Restaurant Industry Suffers Because Of Teen Unemployment

Once some of the biggest customers of restaurant chains like Chevy's and Friendly's, many teens are now avoiding dining out -- and the restaurant industry is beginning to suffer as a result. With youth unemployment at an all-time high of over 12 percent and high school students facing more competition from adults for jobs seen as typically "teen," restaurants are losing some of their most loyal customers, as The Washington Post reported yesterday (see above video).

Does this surprise you? Do you and your friends still go out to eat at sit-down restaurants, or do you usually stick to fast food when you go out? Sound off in the comments!

Quick Poll

Do You Eat Out With Your Friends?

Yes -- we usually go to sit-down restaurants like T.G.I. Friday's or Chili's on the weekends.

Sometimes, but we stick to fast-food places like Sbarro or Chipotle.

No -- we generally eat at someone's house to save money.

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Comments

[Leftist Adult]

11:13 AM on 11/03/2011

Apparently, a lot of you people have never waited on a group of teens. The cheapest item on the menu, a glass of water, and they don't know how to tip properly. (Another story totally, as servers should already be compensated by the restaurant and their wage factored in to the menu costs. In America, we like to give people the option to stiff their laborers.)
My restaurants have never depended on teenagers for anything.
But, I live in a chronically depressed area where not even the adults have the money to sit in and eat...

[Peter Bury]

11:10 AM on 11/03/2011

Why use Friendly's as the poster child? Their age demographic has been north of 60 for some time and they are best known for breakfast. I used to be a big fan of their 2-2-2 breakfast special (two French Toast, Two Sausage and Two Eggs for $2.22), but now the same breakfast with coffee is going to be more like $10 after tax and tip.

[tikotheboy]

10:58 AM on 11/03/2011

I drive by a McDonalds and the parking lot is always full, I wouldn't eat McDonalds if they gave it away for free, but for some reason people are spending hard earned money there? I don't understand. Also sugar water, Coca Cola, Pepsi and the others. I see people that by the looks probably don't have a lot of money buying cases of sugar water.

[GAviaOH]

12:00 PM on 11/03/2011

it's called being broke! McDonalds may not be a nutritious meal but no one can touch their dollar menu

[jdbond]

10:57 AM on 11/03/2011

I am confused. We were told tax cuts for job-creators was the key to everyone's happiness. Now I am being told demand actually affects business? Why not just give a bit of tax cut to industry and be done with it. As long as they are creating jobs..

[VirgoLinnea]

09:57 AM on 11/03/2011

Quite frankly, this makes me happy. I'm sick of the ridiculous dining out culture America has. No wonder this country is so obese. It's about time we stop opening up more crappy "restaurants" on every parcel of land we can find here! Let these places fail. Hopefully, they won't ever be able to come back. It's about time America had actual decent jobs rather than just touting that everyone can make a measly living in it's huge "service sector."

[NovaNardis]

10:49 AM on 11/03/2011

You can go out to eat on occasion and not become obese. Just because you don't like to eat out doesn't mean you need to be a zealot about it.

[Cheshiremoe]

11:05 AM on 11/03/2011

But what is it getting replaced by... frozen dinners, pizza, potato chips.... our nations nutrition problem goes much deeper than restaurants serving highly salty,fatty and sugary foods.

The Food industry is motivated to overstimulate our pleasure centers related to tast and to leave us unsatisfied. Corporate lobbying has enabled the strategic goal of the food industry to get away with programing our appetites. Its unfortunate that its the cheep food that is the worst for people to eat which leads socioeconomic feed back loop.

[Milrepa]

11:13 AM on 11/03/2011

It's also the demographic of more and more single-occupied households. Single people often use the drive-throughs because it doesn't seem as lonely eating in the car. I vote for healthy fast food, how hard could it be. Fast, simple, fresh.

[emeraldcite]

09:52 AM on 11/03/2011

Here's capitalism at work. Supply and demand.

Don't expect it to just right itself.

We need to invest in the same ways as the New Deal.

[eyeitall]

09:28 AM on 11/03/2011

Conservatives and business owners said teen unemployemnt was going to be a by product when the dems raised the minimum wage and guess what, now there is a hugh problem with teen unemployment. So teens when you turn 18 and can vote remember it was Harry , Nancy and Barack who caused you to be unemployed and now going into the real world with no work expeirence.

[RedneckLiberal]

10:01 AM on 11/03/2011

And what evidence can you provide to demonstrate it was raising the minimum wage that caused teen unemployment to go up? Are you seriously saying that the economic woes and high unemployment of the rest of the population has nothing to do with it? It's all because of raising minimum wage?

[gabriel72]

10:05 AM on 11/03/2011

HAHAH. a story about how people cant afford to eat out and you think paying them less is the answer! Conservati­ves and business owners who get paid 420x what an average worker... that's why they cant hire. Thats also part of why they cant compete with china, well that and the fact that every other country in the world dosent shift healthcare onto the employer or the people... Another plan brought to you by Conservati­ves and business owners...

