Open Letter — Urgent economic recovery and safe reopening plan needed for BC weddings and events
February 8, 2022
The Honorable Ravi Kahlon
Minister of Jobs, Economic Recovery & Innovation
JEDC.Minister@gov.bc.ca
Re: Urgent economic recovery and safe reopening plan needed for BC weddings and events
Dear Minister Kahlon,
I appreciate the work you've done alongside our federal government over the past two years to support our fragile economy throughout the pandemic response.
Even with your best intentions, the event industry has suffered disproportionately to a degree I don't believe your ministry is aware of. This has become especially evident to the members of our industry given the recent exclusion of access to the COVID Closure Relief Grant introduced in response to the December 22, 2021 PHO on gatherings and events, which was later extended as of January 18, 2022. The PHO explicitly placed the wedding and event industry under lockdown with no clear plan or indication of what our future holds.
My first question is this, why would you create eligibility requirements that exclude the industry most directly and catastrophically impacted by the PHO restrictions?
As I explained in my previous letter, the wedding industry alone generates approximately $1.2 billion per year in BC. This does not take into account any other types of personal celebrations, such as funerals, birthdays, anniversaries, showers, bar/bat mitzvahs, and more; nor does it take into account corporate celebrations, charity galas, community gatherings, and more. Despite this massive economic contribution, the only acknowledgement we've observed from the health office is being referred to as "parties that can wait."
This lack of recognition from our government as a professionally operated sector, in combination with the lack of access to provincial closure-specific response funding, has left the thousands upon thousands of small-medium sized businesses that make up our $1.2 billion+ industry feeling ignored, dismissed, and insignificant.
Again, as highlighted in my previous letter, business revenue and cash flow in our industry is mostly generated on a per client basis. Due to the length of client contracts and lead time required to execute each event booking, ranging anywhere from 6-18 months on average, this is the amount of uninterrupted operating time we will require before we begin to see any level of economic recovery. I'd like to emphasize this point again, since the start of the pandemic in March 2020, our industry has not experienced any viable economic recovery. Every time the health restrictions flip flop, we suffer loss of contracts, client refunds, deferred revenue, and a lack of new business due to the uncertainty surrounding the PHO. Not only is this reality not sustainable, but entering a third year of this pattern has taken our industry to the brink of a catastrophic collapse.
You may be wondering why our sector seems to be gaining a louder voice all of the sudden. This is a direct reflection of the desperate state of devastation we're living in. In the early pandemic response, we recognized that weddings and events posed a higher risk of COVID-19 transmission. Difficult as it was financially, the members of our industry took this in stride and worked diligently to pivot, innovate, and create new COVID-safe offerings to try to keep them afloat in the unprecedented times. As we rounded the corner in spring and early summer 2021, the phased BC Restart Program was introduced at a crucial time for business survival. It gave the breath of hope that many business owners needed, as an influx of event bookings surged.
At that time, businesses in the industry placed their faith in our government's clearly communicated commitment to the restart plan. Additionally, due to the relatively quick introduction of the plan, the industry as a whole found itself incredibly short staff during a time of extreme demand. With the province opening up, people were eager to gather again, and the client appetite for virtual and micro events dissipated. Business owners worked extremely long hours to meet the demand, as staffing shortages were rampant, and their financial recovery hinged on these new revenue opportunities after a year of surviving at a 70-90% decrease.
A mere 5 months after entering phase 3 of the restart program, the industry was shut down again completely. Many of the events that were booked during that restart period were scheduled for winter, spring and summer 2022. The December 22, 2021 shutdown resulted in this projected economic recovery for our industry being reversed, as contracts cancelled and postponed yet again. Refunds had to be issued, revenue deferred, and a lack of new business hit harder than ever due to the increased uncertainty surrounding the PHO which was reinforced yet again at such a late stage in the pandemic.
As a result of this timeline, businesses are now facing a third year of losses. For the vast majority, this means bankruptcy and devastation to both their professional and personal lives.
I recently contributed to this story on CBC News highlighting this very issue. In it, a statement given by your ministry says, "We know this is a very challenging time for businesses — especially those businesses that were directly impacted by recent public health measures."
I'd like to respectfully correct the assumption that this is challenging only for businesses. The impacts on small-medium sized business owners, and the families they support are crushing. Below I've included just a few of the statements from members of our industry that were collected through a recent survey. I would be happy to share more of these statements should you wish to read the full survey results.
“My business is on the verge of collapse due to the restrictions. We are generating little to no revenue, and all contracted events have been postponed or cancelled, with very few confirmed future bookings. On a personal level, I was unable to pay my bills and was forced to sell my home and move to a more cost effective area. Hence I am unable to see my children as much. These restrictions have destroyed my life. It is a loss of identity for me.”
