In a promising sign of economic recovery, U.S. restaurant employment has finally rebounded to pre-pandemic levels, as reported by the Bureau of Labor Statistics (BLS) in its monthly U.S. employment report released on Friday. The data suggests a potential resurgence in the leisure and hospitality sector, which was among the hardest-hit industries during the COVID-19 pandemic.
According to the BLS report, the number of Americans employed in the food service industry surged by 61,000 in September compared to the previous month. This robust growth accounted for the majority of jobs added in the broader leisure and hospitality sector, which recorded an impressive increase of 96,000 jobs during the same period. This surge in restaurant and bar employment nearly doubled the average of 37,000 jobs added monthly over the past year.
Overall, the U.S. job market displayed resilience, with American employers adding 336,000 jobs in September. However, the unemployment rate remained steady at 3.8%, consistent with the previous month’s figures.
The remarkable recovery in food service employment can be attributed to several factors. Acting Labor Secretary Julie Su emphasized that strong wage gains, particularly among lower-paid workers, have injected vitality into the economy. This increase in income allowed restaurant and bar employees to earn enough to fuel further job growth, even in an industry that bore the brunt of the initial pandemic impact.
The restaurant and food service sector had suffered immensely in the early days of the pandemic, with employers shedding a staggering 6 million workers in March and April 2020, as consumers turned to hoarding groceries and cooking at home during quarantine restrictions. The subsequent resurgence in this sector has been nothing short of remarkable.
While the food service industry has made impressive strides in rebuilding its payrolls, the leisure and hospitality sector as a whole has not seen a complete recovery. For instance, employment in hotel accommodations and amusement and gambling services remains below the levels of February 2020.
Among the various segments within the leisure and hospitality industry, the performing arts and spectator sports have demonstrated the most substantial progress in regaining their pre-pandemic employment levels, boasting a remarkable 5% increase above the February 2020 figures.
While the rebound in restaurant employment signifies a positive step forward in the recovery of the leisure and hospitality industry, experts emphasize that there is still work to be done to achieve the pre-pandemic levels.
Source: Reuters
