‘Easier not to open at all’: A wave of restaurants and bars are closing for the holidays as new restrictions are imposed

A series of temporary closures is weaving in Toronto’s food industry as restaurants and bars navigate the rapidly spreading Omicron cases and new limits on customer capacity.

Since the Ontario government announced the new restrictions on small businesses on Friday, a multitude of bars and restaurants in the province have chosen to temporarily close their doors for the next several weeks rather than operate at half capacity and with touches. early curfew.

Even before the restrictions took effect on Sunday, some companies reported a decline in customer demand due to the rapid spread of the Omicron variant. Now, as a precaution and to keep costs down, as the province has not announced any plans to renew subsidies, some have switched to takeout, while others have closed until those restrictions are lifted.

Donna’s, a home eatery in Bloordale, will close its doors for two weeks after Christmas. The restaurant recently closed the indoor dining room and notified its staff of 15 that this week will be the last, until it is safe to reopen.

A combination of public health concerns, financial stability and “sheer exhaustion” was the difficult but unsurprising decision, said restaurant co-owner Ann Kim.

“We just needed a couple of weeks break,” Kim said.

Crews and Tangos, a popular Toronto Drag bar, is temporarily closed on Sundays. The Local Bar, Honest Weight and Greater Good Bar have done the same.

On Saturday, Toronto restaurateur Jen Agg announced that she will be closing Bar Vendetta, Le Swan and Rhum Corner until December 27, citing the surge in COVID-19 cases and overwhelmed staff.

“We want our staff to have one less thing (job duties) that influences their decisions to be with family.” Agg wrote on Twitter.

Agg said the restaurants would continue to pay their workers despite the closure, “but without government support, we clearly cannot continue to handle payroll beyond this, so it is VERY hopeful that it will be a short closure.”

Other companies have also announced temporary closures. The Revue Cinema will close until January 3 “at the earliest.” So will the Comedy Bar, Horseshoe Tavern and Lee’s Palace.

The latest restrictions require bars, restaurants, and entertainment venues to reduce indoor capacity by 50 percent and close services before 11 p.m. M. Seating is limited to 10 people per table, while alcohol sales will be restricted after 10 p.m. be prohibited, except for “workers or artists”.

The new restrictions, aimed at limiting the rapid increase in COVID-19 cases, which reached 3,783 new cases on Monday, complicate business plans for bars and restaurants that expect a revenue surge on New Year’s Eve.

Zac Schwartz, co-owner of the Leslieville Lake Inez restaurant, made 120 reservations for New Year’s Eve. However, in the coming days, the pan-Asian gastropub will have to reschedule dozens of reservations for earlier seats to accommodate the new regulations, he says.

“Instead of making dinner reservations at 10 pm, we ask people if they want a place at 4 pm,” Schwartz said. “It’s bullshit. I’m sure we will lose a lot of people in the process. “

The vast majority of restaurants have operated at a loss or barely recovered since the pandemic began, according to Restaurants Canada. Nearly 80 percent of small foodservice companies have consistently lost money since the first wave of lockdowns ended in 2020 or have achieved a profit margin of about two percent or less.

The cycle of mass lockdowns and layoffs has contributed, in part, to a substantial shortage of workers in the food industry. Recent data from Statistics Canada shows that food and shelter jobs have fewer than 178,800 workers since the pandemic began, while sectoral wages have risen at a glacial rate.

For some food places, it makes more sense to shut down temporarily than to operate under the province’s new restrictions, said James Rilett, vice president of Restaurants Canada.

“Just because you’re running at half capacity doesn’t necessarily mean you can cut your costs in half,” Rilett said. “It’s hard to get staff together when you’re not sure if it will be open or closed next week, so sometimes it’s easier not to open at all.”

Since Friday’s announcement, neither the province nor the federal government have announced new funding for companies affected by the restrictions. At the provincial level, support for small businesses ended months ago, while Ottawa’s lending has dropped sharply.

Lobbyists, including Restaurants Canada and the Ontario Chamber of Commerce, have called on the province and the feds to reintroduce subsidies and expand loan forgiveness programs.



Reference-www.thestar.com

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