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)