Restaurant Industry in Free Fall; 10,000 Close in Three Months
December 07, 2020 at 11:10 AM EST
Association to Congress: The whole industry needs a ‘down payment’ relief bill to make it to the new year
Washington, DC (RestaurantNews.com) Today, the National Restaurant Association sent a letter to Congressional leadership, sharing new survey findings that illustrate continued business deterioration across the restaurant industry and offering support for the moderate compromise proposal as a ‘down payment’ toward a larger relief package in early 2021.
“What these findings make clear is that more than 500,000 restaurants of every business type – franchise, chain, and independent – are in an economic free fall,” said Sean Kennedy, executive vice president for Public Affairs in the letter. “And for every month that passes without a solution from Congress, thousands more restaurants will close their doors for good.”
The National Restaurant Association Research Group conducted the survey of 6,000 restaurant operators and 250 supply chain businesses Nov. 17-30, 2020, and the findings were stark:
The tide of restaurants closures and bankruptcies continues to rise – sweeping away jobs in some of the most venerated independent and chain restaurants:
“In short, the restaurant industry simply cannot wait for relief any longer,” said Kennedy. “We appreciate the efforts of a group of moderate members of the House and Senate to advance a true compromise between the competing proposals from Democratic and Republican leaders. If this moderate plan represents a ‘down payment’ for a larger relief package in early 2021, it will provide restaurants with immediate relief to hold on through the most dangerous point in our business year.”
In addition to support of the compromise proposal, the Association provided a plan for how a proposed second draw from the Paycheck Protection Program (PPP) could be strengthened to reflect the unique business model of the restaurant industry and highlighted other important measures in the proposal that would support restaurants in the short-term.
About the National Restaurant Association
Founded in 1919, the National Restaurant Association is the leading business association for the restaurant industry, which comprises 1 million restaurant and foodservice outlets and a workforce of 15.6 million employees. We represent the industry in Washington, D.C., and advocate on its behalf. We sponsor the industry’s largest trade show (National Restaurant Association Show); leading food safety training and certification program (ServSafe); unique career-building high school program (the NRAEF’s ProStart). For more information, visit Restaurant.org and find us on Twitter @WeRRestaurants, Facebook and YouTube.
The post Restaurant Industry in Free Fall; 10,000 Close in Three Months first appeared on RestaurantNews.com.