Northern Virginia restaurant owners raise alarms over staffing, costs and tariffs

NoVa restaurants say ICE enforcement, tariffs are hurting business

Northern Virginia restaurant owners warn they're at a breaking point, citing rising costs, worker shortages, and immigration enforcement as major threats to staying in business.

BURKE, Va. - A growing number of restaurant and hospitality business owners across Northern Virginia say a combination of rising costs, worker shortages and economic uncertainty is threatening their ability to stay afloat. 

What we know:

On Tuesday, they voiced their concerns directly to U.S. Senator Tim Kaine during a roundtable discussion at the Glory Days Bar and Grill in Burke.

The event was organized by the Virginia Restaurant, Lodging & Travel Association — the largest group representing hospitality businesses in the Commonwealth — to shed light on the mounting pressure these small businesses face.

Although their businesses vary in size and service, the owners who spoke to Kaine shared one common message: they are deeply worried about the future.

What they're saying:

Among the top concerns raised were aggressive immigration enforcement, which they say is deterring immigrant workers from showing up for shifts, rising costs due to tariffs, credit card processing fees, and the spread of laws requiring tipped workers to receive a full minimum wage. These factors, they argue, are pushing already-thin profit margins toward a breaking point.

"We’re a business of pennies," said Gary Cohen, owner of the Glory Days Bar & Grill. "We’re not looking for millions of dollars. We’re just looking for credit card fees to go from 2.8% to 2.6%."

David Moran of Clyde’s Restaurant Group said consumers may not notice minor price hikes on the menu, but the impact adds up. 

"Does anyone notice that the burger went from $16.99 to $17.49? Maybe not. But when you finish dinner for four — what used to be under a hundred dollars — you feel it."

Sarah White of the Lazy Dog Café expressed concern over increased immigration enforcement. 

"There are a number of people getting picked up, and it’s causing people who are here completely legally to not show up to work," she said.

Liz Kinkaid of RVA Hospitality said the ripple effects of these challenges are exhausting for small businesses. "It’s just very time-consuming if these policies are going to continue," she said.

Senator Kaine acknowledged their concerns, linking them to broader national economic trends.

"These are innovators, self-starters, and resilient people," he said. "But between job layoffs in Northern Virginia and the uncertainty driven by tariffs and other things, a lot of people are nervous — absolutely."

Kaine also criticized federal trade policy. "Roll these tariffs way back," he said. "It’s increasing the costs for these folks, who cannot just keep raising prices because then people won’t come."

Big picture view:

The discussion comes at a time when Virginia’s economy is facing headwinds. The University of Virginia’s Weldon Cooper Center projects the state could lose about 30,000 jobs by the end of the year — largely due to federal layoffs. That downturn is expected to reduce disposable income, directly impacting industries like dining and hospitality.

For now, business owners say they’re doing what they can to weather the storm. But unless changes come soon, many fear the future may not be sustainable.