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National Restaurant Association - Economist's Notebook: Restaurant job growth outpacing economy in 35 states

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Economist's Notebook: Restaurant job growth outpacing economy in 35 states

In his latest commentary, the National Restaurant Association's Chief Economist Bruce Grindy breaks down restaurant industry job growth on the state level.  In 35 of the 47 states for which the Bureau of Labor Statistics reports data, eating and drinking place employment outperformed total job growth in the state during the last 12 months. 

Although national restaurant industry job growth slowed along with the overall economy in the second quarter, it easily outpaced the overall economy in recent months.  In the 12 months ending June 2012, eating and drinking place employment jumped 2.7 percent, more than double the 1.3 percent increase in total U.S. employment during the same period.

On the state level, eating and drinking places* outperformed overall job growth in 35 of the 47 states** for which the Bureau of Labor Statistics (BLS) reports data.

New Hampshire led the nation in terms of industry job growth in last 12 months, with the state's eating and drinking place sector adding jobs at a strong 9.7 percent rate. This easily outpaced the state's overall job growth of 0.5 percent during the last 12 months.

Eating and drinking places in Arkansas (6.2%) and Texas (6.0%) also registered solid job growth during the last 12 months, while Hawaii and Idaho added industry jobs at 5.8 percent rates. In each of the four states, restaurant job growth outperformed the overall economy by a wide margin.

In terms of net jobs added, Texas led the way with 50,800 net new eating and drinking place jobs in the last 12 months, followed by California (34,700) and New York (26,300).

State Employment Trends: June 2011 to June 2012

State Employment Trends June 2011 to June 2012

Source: National Restaurant Association analysis of Bureau of Labor Statistics data

For additional analysis of restaurant industry trends, log on to Restaurant TrendMapper (subscription required).

Notes:
*Eating and drinking places are the primary component of the restaurant industry and account for roughly three-fourths of the total restaurant/foodservice workforce.
**BLS does not report monthly eating and drinking place employment data for Iowa, New Mexico, South Dakota and West Virginia.

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