Home News Red Lobster’s Comeback Plan Offers CEOs 3 Unexpected Workplace Lessons

Red Lobster’s Comeback Plan Offers CEOs 3 Unexpected Workplace Lessons

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Whether you’re a U.S. president making policy choices that will impact generations or a CEO tasked with resuscitating a struggling brand, swift transformation is necessary when your back is against the wall. Red Lobster recently found itself at such a crossroads. After exiting bankruptcy in September, newly appointed CEO Damola Adamolekun faced the challenge of revitalizing the brand.

During a recent appearance on The Breakfast Club, Adamolekun shared some of his strategies for turning Red Lobster around. While his focus was on improving the dining experience, the core principles behind his approach offer beneficial reminders to CEOs looking to build a healthier, high-performing workforce.

1. Upgrade Your Service

Adamolekun introduced the “RED Carpet Hospitality” model, which stands for recognize, engage, and delight. He explained, “When people walk in, you need to recognize them immediately. There should be somebody smiling at the post stand to greet them. Within 10 feet, you acknowledge them. Within 4 feet, you speak to them. We call it the 10-to-4 rule.”

This same philosophy and model applies to the workplace. Leaders who actively engage with their teams, not just in performance reviews but also in daily interactions, create stronger connections, higher retention, and greater workplace satisfaction. The modern workforce seeks more than just a paycheck; they want to feel valued and invested. For example, companies could adopt a more personalized, data-driven approach that supports employees holistically instead of reactive, one-size-fits-all wellness programs. A proactive focus on precision wellness, mental resilience, and workplace culture creates an environment where employees thrive—not just survive.

2. Upgrade Your Menu

Balancing tradition with innovation is essential in hospitality. Red Lobster has maintained its core menu but reintroduced fan favorites such as hush puppies while introducing newer, more cost-friendly items such as lobster rolls to meet changing customer expectations and the average person’s economic standing. Likewise, companies must reassess their employee benefits and current realities. Outdated wellness perks and generic programs no longer resonate.

Today’s employees seek comprehensive support beyond physical health. A recent survey spanning multiple demographics revealed that financial security ranks alongside health as a top priority for employees. Mental and emotional well-being are directly linked to both. Forward-thinking leaders understand that investing in high-value benefits such as financial planning resources, mental health support, and performance optimization programs pays dividends in retention, engagement, and long-term productivity.

3. Upgrade Your Ambiance

Adamolekun acknowledged that while Red Lobster needs a full-scale remodel, immediate improvements were necessary. Instead of waiting for a massive overhaul, he focused on small, high-impact changes: improving the music selection, refining table settings, and addressing the overall dining experience through the margins.

The same principle applies to workplace environments. Subtle but meaningful upgrades such as better lighting, ergonomic workstations, and movement-friendly office spaces can significantly impact productivity and well-being. Research published in IIE Transactions on Occupational Ergonomics and Human Factors found that, over a couple of months, the inclusion of standing desks led to a 45% increase in productivity among office workers. Leaders don’t need to wait for a major restructuring to create a more dynamic work environment. Strategic, incremental changes can improve their team’s energy levels, focus, and morale.

Turnarounds Take Time. But Action Starts Now

Red Lobster’s attempted revival and the principles it’s practicing are applicable to more than just the hospitality industry. The principles behind its turnaround apply directly to organizations looking to attract top talent, optimize workforce performance, and create a culture of long-term success. Just as Red Lobster redefines its menu, service, and ambiance to reinvigorate its standing in the marketplace, CEOs must rethink how they approach employee engagement, workplace culture, and health. Transformation doesn’t happen overnight, but proactive companies will be the ones that lead the future.

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