The number of restaurant jobs in New York City declined in 2018 for the first time in more than a decade, according to the Independent Budget Office, reports Crain's New York Business. Early data shows the erosion continued in the first two months of 2019, with the losses almost entirely in full-service restaurants. However, the number of eateries rose to 27,043 operating restaurants at the beginning of March, up from 24,865 in 2017.
Crain's sees the decline as a sign that steep increases in the minimum wage and mandates such as paid sick leave are moving owners to reduce staff. "I understand the minimum wage needs to go up for people not getting tips," says Susannah Koteen, owner of Lido in Harlem. "But I have personally taken a large wage cut and cut back hours wherever I can."
The decline could also be a statistical anomaly, according to New School economist James Parrott. He notes the fourth quarter employment and wage data could show there has not actually been a decline. He believes more efficient restaurants paying higher wages is a fair tradeoff for a smaller number of jobs. Full Story
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