If the federal government does not intervene to support “the massive” the hospitality industry is a segment of the economy that will collapse, ” warns the businessman of Quebec, Jean Audet.
After Christiane Germain Groupe Germain Hotel, it was the turn of Jean Audet, co-owner of the hotel Le Concorde and owner of four hotels Times at Quebec, to sound the alarm.
“Currently, the wheel is stopped and it will not be able to leave if the government do not inject money so important,” he said.
With an occupancy rate of 2%, Mr. Audet has to reduce its operating costs to their lowest levels this includes the shutdown of some systems to save electricity.
“We closed the circuit breakers to the left and to the right. We do all we can to save cost. Closed hot-water systems and the ventilation in the rooms. It is obvious that the hotel cut on everything they can”, he confided.
On behalf of the industry, Mr. Audet claimed a aid muscled through the crisis. The hotelier estimates that the wage subsidy of 70 percent is not very useful at this time since its facilities operate with minimal staff. By contrast, during the recovery, this measure could provide a boost, provided that it is extended beyond three months.
Only in fixed costs, Mr. Audet estimates that it costs on average$ 150,000 per month to support a hotel practically empty of 120 rooms. According to the hotel Association of the region of Quebec, which supports the claims of Mr. Audet, nearly 80% of the hotels are currently closed in the national capital.