Impact of the Kootenay Lake Ferry Strike on East Shore Businesses

Summary

The ferry strike on Kootenay Lake has had a significant negative impact on businesses on the East Shore. Industries affected include tourism & hospitality, retail, professional services, and agriculture. Businesses reported lost customers, canceled bookings, supply chain disruptions, and increased costs. Many have had to reduce hours, delay activities, or lay off staff. The financial impact varies, with some reporting losses exceeding $10,000.

Key Findings

• Industries Impacted:
  • Tourism & Hospitality (most affected)
  • Retail
  • Professional Services
  • Agriculture
• Major Business Challenges:
  • Loss of customers: Reported by the majority of businesses, particularly in tourism, hospitality, and retail.
  • Supply chain disruptions: Delayed shipments and increased transportation costs impacted retail, professional services, and agriculture.
  • Financial Losses:
    • 47% reported losses between $1,000 and $5,000.
    • 29% reported losses between $5,000 and $10,000.
    • 12% reported losses exceeding $10,000.
• Actions Taken Due to the Strike:
  • 41% canceled or delayed business activities.
  • 18% reduced operating hours.
  • 12% laid off staff.

Specific Business Impacts

• Tourism & Hospitality:
  • Canceled bookings and loss of guests due to ferry delays.
  • Guests arriving unaware of the strike, damaging the area’s reputation.
  • Restaurants and event spaces experiencing reduced traffic and sales.
• Retail:
  • Lost sales due to reduced customer traffic.
  • Canceled participation in events (e.g., craft fairs in Nelson).
• Professional Services:
  • Missed job opportunities and delays in expanding business.
  • Increased costs due to lost hours waiting for ferry access.
• Agriculture:
  • Difficulty staffing due to workers unable to commute.
  • Increased operational disruptions requiring retraining of new workers.

Additional Concerns

• Community Impact: Businesses reported a decline in overall activity, with fewer people traveling for work, entertainment, or dining.
• Long-Term Risk: If the strike continues into peak travel seasons, the financial damage is expected to increase significantly.

Conclusion

The ferry strike has disrupted business operations, cut off critical supply lines, and led to direct financial losses. While some businesses are managing in the short term, continued disruption could lead to further layoffs, reduced services, and long-term economic strain on the East Shore community. Resolving the strike promptly is essential to preventing further economic downturns and restoring business confidence.