Preparing For The Future Of The Economy After COVID-19
Sheri Somerville is the CEO of the Atlantic Chamber of Commerce.
Live and learn they say. These words have never rung truer than in the past several weeks. But our reality seems more like the stuff of movies or fiction novels because no one else would have conjured up the unbelievable notion of the entire world sequestered to their homes for weeks or months on end.
Our federal and provincial governments have certainly responded quickly with measures to triage many businesses in need of immediate support. We recognize the hard work and complex choices they faced in taking decisions to protect our health and economy. Our members welcome the new protective policies and take their responsibility to help to plank the curve very seriously.
As we navigate the array of challenging circumstances caused by COVID-19, unforeseen gaps will appear such as the businesses and sectors now facing revenue depletion or closure. Delivering effective additional support will be a challenging, evolutionary process — one in which the Chambers will continue to work with governments to provide timely feedback and continued advocacy on behalf of businesses.
While there is still ongoing work required to address current business needs, we are also thinking ahead to another important question: when it becomes safe to resume business, what will we have discovered or learned from this experience that can help businesses recover, emerge stronger and navigate whatever the next normal may be?
No one knows exactly what the future holds, but we do know Atlantic Canadian economies and businesses will be severely battered, bruised, and permanently changed by COVID-19 — for better and worse.
In the months and years ahead, it will be imperative for governments to make decisions through a business impact lens. Conducting Business Impact Assessments will be a minimum standard requirement for rally and recovery. The survival of small business — which prior to COVID-19 comprised 95 percent of Atlantic Canadian businesses and provided 75 percent of employment — will depend on it, especially in rural communities.
If we are to ignite economic recovery, other important learnings will shape policy needs in Atlantic Canada, including ensuring return-to-work for displaced workers; providing sector-based support; limiting non-essential regulations; expanding rural high-speed Internet, and accommodating remote workers.
Currently, we cannot predict how many jobs will be available to return to when businesses reopen. It’s an unfortunate fact that some businesses will not survive. Before COVID-19, we focused on the need for more people to fill job vacancies in our region. That may still be true in some cases, but the immediate need will be to focus on programs to help people return to work because paycheques house and feed people, drive consumer demand and fuel economic growth.
Many felt an immediate impact from COVID-19, but there will be others who experience the aftershocks for several months – sectors like transportation, construction, agriculture, tourism and hospitality. Support to rebuild impacted sectors that are significant contributors to Atlantic economies will be critical.
In the past few weeks, we’ve avoided non-essential activities like travel, meetings, and events. Similarly, we must limit new non-essential regulations that increase costs or debt for businesses if they are to recover. Empowering their ability to rebound, hire and invest again will require a comprehensive assessment of the impacts of regulations or taxes governments consider levying.
The need for high-speed rural Internet in underserved areas has never been more acute. Access to the Internet plays a pivotal role for businesses to survive and thrive in communities across Atlantic Canada. It also ensures learning continues online as children remain out of school for long periods of time.
The world of work turned virtual overnight, as did the need to expand remote work capacity. With the probability of home-based work during a crisis, the risk of cybersecurity breaches increases — an attack can potentially level a business. Establishing secure remote systems takes time, money, and extensive cybersecurity precautions that most businesses may only have now in central offices. The need to facilitate and protect remote work situations will be a priority in response to this escalating threat to the changing nature of work.
In the aftermath of COVID-19, there will be many lessons to guide us. And when the time comes to restart the economy, the Atlantic Chamber and our network will be ready to help build resilient communities and economies and advocate for policies and programs that help businesses emerge stronger on the other side.
Huddle publishes commentaries from groups and individuals on important business issues facing the Maritimes. These commentaries do not necessarily reflect the opinion of Huddle. To submit a commentary for consideration, contact editor Mark Leger: [email protected].