Let Them Eat…Unemployment?

In full disclosure, I enjoy eating out – period. I can say with some assurance that the rare times my spouse and I agree to “stay in tonight” will be pretty much a thing of the past once this pandemic quarantine eases.

But on the other hand, I have no desire to go to a restaurant, have my temperature taken and remove my mask every time I sample my appetizer or entrée, would not be my idea of a relaxing night out.

But as someone who has worked in the restaurant industry and later covered it for 12 years, I have a kindred sympathy for both the owners and employees affected – some permanently by this crisis. It pains me to see once thriving establishments functioning with a skeleton crew to compile take-out only orders or in a worst-case scenario, boarded up for good.

The other day I read an interview with the chef/owner of one of New York’s top seafood restaurants, who lamented that even when they are given the green light to reopen, he would have to maintain social distancing restraints, which essentially means reducing the number of tables. So, with his fixed costs, including the stratospheric rents commanded by Manhattan landlords, coupled with the platinum prices of having exotic fish flown in daily, he doesn’t see how his establishment can come within three area codes of turning a profit with a diminished customer count.  

But the industry may have another problem – this one of unintended consequences. Many operators have given their employees the option of being let go as to be able to collect unemployment.

Ok, that’s more than fair – but this example of altruism presents a conundrum in the fact that with the addition of the CARES Act, and the extra $600 supplied by the states, a good portion of restaurant line workers and assorted staff are actually making more money by not working and collecting unemployment checks.

And restaurants may not be the only retail vertical facing what is certain to be an inevitable headache.

In a real-time example, a former colleague of mine who was a victim of COVID-19 downsizing is now clearing well over $4,000 a month! The one time I was entitled to collect unemployment I received a weekly check of exactly $400.

Now in his early 60's he admitted that he was not exactly planning to elbow his way back to work. And in truth I can’t say that I blame him.

But back to the situation at hand.

My spouse and I are battling over which cuisine to order on our one designated night off from behind the stoves. I want Indian, she’s leaning toward Thai. Maybe we’ll compromise and get Chinese.

May that be ours and others’ biggest problem.