June Jobs Report and Food Franchising


Help wanted signs have appeared with greater frequency in the windows of cafés and restaurants over the past year. In June, restaurants fueled a 27,910 rise in jobs for the franchise industry.


Currently, 75 percent of private sector jobs added in June were from restaurants, according to a national franchise report. June’s job number exceeded those in May by 19,160.


For the nation, the total number of jobs added to the workforce, 195,000, exceeded the estimate of 155,000. It looks as though businesses in general are hiring.


While higher job numbers provide some with a glimmer of hope, the unemployment rate currently remains steady at 7.6 percent. Equally frustrating is the quality of the jobs being added to the workforce. As the national franchise report showed, Americans are being hired for hourly work and paid typically low wages. Hospitality and leisure jobs rose by 75,000 in June, and some of those are probably summer jobs for college and high school kids.


Also in June, the number of part-time workers — specifically those who are working part-time because full-time unemployment remains unavailable to them– reached 8.2 million, a level not seen since October of last year.


The franchise industry and its food franchising sector is not unfamiliar with a part-time workforce.


The takeaway? The increase in part-time, low-wage jobs is good news when we consider that there could be no jobs at all. It’s also bad news, in that many college grads are now entering part-time employment. Prior to the recession, those numbers were much lower.

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