Research
August 07, 2026
Total restaurant industry jobs
Restaurant job growth stalled in recent months
Eating and drinking places lost a net 26,100 jobs in July on a seasonally-adjusted basis, according to preliminary data from the Bureau of Labor Statistics (BLS). That followed a decline of 12,100 jobs in June and marked the first time since early-2025 that the industry lost jobs in consecutive months.
July represented the third employment decline in the last six months – a period during which the industry shed nearly 20,000 jobs. That was a significant departure from the previous six-month period, when the restaurant workforce expanded by more than 142,000 jobs.
It’s important to note that the month-to-month employment changes are volatile and subject to significant revisions in both positive and negative directions. That being said, the latest trends suggest that the restaurant labor market has entered a soft patch – a development that mirrors that overall economy.
Looking ahead to the remainder of the year, the expectation is that restaurant operators will remain cautious with their staffing decisions. Although most operators are not expecting their sales to deteriorate in the months ahead, they remain uncertain about the direction of the economy.
The recent weakness in the labor market also means restaurant employment is edging back down toward pre-pandemic readings. As of July 2026, eating and drinking place employment was only 62,000 jobs (or 0.5%) above its February 2020 level.
Fullservice segment remains 183k jobs below pre-pandemic levels
The fullservice segment lost nearly 3.7 million jobs during the first two months of the pandemic, and it has yet to fully recover. As of June 2026, fullservice restaurant employment was still 183,000 jobs (or 3.2%) below pre-pandemic readings.
However, fullservice restaurants expanded payrolls at a stronger pace in recent months, after lagging behind for much of the post-pandemic expansion. The fullservice segment added a net 34,000 jobs during the first six months of 2026. In comparison, the three limited-service segments added a combined 14,000 jobs during that same period.
Despite the slower growth in recent months, limited-service employment levels stand well above their pre-pandemic readings. As of June 2026, employment at snack and nonalcoholic beverage bars – including coffee, donut and ice cream shops – was 224,000 jobs (or 28%) above February 2020 levels.
Employee counts at quickservice and fast casual restaurants were 64,000 jobs (or 1.4%) above pre-pandemic levels.
[Note that the segment-level employment figures are lagged by one month, so June 2026 is the most current data available.]
Restaurant job growth uneven across states
More than 6 years after the onset of the pandemic in the U.S., restaurant staffing levels remain below pre-pandemic readings in 16 states and the District of Columbia.
That group was led by Vermont and the District of Columbia, which had 8% fewer eating and drinking place jobs in the first quarter of 2026 than they did in the first quarter of 2019. Massachusetts (-6%), West Virginia (-5%) and Maryland (-5%) were also well below their pre-pandemic restaurant employment levels.
In contrast, restaurant employment in several of the mountain states has climbed well beyond pre-pandemic levels. This group is led by Utah (+15%), Nevada (+15%) and Idaho (+13%).
[Note that the state-level analysis uses 2019 as the pre-pandemic comparison instead of February 2020, because seasonally-adjusted employment figures are not available for every state.]
View the latest employment data for every state.
Note: Eating and drinking places are the primary component of the total restaurant and foodservice industry, providing jobs for roughly 80% of the total restaurant and foodservice workforce of more than 15.7 million.
Track more economic indicators and read more analysis and commentary from the Association's economists.
July represented the third employment decline in the last six months – a period during which the industry shed nearly 20,000 jobs. That was a significant departure from the previous six-month period, when the restaurant workforce expanded by more than 142,000 jobs.
It’s important to note that the month-to-month employment changes are volatile and subject to significant revisions in both positive and negative directions. That being said, the latest trends suggest that the restaurant labor market has entered a soft patch – a development that mirrors that overall economy.
Looking ahead to the remainder of the year, the expectation is that restaurant operators will remain cautious with their staffing decisions. Although most operators are not expecting their sales to deteriorate in the months ahead, they remain uncertain about the direction of the economy.
The recent weakness in the labor market also means restaurant employment is edging back down toward pre-pandemic readings. As of July 2026, eating and drinking place employment was only 62,000 jobs (or 0.5%) above its February 2020 level.
Fullservice segment remains 183k jobs below pre-pandemic levels
The fullservice segment lost nearly 3.7 million jobs during the first two months of the pandemic, and it has yet to fully recover. As of June 2026, fullservice restaurant employment was still 183,000 jobs (or 3.2%) below pre-pandemic readings.
However, fullservice restaurants expanded payrolls at a stronger pace in recent months, after lagging behind for much of the post-pandemic expansion. The fullservice segment added a net 34,000 jobs during the first six months of 2026. In comparison, the three limited-service segments added a combined 14,000 jobs during that same period.
Despite the slower growth in recent months, limited-service employment levels stand well above their pre-pandemic readings. As of June 2026, employment at snack and nonalcoholic beverage bars – including coffee, donut and ice cream shops – was 224,000 jobs (or 28%) above February 2020 levels.
Employee counts at quickservice and fast casual restaurants were 64,000 jobs (or 1.4%) above pre-pandemic levels.
[Note that the segment-level employment figures are lagged by one month, so June 2026 is the most current data available.]
Restaurant job growth uneven across states
More than 6 years after the onset of the pandemic in the U.S., restaurant staffing levels remain below pre-pandemic readings in 16 states and the District of Columbia.
That group was led by Vermont and the District of Columbia, which had 8% fewer eating and drinking place jobs in the first quarter of 2026 than they did in the first quarter of 2019. Massachusetts (-6%), West Virginia (-5%) and Maryland (-5%) were also well below their pre-pandemic restaurant employment levels.
In contrast, restaurant employment in several of the mountain states has climbed well beyond pre-pandemic levels. This group is led by Utah (+15%), Nevada (+15%) and Idaho (+13%).
[Note that the state-level analysis uses 2019 as the pre-pandemic comparison instead of February 2020, because seasonally-adjusted employment figures are not available for every state.]
View the latest employment data for every state.
Note: Eating and drinking places are the primary component of the total restaurant and foodservice industry, providing jobs for roughly 80% of the total restaurant and foodservice workforce of more than 15.7 million.
Track more economic indicators and read more analysis and commentary from the Association's economists.