Breaking News

Trump Threats Rattle Chicago Restaurants And Events

• Restaurant operators in Chicago are alarmed by proposed deployment of National Guard and immigration agents before cultural events.
• The Illinois Restaurant Association warns such measures could discourage diners and disrupt employees, echoing economic fallout seen in other cities. SOURCE | AXIOS

Longtime North Texas Steakhouse Shutters Amid Rising Beef Prices

• Cat City Grill, a Fort Worth steakhouse of 15 years, will close September 28 due to soaring beef prices and shifting dining habits. Owners say mid-priced restaurants are getting squeezed as diners favor either budget spots or upscale venues. Shrinking cattle supplies and high costs have forced several Texas steakhouses to shut, hitting independents hardest. SOURCE | HOUSTON CHRONICLE

Is There a Fast‑Food Price War Looming?

• Fast-food chains are under price pressure. McDonald’s reintroduced low-price bundles to attract cost-conscious consumers. Menu prices rose 3.3% YoY, affected by supply chain issues and labor cost hikes, prompting price-sensitive consumer behaviors. SOURCE | NEW YORK POST

Industry

As Vegan Restaurants Close, Ghost Kitchens and Meal Kits See New Growth

• Vegan restaurants may be closing, but plant-based dining is evolving. Rising costs are pushing operators toward delivery-first models, from ghost kitchens to chef-led meal kits and curated meal drops. These formats give diners convenient, restaurant-quality food at home while helping businesses stay flexible and reduce costs. The result is a plant-based scene that’s shifting away from sit-down dining and toward adaptable, off-premises options that meet customers where they are. SOURCE | VEGNEWS

2025 Restaurant Industry Trends: Balancing Costs with Innovation

• Restaurants are struggling with rising labor and food costs, with 89% and 91% of operators reporting increases, respectively. Instead of widespread menu price hikes, many are focusing on cutting waste, tightening inventory, and reducing hours. Labor shortages remain severe, leaving 65% of restaurants operating below full capacity. Global tariffs are expected to push food costs up further, adding pressure to already thin margins. SOURCE | RESTAURANT NEWS RESOURCE

Beef Prices Hit Record High, Restaurants Rethink Menus

• Beef prices have climbed to record highs, with ground beef near six dollars a pound. Restaurants are adjusting by shrinking portions, using cheaper cuts, or adding more chicken and plant-based items. Some are even taking control of their own supply. Experts say smaller cattle herds, rising costs, and supply chain issues will keep beef expensive well into next year. SOURCE | THE FOOD INSTITUTE

How Chefs Are Getting Scrappy to Open Restaurants in a More Expensive World

• New restaurant openings are now 15–20% more expensive than in 2019. Operators are turning to mobile kitchens, private dining, and smaller concepts to manage rising construction, insurance, and operating costs. SOURCE | FOOD & WINE

Labor

Foodservice Industry Trimmed Jobs in July, Federal Statistics Indicate

• The U.S. restaurant industry’s job growth turned negative in July, ending a 55-month streak of employment gains. Eating and drinking places shed roughly 300 jobs during the month, and earlier months’ gains were revised sharply downward.
• Overall unemployment held around 4.2%, but the cooling labor market is expected to influence Federal Reserve decisions on interest rates. Industry analysts note that the hiring slowdown reflects persistent labor challenges for restaurants. SOURCE | NATION’S RESTAURANT NEWS

A New Era of Restaurant Workers May Earn Six-Figure Salaries And Benefits That ‘No Other Industry’ Can Provide

• Facing a nationwide labor shortage, restaurant chains are offering unprecedented pay and perks to attract and retain employees. Fast-casual brands report providing benefits like instant pay, tuition assistance, and retirement plans to make restaurant jobs more appealing. Climbing the career ladder can now lead to six-figure salaries – for example, Chipotle’s regional vice presidents can earn up to $600,000 a year.
• Industry leaders say these incentives, combined with clear advancement opportunities, are crucial as restaurants compete for workers amid ongoing staffing shortages. SOURCE | FOX BUSINESS

Cheesecake Factory Denies Knowingly Hiring Undocumented Employees

• The Cheesecake Factory is facing a lawsuit from former workers in Pennsylvania who claim the chain knowingly hired undocumented employees and mistreated them. The company denies the accusations, calling them false and insisting it complies with federal hiring laws. SOURCE | NATION’S RESTAURANT NEWS

Restaurants Still Short 228,000 Jobs; Workers Prefer Flexibility

• Restaurants are still struggling to find enough staff. Full-service spots remain thousands of jobs short compared to pre-pandemic levels, and buffets are hit especially hard. Younger workers are prioritizing balance and flexibility over pay, and many welcome tools like kiosks or QR menus that make jobs less stressful. To keep doors open and teams stable in 2025, restaurants need fresh ideas to attract and hold onto staff. SOURCE | OYSTERLINK

Regulatory

DC Eateries Suffer As Workers Terrified of ICE Stay Home: ‘You Don’t Want to Go Outside’

• ICE enforcement in Washington, D.C. has prompted immigrant workers to stay home, causing staff shortages, lost sales, and temporary closures. SOURCE | THE GUARDIAN

Full-Service Menu Price Increases Far Outpaced General Inflation in July

• Restaurant menu prices have been rising more quickly than overall inflation. In contrast, grocery prices have recently declined, making eating at home a cheaper option.
• This difference is creating a larger gap between the cost of dining out and cooking at home. The trend has led to slower sales for restaurants and may continue to put pressure on the industry for the rest of the year. SOURCE | NATION’S RESTAURANT NEWS

Technology

Little Caesars Offers Robotic Delivery in LA With Serve

• Little Caesars has begun using autonomous robots to deliver pizzas in Los Angeles as part of a partnership with Serve Robotics and Uber Eats. Serve’s latest sidewalk delivery robots can carry up to four large pizzas plus sides in a single trip, and the company plans to deploy about 2,000 robots by the end of 2025.
• The slider chain says robotic couriers could trim labor costs and even reduce traffic congestion and emissions from delivery cars. Little Caesars’ innovation team noted that embracing automation aligns with its goal of faster, tech-forward service for customers while also lowering delivery overhead. SOURCE | RESTAURANT DIVE