Restaurants will need subsidies to survive winter says industry group
A foodservice industry group is calling for a continuation of wage and rent subsidy programs as restaurants look to rebound from COVID-19 restrictions. Restaurants Canada said eight out of 10 establishments across the country will need help getting through the fall and winter seasons.
Rebecca Sawyer, manager of Shooters Downstairs Lounge in Sault Ste. Marie, said government subsidies have helped them keep the doors open and their staff employed.
"Without the wage subsidy program and a number of little supports that we've been able to kind of get our hands into, there's a good chance that we wouldn't even be open right now," Sawyer said. "I do believe that the wage subsidy program going into the new year is almost going to be absolutely necessary, if not closer to the spring."
James Rilett, a vice-president of Restaurants Canada, said the industry in Ontario continues to struggle and that wage and rent subsidies must continue. He said many establishments have taken on a lot of debt over the last 19 months.
"They're now having to service that debt or pay back bills that had just been put on hold," Rilett said. "So all that is coming due and it just makes profitability in the restaurant sector a delayed thing right now."
The industry saw a rebound in the summer, he said, but with patios closing for the season and the vaccine passport system in place, restaurants are once again seeing a drop in sales.
"When the vaccine passport was brought in, about 60 per cent reported decreased revenue, and 40 per cent say it was significant," Rilett said.
Sawyer agrees, saying the passport system has had an impact on her business.
"Despite how soon we saw it coming, it's nothing you can really, truly prepare for," she said. "We're dependent on the public to decide that this is what they are willing to participate with and still come out and support restaurants, bars, and the industry as a whole."
Even after all public health restrictions come down, Rilett estimates it will take up to 18 months for the industry to fully recover. Sawyer contends it will take even longer given the pandemic's impact on the economy as a whole.
CTVNews.ca Top Stories
CFIA monitoring for avian flu in Canadian dairy cattle after U.S. discoveries
The Canadian Food Inspection Agency is encouraging veterinarians to keep an eye out for signs of avian influenza in dairy cattle following recent discoveries of cases of the disease in U.S. cow herds.
Mandisa, Grammy award-winning 'American Idol' alum, dead at 47
Soulful gospel artist Mandisa, a Grammy-winning singer who got her start as a contestant on 'American Idol' in 2006, has died, according to a statement on her verified social media. She was 47.
'It could be catastrophic': Woman says natural supplement contained hidden painkiller drug
A Manitoba woman thought she found a miracle natural supplement, but said a hidden ingredient wreaked havoc on her health.
DEVELOPING G7 warns of new sanctions against Iran as world reacts to apparent Israeli drone attack
Group of Seven foreign ministers warned of new sanctions against Iran on Friday for its drone and missile attack on Israel, and urged both sides to avoid an escalation of the conflict.
After hearing thousands of last words, this hospital chaplain has advice for the living
Hospital chaplain J.S. Park opens up about death, grief and hearing thousands of last words, and shares his advice for the living.
Vancouver firefighter in rehab at home after losing leg to flesh-eating infection overseas
A family trip took a frightening turn for Christopher Won when he was diagnosed with flesh-eating disease while in Hong Kong and now, after weeks of treatment overseas, the Vancouver firefighter is back home recovering.
WATCH Video shows dramatic police takedown of carjacking suspects chased through parking lot north of Toronto
Police have released video footage of a dramatic takedown of a group of teens wanted in connection with an attempted carjacking in Markham earlier this month.
WHO likely to issue wider alert on contaminated cough syrup
The World Health Organization is likely to issue a wider warning about contaminated Johnson and Johnson-made children's cough syrup found in Nigeria last week, it said in an email.
Advocacy groups speak out against domestic violence comments by Nova Scotia minister
Several Nova Scotia groups that assist women are speaking out against comments on domestic violence by Justice Minister Brad Johns, and at least one is calling for his dismissal.