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Rising tariffs and economic uncertainty are causing many restaurant chains to struggle with increased costs and decreased customer traffic. Despite this, April's job growth remained robust at 177,000 jobs, although slower than the previous month. The unemployment rate held steady at a historically low 4.2%. However, the economy shrank 0.3% in the first quarter of 2025, and recession fears are rising, fueled by Trump's tariff policies. While the labor market shows strength, experts express caution about potential economic slowdown.

Prepared by Christopher Adams and reviewed by editorial team.