A leader in Iowa’s hospitality industry says most Iowa restaurants, bars and pubs are struggling financially and up to 600 may close this year.
Iowa Restaurant Association president and CEO Jessica Dunker said the price of food and labor costs are exceptionally high and raising menu prices any higher could drive away customers.
“While revenue is high — and people see the record revenue into the restaurant industry — there is no profitability,” Dunker said during an interview with Radio Iowa. “…We’ve hit that threshold of what we can charge…We’re worried Iowa’s restaurants. We’re worried that people that just found their way through the COVID mess are now dealing with the difficulties of being able to survive in the marketplace and, unfortunately, the data backs up that there’s a lot of s