Rent freeze needed for business owners who are often immigrants, racialized
Since this was written, Trudeau announced a 75% rent subsidy on April 24, 2020 for businesses in April, May and June. This is a good step forward. But it is too late and doesn't acknowledge the setbacks that Chinese businesses have faced since January. A racialized lens needs to be included in all government policy. More: CBC Article on the downfalls of the new subsidy.
April 2020
Amy Yee
The government needs to enact a rent freeze for local restaurants and businesses.
From shawarma, to pizza and pho, countless immigrants and racialized people work and own businesses in the local food industry, putting themselves at risk everyday while trying to stay afloat.
In the U.S., a study showed that “nonwhite women are more likely to be doing essential jobs than anyone else” in underpaid and undervalued fields.
Many have invested years of labour into their businesses and are older individuals who may also be more susceptible to contracting the virus. In addition, they may not have access to personal protective equipement (PPE) to protect their health.
Restaurants in Chinatown were feeling the economic impacts months before others did because of racism associated with COVID-19. Chinese, East and Southeast Asian businesses outside of Chinatowns also faced similar issues, experiencing economic echoes of what happened during SARS.
Chinatown itself is a historic place for generations of Chinese Canadians, and many of these establishments act as examples of living history. With gentrification taking over Chinatowns across the country, these economic impacts will be yet another contributing factor to the disappearing landscape.
The western narrative of the American Dream has long romanticized immigrant stories of running Chinese restaurants and immigrant conveniencestores. But it has always been a tough, unforgiving job of long days and hard work. And now it is more than ever.
UberEats takes 30 per cent of a restaurant's profit with its orders. Other apps like DoorDash and SkipTheDishes charge around the same.
Because online delivery services have never been beneficial for smaller businesses, some restaurants traditionally stuck to phone and internal takeout orders and now don’t have the same visibility on all of the apps.
In the wake of public closures, the City of Ottawa created an economic committee urging consumers to “buy local” and “send messages of support on social media." But relying on single purchase power isn’t enough.
For their part, the same committee recently published an open letter to the federal government asking for rent support among other initiatives. But it was written three weeks after the initial campaign.
As we talk about the likely possibility of a recession, this is not the time that people are dispensing a lot of disposable income. About 8 million have applied for emergency benefits from loss of work.
Restaurant owners shouldn't feel indebted to customers for using their purchase power during a pandemic either. We should respect blue collar workers, and with respect have better social infrastructure to care for them in times of need.
And for those who are unable to cook for themselves or require meals delivered, the government should be stepping in and providing assistance. In other countries, we've seen governments establish systems to deliver up to three meals a day to people quarantined at home. The Trudeau government has made updates to the Canada Emergency Response Benefit and other initiatives due to public pressure and feedback. But we can not keep making updates to preliminary measures. We need sweeping policies from the get go that help people when they need it.
Last Friday, the prime minister finally announced the government would provide assistance under an emergency benefit to small and medium sized businesses. The full logistics haven’t been announced yet but will include loans--some of which may be forgivable.
But the reality is that restaurants and businesses are not making what they usually do. The public sphere is working at 30 per cent of its usual rate. Loans that need to be repaid do not help.
The federal government needs to create measures that will give businesses the relief they need to survive, while recognizing that immigrant and racialized-owned businesses face further inequities during this time.