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“Haven’t contributed a dime of my personal money. When the company money runs out, we will pack it in. I realized the current governments don’t have the ability or will to plan and that we likely won’t get through. Many people in their mid fifties quit very early on. We have had two suicides on our part time crew.”
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"At one point at the start of 2021 I drove myself to the emergency room and was asked what was wrong and I whispered through my mask “I’m really sad.” After a sit down for a psych evaluation I was told that they are seeing tons of people who are struggling with unbearable weight who also don’t have the support system because at the time we weren’t allowed to bubble with more than one household. I was sent home with antidepressants and was fortunate to be referred to the outpatient program which provides FREE counseling for 12 weeks. I have never struggled with depression in my life. I’m doing much better mentally/emotionally now, but I’m aware it’s time for some tough decisions, and after a meeting with my accountant where she told me my business is now worth $0, at 34 I am seriously considering walking away from it all and just nannying for some time. The idea of starting over feels utterly exhausting."
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"My husband and I have been working in the industry and own a small company that has served corporate & wedding clients for over 12 years. The shutdowns have completed obliterated our industry and income. ALL events have been cancelled indefinitely. We had to find menial jobs housecleaning and delivering food to barely stay afloat. We both live in a constant state of uncertainty, stress and depression. And have come close to separation due to all the stress on our shoulders. We have been considering moving away from BC, because it is not affordable and has not offered any support to its residents."
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"The PHO restrictions have completely taken my successful and thriving business out at the knees. The entire year of 2020 was spent moving, postponing and cancelling weddings with zero income to do this full time job. 2021 was much the same. I used to work 40 to 60 weddings a year. Last year I worked less than ten. The PHO restrictions crumpled my wedding business and forced me into starting a retail business in the middle of financial crisis to attempt to stay afloat. It has taken me away from my family to try to keep the business going, and the physical and emotional time that my family is missing from me has taken a toll on not only mine, but my children’s mental health and well being. They used to have a mother who literally spent her adult life building a work schedule to be able to be there for them. This was why I chose to work for myself. The hours spent away from my family now attempting to sling flowers in an economic crisis, most days I come home having paid to be at my job instead of being paid for it.
I no longer have the income to put away for my children’s education or my retirement. Every dime goes to bills, and we are behind. The mental toll has been the worst part. Being consistently left behind and told my job, my passion, the livelihood that literally feeds and raises two children is not important - for two years - has been devastating. I understood in early pandemic. But watching full restaurants, hockey arenas and gyms breaks my heart that we are so restricted in the wedding industry that you can’t even take cover under a tent with one wall to be married in front of more than a handful of your family and community. I have lost my faith in the BC government. I used to be a passionate voter. I used to care what politicians say, I used to believe the government has my best interest. I feel I have lost my faith entirely. This industry and our families have not been cared for, listened to or considered."
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"In 2020 my income was half of that of 2019. We had just bought a new home and mortgaging was incredibly tough. We had to put a huge down payment down, all of our savings to be able to close our new home. During the turmoil of the first summer and up to now I have worked a lot more hours per client than contracted, for now money, for their deposit to hold my services for 2-3 years, to hold numerous dates and turn away full paying new clients. Clients have asked for money back that they paid 2-3 years ago, which I no longer have. Clients have disputed me legally and I have had to hire a lawyer and pay extra money just to keep income that is legally and contractually mine. I have suffered negative reviews and shaming on social media which has endangered the reputation of my business. I have endured personal and financial hardship and am mentally exhausted. I am contracted to continue to serve my clients when I can’t afford to, but don’t have the time to get a new source of income. My business expenses remain without months of income. I have lost staff. This is to name a few of the repercussions closures have had on me"
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"I can’t even provide a proper full statement because that’s how bad my mental health is- I just don’t have the energy. If you are in this industry, you already know. I didn’t just lose a job, I lost a career, a lifestyle, a support network. And even adjusting the restrictions at this point, it’s too little too late. (Though I still want them to be addressed). But few places have the funds to hire staff, and I don’t have the mental energy to try again, only to be shut down in a month."
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"We have had to invest in our business to keep it open and be ready for growth without the growing income. We’ve had to use personal loans attached to our house to be able keep going. Anything that comes up that is not budgeted for comes out of our personal loans and equity. We’ve had to function during our regular busy season with less employees. Our work hours when the events industry was open where 7 days a week and sometimes 16 hr days. We couldn’t afford or find more staff. This resulted in stress for our kids as we both work in the business, and mental health strain for both me and my husband. The physical and mental strain of working those hours and the with constant changes has also resulted in deteriorating health, with no time, or money to be able to see the healthcare professionals we need for ourselves and our kids."
