Saturday, August 18, 2012

Another Downtown Restaurant Closes

Diners Rendezvous Closes

Another downtown landmark has closed it's doors. After over fifty years in business the Diners Rendezvous has now joined four other restaurants to close in recent weeks.

They join Two Guys Cooking, Dancing Goat, Front Street Grill and the Modern Cafe all of which have been unable to survive in the current economic climate.

Downtown bar owners have been experiencing challenges of late as well, with one establishment adding strippers in an attempt to entice customers.

Things such as dining out and going to the bar for drinks are right at the top of things to cut if a household is experiencing tough economic times themselves. Unless you are working for some branch of government these days there is a good chance many households are finding they simply don't have as much money to spend as they once did.

If you are trying to feed yourself and family, $30 will go a lot farther at the grocery store than it will at the restaurant, and $10 will go a lot farther at the beer and wine store than it will at the pub.

As noted above, those in the employ of one level of government or another are pretty much immune to the economic reality the private sector has to face. A simple example of that is during a time when most people are happy to simply have a job and have little hope of seeing any kind of an increase, city workers got a nice 2% raise on their last contract, that on top of what are arguably pretty rich pay packets already.

The restaurant sector has always had a reputation of being a risky business, it is also one that can be entered by people who really have no idea of how to run a restaurant. According to many different studies nearly 25% of all restaurants will close in the first year and anywhere from 44% - 60% will close within three years. So just because your family likes your pot roast and pumpkin pie does not qualify you as a successful restauranteur. 

allvoices

2 comments:

  1. You say: “Unless you are working for some branch of government these days there is a good chance many households are finding they simply don't have as much money to spend as they once did.” ..... “city workers got a nice 2% raise on their last contract, that on top of what are arguably pretty rich pay packets already.”

    Regarding the City of Nanaimo’s municipal workers, CUPE 401 announced on January 13, 2012, (current council was elected in November 2011), that 750 members of CUPE 401 had approved a new deal with the City that included a TWO PER CENT WAGE INCREASE IN EACH OF THE THREE YEARS, AS WELL AS SIGNIFICANT IMPROVEMENTS TO EXTENDED HEALTH CARE COVERAGE. The new contract runs until Dec. 31, 2013.

    Don’t believe that they have to pay insurance premiums and regarding sick leave coverage, do they not also receive cash payments for showing up at work when they are not sick? Those taxpayers, who have to cut back on things like eating out, are contributing to payment of all of the above.

    Members of City Council are elected to represent all Nanaimoites. Why are they complicit in this?
    Regretably Anonymous.


    ReplyDelete
  2. Do you think people are going out less because they can't enjoy a drink without having their lives ruined by the current drinking/driving laws? These restaurant owners and employees are just the latest casualties.

    ReplyDelete

Your comment will appear after moderation before publishing,

Thank you for your comments.Any comment that could be considered slanderous or includes unacceptable language will be removed.

Thank you for participating and making your opinions known.