The Austin and Round Rock labor market is seeing more demand and higher wages for restaurant employees.
The food index—a standard measure that looks at the cost of food—increased by 11.1% in the southern half of the U.S. over the last year as of July.
LABOR MARKET DEMAND
PAY RAISES
AUSTIN GEORGETOWN ROUND ROCK
4,000
3,113
Percentages indicate year-over-year cost increases from August 2021 to August 2022.
$27,286
+39.8%
3,000
During the pandemic many restaurants in Austin temporarily or permanently closed.
$20,963
Eggs
2,000
+9.4%
566
1,000
Fruits and vegetables
+16.2%
0
Dairy
SOURCE: U.S. BUREAU OF LABOR STATISTICS COMMUNITY IMPACT
SOURCE: WORKFORCE SOLUTIONS CAPITAL AREA COMMUNITY IMPACT
ingredient— sh—has doubled since the pandemic. “I always put myself in the custom- er’s shoes, or I’m pretty frugal, myself. I don’t like having to spend a lot of money, and I would love for more cus- tomers to be able to try our food,” Taba- kovic said. Shortage of wage workers Heather Smith is the general man- ager of The Boat at the intersection of MoPac and Braker Lane. In addition to her usual workload she does payroll,
buses tables, onboards new employ- ees, handles human resources requests and provides assistance to short- sta ed areas. Combined with rising rent, increased gas prices and rising popu- lation, Austin is getting more expen- sive, and hourly employees are no longer able to live in the city, leaving many jobs in the restaurant industry un lled, Smith said. “Even if you are lean and e cient, are reducing your hours or streamlining your menu or [using] other techniques
to try to just be more e cient, you still have to have a certain number of peo- ple to be able to open your doors,” said Erickson Streufert of the Texas Restau- rant Association. Operators who are throwing in the towel right now are just not able to keep up with that grueling workload, Erickson Streufert said. TRA data showed 67% of Texas restaurant opera- tors reported they do not have enough employees to support their existing customer demand. Under current circumstances, Li said
he can hold up for a year. His food is a niche market in an area where by word of mouth he has developed a loyal customer base. But he said he worries about his customers, too. “When people are not sure if their jobs are stable, or if investment in the stock market is going to hold the value, they kind of hesitate to spend the money on dining out,” Li said.
For more information, visit communityimpact.com .
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NORTHWEST AUSTIN EDITION • OCTOBER 2022
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