Problems and Opportunities for the Foodservice Industry in the 1980's

The foodservice industry is a many-faceted giant. Based on dollars spent, one of three meals were consumed away from the home in 1977; in that year the sales of food and drink amounted to $85.9 billion dollars. The growing number of singles and working women as well as higher incomes are the major factors which will sustain growth of the industry, and by 1981 it will reach the volume of about 118 billion dollars. The foodservice industry is the largest U.S. retail employer. In recent years labor costs have escalated significantly. Part of this is attributable to the higher minimum wage as well as the increased social security tax. Another factor causing pressure on profits is the high cost of energy. To reduce these costs, labor saving devices and more efficient scheduling have been used. Solar energy, conservation of power, and central preparation of food have also been used to achieve better economies. The problems with higher labor turnover plus the lack of fully or even partially trained food handlers are presented. The impact of consumerism on the industry and the menus of today and the future are revealed.