LANSING, Michigan (WYRT) – Michigan bars, restaurants and hotels are still crippled by the ongoing labor shortage, according to a recent nationwide survey.
The Michigan Restaurant & Lodging Association found that nearly 90% of restaurants across the state and almost every hotel are under staffed to meet consumer demand, which is now past pre-coronavirus pandemic levels.
More than 85% of restaurants close early on some days and 81% of hotels leave their rooms empty due to a lack of staff.
About 95% of restaurants and hotels have increased wages in the past year, and over 50% of them have increased wages by at least 10%. At the same time, 97% of them reported rising prices for raw materials necessary to run their businesses.
“Restaurant and hotel operators are trying to meet consumer demand, which will surpass 2019 with 100,000 fewer workers and skyrocketing labor and raw material prices,” said Justin Winslow, President and CEO of the Restaurant Association. “The workers are exhausted and profit margins are low for many despite the resurgent demand.”
He called on Governor Gretchen Whitmer and the Republican-led Michigan legislature to approve a program to help beleaguered bars, restaurants and hotels use some of the state’s $ 22 billion in COVID-19 aid.
The Michigan Restaurant & Lodging Association poll found that 64% of hospitality companies support an industry-specific aid package.
“It’s important to remember that most restaurants and hotels didn’t get federal or state aid during the darkest days of the pandemic,” Winslow said.
The survey was conducted August 3-6, with members and non-members of the Michigan Restaurant & Lodging Association.
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