Navigating the manager drought

Plus, restaurant red flags, according to chefs

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7 min read
Navigating the manager drought

As inflation and living costs rise, the No Tax on Tips Act moves closer to becoming law, potentially boosting financial stability for millions of service workers. Meanwhile, a look at questions on every restaurateur’s mind: where have all the great general managers gone? Plus, a Chicago native is opening a pizza lab in Seattle. We’ll explain what that means, and more, right this way! 

MICRO BITES

Feast for the eyes: As some operators ban smartphones from their dining rooms, should restaurants really be lamenting over increased usage from guests? Not if they want to stay in business, according to one hot take.

Trending upwards: The number of people choosing to dine-in continues to climb—a sign that post-COVID recovery isn’t over. Weekend visits are also on the rise.

Can you hear me now? Good communication aims to deliver clear, consistent messaging across all channels to strengthen operations and elevate the customer experience. For restaurants, this involves developing some key strategies.

Flavortown: As restaurants aim to attract more diners in 2025, many are seeing a demand for global cuisine, specifically Asian, which could be an easy way to cater to customer needs, as this trend is only gaining momentum. 

Risky business: Is your service staff indifferent? Your dining room messy? Your menu filled with “trendy” offerings? You’re a red flag, according to at least two respected chefs. 

SPOTLIGHT

‘You have to commit. Do something you can't reverse’

A Seattle entrepreneur is putting a creative spin on the pop-up model. Brian O’Connor doesn’t have a restaurant of his own—yet—but he’s testing his pizza concept by taking over an existing pizzeria’s kitchen, giving him a low-risk way to refine his menu and build a following before opening a spot of his own.

Until now, O’Connor, who is less of a chef and more of a restaurant developer and consultant, has been introducing people to Pop Pop Pizza & Wine through intimate dinner parties at his home. Gaining access to professional ovens and a larger space to host guests marks a major step up.

What began as a passion project to share the thin-crust pizzas he grew up eating in Chicago is now on the cusp of becoming a full-fledged restaurant.

What’s the goal of this “pizza lab" and why are you doing it?

Pizza Lab is a chance to practice our skills and experiment with a number of approaches to find the right mix for launching something great. I almost think of it as a mixtape or a comedian working out their act on the road. We can take some chances, be a little looser than a formal restaurant and then harness the best of what emerges from that for our formal album—the brick and mortar.

What made you want to start a pizza pop-up in the first place?

Since moving to Seattle, I've tried to find a way I could contribute to my new home, and I miss the thin and crispy pizza I grew up eating. It seemed like a natural fit to combine the two and launch Pop Pop. Coming out of Covid, I wanted to keep things small and flexible, initially to simply bring people together over our little dinner parties. We started with friends, but soon the dinners were filled with new folks we'd never met and we just kept building from there.

How will you know when you're ready for a brick and mortar?

One side of that equation is securing funding—it's expensive to open a restaurant anywhere, but especially in Seattle. I want to make sure we're properly capitalized to succeed. But, more importantly, once we refine a serious takeout operation that ensures our guests get consistently delicious pies and we iron out the wrinkles of serving a low-key luxurious mix of pizzas, fancy small plates and world-class wine in our dining room, we'll be ready to rock.

What has been your biggest takeaway with Pop Pop so far? What's been the biggest lesson?

The power of steady and thoughtful growth. The only time I've taken two years to develop a restaurant was when we had to construct the building itself. Otherwise, it's usually a rush to get the doors open and figure it out later. By growing slowly we've been able to build a team, develop real relationships with our guests and refine our craft so that when we finally open, we can focus on making things great instead of fixing a thousand mistakes.

What advice do you have for chefs who may want to follow in your footsteps?

You have to commit. Do something you can't reverse, that moves you from dreaming about the perfect place to building whatever you can at the moment. Then return to it every day. The progress you'll see in a few months' time will astound you. 

WHAT'S THE DISH?

