'People are losing their shifts': COVID-19 restrictions hit hospitality industry again

While managing two hotel properties through restrictions, lockdowns and capacity limits over the past two years, Alon Gurrman is starting to notice an unsettling trend in the industry. 

Many hospitality workers are becoming so fed up with all the upheaval, they're opting to change careers, he said.

"We can see a trend where employees are looking for other industries that are a little bit more secure," Gurrman said Tuesday. "Shutting down and reopening always creates the need to find new people and it's very hard to find manpower today. People are losing their shifts." 

Gurrman manages the Elm Hurst Inn & Spa in Ingersoll, Ont., and the Idlewyld Inn & Spa in nearby London, Ont. 

This fall, bookings at both properties began to edge upward after almost two years of business dragged down by a combination of COVID-19 restrictions and shutdowns. 

As November approached, things began to improve with strong bookings for Christmas parties and weddings before the arrival of the Omicron variant pushed the industry back into a world of uncertainty. This week capacity restrictions were announced for most indoor settings as case counts again started to climb. 

"There's a lot of panic out there and we're seeing a lot of cancellations," said Gurrman. "It was supposed to be a very busy season for us. We were very busy for a Christmas Day dinner that we usually do at both inns and those numbers dropped by half." 

It's a similar story at the Delta Armouries, a London Hotel that is also dealing with a recent dip in Christmas bookings. 

"People are nervous, they're wanting to see what they should do," said Dave Bartlam, the hotel's sales director. "We understand why people might want to cancel. We hope when the time is right, people will re-book. For the time being, it's disappointing but we want people to be safe over the holidays." 

Bartlam said many of his bookings are tied to events affected by the new restrictions. The cancellation of a Knights game or a concert at Budweiser Gardens has an immediate effect on business at his hotel.

"It's not as serious as it was before, but we're definitely seeing a hit." 

Graham Henderson is the CEO of London's Chamber of Commerce, where restrictions have forced organizers to scale down their marquee annual event: The mayor's state of the city address. Ticket sales for the breakfast event at the convention centre (now called RBC Place) had passed 1,000 and were heading for a sellout. Now Omicron has derailed those plans and forced organizers to move the event online, as it was last year. 

"It was disappointing but our members are following the advice of medical experts," said Henderson. 

'This is bad'

Henderson said overall, the return to restrictions will be "devastating" for certain industries, hospitality in particular. 

"This is bad and I don't think we can pretend that it isn't going to hurt. It's going to hurt bad," he said.  

Governments will again need to provide some support for businesses, especially if the restrictions are expanded or prolonged, Henderson said. 

However, he said they should be more strategic about where they direct the assistance. 

"Everybody is calling for [government help] now," he said. "The Ontario Chamber of Commerce, the Canadian Chamber. Everybody is saying we can't just keep doing this an survive." 

Some restaurants have opted to keep their doors closed over the holidays rather than deal with the uncertainty and restrictions, Henderson said.

"Obviously public health comes first ... but we do have to start thinking about how to deal with the economic consequences."