The Brief
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A new report says hundreds of jobs are being lost as restaurants shut down at record levels in D.C.
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Many restaurant owners blame the controversial Initiative 82 policy.
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The law is meant to phase out the “tip wage” system, where workers earn a lower than the base minimum wage.
WASHINGTON – A new report says 900 jobs are being lost as D.C. restaurants shut down at record rates.
At this time, may D.C. restaurants are pointing the finger at a controversial measure concerning tipped workers.
By the numbers
Across the District, two restaurants per week are reportedly closing down for good.
This comes as the D.C. council prepares to take up the controversial Initiative 82.
The Restaurant Association of Metropolitan Washington says the latest data shows new restaurant openings are down 17% compared to this time last year.
The troubling trends come as a jobs report reveals a reported net industry loss.
Dig deeper
FOX 5 has learned the new mid-year data from the Restaurant Association of Metropolitan Washington indicates that D.C. is losing restaurants at an historic rate, reportedly averaging two closures per week so far this year.
More than 50 restaurants have apparently closed in the first half of this year. That’s reportedly nearly double compared to the same timeframe last year.
The Restaurant Association of Metropolitan Washington believes the rapid and record-breaking restaurant closures are due to increased operating costs and the minimum tipped wage increase with the phased implementation of Initiative 82.
What they’re saying
Patrons we spoke with described the situation as saddening and pointed out that the District is an area that thrives on the food and hospitality industries.
The Restaurant Association of Metropolitan Washington says it’s watching closely as the DC Council prepares to take up Initiative 82 on Monday.
The District is apparently on pace to exceed 100 closures by the end of the year, surpassing the 2024 record of 73.
