Solutions to staffing woes are essential for the hospitality sector to fulfill the demands of an eager clientele. By Will Sinatra. Page

HOSPITALITY INDUSTRY REBOUNDS AS LABOR POOL WORKS TO KEEP UP SUMMER OPTIMISM

... WITH A SIDE OF PATIENCE

By Will Sinatra MassHire/North Shore Workforce Board Our thoughts turn toward lobster rolls and iced tea as summer warms the air. It’s time to go whale watching on Cape Ann, visit a museum in Salem, or enjoy a simple evening at your favorite Peabody restaurant.

The hospitality industry provides us with the means to revel and make merry.

This summer, however, we’ll continue to notice a difference at some of our favorite establishments — namely, longer wait times and higher prices. Inflationary forces and labor shortages continue to impact the industry.

Inflation is a problem throughout the country as fuel, food and goods continue to rise in cost. The Federal Reserve can fend off domestic inflation by slowly raising the interest rate paid on reserve balances. But is does little to control inflationary costs caused by forces outside the United States, such as the war in Ukraine and an uneven global pandemic recovery.

Ukraine is a major exporter of wheat and the war has disrupted the country’s exports and current growing season. Meanwhile, India has banned all wheat exports in response to predicted wheat shortages. Both actions have inflationary effects on food costs here in the U.S., as the market responds to a limited supply. The net effect is that we see higher costs at the grocery store and restaurants.

Will Sinatra is an economic consultant for MassHire/North Shore Workforce Board.

Let’s take a closer look at employment statistics.

The most recent stats from the state Executive Office of Labor and Workforce Development show there were 3.64 million jobs in Massachusetts in April.

This is up 20 percent from the height of the pandemic — with 602,700 new jobs added statewide since April 2020.

Unfortunately, the COVID pandemic caused huge disruptions, especially in the hospitality industry, which is now busier than ever, yet still trying to fill many open positions.

Specifically, the hospitality industry added 181,000 jobs since the height of the pandemic in April 2020, with 328,400 total employed as of this April.

The North Shore’s statistics mirror the trends throughout the state.

During the past 90 days, there were 1,626 hospitality job openings posted online on the North Shore, with more than 30,000 across the state.

The top hospitality postings for the North Shore are:  Waiters and waitresses: 178 postings  Food preparation workers: 153 postings

Jonathan Pellerin photo

Next to fall, summer is the busiest season for the Salem Witch Museum.

 Food service managers: 147 postings  Restaurant cooks: 82 postings  Food preparation supervisors: 81 postings

Yes, we’re all waiting longer for our lobster rolls because the hospitality industry is still trying to fully staff their establishments.

LABOR SHORTAGE

Massachusetts is also in the midst of an overall labor shortage.

The working-age population in Massachusetts — ages 15 to 64 — declined by about 14,000 workers from 2020 to 2021. This was preceded by nearly a

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