few minutes, keep a HACCP archive and send alarms to your phone. No more paper logs. Monitoring systems
Remote equipment diagnostics
Modern combi ovens, dishwashers and coffee machines can connect to the internet: software updates, error codes and service reminders remotely. The technician often knows the fault before arriving.
Central kitchen (cook-chill)
Cook in one place for several outlets, chill in a blast chiller and deliver. Outlets need fewer chefs — only reheating and serving.
Ordering without a waiter
QR menus, table ordering, self-service kiosks and online orders cut order-taking time and errors; staff can spend more time with guests.
? Evidence from practice
US quick-service franchisee Wenspok reported saving ~1 hour of labour per day in each of its 67 restaurants after introducing wireless temperature sensors and digital checklists (Food Logistics). Our calculation uses a more cautious 0.5 h/day. More in the article Automatic temperature monitoring for HACCP.

05Innovative solutions that already work

  • Self-learning cooking programmes — The oven detects the load and adjusts time, temperature and humidity; the core probe ends the cycle
    Impact on labour: A less experienced cook can run the oven
  • Overnight cooking (Delta-T, slow roasting) — Meat roasts overnight unattended, ready in the morning
    Impact on labour: Cooking moves outside working hours
  • Automatic chemical dosing — The system adds detergent for dishwasher and oven cleaning
    Impact on labour: No manual dosing, fewer errors and less waste
  • Heat recovery in dishwashers — Steam heat preheats incoming water
    Impact on labour: Less steam in the kitchen, lower energy bills
  • Sous vide and cook-chill — Cooking ahead at precise temperatures
    Impact on labour: Only finishing at peak; fewer people on service
  • IoT alarms and data analysis — Sensors and equipment send data to one dashboard
    Impact on labour: Problems spotted before they become downtime
  • Self-service kiosks — Guests order and pay themselves
    Impact on labour: Till staff move to the kitchen or floor

Many of these functions do not need a new kitchen — just the right model at the next replacement. For cooking ahead, see also sous vide circulators and vacuum equipment.

06Calculation: savings, taxes and payback

Example: a restaurant serving 150–200 covers a day, open 30 days a month, average hourly cost to the employer €20.41 (gross €18.08/h).

Combi oven with programmes and automatic cleaning
Hours a day
1.5
Hours a year
540
Saving a year
~€11,020
Hood dishwasher
Hours a day
1.5
Hours a year
540
Saving a year
~€11,020
Potato peeler + vegetable cutter
Hours a day
1.5
Hours a year
540
Saving a year
~€11,020
Blast chiller (cooking outside peak)
Hours a day
1.0
Hours a year
360
Saving a year
~€7,350
Remote temperature monitoring
Hours a day
0.5
Hours a year
180
Saving a year
~€3,670
Total
Hours a day
6.0
Hours a year
2,160 (~1.1 FTE)
Saving a year
~€44,090
Where the saving goesA year
Lower gross wage bill~€39,050
Less employer PRSI (11.40%)~€4,450
PRSI, USC and income tax no longer paid (proportionally)~€10,380
? Payback
Indicative investment in this example: combi oven (~€6,350), hood dishwasher (~€2,600), potato peeler (~€1,370), vegetable cutter (~€2,000), blast chiller (~€3,280), monitoring gateway with 5 sensors (~€665) — ~€16,260 excl. VAT in total. With ~~€44,090 saved a year, payback is ~4.4 months. If the equipment also removes overtime, payback is even faster. Calculate with your own wages, volumes and prices.
Employer cost per hour
Minimum (€14.15/h)
~€15.66
Sector average (€18.08/h)
~€20.41
National average (€31.96/h)
~€36.08
Saving a year (6 h/day, ~2,160 h)
Minimum (€14.15/h)
~€33,820
Sector average (€18.08/h)
~€44,090
National average (€31.96/h)
~€77,940
of which taxes
Minimum (€14.15/h)
~€6,400
Sector average (€18.08/h)
~€10,380
National average (€31.96/h)
~€26,430
Payback (~€16,260)
Minimum (€14.15/h)
~5.8 months
Sector average (€18.08/h)
~4.4 months
National average (€31.96/h)
~2.5 months

Full-time equivalent based on CSO average hourly earnings × 39 hours a week. Employer cost includes PRSI at the rate from 1 October 2026 and the 1.5% auto-enrolment contribution.

