Leisure, hospitality big winners in February job gains

Restaurants and bars clawing back with majority of jobs added

National /
Mar.March 05, 2021 01:15 PM
Restaurants and bars accounted for a majority of the gains in February (iStock)

Restaurants and bars accounted for a majority of the gains in February (iStock)

Leisure and hospitality may finally be on the road to recovery.

The industry added 355,000 jobs in February, as coronavirus restrictions began easing in some parts of the country amid the rollout of a national vaccine campaign.

The vaccine news is a welcome shot in the arm for the economy: There were 379,000 jobs added last month, according to the Bureau of Labor Statistics, beating the predictions of labor experts.

“The jobs picture is brighter than expected,” said Mike Fratantoni, chief economist at the Mortgage Bankers Association. “We have been expecting a burst of activity from pent-up demand. This may be the first sign of that increase.”

Restaurants and bars accounted for a majority of the gains in February — 286,000 jobs — while hotels added back 36,000 positions. The growth follows a dismal January and December, when more than 550,000 industry jobs were lost.

Share prices of lodging companies have largely returned to pre-pandemic levels, ahead of an anticipated spike in demand for leisure trips once Covid travel restrictions are eased.

Still, employment in leisure and hospitality remains 3.5 million jobs below pre-pandemic levels. Overall, 9.5 million fewer people are employed than at the same time last year.

Retail also had a strong showing last month, adding 41,000 jobs, the majority of which were at general merchandise stores like target Target look to expand. That growth, however, was offset by a loss of 20,000 jobs at clothing and accessory retailers, according to the agency.

There’s also some indication that more workers are heading back to their offices: 22.7 percent of employees were working from home in February, a slight dip from 23.2 percent in January. Office landlords are increasingly offering perks to workers who return, although tenant vacancies may continue to rise through 2024.






    Related Articles

    arrow_forward_ios
    Cherre CEO L.D. Salmanson (Cherre/Facebook)
    Real estate data firm Cherre raises $50M
    Real estate data firm Cherre raises $50M
    (Tropicana Las Vegas via Facebook, Bally's Corp)
    Bally’s buys Las Vegas’ Tropicana casino for $150M
    Bally’s buys Las Vegas’ Tropicana casino for $150M
    Doctors and medical professionals have remained on time with their rent payments in the past year (iStock)
    Medical offices are just what the doctor ordered for landlords
    Medical offices are just what the doctor ordered for landlords
    The rate of loans sent to special servicers continued to fall in March. (Unsplash)
    CMBS special servicing rate declines in March
    CMBS special servicing rate declines in March
    JLL CEO Christian Ulbrich. (Getty)
    JLL explores sale of China property management wing
    JLL explores sale of China property management wing
    Dollar General CEO Todd Vasos (Retail Industry Leaders Association, iStock)
    Dollar General thrives amid retail apocalypse
    Dollar General thrives amid retail apocalypse
    Bill Lee (Lee & Associates/YouTube)
    Lee & Associates founder Bill Lee dies
    Lee & Associates founder Bill Lee dies
    (Getty, iStock)
    McDonald’s to shutter hundreds of Walmart outposts
    McDonald’s to shutter hundreds of Walmart outposts
    arrow_forward_ios

    The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

    Loading...