Economic recovery is a bet of food entrepreneurs

Although consumption levels are still low, entrepreneurs in the away-from-home food sector continue to hire and are optimistic about the post-pandemic economic recovery. The analysis is by economist João Ricardo Tonin, from the FoodCo Bulletin. The sector generated 10,441 formal jobs during the first half of 2023, which represents more than 5% of all jobs generated in the country during the period, according to CAGED (General Register of Employed and Unemployed).

Of those hired in the field, 76.5% are young people under 24 years of age, which for the economist may indicate two trends: the difficulty in hiring more experienced professionals and the search for labor with lower wages. Tonin alerts, however, that this attempt to reduce costs can affect the quality of the service, and generate a drop in the billing of the establishments. On the other hand, 27.7% of new employees are more experienced professionals who lost their jobs during the pandemic. For the economist, although they demand higher wages, these workers bring experience and maturity that contribute positively to the team.

According to Abrasel (Brazilian Association of Bars and Restaurants), 79% of establishments expected higher revenues on Mother’s Day this year compared to 2022. For Tonin, this indicates optimism among entrepreneurs in food outside the home, who, in addition to investing in in hiring, they believe in the post-pandemic economic recovery.

“Despite the optimism, it is important to highlight that there is still a way to go for all establishments in the away-from-home food sector to recover their profitability. According to the data released, 27% of establishments still operate at a loss. However, if expectations of economic recovery are confirmed, it is possible that we will have a great improvement in this indicator. The important thing is that businessmen in the sector keep moving forward, investing in strategies that bring quality to services and satisfaction to customers, valuing both young and more experienced workforce”, concludes Tonin.

The FoodCo. with the complete and audio analysis of the economist João Ricardo Tonin is an exclusive weekly content for the platform’s subscribers. FoodCo. is the largest community of bar and restaurant owners in Brazil. There are more than 13,500 entrepreneurs from the sector gathered in a network of knowledge and networking, with access to essential content for those who undertake food outside the home.