⚖ An honest word about savings
Hours saved do not always mean fewer staff. More often they mean: no need to hire another person as volume grows; less overtime and fewer Sunday premiums; staff doing more valuable work (cooking, guests) instead of peeling potatoes. If the time moves to revenue-generating work, taxes do not fall, but turnover per employee rises. Either way, the business wins.

07Taxes and investment: what to consider

  • Payroll taxes follow hours. Every hour not paid removes employer PRSI (11.40%) and the employee’s PRSI, USC and income tax on it, as well as auto-enrolment contributions. Overtime and Sunday premiums have the biggest effect, because PRSI is charged on the premium too.
  • Corporation tax and capital allowances. Trading profits are taxed at 12.5%. Catering equipment is written off through capital allowances (12.5% a year over 8 years). Energy-efficient models listed on the SEAI Triple E register may qualify for accelerated capital allowances — check the current conditions.
  • VAT. A VAT-registered business can usually reclaim the VAT paid on equipment, so the real investment is the price excluding VAT.
  • Leasing and rental. If you do not want to invest the full amount at once, spread the payments. The labour saving is often larger than the monthly payment. See equipment rental.
  • Undeclared work is not a solution. Taxes can only be lawfully reduced by fewer hours worked and higher productivity, not by unreported pay, which carries serious risks.

Tax information is general and based on 2026 rates (Revenue, Citizens Information). For your situation, consult your accountant or tax adviser.

08Restaurant, café, canteen, hotel, takeaway

  • À la carte restaurant — Watching the stove, washing up after closing
    Biggest saving from: Combi oven, hood dishwasher, sous vide
  • Café, bistro — Coffee at peak, washing up, paperwork
    Biggest saving from: Bean-to-cup coffee machine, monitoring, compact dishwasher
  • Canteen, central kitchen — Large volumes, vegetables, pots
    Biggest saving from: Peelers, cutters, combi ovens, conveyor dishwasher, blast chiller
  • Hotel — Breakfast peak, several kitchens and bars
    Biggest saving from: Combi ovens with overnight cooking, monitoring in all areas, coffee machines
  • Takeaway, quick service — Taking orders, packaging
    Biggest saving from: Kiosks, online orders, blast chiller, vacuum
✎ What it looks like in practice
A typical situation: a canteen peels around 40 kg of potatoes and cuts vegetables for salads by hand every day — two people busy for about two hours each morning. With a 120 kg/h peeler and a vegetable cutter, one person does the same in under an hour. The freed time goes into cooking, and as covers grow there is no need to hire an extra person.

09How to implement: 6 steps

  1. Measure. For one week, record how many hours a day go on cleaning, washing up, peeling, paperwork and overtime.
  2. Rank by value. Start where there are the most hours and where overtime occurs.
  3. Calculate. Hours × €20.41 (or your hourly cost) × 360 days, and compare with the equipment price excluding VAT.
  4. Check the room. Electrical capacity, water, ventilation. See Electrical power for a professional kitchen.
  5. Train. Equipment saves time only if staff use the programmes and automation.
  6. Measure again after 2 months and redirect the freed time.

If you are equipping a new kitchen, plan the workflow at the design stage — kitchen project and design. Budget split — see How much does it cost to equip a café, pizzeria or restaurant in 2026.

10Common mistakes

  • Buying equipment without changing the process — The machine sits idle, hours do not fall
    Solution: Introduce programmes, train, measure
  • Choosing the cheapest model without automation — Cleaning and monitoring stay manual
    Solution: Compare total cost, not just price
  • Capacity too small — Queues at peak, an extra person needed again
    Solution: Size for the peak hour, not the average
  • No maintenance — Downtime at peak, work back to manual
    Solution: Service contract, spare parts in stock
  • Judging savings only by headcount — Less overtime and lower taxes go unnoticed
    Solution: Count hours, premiums and PRSI

11Service, spare parts and downtime

Automation only pays off if the equipment runs. If the dishwasher stops at peak time, the work goes straight back to manual — often with overtime. That is why service is part of the labour saving calculation.

