Latest news with #StateoftheRestaurantIndustryReport
Yahoo
24-04-2025
- Business
- Yahoo
'This might be the thing that breaks us': NYC businesses are furious with new law that hurts their bottom line
When New York City announced plans to move forward with congestion pricing in early 2025, commuters weren't happy. The purpose of congestion pricing is to pump more revenue into the city and alleviate traffic by discouraging visitors to enter by car. However, it's not just people entering NYC who are unhappy with congestion pricing. The policy is hurting local businesses, too. I'm 49 years old and have nothing saved for retirement — what should I do? Don't panic. Here are 5 of the easiest ways you can catch up (and fast) Thanks to Jeff Bezos, you can now become a landlord for as little as $100 — and no, you don't have to deal with tenants or fix freezers. Here's how Nervous about the stock market in 2025? Find out how you can access this $1B private real estate fund (with as little as $10) NYC restaurant owner Christophe Caron of Delice & Sarrasin fame says running his restaurant has become more expensive since congestion pricing started in January. And the problem has gotten so bad that he's not sure his restaurant will be able to hang on. "We've survived a lot, but this might be the thing that breaks us," Caron shared with Fox 5 New York News. The restaurant industry as a whole has taken a bit of a beating in the past five years. In 2020, stay-at-home orders hurt many NYC-based restaurants that rely on steady foot traffic to offset the high cost of rent. Once that situation eased, inflation started soaring, hurting restaurants' profits. And it's been a problem ever since. On a national scale, nearly 80% of restaurants reported rising food costs in 2024, according to Restaurant365's 2025 State of the Restaurant Industry Report. Labor costs also rose for 90% of restaurants. The National Restaurant Association also reports that inflation is straining restaurants, and that between February 2020 and June 2024, food costs for the average restaurant rose 29% while labor costs rose 31%. But that's not all. Expenses like rent, supplies and credit card processing fees have also risen, straining restaurants even more. Throw in congestion pricing, and NYC restaurants are truly having a tough go. Andrew Rigie, executive director of the NYC Hospitality Alliance, says many restaurants are now looking at not just higher costs, but fewer customers. 'While some restaurants have unfortunately reported a drop in business due to congestion pricing, many have also told us that their vendors have raised prices or added congestion-related fees to their bills — making it even more expensive to operate a small business in Manhattan,' Rigie shared with AMNY. Caron has seen his costs rise substantially since congestion pricing was implemented early in the year. Now, some of his suppliers have started adding a $10 delivery fee per order to cover the $9 congestion price toll they're being hit with. "The cost of food has already gone up," said Caron. "Now they're making it harder to even get it to the kitchen." Read more: This hedge fund legend warns US stock market will crash a stunning 80% — claims 'Armageddon' is coming. Don't believe him? He earned 4,144% during COVID. Here's 3 ways to protect yourself The purpose of congestion pricing in NYC is to reduce traffic as well as air pollution and emissions. Congestion pricing was also implemented to raise revenue for public transit improvements, but critics of the program are quick to point out that it's just another money grab for NYC. According to more than 700,000 vehicles drive into Manhattan every day. Now, drivers have to pay an extra $9 to enter Manhattan's Congestion Relief Zone between 5:00 a.m. and 9:00 p.m. daily. Congestion pricing also applies on weekends between 9:00 a.m. and 9:00 p.m., which means it's not just daily commuters who are looking at higher costs. Visitors from surrounding suburbs are also going to be charged a premium to enter the city by car on weekends. Daily commuters may have no choice but to pay congestion tolls since they have to get to work. But if visitors from nearby areas decide they're not willing to pay the extra money, this means a lot of local businesses, including restaurants, could see a serious decline in weekend foot traffic. That's a hit that many restaurants can't afford. To be clear, it's not that congestion pricing just goes away outside of the aforementioned hours. Rather, the $9 toll decreases to $2.25. But all told, people looking to drive into NYC have few options for avoiding congesting pricing. Of course, part of the purpose of congestion pricing is to encourage people to access NYC by public transportation. But that can be prohibitively expensive in its own right. A roundtrip ticket to NYC from nearby New Jersey can cost upward of $34 for one adult. This means a couple is looking at spending more than $70 on public transportation for a date night in Manhattan, making congestion pricing the more economical option — 'economical' being a relative term. Taxis, app-based for-hire vehicles and sightseeing buses are also subject to congestion pricing. These costs, as they get passed along to customers, are likely to drive consumers away. All told, local businesses in NYC could see a drop in visitors as more and more people say no to congestion pricing. So while the extra revenue might help the city, it could be just the thing that shutters more local businesses and drives costs up even more for residents. Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan 'works every single time' to kill debt, get rich in America — and that 'anyone' can do it Rich, young Americans are ditching the stormy stock market — here are the alternative assets they're banking on instead Here are 5 'must have' items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you? This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
