May 19th, 2024

Businesses brace for slow-down

By COLLIN GALLANT on March 19, 2020.

Numerous sales and other business events are on hold due to calls for social isolation to combat the coronavirus, raising worry in the general business community.--NEWS PHOTO COLLIN GALLANT

cgallant@medicinehatnews.com@CollinGallant

The fear is real for small business owners and their employees about the economic effects of a call by all governments to stay home as the best measure to stem the spread of the coronavirus.

Hatters appear to be heeding that advice, but as parking lots remain empty – even for the inarguably good cause of preventing possibly hundreds of deaths in Medicine Hat – stress is mounting in shops and restaurants.

“I spoke to a neighbouring business owner who did $30 in sales on Monday,” said Chris Hellman, a former head of the chamber of commerce and the owner of Moxies restaurant as well as the Mr. Lube franchise. “You try to do what you can and hold on, but how long can you last in business making $30 a day?”

That’s a problem that the federal government is trying to lessen, according to a announcement on Wednesday of $82 billion in spending measures to, among other things, supplement wages of retained employees, and loosen employment insurance and emergency benefits. Income tax deferral of amounts owing could delay payments until at least the summer, when Prime Minister Just Trudeau said the situation may be clearer.

On Wednesday, Hellman announced that the restaurant will be closed to sit-down service, providing take-out and delivery only. That will be re-evaluated in two-week increments. But, even the oil change business is also considerably slow, even though customers don’t have to leave their vehicle, and there’s limited interaction with staff.

“There’s been a significant slow-down starting last week, but really, this Monday was the slowest in 18 years of me having the franchise,” said Hellman. “(Local businesses) have been in a bit of a pinch for four or five years, and now this is layered on top of it.”

Other businesses are also adjusting and are being urged to activate contingency plans to protect the physical health of their staff and customers. Like many offices, the Chamber closed its offices and has workers continuing duties at home. Four scheduled events are also off, mimicking a torrent of event and sale postponements in the general business community.

It planned to create a dedicated page on its website to help members navigate a stream of information like the federal aid package.

Chair Tracy Noullett gave members a message of support and spirit on Monday.

“The days ahead may be challenging for our business community and our region as a whole, but Hatters, Albertans and Canadians are known for their resiliency, kindness and compassion,” said Noullett in a statement.

“The chamber has confidence that our community will rise to the occasion and the generosity of spirit that exists here will emerge stronger than ever.”

The chamber stresses that businesses should follow the direction of health authorities.

Managers should have a continuity plan that should include strong policies about sick leave, location cleanliness and alternate plans to ensure essential operations can continue.

Last week, Cancarb told the News that it had already restricted travel by its personnel, would limit visits to its offices and plant site, as well as human resource measures to protect employee health.

“Cancarb is monitoring and following closely all recommendations of Alberta Health Service and other related health agencies,” read a statement from president Peter Donnelly. Other major employers in Medicine Hat did not respond to requests from the News.

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