. Nearly 60 per cent report carrying debts directly related to the pandemic – on average, more than $100,000. A survey taken late last year indicated that 17 per cent of owners were considering permanent closing, citing the lasting damage from the COVID-19 crisis.
Even for businesses whose sales have fared well in the recovery, rising costs have dampened the success. Inflation spiked to four-decade highs, pushing up the costs of raw materials and other supplies. Wage demands have surged in response to inflation. Demand for workers continues to outstrip supply, contributing to wage pressures and straining operations for many companies. Fast-rising interest rates have compounded the debt woes left over from the pandemic.I called Mr.
That harm was lifted by an agreement Thursday to end the strike. But Mr. Kelly is still worried about the size of the wage settlement – 12.6 per cent over four years, plus a one-time $2,500 payment that represents another 3.6 per cent of the average salary. He fears those pay increases set a precedent that could contribute to relatively high wage demands not just among other public-service unions, but for workers in the private sector, too.