Coast to Coast: Navigating Restaurant Labor Markets and Wage Trends Across the US

Food and beverage establishments are the cornerstone of social interactions across the globe. Celebrations, business dealings, and even grieving happens over a meal or a beer. Collectively, people rely on the food and beverage industry as a way of life, but also to make a living. Following shutdowns and closures in 2020, the over $3 trillion market took a major hit, causing record numbers of F&B employees to exit the industry through job loss or voluntary departure.

Month after month, locations reopened and new businesses set up shop. But, the number of available jobs expanded faster than candidate demand, resulting in record high vacancies. With the global economy depending on the industry to keep social commerce churning, attracting strong, dependable talent became a paramount focus. Restaurant and other F&B managers put directed efforts into recruiting and retention.

At Paperchase, we know the value of partnering with industry leaders, so we spoke with Mike Hewitt, the founder of the hospitality recruiting agency, One Haus, to discuss the optimistic outlook for the near future, and learn about the hiring climate for key positions. Read on to see where financial leaders think the restaurant labor market is headed in the coming years, and which of the hottest 6 cities in the US offers the lowest average salary for the top jobs despite being known as a high-cost region.

The Current F&B Jobs Market Shows Promise

Pre-pandemic eating and drinking jobs totaled 12.2 million in the US. The industry lost 20% of jobs in 2020 and wouldn’t bounce back until 2023, when job totals would increase at a substantial average pace of 31,000 per month. However, 2024 has been more volatile. January, April and June showed a net loss of F&B jobs, but the remaining five months’ increases were strong enough to result in a YTD gain of 85,500 jobs for the sector.

Full Service and fast casual sectors experienced the highest increase in jobs since 2020 at 3.44M and 1.94M respectively.

The industry stands to reach ten year record highs if even moderate increases continue. Participation of teens and early twenty-year-old workers contributes to optimistic projections and an overall healthy outlook for entry level F&B jobs for 2025-2032.

However, hospitality vacancies are still relatively high, so One Haus hospitality recruiting agency says “the employee has leverage on their side” for the entry level jobs. Employers are under pressure to provide a stable and enjoyable work environment, competitive compensation, and clear accountability.

Benefits packages include subsidized health care, 401K benefits, bonus incentive structures, and expensed meals. Higher end positions and multi-unit roles tend to stay open longer as employers hold out for a candidate that checks all the boxes.

Understanding regional dynamics is essential as operators navigate the complex landscape of recruitment and retention in 2024. Below we look at the top positions that are commonly vacant and how the relevant salaries stack up in multiple cities across the country.

Top 5 in the Top 6

With confidence that the jobs rebound will be static for the foreseeable future, restaurants and other F&B establishments compete for talent in their immediate area, but they also contend with other cities, giving top candidates the opportunity to command a higher annual salary and benefits.

Cities like Boston and Miami have regional appeal, but higher salaries advertised in cities like San Francisco and New York City may incentivize job hunters to search country wide. Restaurants in Los Angeles and DC, despite being known as premium dining cities, may find themselves losing talent to higher paying regions.

One Haus shared benchmarking data for the most sought after positions in top US cities.

Here’s what we found:
Annual Salary Ranges in 6 Top Food & Beverage Cities.

Sous Chef

Sous Chefs support the Executive Chef in delivering top notch culinary operations. They may also assist in managing the kitchen staff, but their key role is helping to deliver an exceptional dining experience. The Sous Chef salary range of $65,000-$80,000 has not changed much since 2023. The salary for the position has the most consistent range in all six of the cities we reviewed.

Manager

Food establishment Managers support the General Manager in overseeing the day to day staffing schedules, finances and regulatory compliance. The Manager sets the tone for the employee attitude, and therefore, the patron experience. Despite Boston being the capital of a high cost of living state, it lands consistently at the low end of the salary range for each position we reviewed. The manager salary in Boston falls at the low end of $70k-$80k in opposition to the other 5 cities where the salary is more like $80k-$90k.

Pastry Chef

Pastry Chefs are culinary masters in baked goods. Like a Sous Chef, they must support an extraordinary dining experience, but the skill level commands a slightly higher salary. Like the Manager position, we see consistent salary ranges across the cities, with Boston taking the lowest of the low end at $85k and San Francisco offering the highest of the high end at $120K.

Executive Chef

The Executive Chef oversees all kitchen-related activities. They manage the Sous Chef, Pastry Chef, and other kitchen staff to bring their culinary vision to life. Also known as Head Chefs, they are responsible for ensuring the menu’s success in terms of quality and profitability. This position commands the highest salary range compared to other top roles due to the extensive training and experience required. Salaries for this position typically start at six figures, with most ranging up to $140,000/year. However, in New York City, the salary can exceed $150,000 due to the competitive culinary landscape in the area.

General Manager

It’s interesting that a General Manager commands a similar salary to an Executive Chef; this makes sense considering the GM’s vast responsibilities, from managing the front-of-house experience to ensuring operational success and profitability across potentially multiple locations. Employers looking to fill a GM position and other high-end roles in a city like Miami will capitalize on the lower cost of living and relaxed labor laws.

Offer Specials on the Hiring Menu, too

According to Mike Hewitt, filling entry-level and highly skilled roles continues to be a challenge. Regardless of what city your F&B business calls home, your employment offers will have to include more than just a competitive salary. Confidence in job stability and enjoying their working environment both rank high in what candidates say they look for when deciding on a job. For example, be sure to discuss the following topics with candidates to show them that you understand what they value.

To stand out and attract top talent, also consider partnering with specialists who can advise you on your offers. For expert support in hiring for your food and beverage location, check out our Partnership Ecosystem to book a conversation with One Haus Hospitality and other experts today.