– Difficult start to 2021 – E24



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Tighter infection control regulations hit the restaurant industry hard. For the industry to survive, the hope now is specific support from the government.

Gorm Kallestad / NTB
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On Sunday, the government presented a tightening of national measures for the next two weeks.

Among other things, a national ban on alcoholic beverages and a lower ceiling for indoor events and seminars will be introduced.

The measures go far beyond an already damaged tourism and service industry.

– The development of the infection is worrying and when new infection control measures are now needed, it is important that the government is also at the forefront of measures that secure jobs, says Ivar Horneland Kristensen.

He is the leader of Virke, the premier organization in the commerce and services industry.

Kristensen describes the situation as demanding.

– The next few weeks will give an indication of what the start of 2021 will be like. We must be sure that the compensation scheme is in effect as of January 18 and that the government considers the necessary measures to overcome it until the population is vaccinated.

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Ivar Horneland Kristensen, Director of Virke, the leading trade and service industry organization.

Terje Bendiksby / NTB

Hard proven industry

– A national ban on alcoholic beverages coupled with a social shutdown hits a catering industry that has been well tested, and they are now off to a rocky start to 2021, Kristensen continues.

He is concerned about all the young people who work in this industry, who now face an uncertain future.

– The government must ensure that there are specific measures at all times for an industry that is struggling, he says.

At the end of December, the share of the unemployed in the workforce was highest in tourism and transportation (which includes cooks, restaurant workers and waiters) at 11.2 percent. In total, 3.8 per cent of the workforce was unemployed.

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– Hair travels poorly

Morten Usterud, director of development and projects at nightlife group Noho Norway, is not surprised by the new measures.

– We trust the government, NIPH, and professionals to make the right decisions. Compensation schemes are even more important now. We think what the government has said they should propose is wildly bad, he says.

Usterud believes that the compensation scheme is not good enough, because they do not receive compensation for the fact that they now have to lay off again, or for the costs of the products.

– The restrictions are extremely strict for our industry, but still the government has not managed to create a compensation scheme that alleviates our crazy losses and is aimed directly at our industry, he says.

The restaurant industry is being hit hard by the national ban on bars. The picture shows waiter Firas Aljabli at Olivia restaurant in Oslo.

Terje Bendiksby / NTB

I had to throw beer and food to hundreds of thousands

Usterud also says they have had to throw away beer and food for several hundred thousand, because the closures come in such a short time.

– We are not subject to restrictions, but we are concerned that we do not receive good enough compensation.

It also highlights those who opened new bars or restaurants just before the pandemic, who have no numbers to compare with.

– Those who have not received any support before, do not receive it now.

Now he hopes the measures will help, so that they can reopen little by little during the winter.

– And that we in our industry can also help.

Work asks for help in case of crisis

There is also concern in the Storting about how the new tightening measures will affect companies that are already in trouble.

– I fear that healthy and viable companies will fail if there are no financial measures. I hope the government will give an answer here, says Terje Aasland of the Labor Party.

He believes that Trade and Industry Minister Iselin Nybø should have been present at Sunday’s press conference.

– When presenting infection control measures like this, they should clearly state how they plan to meet with the business community that is now financially affected.

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