Ways in which Manchester’s businesses are adapting to the COVID-19 crisis
Businesses across several verticals, like hospitality, entertainment, restaurants, sports and various others have gone remote in an attempt to flatten the curve as well as survive the challenging times.
The COVID-19 crisis sabotaged the global economy and brought the superpowers to their knees.
Businesses have been floundering and trying out different means to stay afloat in the midst of the crisis. While some have been able to survive and absorb the shock, many have not.
Now, with newer and mutated strains of the coronavirus at large, pressures on the economy are mounting. That being said, we shall now look into the scenario of Manchester’s businesses and see how they are adapting to the new normal.
Businesses across several verticals, like hospitality, entertainment, restaurants, sports and various others have gone remote in an attempt to flatten the curve as well as survive the challenging times.
The UK government had lifted the restrictions for a while, and this allowed people to enjoy themselves, and for businesses to make revenue. However, a mutated strain of the coronavirus is wreaking havoc on the country.
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Therefore, businesses will once again have to go through an ordeal and try to adjust to the new normal all over again. Therefore, without any further ado, let us delve right into the scenario of the businesses in Manchester.
Shut down of businesses in Manchester:
According to a recent survey report, about 18 per cent of the jobs in Greater Manchester have shut down for an indefinite period of time. And now, with the possibility of a second wave of the COVID-19 crisis, this figure is only assumed to go up.
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The CEO of The Growth Company said that most of the businesses in Manchester had to deal with the unavailability of more than 20% of their workforce during the lockdown. This resulted in massive losses and even led to the shutting down of several businesses.
However, amidst all the negativity and hopelessness, one thing that has come as a welcome relief is that the big businesses in Manchester have extended their support to the smaller companies. They have supported the businesses with helpful resources and sponsorship to help them stay afloat and make it through the hard times.
The shift towards the use of technology to make it through the crisis:
Most businesses, all around the world, have started resorting to cutting-edge technology to make it through the period of crisis. As mentioned earlier, more than 20% of Manchester’s workforce was not available during the lockdown. This put the businesses at a precarious condition. Therefore, the only saving grace at such times was technology.
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More and more businesses in Manchester have made a move towards Artificial Intelligence and Machine Learning to see their way through the pandemic. These innovations of technology make it possible to reduce the need for human labour and handle the work pressure better. Artificial Intelligence has seen magnanimous growth in all types of industries. From online casinos and safest poker sites accepting US players to the sector of hospitality and tourism, AI has made the tough times easier.
The Use of Social Media in the Hours of Crisis:
Local businesses in Manchester have resorted to the use of social media more than ever in these hours of crisis. Local and small-scale businesses do not have funds similar to the big businesses to absorb the shock. Therefore, their need for social media is more than the other bigger businesses. Studies have hinted that small-scale businesses in Manchester have made greater use of social media platforms to reach out to more clients and customers.
It has also been observed that communities that have robust local businesses are eco-friendlier, sustainable and economically wholesome. Therefore, it is important for them to thrive even during the pandemic. And Manchester’s small-scale and local businesses have used the weapon of social media to cross the hurdles.
Summing up…
It is true that the scene in Manchester looks worrisome – now more than ever – with the new strain of Coronavirus at large. However, businesses have changed their core values and reworked on their dynamics to stay put amidst the hullaballoo.
That said, while some have been able to see their ways through the crisis, some have not. However, the fight against this invisible and seemingly invincible force of nature is still on, and Manchester is doing a wonderful job at that. It is now only a wait of time to see how the second phase of lockdown, if levied upon, works out for the businesses in Manchester.
Business
WeWork is closing its enormous office in Spinningfields, with tenants told to move out
Daisy Jackson
Co-working giant WeWork has announced the shock closure of its flagship space in Manchester, an enormous unit in the heart of Spinningfields.
Those who rent desks or offices within the space have been served notice to move out by the end of the month.
It’s understood that WeWork’s three remaining locations in Manchester are unaffected.
The US-based workspace company first moved into the 60,000sq ft unit at No.1 Spinningfields in 2017, offering flexible solutions to businesses of varying sizes.
But in the last few years it’s faced major financial difficulties, with WeWork eventually filing for bankruptcy in the States.
It was previously valued at $47 billion before its bankruptcy overseas.
On the closure of its huge Manchester office, a WeWork spokesperson said: “As part of WeWork’s efforts to achieve a sustainable capital structure and profitable business to serve our members for the long term, we have made the decision to stop operating at No1 Spinningfields in Manchester.
“We look forward to continuing to provide our members with flexible space solutions across our other locations in the city and the rest of the UK, which remains a key market for us.”
An email sent to tenants said: “After carefully evaluating our offerings in Manchester, we have made the decision to stop operating at WeWork No 1 Spinningfields… the move out will occur by 31 May 2024.
“We understand this may cause disruption to your business and are very sorry for any inconvenience this may cause.”
Have you been affected by WeWork’s Manchester closure? Email [email protected] who can help with central, flexible office spaces.
Business
Premier League agrees new spending cap after ‘majority of clubs’ vote in favour
Danny Jones
The Premier League has reached an agreement in principle on a new spending cap for all teams as the English top flight looks to replace the current Profitability and Sustainability Rules (PSR).
Set to be installed from the 2025/26 season onwards once fully ratified, revised spending limits will placed on teams in the first division, the number for which will be calculated in relation to a multiple of the money earned in prize money and TV rights by the lowest-earning club in the Premier League.
If approved at the AGM (annual general meeting) this June, the new model will replace the existing PSR system under which multiple clubs have broken FFP and been charged with other breaches over recent years, with Everton and Nottingham Forest having already been deducted points this season.
Although 16 of the 20 Premier League clubs reportedly agreed to the newly proposed regulations, four clubs were not in favour, with Manchester City, Man United and Aston Villa all said to have voted against the decision, while Chelsea chose to abstain.
The new max-spending model is being referred to as ‘anchoring’ or ‘tethering’, which will take into account total amounts spent on buying players, weekly wages, agents’ fees and more.
If successful following a final vote in June and brought through the season after next, the aim is to curb the increasing financial gap between the top and bottom of the table by preventing things like big sponsorships which may otherwise see clubs assert massive spending power during transfer windows.
According to the Independent, cost controls will now “limit club expenditure on salaries, signing and fees to 85 per cent of total revenue” for those not competing in European competitions.
This comes after Premier League teams previously the latest UEFA rules that will see those playing in the likes of the Champions, Europa and Conference League only allowed to spend 70% of that revenue, given the added financial uplift from qualifying for these tournaments.
While 16 yeas were enough to see the initial vote move forward, it will only require 14 out of 20 clubs to agree to the rule change in June for the motion to be fully passed.
A Professional Footballers’ Association (PFA) spokesperson said: “We will obviously wait to see further details of these specific proposals, but we have always been clear that we would oppose any measure that would place a ‘hard’ cap on player wages.
“There is an established process in place to ensure that proposals like this, which would directly impact our members, have to be properly consulted on.”