Workforce

Restaurant hiring slowed in August, new stats show

Eating places and bars added about 25% of the employees they did the previous month, according to the Bureau of Labor Statistics. They remain 600,000 jobs short of pre-pandemic levels.
Photograph: Shutterstock

Restaurants and bars slowed their hiring in August, filling just 18,200 jobs, or about a quarter of the vacancies they filled the prior month, according to new government statistics. 

The figures released Friday by the U.S. Bureau of Labor Statistics show the industry is still about 600,000 workers short of its pre-pandemic employment level. 

BLS reported an overall slowdown in hiring and job creation for the month. The agency said the number of unemployed workers rose by 344,000 in August, nudging up the unemployment rate by two tenths of a percentage point, to 3.7%. In total, 6 million Americans were unemployed at the end of the month, the agency said.

Restaurants and other businesses in the agency’s Leisure and Hospitality Sector followed the trend. They collectively filled 31,000 jobs last month, compared with 95,000 hires in July and 202,000 in August of last year.

Hiring by retailers and employers of temporary service workers—two businesses that compete head-to-head with restaurants for labor—both posted increases in hiring.

BLS noted that the pandemic continues to have a negative effect on employment. About 1.9 workers reported to the agency that they’d not worked or had their hours cut in August because their employers had closed or lost business because of COVID-19.

Another finding with significance for restaurants: The percentage of people who worked at home because of the pandemic declined to 6.4%, from a level of 7.1% in July. The news is likely to be welcomed by bakery-cafes and other concepts that depend on office workers for their breakfast and lunch traffic.

Members help make our journalism possible. Become a Restaurant Business member today and unlock exclusive benefits, including unlimited access to all of our content. Sign up here.

Multimedia

Exclusive Content

Leadership

Meet the restaurant fixer who now owns Etta

Tech entrepreneur Johann Moonesinghe suddenly finds himself leading a growing group of restaurants. His secret? He doesn't expect to make a profit.

Financing

Looking for the next Chipotle? These 3 chains are already there

The Bottom Line: Wingstop, Raising Cane’s and Jersey Mike’s have broken free from the pack of well-established growth chains. Here’s why this trio stands out.

Financing

For Starbucks, 2 years of change hasn't yielded promised results

The Bottom Line: The coffee shop giant’s sales struggles worsened earlier this year, despite a flurry of efforts to improve operations and employee satisfaction.

Trending

More from our partners