Susie Grynol, president of the Hotel Association of Canada, speaks at a press conference on Parliament Hill in Ottawa on April 30, 2018. The tourism industry was generally pleased this week about news that Ottawa would offer relief for the struggling sector, with the exception of Canada’s major airlines, which are still waiting for more targeted aid. “The industry was at a breaking point, and there were some very important measures in the Fall Economic Statement yesterday that will provide a deeper level of support for this industry,” said Susie Grynol, president and CEO of the Hotel Association of Canada. THE CANADIAN PRESS/Justin Tang

Susie Grynol, president of the Hotel Association of Canada, speaks at a press conference on Parliament Hill in Ottawa on April 30, 2018. The tourism industry was generally pleased this week about news that Ottawa would offer relief for the struggling sector, with the exception of Canada’s major airlines, which are still waiting for more targeted aid. “The industry was at a breaking point, and there were some very important measures in the Fall Economic Statement yesterday that will provide a deeper level of support for this industry,” said Susie Grynol, president and CEO of the Hotel Association of Canada. THE CANADIAN PRESS/Justin Tang

Tourism industry has mixed reaction to government aid measures

The government’s plan included specific measures for airports, such as rent relief

Ottawa’s plan to provide aid for the struggling tourism sector was greeted with relief Tuesday, while Canada’s airlines awaited word on support for their industry.

The Liberal government on Monday announced the rollout of a new program, called the Highly Affected Sectors Credit Availability Program, that would provide low-interest loans to struggling businesses in the tourism, hotel and other sectors. The government also announced that the Canada Emergency Wage Subsidy would return to its original rate of 75 per cent.

“The [hotel] industry was at a breaking point, and there were some very important measures in the Fall Economic Statement yesterday that will provide a deeper level of support for this industry,” said Susie Grynol, president and CEO of the Hotel Association of Canada.

“These programs, assuming they can get rolled out quick enough, will clot some of that bleeding.”

Grynol said Ottawa’s measures show that the government had listened to the industry, which is among the hardest-hit by the pandemic’s economic toll. Still, she cautioned that the sector will need more targeted aid down the line, particularly after March, when Ottawa’s increase to the wage subsidy expires.

Daniel-Robert Gooch, president of the Canadian Airports Council, called the government’s announcement a good first step but said it doesn’t go far enough in addressing airports’ financial situation. Canada’s airports, which rely on fees from airlines and revenue from passenger expenditures inside the terminals, have had to cut expenses and lay off staff as the pandemic drastically reduces traffic.

The government’s plan included specific measures for airports, such as rent relief and increased funding for security and capital expenditures like runways. Still, the rent relief measures are limited in scope and some of the industry’s key asks are still missing from the government’s recovery plan, Gooch said.

“What we do still want to see is what the federal government’s plans are on [COVID] testing at airports,” Gooch said, adding that having a testing program in place will be critical for the industry if it is to take advantage of an anticipated recovery in demand for travel next summer.

Ottawa said it would support regional travel with $206 million through a new initiative overseen by regional development agencies, but was vague about the details of the plan. Absent from the government’s announcement was any help for Canada’s major airlines, which are still struggling amid lack of demand for travel.

On Monday, the National Airlines Council of Canada, an industry group that represents the largest airlines, called on the federal government to move quickly in developing a targeted aid package for the companies and to roll out measures like rapid COVID testing at airports that would increase demand for travel.

READ MORE: Ottawa beefs up loans for hard-hit sectors — but big airlines not included for now

“While other countries around the world moved forward months ago to provide sectoral support for airlines, Canada remains a global outlier and is ostensibly stuck at stage zero on the government planning process,” the group said in a statement.

In an interview, Mike McNany, the president and chief executive of the NACC, said he was unsure what was behind the government’s delay, adding that the industry was clear in its communications with Ottawa about what forms of aid it needed.

The government hasn’t offered the industry any timeline for distributing aid, he said.

A spokeswoman for the federal minister of transport said last week that progress on targeted aid for airlines was ongoing and that it was a top priority.

Jon Victor, The Canadian Press


Like us on Facebook and follow us on Twitter.

Want to support local journalism during the pandemic? Make a donation here.

