Restaurant Business Starving

Looking for a last-minute reservation at a hot-spot restaurant in New York, San Francisco or anywhere in between? The good news is you can most likely get in without waiting months for a reservation. The bad news is service may not be up to snuff, since the economic downturn is forcing eateries to cut staff.

The famous (and high priced) Michael Mina four star restaurant in San Francisco’s St. Francis Hotel announced it is soon closing on Sundays and Mondays, after October/November sales declined 10 percent. And across the country restaurant consultants say culinary establishments are seeing sales declines of 10 to 40 percent. That is much worse than watching a client skip out on the bill in an industry with already slim profit margins.

The San Francisco Chronicle reports restaurants are complaining that customers are making do with just appetizers and a glass of house wine instead of a full meal washed down with an expensive bottle of wine. That means fewer tips for waiters and bartenders, pink slips for dishwashers, and owners hoping to survive on leaner revenue.

And it is happening at vacation resorts as well. On a recent trip to Cabo San Lucas, we had no problem getting a great table at Charlie Trotter’s signature restaurant in The One and Only Palmilla Resort.

But after looking at the excellent (and expensive) wine list provided by the famous Chicago-based celebrity chef, I ordered just a half bottle of a very nice Pinot Noir. And come to think of it, the rest of the table made do with appetizers.

I sure hope they let us back in when the economy finally turns around.

(Brian Banmiller is a national Business Correspondent for CBS News Radio, free lance writer and public speaker. The former television business news anchor in San Francisco can be reached at brian@banmilleronbusiness.com .)