A pedestrian walks past an empty store front in Montreal, Wednesday, Jan. 29, 2020. THE CANADIAN PRESS/Ryan Remiorz

More than half of Canadian companies seeing sales drop at least 20%: StatCan

Survey suggests nearly one in five businesses have laid off 80 per cent or more of their workforce

Statistics Canada reports nearly one-third of Canadian businesses who responded in a newly released survey have seen their revenues plummet by 40 per cent as a result of the COVID-19 pandemic.

A further one-fifth of businesses reported a revenue drop of between 20 per cent and 40 per cent, suggesting that more than half of Canadian companies have watched sales drop significantly since the crisis began in March.

That has led to widespread layoffs and furloughs, with the crowd-sourced survey results from more than 12,600 companies suggesting nearly one in five businesses have laid off 80 per cent or more of their workforce.

The highest proportion of businesses reporting heavy losses and large layoffs were in the accommodation and food services sector, as well as retail.

However, 62.3 per cent of businesses that took part in the survey say they could re-open or return to normal operations less than one month after public restrictions like physical distancing measures are removed.

The results are from an online survey this month done in tandem with the Canadian Chamber of Commerce. Statistics Canada says the study cannot be applied to the overall Canadian economy because the voluntary survey does not represent a random sample of the population.

In a statement, chief statistician Anil Arora says the results should help public and private sector decision-makers.

It has been some six weeks since public health officials asked Canadians to stay home and governments ordered the closure of non-essential businesses to slow the spread of the novel coronavirus outbreak.

The impact on the Canadian economy has been swift with more than one million workers losing their job at the outset of the pandemic, and more than two million having the hours reduced. Since mid-March, more than seven million people have applied for emergency federal aid.

Heading into the crisis, 42.2 per cent of businesses in the survey said they couldn’t operate more than 60 days without a source of revenue, the Canadian Chamber of Commerce notes in a release.

The chamber’s chief economist, Trevin Stratton, says in a statement the data suggest thousands of businesses are quickly approaching permanent closures the longer restriction stay in place.

He says policy measures like an emergency wage subsidy, which opened for applications this week, and federally backed loans will help many businesses who are “on the clock.”

The Canadian Press


Like us on Facebook and follow us on Twitter.

Coronaviruseconomy

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

108 Mile Heritage Market open for business

Vendors and clients are welcome to attend and visit the site

100 Mile House Council adopts COVID-19 Re-opening Policy for next 12 to 16 months

An increased focus on sanitization and cleanliness is the main focus of these new policies

Hospice campaign going better than expected

‘We’ve been quite surprised with how many people have wanted to get involved’

100 per cent of Cariboo businesses have had to reduce employee hours or lay employees off, study finds

This survey was conducted by the BC Chamber of Commerce called the COVID-19 Impact Pulse Check #3

Vancouver Island bride held wedding in seniors home so dying stepdad could walk her down aisle

Ceremony held amidst pandemic in order to fulfill bride’s wish to have stepdad give her away

Grieving together, but apart: How funeral homes are handling the pandemic

‘Hugs are so important and right now hugs can’t happen’

Feds looking at ways to reunite families amid COVID-19 border restrictions with U.S.

Some families with members of dual-citizenship have become separated due to the pandemic

Condition in kids with possible COVID-19 link being studied in Canada

This month, the U.S. Centers for Disease Control and Prevention issued an alert to doctors about MIS-C

‘I knew what he wanted’: Kootenay man spends hours in tree as black bear patrols below

Francis Levasseur is no stranger to the outdoors, but a recent run-in with a bear caused quite a scare

COVID cancelled their wedding plans, so they married on a BC mountaintop

Ceremony was live streamed to friends and family around the world

Trudeau acknowledges racial unrest in U.S.; ‘We also have work to do in Canada’

‘Anti-black racism, racism, is real; it’s in the United States, but it’s also in Canada,’ Trudeau says

State of Local Emergency declared for Boundary as communities brace for river flooding

Warm weather and heavy rain could cause sections of Kettle River system to swell beyond 2018 levels

Large cruise ships barred from Canadian waters until end of October: Garneau

Last year 140 cruise ships brought more than two million visitors to Canadian ports

Most Read