Businesses facing tough decision to reopen: survey

Businesses across Canada are facing a difficult decision as they can’t afford to stay closed but are struggling with reduced revenue that doesn’t cover expenses. The paradox is reflected in the results of a survey released yesterday by Statistics Canada and the Canadian Chamber of Commerce.
 
Getting through this difficult phase will be critical for the economy and requires businesses to overcome three key challenges.

  1. Employers need to have their workers on the job. So far, only 22% of businesses have accessed the Canadian Emergency Wage Subsidy. It’s clear that government needs to make this program more accessible.
  2. Commercial rent relief needs to be improved. Only 25% of businesses reported they have been able to get relief from rent or mortgage payments.
  3. Safety requirements remain a priority and require businesses to be able to source personal protective equipment — especially sectors that require physical proximity, such as retail, events, hotels and food services.

 
To help our members learn more about how they can benefit from the wage subsidy program, as well as its tax implications, Chamber CEO Bruce Williams is hosting Matthew Hohnsbehn, Liaison Officer at the Canada Revenue Agency, and Kris Wirk, Partner, at Dusanj & Wirk Chartered Professional Accountants, on Aug. 11.

Funding aims to help people find pathway to hope

To reduce the number of people living in homeless camps in our region, housing needs to be supported by mental health and addiction services that can address the root issues facing this population.
 
On July 13, the provincial government announced it was expanding the number of health care teams focused on helping people with addictions stay connected to treatment. Teams are tailored to their community and can include nurses, counsellors, social workers and peers. The goal is to reach people as individuals and help them stay connected to services and stay away from toxic street drugs.
 
In May, the BC Coroner’s office reported 170 people died from overdoses. That was the highest monthly fatality rate in the province, and 90% higher than the same period last year.

Province proposes changes to BC’s labour law

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Proposed changes to BC’s labour law will give WorkSafeBC more power and increase compensation for workers.

The changes could also increase the cost of premiums for employers by about 1.4 cents for every $100 of payroll, Labour Minister Harry Bains said.
 
The proposal includes raising maximum insurable earnings to $100,000, allowing preventative medical treatments before a claim is accepted and making it easier for workers to access benefits if they catch COVID-19. WorkSafeBC would also be able to get warrants allowing them to search workplaces during investigations.
 
During the pandemic, WorkSafeBC has allowed businesses to defer paying premiums for six months without penalty or interest. As well, as an extra help for hard-hit businesses, WorkSafeBC waived premiums on wages paid to workers of employers receiving the Canadian Emergency Wage Subsidy for the duration of the program.


Region’s unemployment rate climbs to 11% in June

Greater Victoria’s unemployment rate hit 11% in June — up from 10.1% in May, according to the latest report from Statistics Canada.
 
The numbers are in contrast to the rest of BC and Canada. Provincially, the rate was 13% in June compared to 13.4% in May. Nationally, the unemployment rate was 12.3% in June, down from 13.7% in May.
 
The economic crisis caused by the COVID-19 pandemic has hurt the tourism and hospitality sector especially hard, which could account for Greater Victoria’s numbers. Our region typically has one of the lowest unemployment rates in Canada.
 
It’s difficult to forecast where the rates will go from here as more businesses re-open and expand their operations. The hope is that an increase in local customers as well as a focus on travelling within the province will help.
 
“We’ve proven that flattening the curve is good for the economy,” Chamber CEO Bruce Williams told CHEK News. “We’re not back to the unemployment numbers that we had before … but it does mean that we are embracing the ability to move forward to restart the economy.”

Provincial deficit could hit $12.5 billion: Minister

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Yesterday’s news conference by BC Finance Minister Carol James serves as further evidence that we are living through surreal times. The numbers are staggering, with a potential operating deficit of $12.5 billion this year because of COVID-19.
 
It’s difficult to add context to this number as BC is in the same situation as every jurisdiction in the world. The cost of getting through this pandemic needs to be measured against the damage that would have happened if governments were not able to backstop the economy. The Chamber has been supportive of government-relief programs designed to help businesses. The faster we can recover and get back to a thriving economy, the better off all of us will be.
 
