Minimum wage hikes in many states around the country and sky-high inflation are crushing independent restaurants that don’t want to raise prices on their customers, according to the Wall Street Journal.
In January, 22 states raised their minimum wage for hourly workers, according to the WSJ. Around 59 percent of small business owners said that higher labor costs were the biggest source of inflation in January, requiring price hikes to maintain current revenue levels.
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An increasing number of restaurants and bars across the country are keeping a stock of Naloxone, an antidote to fentanyl and opioid overdoses, according to The New York Times.
Local officials and nonprofit organizations are ramping up efforts to more bars and restaurants as overdoses become all too common in public spaces, according to the NYT. Between February 2022 and February 2023, there were more than 105,000 reported drug overdoses in the U.S., according to provisional data from the Centers for Disease Control and Prevention (CDC).
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Grover Norquist, founder of Americans for Tax Reform, said on Fox News Tuesday that the expanded Internal Revenue Service wouldn’t just go after billionaires and large corporations.
“They are targeting people that they keep telling us they think are – restaurants and barber shops and so on,” Norquist told “America Reports” guest host Gillian Turner. “That’s their target, and we know this because every single Democrat in the Senate voted against, to defeat an amendment which said this law will not allow any increase in audits on people making less than $400,000 a year.”
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Toast, Inc. officials announced Thursday that the company will establish its new configuration facility in Davidson County, selecting Antioch as the first location. The company expects to create more than 100 new jobs over the next five years in the greater Nashville region.
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A new labor market survey found that a majority of employers, particularly restaurants, still cannot find enough workers.
The new report from Alignable said that 83% of restaurants can’t find enough workers. Overall, the report found that “63% of all small business employers can’t find the help they need, after a year of an ongoing labor shortage.”
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Americans are seeing the real costs of inflation in their daily lives as they pay record high gas prices, significantly increased grocery costs, and suffer sticker shock at restaurants, hair salons and other places.
Restaurants are charging more, with some posting notices on their doors. Increased prices, they say, are necessary to stay open simply to cover their increased costs for cooking oil and other goods. Some restaurants post signs accompanying empty containers to show that while they’re not increasing prices, their portion sizes are smaller.
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Arizonans ended the year with lower consumer confidence than there had been in the three months prior.
The Greater Phoenix Chamber released its 2021 fourth quarter Arizona Business Index, a poll conducted by OH Predictive Insights. It showed that consumers have less confidence in the economy fell in the third quarter.
The Economic Optimism Index dropped 4.81 points to 74.5. Notably, 85% of consumers think prices will increase, up 2.6% from the third quarter; and 73% think interest rates will rise, a 5.9% increase over the third quarter.
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As the COVID-19 pandemic continues into its third year, William Paterson University is now laying off 100 full-time faculty over the next three years.
The university, located in Wayne, New Jersey, originally planned to let 150 professors go before union negotiations revised the number to 100, or 29% of the institution’s 340 faculty, reports Inside Higher Ed.
Thirteen tenured professors lost their job at the end of 2021, according to the outlet.
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According to the Michigan Restaurant and Lodging Association (MRLA), about nine out of 10 restaurants and hotels are operating with too few employees.
On June 22, state officials lifted COVID-related restrictions on restaurant capacity.
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Fast food chain McDonald’s is requiring all its staff and customers, vaccinated and unvaccinated, to resume wearing masks in its restaurants in areas deemed high risk by the Centers for Disease Control and Prevention (CDC).
The company first announced its new rules in an internal memo to franchisees and workers, CNBC reported. The rules, which went into effect Monday, follow updated guidance last week from the CDC, which recommended fully-vaccinated Americans wear masks indoors to prevent the spread of the delta variant of coronavirus.
McDonald’s told the Daily Caller News Foundation the change in policy was due to the CDC’s updated guidance, and said the company was following the science in making its decision.
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A majority of Americans support requiring proof of vaccinations when traveling on planes and attending events with large crowds, a Gallup poll released Friday shows.
The survey found that 57% of Americans supported requiring proof of vaccination on airplanes and that 55% supported requiring proof for events like concerts, shows and live sports. Just 43% and 45% of Americans said they were opposed, respectively.
Majorities of Americans, however, rejected “vaccine passports” for dining at restaurants, going to work and staying in a hotel. Just 40%, 45% and 44% of Americans supported requiring proof of vaccination for each activity.
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As sales slowly improve, Ohio’s restaurants and bars now face another issue that threatens ongoing COVID-19 pandemic recovery efforts: lack of employees.
Ohio Restaurant Association President and CEO John Barker believes the intentions behind continued federal and state stimulus benefits are good, but a consequence is a lack of available employees as the state eases COVID-19 restrictions and customer traffic increases.
