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June 04.2025
3 Minutes Read

Where Have All the Good GMs Gone? Exploring Management Gaps in Restaurants

Busy urban cafe scene illustrating restaurant general managers shortage.

Why the Restaurant Industry Is in Need of Good Managers

The modern dining scene has experienced a remarkable transformation, particularly in cities like New York. The surge in new restaurants is undeniable—by 2024, their numbers had doubled since 2000. Yet, amid this vibrant tapestry of culinary offerings, a concerning trend has emerged: the scarcity of experienced general managers (GMs). These individuals are crucial not only for the day-to-day operations of restaurants but also in shaping a dining experience that keeps customers coming back.

How the Pandemic Reshaped the Job Market

As the pandemic disrupted businesses globally, the restaurant industry saw an unprecedented wave of layoffs. Many skilled workers found themselves out of work nearly overnight. Fast forward to today, and those who have entered the job market now possess varied levels of experience, resulting in a unique challenge: good GMs are hard to find. Restaurant owners now find themselves needing to compete fiercely for talent—offering higher salaries, benefits, and another notable evolution: negotiated time off. This shift reflects a broader trend: employees are now at the helm when it comes to setting job conditions.

The Battle for Employee Retention

A significant part of the issue is retention. Managers, long seen as the backbone of restaurants, often earn less than servers who benefit from tips. In light of this, top candidates are increasingly driven to negotiate terms that suit their personal lives. As one operator notes, "It seems that 80% of my new hires request time off even before they start. That was unheard of in my early days in the industry.” The expectation of work-life balance demonstrates how employee values are evolving in the post-pandemic restaurant landscape.

The Stakes of Managerial Challenges

Good management goes beyond just keeping floor operations running. General managers forge connections among the staff, handle inventory, and serve as the essential link between employees and ownership. The importance of effective leadership in restaurants has never been clearer, making the recruitment of competent GMs more critical than ever. The tough part? When a well-meaning individual accepts an offer but arrives with radically different expectations regarding job condition, it can lead to complications round the clock.

Looking Ahead: Trends and Solutions

To address this dilemma, restaurant owners are beginning to rethink their management structures and hiring practices. Highlighting the need for better training has become a focal point, with some establishments focusing on developing internal talent rather than solely hiring externally. This strategy not only builds a loyal workforce but embeds an organizational culture that values growth and mentorship.

As restaurateurs grapple with this shift, they will need to adapt their hiring strategies. With talented managers as a top priority, the landscape will continue to evolve, influenced largely by how effectively these leaders can shape not just their teams but the restaurant culture itself.

Conclusion: The Heartbeat of the Restaurant Industry

As we watch the restaurant industry adapt to new expectations, the central role of qualified GMs remains crucial. Investing in management talent may be the key to ensuring stability and creativity within the ever-changing restaurant landscape. So, patrons and restaurateurs alike should come together to appreciate and support those who keep these culinary experiences alive.

Restaurants

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