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Escoffier, the #1 Ranked Culinary School in the USA, has conducted a detailed review of 2024 economic and workforce data to gain a comprehensive understanding of the U.S. restaurant and foodservice industry. The data reveals that the industry has surpassed $1 trillion in sales in 2023 and is projected to reach $1.1 trillion in 2024. This growth is driven by the industry’s resilience and its critical role in the U.S. economy, contributing 2.5% of the nation’s GDP.
The industry employs 12.35 million people as of July 2024, marking a full recovery and exceeding pre-pandemic levels. This is a significant achievement, considering the challenges faced by the industry in the past year. The data also shows that the sector is expected to continue growing, with a projected 5.4% increase in sales in 2024.
The U.S. restaurant and foodservice industry is one of the largest sectors, employing 1 in 10 Americans. It has also seen a steady increase in restaurant types, with 200,859 fast food locations and 146,342 independent full-service restaurants in 2023. This growth is a testament to the industry’s resilience and its ability to adapt to changing consumer demands.
The data also sheds light on the income disparities within the industry. While the average monthly earnings for chefs and head cooks are $58,920, tipped workers earn an average of $27-$36.48 per hour, depending on the type of restaurant. This highlights the need for fair compensation and better working conditions for all employees in the industry.
The data also reveals that the industry has a high turnover rate, with an average of 110 days and 43% of employees leaving their jobs in back-of-house roles. This highlights the need for better retention strategies and employee satisfaction in the industry.
In terms of cost of living coverage, Vermont ranks the highest with a wage-to-living cost ratio of 99.51%. This means that employees in Vermont are better able to cover their living expenses with their wages compared to other states. This data can help inform decisions on where to open a restaurant or where to seek employment within the industry.
Overall, the data review offers valuable insights into the current state of the U.S. restaurant and foodservice industry. It highlights the industry’s growth, resilience, and critical role in the U.S. economy. However, it also sheds light on the challenges faced by the industry, such as income disparities and high turnover rates. This data can help inform decision-making and strategies for businesses and employees within the industry.