The Lone Star State's appetite for dining out has churned up a new heavyweight in the job market. Surpassing the healthcare sector, the food service industry in Texas now reigns as the largest private employer. With a workforce of approximately 1.5 million strong, 11% of Texas' total workforce, eateries across the state are serving up more than just meals—they're dishing out jobs in droves.
A report from the Texas Restaurant Association confirms that from 2022 to 2023, Texas welcomed more than 2,000 new restaurants, raising the total to nearly 57,000 statewide. This expansion, executives say, isn't solely a byproduct of rising prices: sales spiked by about $12 billion during this interval despite the pinch of inflation on consumer spending. Madison Gessner, Executive Director for the Central South Region of the Texas Restaurant Association, emphasized the sector's monumental growth, and according to a statement obtained by the Austin Business Journal, not even inflation is stopping Texans from indulging in their dining habits.
But prosperity on paper doesn't necessarily equate to a perfect picture on the ground. Despite record sales and booming business, 48% of Texas restaurants report a sufficient number of employees to meet demand, indicating a significant labor shortage. Additionally, this surge in employment opportunities has brought to light ancillary challenges, such as the pressing issue of childcare, particularly for workers with unconventional hours. Janelle Bouillot, a waitress and mother of two, highlighted to KXAN the difficulty of finding childcare that aligns with her demanding service industry schedule.
One initiative looking to address the childcare conundrum is a survey by the Austin chapter of the TRA, which recently closed after a 45-day run. The results are expected to inform a pilot program for nontraditional-hour care, aiming to offer support to those juggling the demands of parenting and the peculiar hours of the food service industry. "Knowing that we are the largest private sector employee in this state, it’s very exciting for us to kind of take the lead in this space with our partners to really see how we can support our operators and childcare is one of those needs," Gessner told KXAN.
Mason Ayer, CEO of Kerbey Lane Cafe, shared his observations on the workforce dynamics. According to an Austin Business Journal interview, Ayer has witnessed a stabilizing employment trend with lower turnover rates. Even as the pandemic recedes into the rearview, the food service industry in the state maintains its momentum, continuing to feed both the economy and the people of Texas.
