Sweetgreen managers could earn more than $200,000 a year under a new pay plan, as the salad chain bets higher pay will lift sales

Sweetgreen, a popular fast-casual chain, plans to significantly increase the compensation packages for its managers starting next year. Under the new incentive plan, head coaches, or Sweetgreen managers, could earn more than $200,000 annually if they meet specific performance milestones. The new compensation structure combines a higher base salary, which could increase by up to 45%, with equity in the company.

Managers will also receive a revenue share bonus if their restaurants outperform sales goals, with the bonus percentage increasing based on their tenure with the company. Base salary increases will take effect in Q1 2027, while head coaches will start receiving quarterly bonuses based on store performance from January 2027.

Sweetgreen attributes this move to the rising labor and related costs impacting its earnings. During Q2 2025, labor costs accounted for 29% of revenue, up from 28% the previous year. Additionally, same-store sales and restaurant profits declined compared to 2025. CEO Jonathan Neman acknowledges that this is a bet on investing in additional compensation for managers but believes that it will attract, retain, and incentivize better head coaches, driving higher sales and better margins.

The fast-casual chain is not alone in betting on its managers. Chipotle announced in 2021 that workers in its highest general manager position could earn $100,000 on average. Sweetgreen took inspiration from chains like In-N-Out Burger and Raising Cane's, which offer their store managers salaries above $200,000 and monthly bonuses based on sales, respectively.

Sweetgreen plans to evaluate the effectiveness of this incentive program using metrics such as team member turnover, head coach stability, quality and experience scores, and internal mobility.