What Are the Coca-Cola Company's Future Prospects After the Coronavirus Pandemic Ends?
As reported by Politico, restaurants are finding that to be the case, which has led to a request that Congress create a special bailout fund for that vertical. “With the expanded unemployment benefits included in the stimulus bill, some workers can as much as double their weekly checks if they stay unemployed,” noted the publication. The National Restaurant Association has told Congress that 60 percent of the industry’s restaurants believe lifelines such as the Paycheck Protection Program (PPP) simply don’t go far enough to keep staff on the payroll. The PPP loans would cover payroll for eight weeks, yet the unemployment boost runs for four months, indicating that a mismatch might mean the businesses will run out of cash before the staff does. Thus: When workers have to (or want to) return to work, there may not be a place to which they can return. As noted in this space on Thursday (April 23), the National Federation of Independent Business is lobbying for less restrictive terms, and wants the Small Business Administration (SBA) to eliminate or reduce the 75 percent payroll condition and extend the rehiring timeframe. They also want a funding round allocated for businesses with fewer than 20 people. In the meantime, this week the Senate passed a relief package totaling $480 billion, which includes an additional $310 billion for the PPP. The measure now comes before the House of Representatives. The latest PYMNTS survey of SMBs found that on April 6 (three days after the debut of the PPP), one in four SMBs still didn’t think their businesses would survive the pandemic, and four in 10 said they weren’t sure. Digging down a bit, dine-in restaurants said they would survive only 84 days even with government aid. The refresh for those establishments, and for SMBs in general, may not be enough – not in terms of money or time.
The company and the Foundation continue to assess opportunities for grants, donations and other support around the world as the crisis evolves. Needs are being evaluated locally.