Response to Provincial Health Office Easing of Restrictions on Gatherings and Events
As an association representing the wedding and event industry, we are very pleased with the easing of restrictions on indoor gatherings and events announced this week. As an entire industry, our expectations were set low given the level of shutdown we were currently under. Being able to operate our events at full capacity while allowing dancing and mingling will kickstart the critical recovery needed for our industry right now.
With that said, we are cautiously optimistic about this recent progress. We have been in this position more than once over the past two years, leaving our confidence in the provincial government shaken. Previous easings of restrictions and restart plans have been introduced only to be reversed shortly thereafter. As we've previously emphasized, economic recovery for our industry will only be achieved through long-term consistency in health orders. This most recent shutdown will continue its ripple effect among our industry for the next 6-12+ months. The damage of lost contracts, postponed events, and deferred revenue has already been done. Adding to this prolonged hardship is the lack of financial assistance that businesses in our industry have received from the provincial government. The eligibility requirements for the BC COVID Closure Relief Grant left the vast majority of those in our industry without any provincial support whatsoever, despite being the most negatively impacted industry in our province as a direct result of the December 22, 2021 PHO.
For some businesses, the February 15, 2022 announcement comes too late to salvage their expected revenue for the 2022 busy season ahead, due to lead times required to book events, secure materials, and hire and train staff.
It must also be highlighted that due to flip flopping health orders combined with the extended length of time needed to plan and execute events, many businesses will spend 2022 completing contracts and collecting revenues that have been deferred from as early as 2019. Changes in supply chains and cost increases for materials will have a drastic impact on profit margins, especially given the contracts that are under the obligation of 2019 pricing. In consideration of this, it's a likely reality that many businesses will spend 2022 simply breaking even as they wrap up pre-pandemic obligations and make room for new business.
As such, it is critical for our ability to survive that the wedding and social events sector be included in future provincial government economic recovery grants and funding assistance programs, alongside tourism and business meeting events.
Dr. Bonnie Henry remarked that the "hope and expectation" is to not re-introduce extreme mandates when the next wave of COVID-19 reaches British Columbia. This sits uneasy with our industry for the reasons outlined above. We need collaboration with our provincial government to ensure there is confidence in our ability to implement risk mitigation measures that control the spread of COVID-19 while operating our professionally managed social events throughout future waves of the pandemic.
We appreciate the opportunity for a seat at the table among the 140+ associations and business organizations that the government is currently consulting with to ensure the economic viability of our industry remains a priority throughout this next phase of the pandemic response.
Lastly, as voters and taxpayers, we would like to see our government's focus shift heavily to increasing healthcare capacity in our province, as indicated by Dr. Theresa Tam as a crucial strategy to manage the effects of COVID-19 in our society moving forward.