Hospitality hit hard: another restaurant shutting shop

FRANZ JOSEF

ANOTHER key business at Franz Josef Glacier is preparing to close as the impact of Covid19 on international tourism continues to rattle the resort.

The King Tiger Eastern Eating House and Bar will close from tomorrow.

Owners announced the hibernation early this week, saying the ‘‘difficult decision’’ was a direct result of the challenges thrown up by the pandemic.

The Cron St eatery — directly opposite the nowempty Ngai Tahu Tourismowned Franz Josef Hot Pools and Franz Josef Glacier Guide base — is one of three hospitality businesses owned by The Landing Bar Ltd.

The same company also owns The Landing Bar and Restaurant and Full of Beans Cafe, both in the main street.

Spokeswoman Gig Raksamart said both those businesses were remaining open, largely due to local support.

The worstcase scenario was all three businesses going into hibernation — ‘‘but we don’t want to go that way — we are hoping it is going to get better’’.

The firms had been holding out hope for a transtasman ‘‘bubble’’ but that now looked to be some time away, Ms Raksamart said.

The loss of Chinese and then Indian travellers from late last year had had a large impact; New Zealand tourists were now making up 99% of their business.

‘‘Some Coasters are travelling around but I don’t know how long they will keep spending money. The locals also still support us bigtime but it’s not enough to survive.’’

Staff from King Tiger had been crosstrained and would have work, she said.

However, she could not rule out future job losses when the second extension of the Government’s wage subsidy ended.

‘‘After that, if we don’t have

still work for them we will have to let them go.’’

Total staff numbers had reduced by more than 80% in recent months.

At the peak of the tourist season the three businesses employed up to 112 staff; they now had 17 fulltime employees following a restructure in May, Ms Raksamart said.

‘‘We are trying our best to retain them but at the end of the day we had to make some difficult decisions. We are not making enough to survive.

‘‘It has been very hard for everyone.’’

The abrupt loss of visitors to Franz Josef has had a wideranging impact on the village, affecting the entire sector and resulting in the loss of at least 100 jobs.

The Copper Pot Indian Restaurant and Fern Grove Gifts and Souvenirs have been closed since lockdown, while others such as The Alice May Restaurant are operating on reduced hours.

Hotels and visitor experiences have also been closed.

When the border controls came in, days before lockdown, Scenic Hotel Group closed the Glacier Country Hotel at Fox Glacier and Te Waonui Forest Retreat fivestar accommodation at Franz.

Scenic Hotels expected them to stay shut for at least 18 months.

Ngai Tahu Tourism also pulled the pin on its Franz Josef Glacier Guides base and Glacier Hot Pools, axing about 50 local jobs.

However, last month it reemployed four guides to work in a reduced venture with The Helicopter Line to resume walks on the ice. — Greymouth Star

❛ Some Coasters are travelling around but I don’t

know how long they will keep spending money