NLRB Rewinds Joint-Employer Rule to 2020
The 2026 action reinstates the 2020 joint-employer standard, tightening direct-control tests for franchisors and multi-unit brands in restaurants.
Apr 22, 2026
The 2026 action reinstates the 2020 joint-employer standard, tightening direct-control tests for franchisors and multi-unit brands in restaurants.
Apr 22, 2026
Photo by micheile henderson on Unsplash
An expert look at Cracker Barrel's governance clash as activist investor Sardar Biglari nominates five candidates for the board amid a strategic pivot.
Apr 22, 2026
Photo by Ruben Ramirez on Unsplash
Inflation reshapes dining costs as energy spikes bite; operators balance pricing, value, and margins amid shifting consumer demand.
Apr 22, 2026
Photo by Mahavir Shah on Unsplash
Tender Greens and Tocaya, under One Table Restaurant Brands, file for Chapter 11, signaling a pivotal moment for multi-brand dining on the West Coast and a path toward sale or reorganization.
Apr 22, 2026
Photo by Cristiano Pinto on Unsplash
Grubhub rolls out cart upsells, real-time tracking, and autonomous refunds to streamline ordering and bolster partner value.
Apr 22, 2026
Photo by Jarritos Mexican Soda on Unsplash
Chamoy brings salty, sweet, sour with chili heat to mainstream menus, fueling bold fruit, dessert, and beverage applications.
Apr 22, 2026
Photo by Tanya Barrow on Unsplash
Sun Holdings pivots from franchising to brand ownership by acquiring Freebirds World Burrito, signaling a broader strategy to scale and govern multiple concepts.
Apr 22, 2026
Learn about the scams targeting restaurants and how to protect your business from financial losses.
Apr 22, 2026
Chipotle tests two cobot systems in California to boost throughput while preserving hospitality, backed by the Cultivate Next fund and a plan toward 7,000 restaurants.
Apr 21, 2026
Photo by Priscilla Du Preez 🇨🇦 on Unsplash
Whataburger reshapes leadership with a new CSCO and a refreshed CEO, signaling scale and hospitality as it expands to new markets.
Apr 21, 2026
Explore the recent cooling in the restaurant labor market and its impact on wage growth, employment trends, and labor turnover. Understand the dynamics shaping the industry.
The restaurant labor market has experienced a notable cooling trend, characterized by a moderation in wage growth and a gradual loosening of employment conditions. The initial surge in wage growth, particularly between 2019 and 2022, outpaced inflation and provided low-wage workers with increased bargaining power. However, recent data indicates a deceleration in nominal wage growth, signaling a shift in the market dynamics. This adjustment aligns with a return to pre-pandemic norms, where the labor market is stabilizing and moving towards a more balanced state.
The restaurant sector witnessed a significant rise in average wages, with even the lowest percentiles earning well above the minimum wage threshold. While nominal wages have shown a marked increase, it is crucial to consider the impact of inflation on real wage growth. Despite the nominal wage growth, inflation-adjusted wages have only seen a modest improvement, highlighting the ongoing struggles of low-wage workers in making meaningful economic gains.
Employment levels in the restaurant industry have stabilized around pre-pandemic numbers, indicating a potential shift towards full employment. However, the data also reveals a decrease in labor turnover, quits, and total separations, suggestive of a changing landscape where employers are gaining more control. Job openings continue to outpace hiring, emphasizing the ongoing challenge of retention in the industry. These trends reflect a nuanced rebalancing of power dynamics between workers and employers.
The current labor market conditions have significant implications for both restaurant workers and businesses. While the recent cooling may indicate a loss of bargaining power for workers, it also offers stability and predictability for employers. For workers, the slowdown in job turnover as a means to secure wage increases highlights the importance of addressing systemic wage disparities and creating sustainable income opportunities within the industry. Employers, on the other hand, face the challenge of retaining talent in an increasingly competitive environment.