Statistics Canada says the price of oil and restaurant and bar revenue is closely connected.
The downturn in the Alberta economy is being blamed for restaurants in province not seeing an increase in revenue while restaurants and bars across the country seeing an average increase of 4.6 percent.
“That has had a negative impact on the employment situation in Alberta,” Statistics Canada’s Carey Olinech said. “Employment and food sales are highly correlated.”
The association Restaurants Canada reported that the industry lost 4700 jobs in Alberta. Local business owners are noticing the change in market. “There [are] restaurants that have been closing in Alberta, good restaurants. Nothing to do with the product they serve which is very sad,” Jesse Kupina, owner of restaurants and bars in the Edmonton area said. “Kind of the buzz word our industry is that if you’re breaking even, you are doing good.”
There is also rising concern on how the recently introduced carbon tax and rising minimum wage will affect future revenue.
“There is a bit of fear around our industry, what’s that going to look like?” Kupina adds.
The most profitable province for the industry is Ontario, with a revenue increase of 6.8 percent.
with files from Bill Fortier
