If Republicans should win a majority of seats in the U.S. House of Representatives, as seems probable at this point, the restaurant industry will likely learn how tough it can be to stop a speeding train that’s lost its brakes.
Or at least that’s the metaphor chosen by longtime industry lobbyists Joe Kefauver and Franklin Coley to illustrate the thrill ride that’s ahead for the restaurant business.
In this week’s installment of Working Lunch, a podcast focused on government affairs affecting restaurants, the duo agree that having the GOP control the White House and both legislative chambers will essentially keep the light green for the controversial programs president-elect Donald Trump has promised to pursue. Those measures may be seen as pro-business, but not necessarily by those in the business of running restaurants.
It'll be full throttle ahead on stopping the influx of migrants, often known to restaurateurs as prospective hires. To give U.S. producers an advantage over foreign exporters, stiff tariffs could be imposed on imported supplies ranging from wines and cheeses to the scooters used by delivery drivers. Welcome back, double-digit inflation.
The industry has come out in favor of Trump’s plan to stop taxing tips as income, but that support could wane if the revenue shortfall has to be offset by collecting the dollars consumers would otherwise use for restaurant visits.
“Aren’t we going to be in a position where we need to moderate him on immigration, to moderate him in on no tax on tips, to moderate him on tariffs?” Kefauver asked Coley, his business partner in the Orlando-based government-affairs consultancy Align Public Strategies.
It may well prove an academic question, Coley responded. At least until the general election of 2026, the Republicans will have total control of the federal machinery.
“There are no brakes to slow it down,” he said. “So they’re going to come out swinging.”
The podcast provides a fuller assessment of what the Republicans’ romp on Election Day could mean for restaurants. Give a listen to learn how the party’s win could affect matters ranging from the drive to unionize Waffle House to the cost of chianti.
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