AUSTIN, Texas — The Texas Restaurant Association is raising concerns about the financial challenges facing the state’s food service industry as the holiday season approaches. Mo Pittle, owner of Jewboy Burgers and Jewboy Sliders in Austin, reported a 20% increase in product prices since last year, forcing previous menu price hikes.
“Now what we’re seeing is significant jumps in prices across the board,” Pittle said.
Emily Knight, president and CEO of the Texas Restaurant Association, described the situation as an economic slowdown, noting that “costs are rising, traffic is softening, and margins are incredibly tight for most operators.” The association reported that 88% of Texas restaurants have seen increased food costs since last quarter, with labor costs up by 66%.
ALSO: Pedestrian critically injured after being hit in a crash near Lake Travis High School
Kelsey Erickson Streufert from the association attributed the industry’s challenges to imposed tariffs and shifts in immigration enforcement, which have affected both staffing and customer traffic.
“Some of them are afraid to be out in public. And that is impacting not only our labor, which we need to be able to fully staff up during a busy holiday season, but it’s also impacting customer traffic,” she said.
Despite these challenges, Pittle remains hopeful for a positive change during the holiday season.
“A rising tide lifts all ships, and so, so my hope is that as things get better, just universally, as everybody tries to come together and make things better for the community,” he said.
Comment with Bubbles
BE THE FIRST TO COMMENT
Pittle added that Jewboy Burgers and Sliders are maintaining their portion sizes and prices, encouraging more diners to visit this holiday season.