John Laking has taken an unprecedented hit at his Laking Travel business on Owen Street as travel and tourism suffered a direct attack from the pandemic which stifled economic activity worldwide.
During the past three months he’s sold two airline tickets, with commissions of $45.20 each, and a cruise for next year.
“It’s devastating,” he said.
Like so many other businesses, he’s thankful there were supports in place. He wasn’t able to take advantage of the federal employee wage subsidy program, but at least his employees had the Canada Emergency Response Benefit to fall back on.
Thoughtful customers also purchased travel gift certificates for future use to help him through troubling times.
And as owner of his own building, at least some losses have been mitigated through rental income.
Although there are indications that it will take the travel industry four years to fully rebound, Laking will persist and is hopeful brighter times are ahead.
The full story of how local businesses have been impacted by the pause in the economy created by the world health pandemic has yet to fully unfold. Many are taking advantage of temporary assistance programs and could be vulnerable once they expire.
The Barrie Chamber of Commerce has created pandemic-specific resources including webinars and Q & A sessions to help local businesses navigate this difficult period.
“There are going to be a significant number of our businesses that are not going to make it through,” said Paul Markle, the chamber’s interim executive director, pointing out that while some businesses are very challenged, others are doing fine and some are even thriving and hiring people. “I think you’re going to get both of those stories at the end of this.”
He is buoyed by recent employment figures showing Barrie posted the highest rate of employment in the country, suggesting the community’s response to the pandemic has been positive.
But he anticipates that government benefits, tax and mortgage breaks and other incentives designed to help individuals and businesses stay afloat will soon expire, exposing the vulnerabilities of some of them.
Some companies are expected to close. Others may no longer use office space and ask employees to work from home and others still may reduce their employment numbers.
“It can change the landscape quite a bit,” said Markle. “There’s still a significant amount of fear out there.
“The fact that businesses are open doesn’t necessarily mean they’ll return to normal numbers.”
Barrie-Innisfil MPP Andrea Khanjin is on the Standing Committee on Finance and Economic Affairs studying the impacts of the COVID-19 crisis on various economic sectors which is set to hear from small- and medium-sized businesses later this week.
The committee’s work so far has led to some real-time solutions, such as halting commercial evictions and allowing restaurants to deliver liquor along with food orders. Along with creating interim reports, it will conclude with a final report in October.
“It’s about solutions and working across partisan lines,” said Khanjin, adding that its mandate is to review and analyze the impacts of COVID-19 on various sectors and explore possible responses.
Khanjin has also toured several local businesses to get a handle of the economic impact of the pandemic.
Many, she added, have had to retool. Shops developed the capacity to allow people to buy online and restaurants turned to takeout and delivery.
“The situation out there is pretty real,” she said. “And I think it’s on us to… all help save our small businesses, something actually we all have the capacity to do. It doesn’t just take one level of government, it takes an entire village and society to be able to support local.”
