Is the labor shortage another 'new normal'? Experts weigh in

Forget a “Help Wanted” sign in the window; Tina Dalamaras, owner of Kitchen American Grill in the Whitehouse Station section of Readington, is wearing it. You can often find her in an apron at her new restaurant, which opened March 21.

“My husband and I will put on whatever hat is needed to get the job done, whatever it takes,” Dalamaras said. “If we need a dishwasher, we jump in and we’re dishwashers. If we need a server, we do that.”

Kitchen American Grill in Whitehouse Station.
Kitchen American Grill in Whitehouse Station.

But of course, the situation isn’t ideal. The modern American eatery is about 25% understaffed. Dalamaras hasn’t advertised the new business and opened it quietly to not become overwhelmed with customers.

“It’s been hard,” she said. “We get up at 6 a.m. every morning and we are working day and night. We are up at all sorts of hours, and with it being a new restaurant, there’s so much behind the scenes that we have to do. I ask everybody if they know somebody looking for work.”

Dalamaras isn't the only one in need of employees. According to the Middlesex County Workforce Development Board (MCWDB), the Middlesex County unemployment rate is 3.5%, although it has been steadily rising.

Even though the circumstances are vastly different, the labor shortage itself isn't too different from prepandemic times. Before COVID-19 struck, the Middlesex County unemployment rate was between 2.5% and 2.8%.

“Prior to the pandemic, there were also a lot of companies looking to hire people, but they didn’t have much luck simply because the unemployment rate was so low,” said Kevin Kurdziel, director of MCWDB. “There just weren’t people available. The difference now is that there’s a labor shortage because there are people not actively seeking employment as well.”

An ongoing issue?

Job fairs hosted by the Middlesex County Workforce Development Board in years past.
Job fairs hosted by the Middlesex County Workforce Development Board in years past.

So, like other frightening parts of the pandemic, is this our “new normal?” It depends who you ask, and even still, the answer is yes and no.

Dalamaras, who has 35 years of restaurant experience, remembers always looking for good help.

“Even before this shortage, there was a shortage before that,” she said. “I think it’s going to be an ongoing issue, and maybe that’s why a lot of places have closed.”

But the current labor shortage will improve, predicts Kurdziel, although it will remain to be somewhat of an obstacle for the time being, just like it was before COVID-19.

Job fairs hosted by the Middlesex County Workforce Development Board in years past.
Job fairs hosted by the Middlesex County Workforce Development Board in years past.

“I think that we will probably see a labor market that was similar to the prepandemic time when there may still be a labor shortage, but it’s not necessarily related to any health concerns,” he said. “It’s related to the workforce development system trying to catch up to meeting the needs of the employers.”