Small businesses taking big hit as the BCGEU strike enters seventh week

The BC General Employees’ Union strike is now in its seventh week and it’s taking a toll on local businesses and the province’s economy.

Nearly 30 years ago, Sam Jones started his business “2% Jazz Coffee” in downtown Victoria. For years, one of his locations has been inside the Royal BC Museum, where operations have been impacted by the job action.

“It felt like the most beautiful venue, I had the most beautiful room to have a cafe in,” said Jones.

Seven weeks ago when the BCGEU strike began his business all-but evaporated “on day one” and he said knew he was in trouble immediately.

Last week he decided that the losses were no longer sustainable and closed the location permanently. He calls it a heartbreaking decision.

“I had to let go (of) eight people. There were job losses and they were people,” said Jones.

He calls it another example of the ripple effect of the ongoing labour unrest.

Amanda Large owns a food truck called The Bannock Room, which has been operating on the front steps of the museum for the past few years.

“We’re collateral damage,” said Large, speaking to CTV News two weeks ago.

After she found her food truck behind the picket line she was forced to pull out after business dried-up.

It’s not just operators at the Royal BC Museum that have found themselves in a pinch because of the strike.

Paul Hadfield owns Spinnakers Brew Pub, which also operates two beer and wine stores in the capital. He says many of his shelves are beginning to sit empty.

“Most of the industrial spirits comes through the Liquor Distribution Branch system and with them being on strike the supply chain has been stuck,” said Hadfield.

With BC Liquor Stores behind picket lines business at his two stores is brisk. But with getting resupplied from the government’s distribution branch has become an issue.

But Hadfield says it’s not all bad news.

“It’s a good opportunity for craft distillers, craft brewers who self distribute to access the market,” said the business owner.

“Bars can’t pour what they can’t get, right?” said Dr. Mark Colgate, a University of Victoria Gustavson School of Business professor.

Colgate says the greater concern is for B.C.’s food and beverage sector which employs tens of thousands of people throughout the province and was already running on very thin margins.

“For any restaurant or bar – alcohol sales are their life blood,” said Colgate. “Those distribution jams are turning this labour dispute into a hospitality crunch.”