“The pandemic has forced all of us to look closely at what we value and the kind of community we want for ourselves and our families,” says Chamber CEO Bruce Williams. “The next few months will continue to be difficult but we have an opportunity to embrace changes that will make businesses more resilient and provide long-term economic prosperity.”

Federal wage subsidy extended to end of 2020

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The Chamber welcomed the news on July 13 that the federal government is extending its wage subsidy program until the end of the year. Businesses need certainty and they don’t have that when programs run month to month and extensions are granted at the last minute.
 
Confirming that the Canada Emergency Wage Subsidy will be available until Dec. 31 allows employers to better plan their recovery. However, government needs to do more to make sure the program is transparent and easy to access.
 
The wage subsidy, which was set to end by the beginning of September, has not engaged businesses as much as expected. The government estimated the cost of the program would be $45 billion but, as of July 8, only $18 billion had been paid to about 250 thousand businesses. The Canada Revenue Agency estimates that, between May 10 and June 6, the program subsidized wages for 2.3 million Canadians.
 
The week before, federal Finance Minister Bill Morneau increased the budget for the program to $82.3 billion in a move that foreshadowed today’s announcement.
 
“The Chamber would like to see the government help workers move off of the Canada Emergency Relief Benefit and onto the payroll of employers,” says Chamber CEO Bruce Williams. “The wage subsidy is the right vehicle to do that but we’re hearing that many businesses find the process too confusing and they aren’t sure if they qualify. “
 
To help our members learn more about how they can benefit from the wage subsidy program, as well as its tax implications, Chamber CEO Bruce Williams is hosting Matthew Hohnsbehn, Liaison Officer at the Canada Revenue Agency, and Kris Wirk, Partner, at Dusanj & Wirk Chartered Professional Accountants, on Aug. 11.
 
Register Now
Business Restart Series: Canada Emergency Wage Subsidy (Online)
Tuesday, Aug. 11, Noon to 1 pm

Tourism experts offer advice and insight into crisis

The first event in The Chamber’s new Business Restart Series was held July 8.

Chamber CEO Bruce Williams moderated a panel of tourism experts: Indu Brar from the Fairmont Empress, Ian Robertson of the Greater Victoria Harbour Authority and Randy Wright from Harbour Air Seaplanes.
 
The panel spoke candidly about the effect that the pandemic has had on their business, and how they’re pivoting to get through the crisis. The Fairmont Empress, for example, has introduced Lunch on the Lawn every Saturday to attract locals. Brar said it is a “time for creativity” and our destination needs to do a little more work to remind British Columbians about our region’s incomparable location.
 
“We live in one of the of the most beautiful places in the world,” she said, adding there’s no better place for people to find the human connection we’re all craving.
 
The Chamber is working with all levels of government to ensure they continue to invest in the tourism sector to provide the certainty needed to get through until at least next year.

Wish you could have watched it live? Don’t worry, click here to sign up and see the event.

Chamber ads reach our region’s movers and shakers

ICA highlights local champions of Black Lives Matter

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The Inter-Cultural Association of Greater Victoria has published an interview with three women who helped organize the Black Lives Matter events in Victoria on June 7.

The interviews offer insight into each woman’s experience with discrimination and bigotry and why it’s so important to prioritize actions that will disrupt and change the systemic racism that is an unfortunate reality for Black Canadians.

Inter-Cultural Association of Greater Victoria: Member since 1996


Chamber chair and CEO share stories in Douglas

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The July issue of Douglas Magazine includes a cover story on Chamber chair John Wilson, and how his company plans to overcome the challenges of COVID-19.
 
The Wilson’s Group of Companies has been greatly affected by the pandemic, which has seen tourism and ground transportation hit especially hard. “It’s upsetting but we’ve got to look at what we have to work with,” Wilson told Douglas. “We’ll get knocked down, but we’ll keep moving forward.”
 
The same edition also include an interview with Chamber CEO Bruce Williams, who grew up working in a family business and is dedicated to ensuring The Chamber is more relevant than ever to its members.