The Big News October 2008
(Washington, D.C.) - The National Restaurant Association issued the following statement from President and CEO Dawn Sweeney regarding the nation's financial crisis:
"On behalf of the restaurant industry's 13.1 million employees in almost one million locations nationwide, we thank Congress and the Administration for their quick action to stabilize the U.S. financial system. Today, a majority of the House of Representatives took a courageous and difficult vote to right the nation's economic ship, building on the Senate's work earlier this week. These bipartisan votes were essential to the nation's economic health, and no less for the restaurant industry.
"Our industry, seventy percent of which is single-unit operators, has been buffeted by soaring food prices, growing labor costs, and energy price spikes.
"Even so, many of our members tell us they would like to expand their restaurant operations and create new jobs, but they simply cannot because capital is not available from their local financial institutions. We are pleased that so many of our members contacted their lawmakers to tell them how important this tough vote was for them, their employees and their guests.
"Another important provision of the legislation is more equitable treatment of restaurant depreciation for both improvements and new construction. This provision can serve as an important catalyst for growth in the restaurant sector, which in September lost jobs for the first time in over two years.
"According to the Commerce Department, every dollar spent in restaurants generates $2.02 in sales for other industries in the economy. Moreover, every $1 million spent in restaurants creates an additional 33 jobs in the economy. Many of these impacted industries are those that are facing significant struggles, including construction, manufacturing, transportation, real estate, financial services and wholesale trade. These supporting industries also experience proportional losses in sales and employment when the restaurant industry faces a downturn, which makes it critically important to ensure the continued growth of the restaurant industry. That is why the restaurant industry is often referred to as the cornerstone of communities across this nation.
"We are pleased that Congress and the President, Democrats and Republicans, worked together to do what is best for the nation and create greater financial stability for all Americans."
NRA Thanks Congress for Bailout Vote