'Particularly terrible': Omicron slashes customer revenue for restaurants, hotels in already slow time of year
January is typically one of the slowest months of the year for restaurants and hotels.
However, many owners say the Omicron wave is adding even more strain to their revenue.
“January’s are terrible, this one is particularly terrible,” said Mark Heise, owner of Rebellion Brewing Co.
“Each day you show up and wonder what type of business you’re going to have to operate in terms of staff and customers.”
Heise said the taproom has been relatively lucky, with only one staff member currently off after testing positive for COVID-19. However, he says customers’ comfort levels are down, which means lower foot traffic coming through the doors.
“Right now there’s just a lot of uncertainty, a lot of stress, a lot frustration and to be through however many waves now, it just takes a toll on people,” Heise said.
Compared to a busy January, Heise estimates revenue is down 50 per cent. He made the decision to cut back the taproom’s hours of operation last week.
“That means some of my staff that were willing to work had to have reduced hours,” he said.
Jim Bence, president and CEO of Hospitality Saskatchewan, said he’s hearing similar things from people in the industry.
Some restaurants have had to temporarily close due to staff getting sick with COVID-19, but for the most part he says staffing has been, “manageable.”
According to Bence, the biggest challenge is getting customers in restaurants and guests in hotels, adding the accommodation sector seems to be struggling the most.
“When you take an already slow season and you cut it in half that means for some really, really tough times,” Bence said.
“One hotel, for example, lost $67,000 worth of business in four days just in cancellations.”
Bence called the situation “extremely dire” for hotel operators in urban centres, who pay hundreds of thousands of dollars in fixed costs each month. Right now, he said there is no revenue to offset those expenses.
“These are, for the most part, independently owned hotels. These are our friends and neighbours that own these assets that are now simply out of money,” Bence said.
According to the Saskatchewan Federation of Labour (SFL), employees in every sector are feeling the strain.
Saskatchewan is the only jurisdiction in Canada that does not have gathering restrictions and capacity limits in place. That means workers in the province are ineligible for the Canada Worker Lockdown Benefit.
The federal subsidy offers income support to employed and self-employed people who cannot work due to a COVID-19 lockdown. Those who are eligible, can receive $300 for each one-week period.
However, SFL president Lori Johb said Omicron is forcing businesses to close and cut back on staff even without a lockdown in place.
“I worry about workers that are working part-time, because many of them have to work more than one job and this would really affect their bottom line,” Johb said.
According to Premier Scott Moe, provincial government officials may ask the federal government to expand the benefit to individuals that are impacted as opposed to a blanket approach based on provincial lockdowns.
Moe added a lockdown in Saskatchewan would do more harm than good.
“That isn’t to say that there are some individuals that aren’t impacted by for example large gatherings not being able to come together in many cases or the five day isolation period,” the premier said on Wednesday.
The government is not considering new restrictions at this time.
Both Heise and Bence continue to say the way forward is planning, and hoping for a busy spring and summer, with festivals and events bringing customers and guests through the doors.
CTVNews.ca Top Stories
Spectacular aurora light show to be seen across Canada Friday night
A rare and severe solar storm is expected to bring spectacular displays of the northern lights, also known as aurora borealis, across much of Canada and parts of the United States on Friday night.
Which Canadian cities have the highest and lowest grocery prices?
Where you live plays a big factor in what you pay at the grocery store. And while it's no secret the same item may have a different price depending on the store, city or province, we wanted to see just how big the differences are, and why.
McGill University seeks emergency injunction to dismantle pro-Palestinian encampment
McGill University has filed a request for an injunction to have the pro-Palestinian encampment removed from its campus.
Swarm of 20,000 bees gather around woman’s car west of Toronto
A swarm of roughly 20,000 bees gathered around a woman’s car in the parking lot of Burlington Centre.
U.S. says Israel's use of U.S. arms likely violated international law, but evidence is incomplete
The Biden administration said Friday that Israel's use of U.S.-provided weapons in Gaza likely violated international humanitarian law but wartime conditions prevented U.S. officials from determining that for certain in specific airstrikes.
Barron Trump declines to serve as an RNC delegate
Former U.S. President Donald Trump's youngest son, Barron Trump, has declined to serve as a delegate at this summer’s Republican National Convention, according to a senior Trump campaign adviser and a statement from Melania Trump's office.
Mother assaulted by stranger while breastfeeding baby in her car: Vancouver police
A person was arrested in East Vancouver Thursday after allegedly entering a car while a mother was breastfeeding her four-month-old boy.
'We have laws': Premier Smith says police action justified in Calgary
The actions, including the decision to use non-lethal force, to disperse pro-Palestinian protesters from the University of Calgary campus were justified, Alberta Premier Danielle Smith said Friday.
'State or state-sponsored actor' believed to be behind B.C. government hacks
The head of British Columbia’s civil service has revealed that a “state or state-sponsored actor” is behind multiple cyber-security incidents against provincial government networks.