Pittsburgh business leaders expressed confidence this week that area businesses are up to the challenge of beginning to reopen safely in order to jumpstart the local economy amid the COVID-19 pandemic.
Matt Smith, president of the Greater Pittsburgh Chamber of Commerce and Bill Flanagan, chief corporate relations officer of the Allegheny Conference, spoke during a webinar sponsored by Waldron Private Wealth on Monday about the steps it will take to reopen Pittsburgh’s economy during the ongoing coronavirus crisis.
“Confidence and trust are going to be vital,” said Smith. “I’m confident that businesses will do right by their employees and customers.”
Last week Gov. Tom Wolf announced plans to reopen the state by region beginning May 8. Allegheny County is still in the red zone, meaning the ‘stay at home order’ is still in effect. Twenty-four counties in northwest and northcentral Pennsylvania have been given the OK to begin reopening certain businesses due to their lower population density. The governor did not give a timeline for the reopening of other counties.
“We were disappointed,” said Smith. “Based on the hospital capacity of the region and healthcare facilities, we are ready to move from the red to yellow phase and begin the process. We think we are ready to reopen.”
He has shared his thoughts with state leaders at the Pennsylvania Chamber of Business and Industry and those in Gov. Wolf’s administration.
Under the yellow phase retail stores may reopen. Schools will remain closed and restaurants and bars may only continue with carryout and curbside pick-up. Indoor movie theaters, gyms and casinos would also remain closed.
“We will have to move forward with the virus among us,” said Smith, “before there’s a vaccine.”
The business community will face the challenge of incorporating safety guidelines into everyday operations.
“Even when we move from the red phase to the yellow phase, things like telework will still be emphasized, if possible. Business operations will have to be very safe. There will be a need for personal protective equipment and social distancing,” he said, adding that guidelines should be clear and concise for business owners to follow.
Smith also said ‘over-communication’ will be key to moving forward, especially for private businesses.
“I liken this to being an air traffic controller,” said Smith. “We are going to have to constantly monitor the guidance from the public sector and to make sure those guidelines keep customers and employees safe. There has to be adaptability.”
Health experts believe there could be a second wave of COVID-19 cases later this year. And while experts disagree if the second wave will be worse than the first, a slow rise in cases could happen because of the relaxation of social distancing guidelines.
“If there’s a phase two of this virus, we want to make sure there’s no reason to shut down the economy again,” said Smith.
But as many have said, reopening the economy won’t be like flipping a switch – it will be a slow rollout accompanied by a ‘new normal.’
“If you’re a restaurant, an entertainment venue, a movie theater – there’s likely to be a requirement for social distancing,” said Smith. “Heinz Hall or PNC Park will have to have spaced-out seating. That’s going to have a huge financial impact.”
Smith said it is likely the federal government will have to give out bridge monies to cover those costs.
Regardless, Flanagan is confident the region will rebound, adding that in surveys conducted in conjunction with Schmidt Market Research in the 10-county Pittsburgh region, nearly half of those surveyed are feeling positive about consumer confidence.
“We have much stronger confidence here in Pittsburgh rather than in the nation overall,” Flanagan said. “That’s good for us. We’ve gone through the Great Recession, the dot-com bust, the fallout of the post-Gulf War era, and the steel bust. We had a lot of confidence before the coronavirus and it will come back. We’ve had major setbacks before.”