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"This has delayed my ability to retire"
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"I am a single woman that has had mental and financial tribulations. Life has been a roller coaster since March.2020, with some months not making any money . The government support helps with 1/4 of my monthly bills. I have lost product, I have had to pay for product that was ordered but not used and have had to pay higher prices due to supply/demand issues. I love what I do and work very hard to keep this going . I am not sure I can make it another year without consistency from our government."
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"My stress level has been sky high for the past few years - never knowing if I’ll get a next pay check… constantly juggling disappointed and stressed out clients and not being able to give them any solid answers. Planning and replanning the same events for free. Hours and hours taken away from my family for very little compensation in the end."
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"The constant up and downs of the wedding closures over the last 2 years has been detrimental to my business. I am still working with couples from 2019 that have not been married yet. I have carried forward their deposits but now am doing the work all over again, for half the income and on the pricing from 2019 (which has now increased to almost double). I can honestly say the pandemic restrictions have made me question continuing my business for financial and mental health reasons. I know for fact I have lost countless clients due to unknown circumstances regarding restrictions."
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“We lost our office space (everyone working from home) had to abort seasonal hiring and lost most of our contractors as they needed to seek other employment. The stress of dealing with upset clients was extreme, and having to refund several clients despite contract provisions (because you have to choose between the refund or court) was extremely financially stressful. My life changed a lot in having to adapt to a much lower income, fortunately my partner was able to help or i would have legitimately not been able to afford the basics of life.”
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“My job brings great happiness to my life so losing that has greatly affected my mental health. Because of it, I dealt with depression for the first time in my life. On top of that there are many challenges becoming a 1 income family and having to pay monthly business expenses with that 1 income, just to keep from completely losing my business.”
My hope is that my explanation above regarding the nature of how our industry operates, combined with the statements from these businesses, will help you understand the level to which our industry is detrimentally impacted by each changing PHO. I also hope this helps illustrate how our recovery process is far more difficult than that of a restaurant, nightclub, or gym, which can re-open their doors and begin to generate revenue immediately. Revenue that will not be later deferred or lost as a result of a future shutdown.
Furthermore, in the CBC News story mentioned above, your ministry stated that the grant program is designed to complement existing federal COVID-19 business supports including those that are available to businesses that remained open but experienced a drop in revenue due to the pandemic. While I appreciate this concept, the wedding and event industry is disproportionately impacted by our provincial government's mandates, when compared to all other industries currently operating across Canada with a drop in revenue. As such, our position is that the onus and liability lies on the Government of British Columbia to provide the adequate financial assistance to those businesses which they are directly negatively impacting through the mandates imposed at their sole discretion.
Canada's Chief Public Health Officer, Dr. Theresa Tam, recently advised, "What we need to do going forward, as we emerge out of this Omicron wave, is recognize this virus is not going to disappear. We need to be able to address the ongoing presence of the SARS-CoV-2 virus in a more sustainable way." The current measures being held in place by the Government of BC are not sustainable in any way for the businesses that make up our $1.2 billion+ industry and the business owners and families that run them.
Dr. Bonnie Henry has recently alluded that she anticipates future variants and waves of COVID-19, particularly in the fall of 2022. Our industry must be consulted beginning immediately to create a sustainable path forward. We cannot survive one more future shutdown. In partnership with our colleagues in the Vancouver Island Wedding Industry Association, we have submitted a proposed safety plan to operate professionally run indoor organized gatherings and events to Dr. Emerson, David Greer, Chris Rathbone, Debbie Smollet and Ryley Leckie. There is much urgent work to be done on this effort, and I would like to coordinate next steps to move it forward.
Lastly, I have recently become aware that representatives of the Ministry of Health have been regularly meeting with BC Meetings and Events Working Group to consult on health orders. The work our colleagues in that group have done is commendable, and we fully support their advocacy efforts and their professional advice given to the government. However, it must be made clear that they do not represent the BC event industry as a whole. Specifically, they do not represent the sectors I've indicated in this letter, including personal celebrations such as weddings, funerals, birthdays, anniversaries, showers, bar/bat mitzvahs, and more; nor do they fully represent the interests of corporate celebrations, charity galas, community gatherings, and more. We have coordinated the formation of the BC Wedding and Event Industry Association in response to the devastation and dire circumstances our unique sector is under.
With utmost respect to their ongoing diligent and necessary work, we request a seat at the table during the regular meetings with the BC Meetings and Events Working Group that the Ministry of Health is currently having, as indicated in their statement to CBC News.
I eagerly await your response on this very urgent issue.
Sincerely,
Paige Petriw
On behalf of the BC Wedding and Event Industry Association