Local restaurants and establishments continue to feel the pinch from last weeks sudden move to lockdown the entire province and now the four week stay-at-home order.
Restaurants Canada says Ontario’s restaurant industry has taken more than a $100-million hit in ongoing reopening and closing costs alone.
Vice President of Central Canada James Rilett says impacted businesses lose about $10,000 every time they have to close indoor dining.
“That’s because of lost product, food, draft beer, and lost hours that they booked people in and they’ll have to pay their shift.”
Rilett notes, “For a restaurant that’s been through three lockdowns, the province’s $20,000 small business grant hardly covers their closing and reopening costs, let alone compensation for revenue lost while shut down.”
He adds, “We want the province to recognize that we’ve been inordinately affected by this shutdown and we believe that we should be compensated if we’re being closed down for the good of everyone.”
Restaurants Canada and the Ontario Restaurant Hotel & Motel Association have sent Premier Doug Ford an open letter calling for the following actions:
All restaurants should be supported financially to mitigate rising debt in the following ways:
1. Further funding through the Ontario Small Business Support Grant program and an amendment to the rules to ensure every food service establishment is able to receive funding.
2. A sector-specific program for covering reopening/closure costs such as wasted inventory, staffing costs, patio setup/takedown, etc.
3. An expansion of the property tax and energy cost rebate programs to include all food service businesses that have been impacted by the former Red-Control level restrictions.
4. An immediate end to the 6% markup that restaurants pay to buy alcohol from the LCBO.