“Unemployment is an issue. There’s no question about it,” Barker said. “The intention by the government, both at the federal and state level, was to take care of people who are displaced and very much in need. It was the right thing to do. The problem we have now is these are looking like they’re going to be extended all the way through the fall. On top of that, people are getting big stimulus checks. And in some cases, they may be making more money staying at home than going back to work. And so, it’s a combination of factors.”
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Faced with continued closures, layoffs and an upcoming extension of a statewide curfew, Ohio restaurants and bars want Congress to move quickly to pass relief.
In a letter to Ohio’s U.S. senators as well as the House and Senate leadership, the Ohio Restaurant Association said things are worsening in the state and asked for a return to negotiations.
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Nashville’s restaurants are limited to 50% capacity and subject to a 10 p.m. curfew on food and beverage service despite no record of COVID-19 case clusters being connected to a restaurant since June.
The new restrictions by Nashville’s Metro Public Health Department, which were announced last week by Mayor John Cooper, went into effect Monday.
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With Ohioans facing an ongoing curfew and continued pressure from Gov. Mike DeWine to stay at home, the state’s largest city plans to take steps to help both restaurants and their customers.
In an effort to help small businesses and the restaurant community, the Columbus City Council announced plans for legislation to cap third-party delivery services, according to President Pro Tem Elizabeth Brown and Council President Shannon G. Hardin.
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U.S. District Judge Paul Maloney on Friday denied a request for a temporary restraining order to block Michigan Department of Health and Human Services (MDHHS) Robert Gordon’s orders that is shuttering indoor dining service for three weeks.
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Gov. Tim Walz hinted Monday he would enact targeted restrictions to slow the spread of COVID-19 but didn’t describe the new rules planned.
Walz said the state health department had identified three major infection sources of spread: social gatherings, bars and restaurants.
It appears as if those restrictions will mostly affect bars and restaurants.
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The state of Michigan eased a requirement that restaurants deny entry to customers who don’t give their contact information for contact tracing after a civil liberties group stepped in.
The new Michigan Department of Health and Human Services (MDHHS) FAQ page only recommends facilities deny entry to customers who refuse to provide contact information to the restaurant.
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Friendly’s Restaurants, the 85-year-old East Coast dining chain known for its Fribble milkshakes and ice cream sundaes, is filing for bankruptcy protection.
It joins a growing list of well-established restaurant chains that are failing due to an unchecked pandemic in the United States.
George Michel, CEO of FIC Restaurants Inc., Friendly’s parent company, said COVID-19 has had a “catastrophic impact” on operations. FIC will sell essentially all of its assets to the restaurant company Amici Partners Group.
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The Michigan Department of Health and Human Services (MDHHS) is imposing more restrictions on indoor areas beginning Monday.
“The only way to beat COVID is to act on what we’ve learned since March,” MDHHS Director Robert Gordon said in a statement. “Wear masks. Keep six feet of distance. Wash hands. And avoid the indoor get-togethers where we have seen COVID explode.”
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The Daily Caller reports, New York City could see up to half its restaurants and bars close permanently in the next six months because of the coronavirus pandemic, according to a new audit released Thursday from the New York State Comptroller Thomas DiNapoli.
“New York City’s bars and restaurants are the lifeblood of our neighborhoods. The industry is challenging under the best of circumstances and many eateries operate on tight margins. Now they face an unprecedented upheaval that may cause many establishments to close forever,” DiNapoli said, according to an official statement.
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New York City plans to make its flourishing outdoor dining economy a permanent fixture of the city’s landscape going forward, municipal officials said in a press release on Friday.
The city’s “Open Restaurants” program, which has enrolled thousands of establishments since it debuted in June, “will be extended year-round and made permanent,” the city announced in the press release.
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The coming cold weather will hurt restaurants operating at reduced indoor capacity.
The Michigan Restaurant & Lodging Association (MRLA) estimates 4,000 restaurants, or 22% of those in the state, likely won’t survive past February.
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When Nashville Mayor John Cooper announced at a July 2 press conference that he was shutting down all the city’s bars for 14 days, reducing restaurant capacity from 75 percent to 50 percent, and temporarily closing event venues and entertainment venues, all due to “record” cases of COVID-19 traceable to restaurants and bars, he apparently knew that his own Metro Health Department said less than two dozen cases of COVID-19 could be traced to those establishments. But he failed to disclose that the “record” of bar and restaurant traceable cases to which he referred to was about one tenth of one percent of Davidson County’s 20,000 cases of COVID-19.
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Tennessee issued new business guidance Wednesday that will end capacity restrictions for restaurants and retail shops and permit large noncontact attractions to open in 89 of the state’s 95 counties.
