The Tribune

• Waterloo owner hits at ‘inequitable’ COVID rules use

• Says unfair competition, continued curfew drove close

• No reply to exemption request; 50-60 are furloughed

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

A popular nightspot yesterday revealed it faced “an insurmountable task” to remain open due to the “toll” inflicted by the “inequitable” application of COVID-19 measures combined with the ongoing 10pm curfew.

Kevin Knowles, Club Waterloo’s principal, told Tribune Business the absence of a “level playing field” over how health-related restrictions are applied meant his business - and other local entertainment establishments - are operating at a competitive disadvantage against hotels as well as operators who have been given exemptions from the rules.

After emerging from the the initial COVID-19 lockdown last year, he explained that the East Bay Street-based nightclub/bar had adjusted its traditional business model multiple times in an effort to comply with the government’s health protocols.

It initially constructed a 3,000 square foot patio area to cater to outdoor dining, together with seating for 100 guests, and then sought permission from the Prime Minister’s Office to cater to private parties featuring resort guests seeking an off-property experience during their Bahamas vacation on the basis that most - if not all - will likely be fully vaccinated against COVID-19.

Revealing that this permission “would have been the difference between staying open and closing”, Mr Knowles disclosed that Club Waterloo was “not even afforded a reply” to its latter request. This was despite the prime minister, in talking about a so-called Vaccination Day on Friday, suggesting that fully vaccinated persons may soon be allowed to go out during the curfew and attend large gatherings without needing permission.

With no help from the government, and unable to fairly compete against the likes of hotel bars and restaurants, Mr Knowles said Club Waterloo had little choice but to close and once again furlough 50-60 full and part-time staff until a more favourable operating environment emerges because ongoing financial losses were “unsustainable”.

Pointing out that these issues went well beyond Club Waterloo, and are impacting multiple businesses in the entertainment/night-time industries sector, he urged the government to “even the playing field” by allowing local businesses to follow Bahamian resorts in testing patrons for COVID-19 at the door prior to their entrance. 

Also calling on the government to lift the curfew and “extend operating hours”, Mr Knowles said: “Our concerns are that it doesn’t seem to be a level playing field. It’s difficult to compete and stay relevant when the rules are applied selectively to different businesses and venues. It’s already a difficult climate for operations such as ours, and to be compounded with an un-level playing field, it became an insurmountable task.”

The Club Waterloo principal echoed others who have previously called on the government to uniformly apply the COVID-19 restrictions and health measures to all businesses, as well as provide a ‘road map’ towards exiting these rules. There have also been repeated assertions that some of the government’s decisions are not justified or backed by the medical science, leading to inconsistent decision-making.

“Communication to businesses and transparency in rationale are non-existent,” Mr Knowles added. “For Bahamians to be able to patronise one entity and not another has no medical basis. Many businesses such as ours have the ability and capacity to make any changes required to operate safely during these times.

“The fact that we are not afforded the chance speaks to the disconnect between lawmakers and their citizens. The fact that an antigen test can get you into hotels, indoor dining and into the US, but doesn’t help you at local venues or for domestic travel....”

Responding to Tribune Business questions, Mr Knowles said it was “very concerning” that hotel bars and restaurants are allowed to remain open beyond the 10pm curfew, with Bahamians allowed to patronise them and enjoy indoor dining with a negative COVID-19 antigen test, yet locally-owned rivals are being subjected to more restrictive measures and tighter rules that prevent them from competing.

“We see our patrons flocking to these venues because the rules don’t apply,” he added. “They don’t have to wear masks. They don’t have to adhere to our curfews. They can enjoy indoor venues. As stated, we have the ability to implement any protocols if required. 

“If the Competent Authority (Prime Minister’s Office) published a new standard of operating procedures that, if followed, would allow more flexibility in operations I’m sure you would see everyone making the changes.... People have to learn to live responsibly with the ongoing pandemic. Allow them to.”

Mr Knowles said Club Waterloo re-opened as soon as allowed to following the initial COVID-19 lockdown, even though venue capacity and operating hours were severely restricted by the health protocols. It quickly adjusted its business model by adopting outdoor dining, hiring ten new servers as well as management consultants to make the switch from night venue to restaurant-style service.

The necessary health measures were implemented, and he added: “Employees were in desperate need of work and pay cheques to keep households running... To-date, we have not been made aware of any cases through contact tracing. Also, we haven’t had one employee test positive for COVID during our time of operation. Not one.”

To further place Club Waterloo on a sustainable footing, Mr Knowles said it developed a proposal to cater to private parties of hotel guests - many of whom, if not all, were likely to be fully vaccinated. This was submitted to the Government’s Competent Authority, together with details of existing health protocols, but no response was received despite several follow-ups to the original submission.

“Our request was limited to the ability to accommodate groups from the hotels who had requested off-property experiences,” he explained. “When we replied that we could only operate until 9pm with a bevy of restrictions every group cancelled their requests.

“The ability to accommodate these guests, whom by all accounts should have been vaccinated or COVID negative, would have been the difference between staying open and closing. And to not even be afforded a reply on such an important request is very disappointing.”

Mr Knowles continued: “When there was no answer to [our] requests, an extension to the Emergency Orders and no changes to curfews, we decided we would close until more favourable operating conditions existed. Waterloo as a company, and its management, did everything we could to stay open and keep our staff employed. With no help in sight it just wasn’t feasible to continue.

“Our losses were substantial over the time but they were manageable for the greater good of keeping doors open and staff employed. But these losses increased and became unsustainable when hotels opened their doors to our local consumers with no restrictions.

“These reasons, coupled with constant police harassment, made staying open impossible. Fifty to 60 full-time and part-time employees were furloughed and again no response from the Competent Authority....The continued enforcement of curfews and restrictions, while we see the rules not applied equitable, has definitely taken their toll,” Mr Knowles added.

“We were under the impression that the Emergency Orders were not going to be extended [until August], so we continued to absorb operating losses because we figured there was a light at the end of the tunnel. When the orders were extended, curfews remained in place and more restrictions added for Bahamian venues, we could not continue to operate at a loss with no end in sight.

“Friends in similar and other businesses have expressed the same concerns, and if the same measures remain in place more jobs will be jeopardised at a point when most of the world is re-opening.”