Restaurant industry outpaces overall job growth

Restaurant job creation continues to outpace that of other industries, according to the National Restaurant Association’s 2013 Restaurant Industry Forecast. In 2012, restaurant job growth rose 3 percent nationally, compared to 1.4 percent for overall U.S. employment, the report notes. For this year, the association anticipates a 2.4 percent increase in restaurant employment, compared to a projected 1.5 percent gain for total U.S. employment.

Based the forecast, 2013 will be the 14th straight year in which restaurant-industry employment outpaces overall employment. Overall, restaurants are expected to employ 13.1 million people this year, or 10 percent of the U.S. workforce.

The forecast also projects that restaurant and food-service sales will reach a record high of $660.5 billion this year, representing a 3.8 percent increase from 2012 in current dollars. Adjusted for inflation, the figure represents a 0.8 percent increase.

Locally, employment in full-service restaurants and limited-service eating places in Orange County increased by 3.3 percent in 2012, according to the California Employment Development Department. Private-sector employment in the county increased by 1.0 percent in the same year.

As of April, Orange County’s full-service restaurants and limited-service eating places had added 4,000 jobs since April 2012, a 3.5 percent increase. Full-service restaurants added 3,300 jobs, while limited-service eating places added 700 jobs. The industries currently employ a combined total of 115,300 workers in the county, or 9.1 percent of the county’s total private employment.

For 2013, the Los Angeles County Economic Development Corp. has projected that 3,900 new jobs will be created in Orange County’s leisure and hospitality sector, for which restaurants account for about two-thirds of employment. The LAEDC projects that 2014 will bring an additional 2,700 new jobs to the sector.

Growing opportunities

Looking at longer term projections, the industry is expected to be one of Orange County’s largest sources of job opportunities from 2010 through 2020, according to projections by the EDD. Over the 10-year period, food-service and drinking places are expected to add 29,100 jobs, employing a total of 140,600 workers by 2020.

The U.S. Bureau of Labor Statistics projects that food-service industry growth will continue, due to a growing population that increasingly prefers the convenience of eating out and having meals prepared for them. All sectors of the industry are expected to generate numerous jobs, although limited-service eateries and fast-casual restaurants are expected to fare best as time-strapped diners seek out healthful menu alternatives. Traditional fast-food and quick-service restaurants are expected to increase more slowly than in the past.

The EDD included 10 food-service occupations among its list of the 50 occupations expected to generate the most job openings in Orange County from 2010 through 2020. The occupation of waiters and waitresses ranked second among all occupations while combined food-preparation and -serving workers, including fast-food, ranked fifth. Other occupations on the list included restaurant cooks; food-preparation workers; cafeteria, food concession, and coffee shop counter attendants; restaurant, lounge, and coffee-shop hosts and hostesses; dishwashers; first-line supervisors of food-preparation and -serving workers; dining-room and cafeteria attendants and bartender helpers; and fast-food cooks.

According to the National Restaurant Association, consumers today spend 49 percent of their food budget in the restaurant community, compared with only 25 percent in 1955.

First-time and summer jobs

The food-service industry may be an ideal option for those seeking first-time jobs or summer employment.

Orange County’s food service industry tends to increase its headcount slightly during the summer months, with employment levels elevated by an average of about 2,000 jobs from June to August since 2000. Full-service restaurants typically account for about half of the additional jobs, with limited-service establishments accounting for just over a third and other establishments making up the remainder.

The BLS notes that establishments in the food-service industry, particularly fast-food establishments, are leading employers of teenagers, providing first jobs for many new entrants into the labor force. In 2008, about 20 percent of food-service workers were teenagers, about five times the proportion in all industries, according to the BLS. About 42 percent were under age 25, more than three times the proportion in all industries.

Several factors make the food-service industry ideal for first-time job holders. The most abundant occupations in the industry typically require only short-term, on-the-job training, and many of the jobs are part-time. The BLS notes that about two-fifth of food-service workers are employed part-time, more than twice the proportion for all industries combined.

The BLS notes that food-service industry jobs can also be appealing to senior citizens or those seeking part-time or alternative work schedules.

Preparing tomorrow’s food-service leaders

While the food-service industry offers many job opportunities requiring minimal preparation, the industry will also continue to offer opportunities for those with management or advanced culinary skills.

The National Restaurant Association Educational Foundation offers scholarships and career-preparation programs for pursuing careers in the food-service industry. The foundation’s ManageFirst Program, used at more than 350 colleges and universities, is designed to prepare students to begin or advance careers in food-service management. The NRAEF notes that its program has been incorporated into restaurant and culinary arts programs at Cypress College in Cypress and Anaheim, Orange Coast College in Costa Mesa and California State University, Long Beach.

The NRAEF also conducts ProStart, a nationwide, two-year program for high-school students, offering training in culinary techniques and management skills.