The objective of this study was to assess the economic impact of the Erie County, New York, Clean Air Act on the restaurant industry by examining restaurant employment and payroll statistics. Monthly county-specific data were compared between 1996 (before the law), 1997 (after phase 1, which required 80% of indoor restaurant seating to be smoke-free), and 1998 (after phase 2 which prohibited smoking in 100% of indoor restaurant seating). Erie County's Clean Air Act had no adverse economic impact on its restaurant industry.