Attractions that now can reopen include amusement parks, zoos, large museums and theaters.
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Gov. Tim Walz announced Wednesday that bars and restaurants can now host up to 50 people for outdoor dining, but churches are still required to limit both indoor and outdoor services to 10 people.
The governor was asked during his Wednesday press briefing why restaurants can host 40 more people than churches for outdoor gatherings.
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Bonfire Restaurants announced Friday that it will permanently close all five of its Minnesota locations because of the economic damage caused by the coronavirus pandemic.
The company said in a statement that its locations in Blaine, Eagan, Mankato, Savage, and Woodbury will not be reopening.
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Between Health Director Dr. Amy Acton sneaking in an extension of her dining orders until July 1 and Governor Mike DeWine assembling a restaurant police force, one may wonder if Ohio is really reopening.
Late last Thursday, following the final press conference of the week, Acton issued the “Director’s Dine Safe Ohio Order,” which is available here. The order allowed outside restaurant dining as of last Friday.
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Georgia’s restaurants and barber shops are seeing a slow but steady increase in traffic after Gov. Brian Kemp began easing up the economic lockdowns he imposed to slow the coronavirus pandemic, location data show.
Visits to the state’s barber shops and tattoo parlors increased to 80% of pre-coronavirus levels after Georgia began rolling back own stay-at-home orders on April 24, according to data released by Foursquare, a location technology platform. Data also show restaurants are on the rebound.
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Ohioans waiting to go to bars, eat at restaurants, get their hair cut, or nails done will not have to wait much longer, as Gov. Mike DeWine announced that next Friday these businesses will open in some capacity.
“Reopening Ohio is a risk, but it’s also a risk if you don’t move forward. We’re on a dangerous road that has never been traveled before in Ohio and the danger is that we relax and stop taking precautions,” DeWine said. “All of us collectively control this. I ask you to take calculated risks and make good judgments. Continue social distancing, washing your hands, and wearing face coverings. If you aren’t concerned with what happens to you, do it for others.”
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Ohio Gov. Mike DeWine said he is forming a pair of advisory groups tasked with developing best practices for reopening dine-in restaurants, barbershops and salons.
The group will develop recommendations to protect the health of employees and customers as businesses reopen. It will be comprised of relevant business associations, Ohio House Speaker Larry Householder, R-Glenford; Senate President Larry Obhof, R-Medina; House Minority Leader Emilia Strong Sykes, D-Akron; and Senate Minority Leader Kenny Yuko, D-Richmond Heights.
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Restaurants throughout 89 Tennessee counties reopened their doors to dine-in customers Monday with some regulations to increase sanitation and promote social distancing in accordance with Gov. Bill Lee’s Tennessee Pledge.
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Members of the Memphis Restaurant Association want to go back to work after COVID-19 forced them to close down.
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Even as Ohio Gov. Mike DeWine orders state departments to cut up to 20 percent of their budgets and implement a hiring freeze, state workers are not feeling the coronavirus economic burn like the private sector.
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Tennessee Gov. Bill Lee issued an executive action Sunday ordering the closure of bars, restaurants, and other places of public accommodation in response to the coronavirus pandemic.
“The COVID-19 pandemic has created both an economic and a health crisis and our response must continue to address both aspects,” Lee said in a statement. “Our goal is to keep the public, especially vulnerable populations, safe while doing everything possible to keep Tennesseans in a financially stable position.”
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During the top of the third hour on Monday’s Tennessee Star Report with Michael Patrick Leahy, Metro Councilman Steve Glover gave his take on how he thought the city of Nashville may have made drastic decisions without thoroughly thinking through the consequences. He suggested that the city needs to look at the economic impact of all the things that have occurred to us over the last two to three weeks as our number one priority.
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by Tim Pearce California’s minimum wage increase has cost the state thousands of jobs worth of growth in the state’s booming restaurant industry, according to a recent study by the University of California Riverside. Delayed Effects California passed a bill in 2016 to bring the state’s minimum wage up to $15 an hour. For businesses with more than 25 employees, the state’s minimum wage rose to $12 in January and will hit $15 in January of 2022. Other businesses have until 2023 before the full $15-an-hour minimum takes effect. “The research does not suggest that the minimum wage should not rise or that rising wages do not have any benefits,” the study’s author Christopher Thornberg said in a statement, according to Restaurant Business Online. “However, increases to the state’s minimum wage in recent years have been the fastest since California first set a minimum wage in 1916 — and that pace is creating certain negative consequences for smaller businesses and people who need the most help rising out of poverty,” Thornberg said. Minimum Wage Hurts Restaurants Most “Data analysis suggests that while the restaurant industry in California has grown significantly as the minimum wage has increased, employment in the industry has grown more slowly than it would…
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