BHS serviceInstallation, maintenance and fast repair so that automation keeps running
24/7customer service
+371 25 522 233
On siteservice and diagnostics at your premises
In stockspare parts warehouse in Riga
20+ yearsexperience servicing professional kitchen equipment

Planned maintenance, descaling, replacement of heating elements, pumps and motors, equipment set-up and staff training. Long-term maintenance contracts with priority response. About BHS service →

The most frequently replaced parts on automated equipment: heating elements, pumps, motors, thermostats and water filters, which protect dishwashers and combi ovens from limescale. All categories — BHS spare parts.

12Solutions in the BHS range

A few examples to start with; prices from the BHS range in October 2026.

PreparationPotato peeling machine 120 kg/hPeels large volumes while the cook does something else.€1,370.25 excl. VATView product →
PreparationVegetable cutter CA-3V (Sammic)High-volume vegetable cutting with a range of discs.€1,999.00 excl. VATView product →
Combi ovenConvotherm easyTouch mini 6.06Compact combi oven with programmes and a multi-point core probe.€6,348.00 excl. VATView product →
WashingHood dishwasher HK850ESIHood-type machine for 500 × 500 mm racks and high throughput.€2,599.00 excl. VATView product →
Cook-chillBlast chiller BLCA10X1 (TEFCOLD)10 × GN 1/1, 40 kg per chilling cycle, HACCP data.€3,279.00 excl. VATView product →
RemoteMonitoring gateway BTCPIPLRX2The heart of the system: sensor data in the cloud, alarms, HACCP reports.€289.00 excl. VATView product →
RemoteWireless sensor with probe BBDS18B20For fridges, freezers and cold rooms.€74.99 excl. VATView product →

Prices excl. VAT and subject to change. Hood and conveyor dishwashers — in the washing equipment category. Want to try first? Equipment rental is available.

Customer review

“[PASTE A REAL CUSTOMER REVIEW — how many hours or overtime hours were saved after introducing the equipment.]”

— [Name, position], [business, city]

13Frequently asked questions

Does automation mean letting staff go?

Usually not. The sector is short of staff, so the biggest gains are less overtime, no need to hire extra people and existing staff doing more valuable work.

How do I calculate my hourly cost?

Gross monthly pay × 1.129 (employer PRSI 11.40% + pension 1.5%), divided by hours worked in the month. At €18.08/h and 39 hours a week that is ~€20.41.

How does reducing labour affect taxes?

Fewer paid hours mean a smaller wage bill on which employer PRSI (11.40%), employee PRSI (4.35%), USC and income tax are charged. For every €1 of gross pay saved, the employer saves ~€1.13.

Which equipment pays back fastest?

The one that replaces the daily routine with the most hours: often the dishwasher, potato peeler or a combi oven with automatic cleaning. Remote monitoring is the cheapest place to start.

Can I lease or rent the equipment?

Yes. Leasing or rental spreads the payments, and the labour saving often covers the monthly instalment.

Does BHS help calculate the saving?

Yes. We help assess the kitchen workflow, choose equipment and calculate payback. Call +371 25 522 233.

Want to cut labour costs in your kitchen?

Tell us where your team spends the most time — we will help choose equipment and remote solutions, calculate payback, deliver across the Baltics and Europe, install and provide service.

This article is for information only and is not tax or legal advice. Rates reflect Irish rules for 2026 (PRSI from 1 October 2026); they may change. Time savings and calculations are indicative assumptions; actual results depend on the business’s volume, menu and work organisation. Sources: CSO (Earnings and Labour Costs Q2 2026, preliminary), Revenue, Citizens Information, Zellis Tax Facts Ireland 2026, Saffery (PRSI changes October 2026), Food Logistics.