Trump's Deportation Plan May Impact Restaurants

President-elect Donald Trump's proposed mass deportations could significantly impact the restaurant industry, which heavily relies on undocumented workers, leading to potential labor shortages, increased menu prices, and business closures reminiscent of pandemic conditions. Economists suggest that if 1.3 million undocumented workers are deported, menu prices could rise by 1.7%, and by up to 11% if all 8.3 million undocumented workers are affected. Despite these concerns, Wall Street analysts believe that Trump's threats may be exaggerated and that the deportation policies will focus primarily on criminal immigrants rather than the restaurant workforce. The Thomson Reuters index of restaurant stocks has risen over 5% since the election, indicating optimism among investors despite potential policy impacts. Key industry figures, such as Gary Bradshaw and Dan Ahrens, express caution, suggesting that the economic fundamentals could mitigate the effects of any drastic immigration policies. Overall, while the prospect of deportations raises concerns for the restaurant industry, the stock market remains buoyant, reflecting a belief in continued consumer spending.