Strikes in Hollywood are creating uncertainty for local businesses as TIFF approaches

TORONTO — The Toronto International Film Festival is still more than a month away, but a pair of strikes by U.S. entertainment workers have left Hollywood North concerned that the annual event won’t provide the usual boost for local businesses.

When the Screen Actors Guild-American Federation of Television and Radio Artists left work at midnight Thursday and joined the Writers Guild of America on the picket line, the labor action halted dozens of international productions and immediately halted the promotional work that actors for already completed films.

That means TIFF, which is scheduled to run Sept. 7-17, could see bare red carpets and far fewer stars as SAG members skip premieres, panels, and press junkies as they seek better pay and AI protections.

But the strikes can also pose potential problems for local businesses, which help transport, feed and congratulate the bevy of stars who fly in for TIFF and often rely on the event to help their businesses through the fall.

“The longer the strike lasts, the worse the impact will be on the local economy,” said Julie Kwiecinski, director of provincial affairs for the Canadian Federation of Independent Business for Ontario.

She’s heard of local businesses trying to navigate their hotel and restaurant bookings, which may be canceled, and figuring out how much food, flowers and party favors to bring in for a festival whose look and feel could be vastly different from previous years.

“They don’t like to be in the dark,” she said. “It’s a bad place for business.”

The uncertainty around TIFF is exacerbated by the high inflation and interest rate environment that companies find themselves in as they try to recover from the COVID-19 pandemic.

A survey conducted by CFIB in May found that nearly half of Ontario’s small businesses earn less than normal revenues and 61 percent are in pandemic debt.

Such companies have high hopes for TIFF.

“We hope the strike ends soon so we can get some movie stars in town and the show can go on,” Kwiecinski said.

While business has been strong lately, Kristine Hubbard, operations manager of Toronto taxi service Beck, said less star power at TIFF would be “a disappointment.”

“Our whole city is looking forward to it and restaurants and so many businesses depend on events like this and taxi drivers are definitely a part of that.”

TIFF hasn’t outlined what it will do if the strikes extend into the festival period, but admitted it won’t be unscathed.

“The impact of this strike on the industry and events like ours cannot be denied,” TIFF said shortly after SAG announced job action.

“We urge our partners and colleagues to resume open dialogue. We will continue to plan this year’s festival in the hope of a swift resolution in the coming weeks.”

The last time TIFF and the research firm TNS Canada Ltd. studying the festival’s financial impact was in 2013. They found that the event generated at least $189 million in annual economic activity for Toronto businesses.

Those numbers likely increased as the festival grew over the decade, beginning to host an awards show and closing off a strip of King Street West on TIFF’s first weekend for stargazing and corporate promotions.

Jesse Warfield isn’t quite sure how much business TIFF will bring, especially if stars stay home, but he’s used to the festival drawing a steady crowd to his District restaurant, which sits opposite the TIFF Bell Lightbox on King Street West.

“It’s our busiest 10-day period by quite a long shot,” he said.

“We are full from the time we open at 11am to the time we close at 2am”

He books about 30 percent more staff to work during the festival, including a handful of daytime parties, and doesn’t take reservations during the event because the walk-in business is so strong.

But like most local business owners, Warfield isn’t sure what a strike will mean for District’s busy season.

“I’m a little worried, but to be honest, I’m not too worried… because we’re so busy during that period that we could be less busy and still be full,” said he.

Front of house manager Julius Chapple said nearby Rodney’s Oyster House doesn’t get much fanfare from TIFF, but many of its neighbors who have a “nice, sexy room” with a “nice vibe” take advantage of the festival every year.

“Having a bit of celebrity really helps polish their image for the rest of the year, so there’s an impact,” he said.

“For the people who invest in that relationship with the various PR groups that host parties, they’re definitely going to feel it.”

Public Relations Natasha Koifman is no stranger to the TIFF party scene. The NKPR bureau chief has thrown several star-studded bashes, including her annual Artists for Peace and Justice gala.

The events she’s involved in this year are about 90 percent scheduled, and Koifman has told clients that even if American stars stay home, A-listers and locals will still have plenty of opportunities.

“We may not see Brad Pitt, but there is so much other talent coming to the festival.”

This report from The Canadian Press was first published on July 14, 2023.

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