Wage trends in leisure and hospitality driven by tip-dependent sectors

 

Employment shares Hourly earnings Wage change
Covid-19 shock February 2020 April 2020 February 2020 April 2020 Raw Weighted
Leisure and hospitality, total 100.0% 100.0% $15.10 $14.90 -$0.20 -$0.20
Full-service restaurants and bars 36.2% 21.6% $15.58 $14.97 -$0.60 -$0.17
Other eating 36.9% 50.2% $12.76 $12.71 -$0.05 -$0.02
All other L&H 26.9% 28.2% $17.65 $18.73 $1.07 $0.30
Employment shares Hourly earnings Wage change
2021 Re-opening December 2020 March 2021 December 2020 March 2021 Raw Weighted
Leisure and hospitality, total 100.0% 100.0% $14.86 $15.37 $0.51 $0.51
Full-service restaurants and bars 33.3% 35.8% $15.11 $16.18 $1.07 $0.37
Other eating 43.5% 40.5% $12.95 $13.13 $0.18 $0.07
All other L&H 23.2% 23.7% $18.14 $17.91 -$0.23 -$0.05

Note: Hours worked in each sector calculated by employment times average weekly hours. Aggregations of subsectors (shares of hours worked and average wages in full-service restaurants and bars, other eating places, and other L&H) calculated by author. Average wages for aggregated subsectors are weighted by total hours worked. Contributions to total L&H wage change from subsector wage changes calculated by multiplying the percent change in subsector wages by the average of the subsector’s overall employment share at the two endpoints.

Source: Author's analysis of data from the from the Bureau of Labor Statistics (BLS) Current Employment Statistics (CES)

View the underlying data on epi.org.