4
• Coffee and Connections:
o This quarterly event brings together providers to network, share resources, and
discuss workforce development services in the City. The most recent event was
held at Homebridge on Market Street, hosted by new CEO Min Chang.
Chair Cotter called for questions and comments.
Member Rodriguez inquired about hopeful or optimistic trends in the leisure and hospitality sector.
Director Dennis Phillips noted that hospitality, healthcare, and government services are leading in
job growth. Referencing the Ted Egan monthly report, Director Dennis Phillips noted that despite
low hotel room and occupancy rates, there is significant growth in restaurants and bars, with 200
new establishments opening in the past three months. This aligns with post-COVID trends towards
more experiential retail and dining out experiences.
Director Nim added that many hospitality employers were hiring at the recent Hospitality Job Fair,
indicating strong demand for workers. Additionally, Director Nim mentioned the City is providing
incentives to support the opening of more restaurants and bars.
Member Sellami emphasized the need for consistent employment and foot traffic, noting
improvements in Union Square, such as reduced crime. Member Sellami highlighted the
importance of attracting big conventions and local visitors.
An audience member inquired about data on artificial intelligence (AI)-centered businesses and
their impact on commercial real estate. Director Kim mentioned significant AI-related activity in the
city, including companies like OpenAI and Anthropic, taking over office spaces.
Member Thomas, participating online, expressed business' mixed sentiments about the hospitality
sector. While new openings are positive, financial stress and uncertainty about SB 478 remain.
Member Thomas emphasized the need for activations to draw more people into the city to support
businesses during the crucial summer months. Additionally, Member Thomas offered to leverage
the Golden Gate Restaurant Association's mailing list to help communicate any supportive
programs.
Gabriela Jimenez, the Government Community Affairs manager with JVS, provided public comment
expressing concern over proposed cuts to workforce community grants in the Mayor's budget.
Speaking on behalf of grantees like Mission Hiring Hall, Mission Bit, and JVS that are part of the
OEWD Sector Training program, Jimenez stated the Mayor's plan to cut over $20 million from the
OEWD budget over two years by expiring one-time community grant funds would greatly impact
these community-based organizations. These cuts could force layoffs, reduced programs and
services, and limit the number of job seekers they can serve, despite increasing demand. This
would undermine their ability to provide economic mobility and workforce development pipelines
in high-demand fields. Jimenez urged the committee members to advocate against these
substantial cuts to the vital community grant funds within OEWD's budget.
Member Kurup inquired about obtaining a demographic breakdown of the unemployment data by
age group, underrepresented groups, and for the unhoused population. Director Houston
explained that while the Employment Development Department's monthly unemployment data
does not include such demographic details, OEWD analyzes unemployment rates by neighborhood
and race/ethnicity annually using data from the American Community Survey. Director Houston
added that OEWD presents an annual report to WISF breaking down unemployment demographics
across San Francisco by zip code and race, though they cannot provide that level of demographic