[gabriel72]

11:32 AM on 11/03/2011

Aww, your comment was removed, but looking over your history i can assume the jist, You believe that we in America would all be better if our corporate masters could go back to the days of the company store, that we cant compete with countries that have universal healthcare and retirement as well as fully funded schools... because we have Social security and medicare bogging us down... Do you see why that contradicts its self? the countries that are taking our lunch money have the things you claim are draining us dry... and theirs are much bigger.
What they dont have is CEO who take 50% off the top. What they don't have is a banking industry that is allowed to put profit above national interest... They have laws to keep investment managers from acting in a treasonous fashion and tanking their economy.

[RJKERB08]

09:22 AM on 11/03/2011

As a teen, I was a three sport athlete and only could pull in money in the summer. Usually that money wasn't enough. I lucky my parents would toss me 20 bucks on occasion which was usually spent on food.
My parents philosophy was "you got to do something". If I didn't play sports then I would need to get a job, if I didn't have a job then I would need to play sports. There's no sitting around at my parent's house.

[denny8844]

10:03 AM on 11/03/2011

When I grew up in the 50s there was no one and I mean no one who had any money to go out to eat. Before I left home my parents had enough money to go out to a restaurant other than a greasy spoon with hamburgs, just one time which was on my 12th birthday. I guess being pampered is one of the essentials with today's teens. Perhaps if the teens would go out to eat less often and eat at home more, the obesity rate would drop

[oilfield]

11:09 AM on 11/03/2011

i worked in the summer too....8-16 hours a day.....over 100 bucks a day.....they even fed us on the job....

[Diggiti]

09:20 AM on 11/03/2011

McDonalds is full of Teens...Chipotles is full of Teens & College Students...
kids want to go, where other kids go ....

[MoreFocusLessEntropy]

09:04 AM on 11/03/2011

I have to offer kudos to our local hardware store. Go in on any weekend (or any day in the summer) and you'll see half a dozen teens politely offering help to customers. Teens also serve as cashiers. It's a great place, and I always try to get what I need there before going to one of the big hardware stores.

[lightnessandjoy]

09:42 AM on 11/03/2011

Someone's got to supplement their parents' unemployment checks and they're so much cheaper to hire.

[donnyraindog]

08:09 AM on 11/03/2011

I've been in the restaurant game for 30 plus years. Too many places opened in the 80s when American culture started taking dining out seriously.Every laywer or doctor with some extra money thought he could run a better place then those already established ,most of them struggle for a few years go under then reopen under a new owner starting up the same cycle.These places while never doing a great business are pulling customers away from legitamate operations that know what they are doing.

[catbutt]

09:21 AM on 11/03/2011

If you knew what you were doing, customers would not be a problem.

I bartend at a college bar and still pull 4 bills a night. My customers are loyal because I give them something they don't get anywhere else; My sincere appreciation and thanks. Regardless of their tip or not. I know that if I treat my customers right, they'll come back and introduce me to their friends. (we're standing room only 6 night a week)

Most restaurants don't utilize their front of house staff. It's your sales force and they need to be taught how to sell. There is no reason why you can't pull customers from other restaurants. If you offer what doesn't exist anywhere else, customers will flock to your restaurant in droves.

[Not That Far Left]

07:44 AM on 11/03/2011

I'm not surprised. If you outsource your jobs to other countries and have a high unemployment rate at home, then you won't be able to sell your products to people at home because they no longer have the money to buy them.

It doesn't matter if you're talking about shoes, electronics, or food. There comes a point where corporate profits become too high at the expense of an unemployed consumer base.

[WaPoFan]

07:43 AM on 11/03/2011

No brainer. Restaurants should offer teen discounts and promotions as they often do for seniors, young children, military personnel, and college students.

[pugnacious progressive]

07:37 AM on 11/03/2011

"Once some of the biggest customers of restaurant chains like Chevy's and Friendly's, many teens are now avoiding dining out -- and the restaurant industry is beginning to suffer as a result."

But right-wingers told me that it was regulations and taxes--not a broken consumer class--causing our economic problems, and that we need to give more tax breaks to the wealthy (who are already enjoying their lowest rates since the 1920s) if we want things to get better?

Sometimes I get the feeling that right-wingers aren't being completely honest with me....

[jackieoclassist]

09:41 AM on 11/03/2011

Ha! The ones that know what they're talking about aren't being honest. The rest just aren't bright enough to know the difference.

[frank day]

07:07 AM on 11/03/2011

This definitely rings true.
My son in college has learned to cook and he and his friends meet up to play games and watch videos at each other's apartments.

Anyway, I'm sure that the Restaurant industry will respond by lowering wages and laying off
more people.
It's the corporate way these days.

[ashmtndad]

10:16 AM on 11/03/2011

lower a wage that starts off less than minimum wage, $2 hr + tips.

[rwolsen]

03:17 PM on 11/05/2011

what would you have the industry do? it's not like they can run up a $15 TRILLION deficit to have workers standing around doing little or nothing - that's why we have govt jobs.

[frank day]

03:33 PM on 11/05/2011

Glad you ask.
I'd,
- have them emphasize value and quality
- have them reward employees for profitability
- offer flexible work schedules
- become more active within local communities
- source more of their foodstuff locally
- empower local managers and staff to make more decisions locally

Basically, make money the old fashioned way. EARN IT.