“I’ve been a part of this organization for 20 years and it’s like nothing I’ve ever witnessed,” says Steve Chucri, CEO and president of the Arizona Restaurant Association. “I’m just amazed.” He’s referencing the current situation arising from a robust industry rebound coupled with an unanticipated workforce shortage. “It has been challenging across the spectrum, no matter how successful you are as a restaurant or as a restauranteur.”
Arizona restaurants have experienced an unexpected fast-track return of customers as pandemic restrictions loosen. “I thought it would be a little more gradual,” says Richard Hinojosa, chef-owner of CRUjiente Tacos, “but as soon as we opened back up to full capacity, we were on a wait every night and back to February 2020 numbers.”
But on the flip side, staffing difficulties for all aspects of day-to-day operations are impeding businesses from keeping up commensurate with this pace. Economic reports continue to publish statistics reflecting a lackluster job market, which hinders a full-fledged recovery. “Pre-COVID, no exaggeration, we would place ads for bartenders or servers and get 200 to 400 applicants within two days,” notes Hinojosa. “Now we might get 18 or 20 in a week, and 15 of those won’t show up or respond to requests for interviews.”
A constellation of factors contribute to the diminished labor pool, including the unemployment supplement, pandemic health concerns, industry wages and demands, and a hospitality worker exodus. “Within a three-day period, we displaced nearly 80% of our workforce,” notes Chucri. “Our daily payroll went from 14 million to two, so you have people wanting to go to an industry where they won’t be so quickly displaced.” Mark Tarbell of Tarbell’s and Tarbell’s Tavern and Wine Store agrees. “I‘ve seen the flight of available staff to industries and opportunities like delivery services, Amazon, tech, grocery stores and the construction trade, or going back to school,” he notes. Some people have moved out of state or taken remote at-home positions, while others have used the unemployment supplement to take a break from the job search or explore other fields. More time at home have given many a new perspective. “People want to better balance the time they’re spending at work and the time they’re spending at home,” notes Adolfo Torres of Tacos Calafia. “It has been a universal re-set for some people, deciding ‘this is not so bad,’ ‘we can make this work,’” agrees Tarbell.
As a result, businesses that can’t find enough workers are asking more of their current staff. In an effort to ease this burden, some restaurants have reduced their hours. “We just started closing Mondays at some of our locations to give our staff a break,” says Torres. “Every week, it’s getting harder and harder.” Others have had to limit their menus. “It’s just me and my sous chef,” says Hinojosa, “so we’ve had to modify the menu because I don’t have enough cooks to run the line. Though it’s nice to see that people are ready to rejoin the world of dining out. I’d much rather deal with figuring out how to service our customers than wonder why people aren’t people coming in.”
To meet those needs, businesses are finding creative ways to attract and retain workers. Skyler Reeves of Vivili Hospitality Group in Prescott has taken the innovative step of recruiting college students to staff his restaurants by partnering with Yavapai College. Those who commit to a 32-hour week will receive free college tuition after 90 days. Many restaurants are offering signing and referral bonuses or hourly wage increases. “We’re all in the same lake chasing the same six fish, so whoever has the best bait, has the best chance,” says Hinojosa, who has raised his pay scale to be more competitive in this job-seeker’s market. “Even though we can’t necessarily afford it, the alternative is that we don’t have any staff.” In an industry notorious for its slim profit margins, however, there’s a limit to how much businesses can raise wages, especially coupled with rising food costs due to supply-chain bottlenecks. “The price on goods is going sky high,” says Hinojosa. “We’ll raise the price on a menu item by a dollar or two, and then somebody will say, ‘why is it so expensive?’ Chicken is insanely expensive. Meats are expensive, squash and cabbage is expensive. Everything has gone up tremendously.”
In the best-case scenario, customers will support and recognize these cost effects as the industry undergoes a post-pandemic reshaping. “One thing that I’m hopeful for is that when everybody has to adjust and accommodate the increase in costs of goods and labor, it becomes more acceptable and understandable,” says Hinojosa.
“It’s always a good thing when our registers are ringing,“ says Chucri, “but at the same time, we’ve got to balance that with tremendous customer service. My expectation is that by Q3 of this year, we’ll see a normalcy return to our labor force.” Tarbell expresses similar optimism. “I feel it is temporary. We’ve just come out of a full shut-down and it is impossible to flick a switch and say ta-da, it’s all back to normal now. It’s like pulling a rubber band – it stretches and then snaps back. It will be interesting to see where we are a year from now. My recommendation for those looking for work is to find a place you like and where you can grow. Good jobs may be far more competitive and difficult to find in the future.”
“As an industry, we always have been and will always be in the health and safety business,” continues Tarbell. “This past year has made us sharper and added new areas to watch. One of the good things that has come from this past year is the increased concern for wellbeing in the workplace. “
“It’s a difficult industry to work in,” acknowledges Hinojosa. “It’s hard work and long hours, but there’s a lot of opportunity. I’ve lived and worked in great places, learned how to make delicious food and helped enrich people’s lives. Food makes people happy; it evokes memories and creates new ones. It’s payment that’s not money, and very rewarding.”
Written by Christina Barrueta
Photographed by Isaac Stockton