Dining Industry Doing Even Worse Than Expected

Recent data released by the Bureau of Labor Statistics shows how badly the restaurant industry is being battered by the recession. Eateries and bars shed jobs for five consecutive months through November, which is the longest stretch of downsizing since the government began tracking the info in 1990. 66,500 jobs have been lost since July, and George Prassas at the Labor Department tells the Wall Street Journal that the extended decline is "definitely something different than what the food-service industry's used to." To personalize the article (and bum everybody out), the Journal tells the sad story of one unemployed waitress on Long Island:

Dawnmarie Capuano, with 14 years of experience as a waitress, hostess and restaurant manager, was earning as much as $200 a night in tips between two jobs at an Italian restaurant and a pub.

In June, she noticed that fewer customers were coming in, and that parents were pushing children to order pizza instead of more expensive dishes like chicken parmesan. "Our regulars, who were leaving well over 20% [tips], they started going down to 15%," says the 41-year-old.

With her tips dwindling, she quit those two jobs in August and took a temporary office job that finished about a month ago. Since then, she has given her résumé to more than 60 establishments and gone on 20 interviews. The handful of job offers she has received didn't pay enough to cover the bills for the single mother of two. "I'm starting to get a little nervous," says Ms. Capuano.

Even worse off are immigrants; a study by the Pew Hispanic Center earlier this year showed that the industry ranks second for job losses among foreign-born Hispanics, right behind the construction industry. And on the other end of the stick are restaurant critics like Frank Bruni, who at least used his enviable expense account to assemble a helpful article on recession dining. He set himself the task of spending less than $100 (including tax and tip) on dinner for two at five Manhattan restaurants "of some ambition" and was pretty pleased with the results.

Contact the author of this article or email tips@gothamist.com with further questions, comments or tips.

By John Del Signore in Food on December 10, 2008 5:13 PM

Comments [rss]

OttoBloggo

Well, according to the "OpenTable" index (my own coined term) it is still impossible to get a decently-timed, or in many cases--ANY--reservation at the city's hot spots. So I can only assume things are fine. When I can go on OpenTable and book a table at PerSe or Gramercy Tavern, then I know the world's gone to hell in a handbasket.

JenChungsBaby

Ms. Capuano should have thought about this stuff years ago before she dropped out of school and started cranking out the kids.

inoyourider

Plenty of reasonable places if you know where to look (hint no tourists, hipsters, or suits around)

Snoopy

You can't beat "street meats" for fine dining at an affordable price. Unfortunately no liquor is sold at those locations.

virgil

Anyone who looks to the NY Times for useful consumer tips in the middle to low income bracket is wasting their time. I love the paper, but it's definitely aimed at the affluent. Which ain't me.

There's a whole lot of good food in this city, but you have to look for the deals. And that's part of the fun, I think.

EastRiver

When Bennigan's filed for bankruptcy the WSJ reported that since 1990 the population of the US has increased 20 percent while the number of restaurants increased 40 percent.

Snoopy

A fancy Argentinian restaurant has just adopted a happy hour. $9.00 for what they call a "well" drink. In bar speak it's called the speed rack. That's the stuff like "Old Kentucky" bourbon, "Old McTavish" Scotch, and "Old Moscow" vodka is used with lots of ice. Thanks people.

schizofriendly

We who have lived on Smith Street for a long time saw its rapid transformation from a wasteland to a sprawling pubcrawl certainly saw this coming.

I agree with cucarachita. Mind your karma.

whitecastlerock

Most people who live in the city are discovering this little room that has been collecting cobwebs for years. Yes, it is called the kitchen. It has a refrigerator and a stove and a sink-everything they need to make the same meal at home for a fraction of the price...

hazenyc

I have definitely noticed that:

1- getting a table at usually hard-to get places is becoming easier

2- especially weekday nights.. normally bustling places are 1/2 empty or more

3- staff pushing Specials extra hard

4- service & staff have DECLINED overall in attentiveness, experience, and knowledge of the food..

TK

Felix and JDS convinced me. Give me my dollar back.

John Del Signore

Thank you, Felix Hoenikker. Truth be told, I was trying to work in a little "waitressing is the number one occupation for female non-college graduates in this country" but... it didn't work out. Anyone got a tiny violin?

mdev

But if half the tables are empty, do you think the waiter would rather have a 15% tip or no business at all?

cucarachita

People, if you can't afford to tip 20%, stay home, or eat at cheaper restaurants. Waiters need money too.

NannyState

When the Times fails to make that $400 million payment to its creditors in May, Frank Bruni will really be doing some "recession dining". It'll be ALPO and crackers over a steam grate.

7train

#6, that was pretty funny.

But, guys, I'm sure the purpose of this article was to show people to get a good bang for your buck while still enjoy fine dining style.

You can always get cheaper table service if you, let's say go to an ethnic restaurant in the boroughs.

Shinobi Shaw

#5 you mean because with a recession in the midst, people would be more incline to drink?

Hey, when you're poor, only the most foolish would spend their income on $10-15 dollar drinks.

kcin122

ive never in my life spent 100 dollars on a meal

glennQNYC

It is definitely easier to get a table lately.

Felix Hoenikker

Toby...Toby...Toby...

Toby Wong...Toby Wong...Toby

Chung...fuckin Charlie Chan.

ed_Extinct

There's to much shitty expensive restaurants. Survival of the fittest...

ides_of_march

"He set himself the task of spending less than $100 ..."

I love it when affluent, out-of-touch elitists try to relate to the peasants. They have absolutely no clue.

Snoopy

Bruni when you can find a decent place where two can eat for $25 including drinks and tip then you can amaze me.

Some families of four exist on a food budget of $100 a week.

It's surprising the bars are doing so poorly. You would think they would do better.

Phineas Gage

Dinner for under $100? Wow, that is fucking amazing, Mr. Burns. You have truly found a way to relate to the unwashed masses. Under $100. Jesus fucking Christ.

ides_of_march

People would have more money to spend on restaurants and nightlife if they could keep more of their paychecks instead of it going to taxes. That's why tax increases kill the economy and tax cuts improve it. Economics 101. Yet we keep voting in socialists.

chris lee

I am sorry the bar and restaurant business is ENTIRELY oversaturated. Add to that the fact that you can't smoke or dance in bars and you have a boring NYC nitelife.

Shinobi Shaw

It's not surprising, back in 2007 when I was practically going out to eat with Friends every weekend, the restaurants were JAM PACKED all the time (barely any seats).

Then around Summer of '08 I started to notice a startling sharp decline, I would see many restaurants half-empty on a Friday night.

The sharp decline overnight is quite troubling, I have to say.