February 16, 2011
By Staff Reporter
The study, “The Economic Impact of the New York State Smoking Ban on New York’s Bars,” shows widespread job and earnings losses for bars and taverns across the state and was presented to Albany legislators during a lobbying visit last week.
“The findings of the analysis are clear,” said Brian O’Connor of Ridgewood Economic Associates, which carried out the survey. “New York State has lost thousands of jobs and millions in worker earnings and productive activity as a result of banning smoking in bars. Those losses will grow if the smoking ban is left unchanged.”
In its findings the survey reports 2,000 jobs, losses of $28.5 million “in wages and salary payments,” and $37 million in gross state product.
“Empty barstools. Silent cash registers. Layoffs. Bars closing. That’s our reality,” said Brian Nolan, executive director of the United Restaurant and Tavern Owners.
The continuing debate over the smoking ban has generated vastly opposing claims and counter-claims by supporters and detractors.
In April, the New York City Department of Finance issued a report prepared to mark a year since the ban was imposed in the city at the behest of Mayor Michael Bloomberg.
The city survey claimed bar and restaurant business had grown by more than 8 percent, spurred by the smoking ban.
A Department of Finance spokesperson admitted that much of the survey included economic data gathered from establishments that did not have smoking permitted before the ban, such as Starbucks and McDonalds.
Groups lobbying in favor of a relaxation of the smoking ban, such as those associated with this latest report, have said that the impact of the smoking ban is not necessarily an obvious one, that it is neighborhood bars off the beaten track that are suffering the most.
“Beer sales to bars and nightclubs have definitely suffered because of the smoking ban,” said Bill DeLuca of Manhattan Beer, one of the largest beer distributors in the Metropolitan New York area. “Comparing this year’s first quarter to the first quarter of 2003, our restaurant sales are up 18 percent due to the upturn in the economy, but our bar sales are stagnant.”
High-end restaurants have reported that while business is up, few smoking customers linger after dinner anymore, preferring to head home for their nightcap and nicotine fix.