CoronavirusTourism

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

Just Posted

A grass fire west of Williams Lake, seen here Tuesday, is considered to be being held by members of the BC Wildfire Service. (Photo submitted)
Bella Coola Valley Arts Council’s (BCVAC) Ida Eriksen enjoys a full life since retiring to the Bella Coola Valley Coola in 2013. She volunteers for BCVAC and likes to carve out time for art, gardening and hiking. (Photo submitted)
Art House Gallery keeps community connections close during COVID times

An art sale of the artwork of Ernest and Jill Hall will take place this weekend

Photo collage of loved ones lost to substance use and overdose. (Photo courtesy Moms Stop The Harm)
B.C. overdose deaths still rising 5 years after public health emergency declared

Moms Stop the Harm calls on B.C. to provide safe supply in response to deadly illicit drug use

A black bear tries to get at a bird feeder at a home near Williams Lake. (Laura Ulrich photo)
Managing bear attractants a top priority in B.C. for 2021: Conservation Officer Service

Garbage, fruit trees, bird feeders, compost and livestock are common attractants for bears

B.C. Cattlemen’s Association general manager Kevin Boon. (B.C. Cattlemen’s Association photo)
COVID, BSE, water access and private land rights: B.C. Cattlemen’s general manager weighs in

Kevin Boon said positive aspect of pandemic is more people interested in where their food comes from

A woman wears a protective face covering to help prevent the spread of COVID-19 as he walks past the emergency entrance of Vancouver General Hospital in Vancouver, B.C., Friday, April 9, 2021. COVID-19 cases have been on a steady increase in the province of British Columbia over the past week. THE CANADIAN PRESS/Jonathan Hayward
Top doctor warns B.C.’s daily cases could reach 3,000 as COVID hospitalizations surge

There are more than 400 people in hospital, with 125 of them in ICU

A crossing guard stops traffic as students wearing face masks to curb the spread of COVID-19 arrive at Ecole Woodward Hill Elementary School, in Surrey, B.C., on Tuesday, February 23, 2021. A number of schools in the Fraser Health region, including Woodward Hill, have reported cases of the B.1.7.7 COVID-19 variant first detected in the U.K. THE CANADIAN PRESS/Darryl Dyck
COVID-infected students in Lower Mainland schools transmitting to 1 to 2 others: data

Eight to 13 per cent of COVID cases among students in the Lower Mainland were acquired in schools, B.C. says

Norm Scott, president of Royal Canadian Legion Branch # 91, is disappointed the Legion does not qualify for COVID financial assistance from the provincial government. (Black Press Media file photo)
B.C.’s pandemic aid package passing Legion branches by

Federal non-profit status stymies provincial assistance eligibility

Latest modelling by public health shows cases generated by COVID-19 infections into places where it can spread quickly. (B.C. Centre for Disease Control)
Industrial sites, pubs, restaurants driving COVID-19 spread in B.C.

Infection risk higher in offices, retail, warehouses, farms

Vancouver Canucks forward J.T. Miller said it would be “very challenging and not very safe” for him and his teammates to play as scheduled on Friday. THE CANADIAN PRESS/Darryl Dyck
Canucks’ return to ice postponed again after players voice COVID health concerns

Friday’s game against the Edmonton Oilers was called off after the team met virtually with the NHLPA

Cannabis bought in British Columbia (Ashley Wadhwani/Black Press Media)
Is it time to start thinking about greener ways to package cannabis?

Packaging suppliers are still figuring eco-friendly and affordable packaging options that fit the mandates of Cannabis Regulations

B.C. Attorney General David Eby, Minister Responsible for Housing. THE CANADIAN PRESS/Chad Hipolito
B.C. announces $2B for affordable, middle-income family home projects

New HousingHub financing funds will encourage developers, groups – with low-interest loans – to build affordable homes

Video captured Wednesday, April 14, shows a white BMW driving along the seawall between Vancouver’s Plaza of Nations and Science World. (Krimda Toravantian/Screen grab)
VIDEO: Motorist takes a drive along Vancouver seawall

Pedestrians near False Creek expressed disbelief after seeing the car join them on the walking path

Most Read