A survey of almost 1,000 service industry professionals by PeopleMatter found that 70% struggle to identify top candidates for hourly positions and three in five are unsatisfied with the applicant quality.

In addition, 67% surveyed need more applicants than they receive, according to PeopleMatter.

The survey also found turnover was a one of the biggest challenges, with respondents reporting annual turnover rates for their hourly employees to be 49% with an average cost of $4,969 per employee.

The biggest concerns for this year, according to the study, include healthcare reform, competition for talent, minimum wage increases, rising food costs and an unstable economy.

PeopleMatter is a workforce management platform for service-industry brands.