According to Reuters, restaurants, hotels and other businesses are raising pay to rebuild their staff and meet the increased demand from Americans that are ready to spent more time out of the confines of their home. Since the pandemic, many Americans have opted to stay home due to restrictions and directions from authorities to remain home & isolated. As more people are being vaccinated and pandemic related restrictions are lifted, many individuals are ready to opt in for indoor dining and more.
Although we do not know if the increases will be enough to bring workers back to close the employment gap that was massively disrupted due to the coronavirus pandemic. Average hourly earnings for workers in hospitality & leisure have risen to USD 18.09 in May, the highest ever and up 5% from January according to the Labor Department data released. Higher pay may be a sign that companies are lifting wages to draw workers back as some businesses struggle to keep up with higher demand with the number of consumers that are fully vaccinated increase everyday.
Job gains in the leisure & hospitality sector this year have far outpaced gains in other sectors such as mining and logging, education and health services. The boost in pay may not be able to speed up hiring but businesses in the leisure & hospitality sector are making the conscious effort to stay ahead of the game.