 Why great GMs are hard to find

A great general manager is hard to find—like unicorn-level rare. And in New York’s booming restaurant scene, that shortage is being felt more than ever.

Restaurant openings have outpaced closings between 2020 and 2024, as eateries fill the gaps left by shuttered retail. But while the industry is expanding, experience levels among potential hires have dropped sharply—a lingering effect of the pandemic, when the city’s entire restaurant workforce was laid off at once. Now, employees have the upper hand, and attracting strong candidates means offering higher pay, actual benefits and even that once-mythical perk: guaranteed time off.

Managers are the backbone of restaurant operations. They oversee schedules, manage inventory, support staff and serve as the bridge between front-line employees and ownership. But it’s a tough role to fill. Managers typically earn less than tipped servers and juggle a demanding skill set better compensated in other industries. Many leave for more stable careers or step into management only as a stepping stone to owning a restaurant of their own.

Why it matters: Today, experienced candidates are few and far between. And those still in the game come at a premium. Your managers are your lifeline. Invest in them, because you won’t get far without them. (Grub Street)


Casual dining isn’t dead, it’s evolving

Despite headlines about bankruptcies and declining interest, casual dining remains a vital part of the restaurant landscape. In fact, top 500 casual dining chains saw nearly a 2% increase in sales compared to 2023—proof that customers haven’t lost their appetite for the category.

What’s changed is the landscape. Over the past decade, casual dining has had to adapt to the rise of fast casual and recover from pandemic-era disruptions that hit sit-down restaurants especially hard. In uncertain times, when consumers are more selective with their spending, they seek a full experience—not just a meal.

“I’m very optimistic about casual dining,” says John Peyton, CEO of Dine Brands (Applebee’s and IHOP). “Human beings are fundamentally social creatures and our desire to be with other people and interact with other people to celebrate, go on dates, whatever, can be provided by full-service restaurants.”

Why it matters: Casual dining’s edge lies in its holistic value: not just price, but also service, quality, convenience and atmosphere. As consumer expectations evolve, casual dining has the opportunity to lead by delivering on all fronts. (Nation’s Restaurant News


What the ‘No Tax on Tips Act’ means for restaurants

The proposed “No Tax on Tips” bill is one step closer to being passed, after the Senate unanimously approved it last Tuesday.

If passed, the bill would allow employees who earn tips and make $160,000 or less annually to deduct up to $25,000 in tip income from their federal taxable income. The $160,000 cap will be adjusted annually for inflation. 

For example, a bartender earning $70,000 a year—including $25,000 in tips—would only pay federal income tax on $45,000.

The bill has bipartisan support, with backing from the public, industry employers and organizations like the National Restaurant Association, which endorsed it in January. Supporters say it provides much-needed relief to working-class Americans. Critics, however, argue it could result in significant government revenue losses while offering limited help to the lowest earners.

The legislation now heads to the House. If approved, it will go to President Trump for signing.

Why it matters: The "No Tax on Tips" bill could be a gamechanger for millions of service industry workers. By allowing a sizable portion of tip income to go untaxed, it puts more money directly into the pockets of bartenders, servers, and other tipped employees—many of whom rely on those earnings to make ends meet. (Today

BY THE NUMBERS

66%

Gen-Zers who are more likely to purchase something on a menu if it's  advertised as spicy. (Flipsnack)

ON THE FLY

💠 Florida bans reservation fraud
💠 NY's hot dog cart heroes
💠 How servers really eat at work
💠 Ice cream is dominating dessert menus
💠 Why DoorDash, UberEats are entering the rez arena 

HEARD & SERVED

"Women actually possess a lot of traits that are really needed in leadership todayempathy and balance and patience... multitasking, vulnerability... and those things have proven time and time again to be towering strengths. And they're not what women always think are strengths."

– Denny’s CEO Kelli Valade on the lack of female CEOs in the restaurant industry. 

(🎧 Nation's Restaurant News)


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