Associated Press
18-03-2025
- Business
- Associated Press
From Want Ad to Workforce: How Tech is Serving Up Faster Hiring and Longer Retention in Restaurants
Automation Technology Reduces Hiring Times, Boosts Employee Engagement and Empowers Managers to Focus on Operations WASHINGTON, March 18, 2025 /PRNewswire/ -- Between 2025 and 2035, the restaurant and foodservice industry is projected to add 150,000 jobs per year, bringing total industry employment to 17.4 million people. Whether it's an independent operator hiring a few dozen people per year, or a large national brand hiring several thousand, employee recruitment and retention is a hands-on and time-consuming process. The new Workforce Technology Research Insights from the National Restaurant Association, highlights how technology is transforming restaurant recruitment, helping operators streamline hiring and retention efforts while freeing managers to focus on developing teams, optimizing operations, and delivering excellent customer experience. 'More than 80 percent of restaurant operators say that technology gives them a competitive advantage, and we're seeing that in hiring,' said Dr. Chad Moutray, vice president of Research and Knowledge for the National Restaurant Association. 'By integrating automation and AI-powered tools, restaurants are reducing hiring times, enhancing employee engagement, and fostering a workplace culture that supports long-term retention.' How Operators are Modernizing and Speeding Up the Hiring Process AI-driven technology solutions are revolutionizing the hiring process for many operators, making recruitment faster, smarter, and more cost-effective. Applicant tracking systems (ATS), chatbots, and automated scheduling tools help manage high application volumes, shorten hiring timelines, and connect employers with top talent more efficiently. Mobile-friendly applications, text-to-apply options, and QR code integrations also make the application process more accessible and convenient for job seekers. By simplifying the hiring process, technology is not only saving the operator time and money, it is also enhancing the candidate experience. In fact, speed in hiring is now a key competitive advantage. To streamline the process further, 37 percent of restaurant operators plan to adopt automated labor management and recruitment systems. The Importance of Experience in Hiring and Retention While hiring has become easier, retaining employees remains a priority, particularly in management and back-of-house roles. The 2025 State of the Restaurant Industry Report found that 54 percent of operators report difficulty filling these positions, highlighting why workforce planning remains essential for long-term stability. To improve retention, operators are focused on technology that delivers structured onboarding programs, leadership development, and real-time feedback tools. The first 30 to 90 days are critical for retention, and investing in mentorship, training, and digital engagement tools has helped operators strengthen employee commitment. The Value Proposition for Operators and Workers By streamlining hiring and improving onboarding, technology allows managers to focus on operational priorities. At the same time, digital tools are helping employees feel more engaged and supported, whether through clearer career pathways, mentorship programs, or real-time feedback mechanisms. 'Technology is playing a fundamental role in reshaping management practices, benefiting both operators and employees,' said Moutray. 'At the end of the day, it is important for restaurant managers to focus more time on running their restaurants, and increased automation can help free them up to do so.' Moutray added, 'That is leading to a growing number of operators investing in automation (37 percent) and AI-driven solutions (28 percent), recognizing that a well-supported workforce leads to greater efficiency, stronger teams, and long-term business success.' Click here to download the Workforce Technology Research Insights, supported by Paradox. About the National Restaurant Association Founded in 1919, the National Restaurant Association is the leading business association for the restaurant industry, which comprises more than 1 million restaurant and foodservice outlets and a workforce of more than 15.7 million employees. Together with 52 State Associations, we are a network of professional organizations dedicated to serving every restaurant through advocacy, education, and food safety. We sponsor the industry's largest trade show ( National Restaurant Association Show); leading food safety training and certification program ( ServSafe); unique career-building high school program ( the NRAEF's ProStart). For more information, visit and find WeRRestaurants on Twitter, Facebook and YouTube.
