Pandemic relief ‘better than nothing’

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This article was published 21/12/2021 (1058 days ago), so information in it may no longer be current.

Manitoba’s newest grant for businesses is timely but falls short of covering the ongoing damages wrought by the pandemic, according to entrepreneurs and stakeholders.

Businesses hit by fourth wave restrictions can apply to the Sector Support Program, the province announced Wednesday. Funding ranges from $3,000 to $12,000 and is dependent on an organization’s staffing levels.

The program will open to applications next week. Companies have until Jan. 31 to apply and are eligible even if they’ve received prior pandemic-era government support. More information will be available on the province’s COVID-19 business support program web page in the coming week.

Pinky’s Bakeshop is one of the estimated 1,800 eligible businesses.

“It’s just a little bit, like, borderline, (for) help,” said Pinky Fuentes, the bakery’s owner.

Her Osborne Village nook employs three people, meaning she can access $3,000 through the new program. But, it’s not enough, she said.

Her sales are 65 per cent of a typical December’s — her busiest time of the year — because people keep cancelling events and, in turn, their orders.

“On New Year’s Eve, I’d have, like, four weddings. Now, I’m cut down to only one, and… it might be just half,” Fuentes said.

She’s been through nearly two years of closures and reopenings, and costs keep increasing. On Monday, she placed cupcakes in 100 individual to-go containers for a corporate party so guests wouldn’t share a platter. Minimum wage, ingredients and packaging costs are on the rise.

“Mostly, everything is out of pocket,” Fuentes said, adding something like the Bridge Grant (where the province gave $5,000 portions) would be more helpful.

The new program will cover one of Pho Hoang’s four locations’ rent.

“It’s better than nothing,” said owner Tom Hoang, adding he’s not looking for more from the government.

Manitoba has allocated up to $22 million for the Sector Support Program.

“It’s never enough… but to us, it shows that government is listening,” said Chuck Davidson, the president and CEO of the Manitoba Chambers of Commerce.

The funding announcement comes one day after the start of the latest restrictions. Its timeliness is a positive, as is its scalability to meet businesses’ sizes, Davidson said.

“Businesses still have the ability to open, and that’s always been critical for us,” he said. “Any kind of measure that’s going to help them or provide them with those supports, to make up the losses that there’s no question they’re going to take… is going to be helpful.”

Businesses may have the option to host 50 per cent capacity, but many aren’t seeing the customers, according to Shaun Jeffrey, the Manitoba Restaurant and Foodservice Association’s executive director and CEO.

“The hundreds and hundreds of people that have been cancelling their reservations at restaurants in Manitoba over the last week, it’s mind-blowing,” Jeffrey said.

Le Garage, a St. Boniface restaurant, proclaimed its permanent closure Tuesday. Pandemic-related lockdowns, restrictions on capacity, difficulty maintaining staff and a decline in patrons caused it to shutter, according to the company’s Instagram post.

“The only way we’re going to be able to really survive this latest round of restrictions is getting support in other fashions from Manitobans,” Jeffrey said, listing catering, delivery and buying gift cards as options.

Still, the new government program is “a start,” he said.

“We need to be able to evolve this…We don’t know what the future looks like,” he said. “That collaboration with government is very important.”

Both Finance Minister Scott Fielding and Economic Development and Jobs Minister Jon Reyes pledged to continue working with business communities at a Wednesday news conference.

“If there’s a need for extending these orders (past Jan. 11)… we’d be there to work with the business community,” Fielding said.

The province budgeted $1.1 billion in its last budget for COVID-19 related costs, which includes supports for businesses, Fielding said.

The Sector Support Program comes too late for many businesses, according to Jamie Moses, the NDP’s economic development critic. Money will only enter bank accounts after the holidays, he said.

“The announcement fails to help workers of Manitoba,” he said, adding many have been laid off or had their hours reduced this week.

Manitoba Liberal Leader Dougald Lamont is calling for the support to double.

“It’s the fourth wave of the pandemic and the PCs are still trying to use a water pistol to put out a forest fire,” he said in a written statement.

Manitoba has provided more than $650 million in pandemic-era supports to businesses, according to a news release. Approximately 38,000 businesses have accessed such programs, including the Bridge Grant and the Healthy Hire program, Fielding said.

— with files from Carol Sanders

gabrielle.piche@winnipegfreepress.com