As Las Vegas copes with falling tourist numbers, leisure and hospitality payrolls rose by 28,000 jobs in August, with more than 17 million employed in the sector as of now.
More specifically, food services and drinking places saw their workforce grow by 11,000 people during the month, hitting an all-time high of 12.37 million. Amusements, gambling, and recreation also saw a net gain of 12,700 new jobs, to 1.89 million, despite rumors that major properties have quietly let go of team members.
Accommodation and food services overall boosted their total jobs by 13,200 to 14.32 million, the official data revealed. Similarly, wages for nonsupervisory employees rose slightly, by $0.09 to $20.31 in August, representing a 0.45% monthly gain and a 3.5% year-over-year increase.
Jobs Grow as New Challenges Emerge in the Sector
The data also showed that unemployment in the leisure and hospitality sector reached 6.4%, or 890,000 people, up from 5.5% (748,000) a year earlier. According to the US Bureau of Labor Statistics, this is a logical consequence of the way the hospitality industry operates.
There is a high churn at the entry level, with childcare-sensitive shifts proving a challenge for women. At the same time, women now account for over half the workforce in this particular sector. Other shifts in the industry are also noteworthy.
Menu engineering and streamlined service practices, as well as pre-batching, are now becoming essential to venues such as restaurants as they seek to optimize labor costs, keep up with wage increases, and attract skilled and receptive workers.
Strong drivers of revenue are cited as event kickoffs and slot tournaments, which elicit a strong consumer spending response and translate into more robust margins.