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The Labor Market: Operational Impact

Labor Market Operational Impact

Staffing concerns have compelled businesses to shift the way they operate.

Beyond the difficult market, minimum wage increases, particularly in states such as Washington, California, and New York, continue to eat into operators’ already tight margins. This means that employees down the chain are getting overworked.

“Operators have been under pressure for several years, and 2025 was the breaking point for many. Labor costs rose while the margin for error disappeared. That forced operators to take a hard look at how much complexity they were pushing onto managers,” Harri’s CEO Luke Fryer told FI.

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