New Brunswick makes the best of a bad situation in today’s budget
FOR IMMEDIATE RELEASE
March 22, 2011
FREDERICTON – Faced with a huge, spiralling deficit, the New Brunswick government has introduced a budget that combines overall spending reductions with new revenues. Still struggling with slow sales from the economic downturn, the restaurant industry believes the budget strikes a good balance and will create positive economic benefits for the province’s small business operators.
“The government has recognized the important role restaurants play in communities across New Brunswick, and has taken steps to halve its own deficit while continuing to create an environment for economic activity and growth,” says Luc Erjavec, Atlantic Canada Vice President for the Canadian Restaurant and Foodservices Association (CRFA). “Foodservice operators are relieved government will not increase the HST and will review minimum wage policies. Government has also taken a large bite out of the deficit while maintaining some of the most competitive personal and corporate tax rates in the country.”
“While there is some concern that increased fuel taxes could impact the disposable income of our customers, we believe the government, in its first budget, has overall made the best of a bad situation by cooking up the right recipe for the right time,” says Erjavec.
As one of New Brunswick’s largest private-sector employers, the restaurant industry encompasses more than 24,000 direct employees and over 1,600 commercial establishments. According to a recent Ipsos poll for Kraft Foodservice Canada and CRFA, 22 per cent of Canadians were first employed by the restaurant industry.
CRFA is one of Canada’s largest business associations, with more than 30,000 members representing restaurants, bars, caterers, institutions and other foodservice providers. Canada’s $60-billion foodservice industry employs more than one million people in communities across the country.
Note to Editors: A high-resolution photo of Luc Erjavec with Premier David Alward is available at www.crfa.ca/images/erjavecalward.jpg
Cutline: Premier David Alward (left) talks with Luc Erjavec, CRFA Vice President Atlantic (right) at New Brunswick’s budget lock up on March 22, 2011.
Related document
New Brunswick Finance Minister Blaine Higgs’s explicity mentioned the foodservice industry in his 2011 budget speech. To read the first page of his speech, click here. (PDF)
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