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The new restrictions inevitably affect the economy. The HoReCa industry, hard hit by the health crisis, is receiving a new blow, many accommodation units are in danger of closing their doors permanently. Industry representatives say they will comply with the measures, but will sue the state if it does not explain and prove why the measure was taken to close restaurants and cafes. Financial analyst Iancu Guda explained to Digi24 that the move makes sense, however, because these spaces are areas of socialization, where people spend more time. However, he said economic measures were needed to support the sector.
These are two aspects, once we talk about the legitimacy of the measure from the health point of view, after the economic impact, explained Iancu Guda.
“I look at a table, official sources confirm that in the last two weeks 49 outbreaks have been detected in residential centers for children or the elderly, 46 in health establishments, 45 in production units, 28 in public institutions, 26 in education, and in the last position we see a single outbreak in the HoReCa area. From here there were many voices in the public space that questioned the logic of the closure if we only have an outbreak in this area.
I do not agree with this graph because These outbreaks refer to employees of these units. Even if there is only one outbreak in which more local employees have been detected with this virus, HoReCa may have an impact on the transmission of this virus. It may be the site of illness for clients carrying the virus.
Surveys do not establish the location of the disease, but these outbreaks from the perspective of the social nucleus.
There is the logic of closure because these spaces are areas of socialization, where people spend more time. It’s not like in the supermarket, you don’t interact there, in the restaurant you sit at the table ”, said the financial analyst.
However, the economic effects are devastating for companies, explained Iancu Guda, who stressed that the closure measure makes sense but must be accompanied by support measures because otherwise, the effects on the chain will be seen immediately: unemployment, insolvencies.
“Most HoReCa companies are barely surviving.
Support measures are needed for companies in this sector. Not only a flexible work schedule, but also Ongoing technical unemployment benefits, emergency certificates issued specifically for HoReCa companies, depending on declining sales to provide higher benefits.
Even if you can keep working on the decks, the weather is colder, so it no longer makes sense to open the terraces if very few people stay on the terraces.
Give aid for the payment of salaries, suppliers, extension of the banking grace period. Enclosed space charges must be canceled, not staggered. It makes no sense to pay taxes in HoReCa if the facility is closed, ”specified Iancu Guda.
Bucharest’s cafes, restaurants, cinemas and theaters close on Wednesday, decided the Municipal Committee for Emergency Situations.
„The activity with the public of the economic operators who carry out the preparation, marketing and consumption of food and / or alcoholic and non-alcoholic beverages in the restaurants and cafes inside the buildings is not allowed in Bucharest. An exception is made for accommodation units – hotel, pension, etc., where it is allowed to serve indoors, but only for those who stay there ”, says the prefect of the Capital, Gheorghe Cojanu.
TIME: We will reject any unjustified measure
Restaurant owners believe that closing restaurants will not stop the epidemic. Before the crisis, HoReCa had around 40,000 companies with 100% Romanian capital. Due to the crisis, the sector’s turnover decreased by approximately 80%.
Closing restaurants will not solve the virus problem. Says HOUR, the authority of the hotel industry in Romania.
Industry representatives warn that appeal to the Court of Appeal any unjustified measure of the Department of Emergency Situations. This is because, according to HORA, the reopening of restaurants in the interior did not cause an increase in Covid diseases.
Entrepreneurs say they have followed all the rules. If their businesses close again, they warn that the state will sue.
The average salary in HoReCa in July 2020 is 1,687 net lei (INS), and the turnover of the sector was 5,000 million euros.
HoReCa had around 400,000 employees at the start of the pandemic, but some jobs were affected.
HorReCa’s turnover fell almost 80%.