Restaurant industry expects costs for food and labor to remain elevated in 2022
The National Restaurant Association released its state of the industry report for 2022
The restaurant industry is hoping to return to normal.
It’s been a rough two years for the foodservice industry. Many businesses have had to adapt to constantly changing conditions and find solutions to worker and supply shortages.
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Based on the National Restaurant Association's state of the industry report for 2022, the industry plans on adding about 400,000 jobs this year. (iStock)
According to a recent report, leaders in the industry believe that it will take more than a year for the conditions to return to normal.
The National Restaurant Association released its 2022 state of the industry report. The report, which was obtained by FOX Business, details how the industry expects to grow and what challenges it expects to continue through the year.
"The restaurant and foodservice industry has adapted and is carrying on with absolute resilience, so we’re optimistic about the path toward recovery in the coming year," said Marvin Irby, Interim President & CEO of the National Restaurant Association.
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Restaurant's have had to deal with an increase in the price of food along with labor shortages. Both situations are expected to continue throughout the year. (iStock)
He continued, "We still have work to do to ensure that those operators struggling the most can survive. The Association will continue to champion the necessary government support needed at the federal and local levels to help keep these businesses — cornerstones of our communities — on a path to better days."
The report details that the foodservice industry expects to grow by 400,000 jobs over the next year, which it forecasts $898 billion in sales.
Despite that expected growth, restaurant operators also expect costs for food, labor and occupancy to remain elevated in 2022. This will impact profit margins throughout the year.
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According to the report, over half of adults don't get to go out to eat as much as they would like. (iStock)
In regard to customers, the report details that slightly more than half of adults aren’t eating at restaurants as often as they would like. Before the pandemic, this number was six points lower.