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‘It’s sort of like we’re back to 2020’: L.A. dining scene braces for possible indoor masking return

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‘It’s sort of like we’re back to 2020’: L.A. dining scene braces for possible indoor masking return

As Los Angeles hurtles towards a doable return of a countywide indoor masks mandate, restaurateurs and bar house owners are bracing for a brand new wave of backlash and enforcement difficulties — harking back to lots of their business’s hardships in the course of the pandemic-spurred pivots and quickly evolving eating laws of 2020 and 2021.

However in an encouraging growth, recent figures are displaying a slight flattening in new infections and hospitalizations. Nonetheless, the eating business remained on edge.

If Los Angeles County stays within the “excessive” neighborhood stage by means of Thursday, recording a minimum of 10 new weekly coronavirus-positive hospitalizations for each 100,000 residents, a countywide masks mandate would take impact Friday and require masks worn indoors by anybody over the age of two in a number of settings: gyms, workplace areas, outlets, instructional amenities, supermarkets and eating places and bars amongst them.

Issues lengthen far past whether or not the return of indoor masking will lower gross sales, as some have already observed a decline in the course of the present COVID-19 wave pushed by the extremely infectious BA.5 Omicron subvariant. To many, a return to a masks mandate might imply a reprisal of indignant and unruly clients, an issue exacerbated by already skeletal staffing.

Server Boris Macquin working at Figaro Bistrot on March 15, 2021.

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(Gina Ferazzi / Los Angeles Instances)

Robert Fleming managed to keep away from the pandemic’s first two years of pivots and regulation of clients, because the coronavirus and provide chain points impeded the development and opening of his Eagle Rock bar, Capri Membership, which launched in June. Ought to the county return to indoor masking this week, it might mark the primary time Fleming must navigate masking laws as a enterprise proprietor.

“I’m fearful and I’m nervous and there’s a number of nervousness behind it,” he mentioned. “I actually dodged a bullet by not being open throughout a number of this; I’m just a little out of kinds, simply because I’ve so many friends that went by means of a lot.”

Ought to an indoor masks mandate return in L.A. County, his bar’s group will comply and the workers will put on masks, although they’re all cautious of imposing indoor masking for patrons. Logistically, it presents a problem within the 39-seat house: There isn’t a desk service; all orders are positioned on the bar. Prospects seated on the bar can be allowed to take away their masks, however these ordering on the bar, within the seated visitors’ shut proximity, wouldn’t.

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Even when restaurant and bar house owners are in a monetary place to rent workers particularly to implement the rule, nationwide labor shortages — significantly within the restaurant business, rife with traditionally low pay and grueling work circumstances — make the hiring pool particularly tight.

Capri Membership’s staffing is lean because it at present stands, with two bartenders, a barback and a meals runner on the ground at any given time, usually fulfilling orders for patrons standing two or three deep across the bar. Final week, because of the doable COVID-19 publicity of an worker, Capri Membership closed fully for one evening due to lack of staffing.

Hiring additional workers to implement vaccination and masks mandates can be practically not possible, Fleming mentioned.

“The county doesn’t give us any assets past what they record on their web site and what they’ve accessible, documentation-wise,” he mentioned. “However for one restaurateur who’s understaffed — and each restaurateur I do know within the county is understaffed — it’s undoubtedly a giant ask to presume that we might simply manifest out of skinny air an additional physique in there, or an additional individual to be strict about imposing it.”

As an owner-operator, he feels pulled between the alternatives and fears how clients might react towards strict enforcement.

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“If I’m being blunt, you already know, that’s all the time gonna be the factor that retains me up at evening,” Fleming mentioned, including: “Damned in the event you do, damned in the event you don’t.”

L.A. County Public Well being Director Barbara Ferrer has said that if the county does return to indoor masking, she hopes it’s transient. On Thursday she famous that if the county’s case numbers confirmed promise in slowing, a mandate might be postponed.

Maria Salinas, the president and chief government of the Los Angeles Space Chamber of Commerce, and Jessica Lall, president and chief government of the Central Metropolis Assn., not too long ago contacted Ferrer, writing that the indoor masks mandate “places staff within the more and more difficult place of imposing a mandate that many shoppers not want to — or are unwilling to — adjust to.”

A woman in a mask talks on the phone at a food business

Lien Ta, co-owner of All Day Child in Silver Lake, takes an order by cellphone on the eatery in November 2020.

(Genaro Molina / Los Angeles Instances)

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Lien Ta, co-owner of Silver Lake’s All Day Child and Koreatown’s Right here’s You, can be involved with buyer response. “Policing individuals on the door” is “the other of hospitality,” Ta mentioned, and she or he and her workers have had lower than well mannered interactions imposing masks mandates previously.

“Enterprise is simply actually, actually arduous, after which on prime of it, if individuals are yelling at you, it simply makes it tougher,” she mentioned.

Ta and her groups have weathered the pandemic working two very completely different eating places. All Day Child is extra informal and permits for out of doors seating, whereas Right here’s You is roughly half the scale and indoor-only; the operator believes that the return of indoor masking might have drastically disparate outcomes at every.

Masks are already non-obligatory for her workers at each eating places, although many staff haven’t stopped indoor masking throughout service. She additionally notes that many shoppers have additionally voluntarily begun donning masks indoors in the course of the newest surge, although she is aware of that not all clients will really feel as amenable.

“It’s arduous getting individuals to maintain a masks on on the grocery retailer, not to mention at a restaurant the place they are saying, ‘We’re simply going to take it off anyway.’ It’s very troublesome to handle that sort of obstinate conduct,” Ta mentioned. “I’m not likely wanting ahead to that, and admittedly, I don’t have the vitality.”

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At All Day Child, which presents patio seating, the upper quantity of shoppers might account for a bigger quantity of detrimental suggestions, although the house might offset a few of it with out of doors eating. Right here’s You doesn’t supply out of doors eating, although it did earlier within the pandemic, flipping its seating to a wholly al fresco sidewalk setup. Nowadays, Ta mentioned, she merely doesn’t have the assets to transform her restaurant once more, and she or he doesn’t have the workers to prepare dinner for added diners.

And she or he’s already observed a dip in clients. Usually the Koreatown restaurant’s bar can accommodate roughly 30 walk-in diners over the course of a night; not too long ago, solely two sat down.

A restaurant owner in a mask and gloves leans out of the takeout window of her restaurant to wave to a customer outside

Lien Ta of All Day Child greets a buyer in November 2020. “It’s very troublesome to handle that sort of obstinate conduct,” Ta says of diners who refuse to masks.

(Genaro Molina / Los Angeles Instances)

Conversely, at All Day Child, the group has slowed on weekdays; the extra informal of her two eating places, she admits, is extra simply minimize from the plans of a cautious or pandemic-wary buyer than Right here’s You, which sees extra special-occasion celebrations. She feels helpless within the face of dropping walk-ins and cancellations, however, she says, what can she do?

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Each companies inventory hand sanitizer for visitor use; whereas she doesn’t need to entrance the price of offering free disposable masks to visitors on prime of standard working prices and present inflation developments, Ta has heard of different restaurateurs promoting them to diners who arrive with out, and although it’s not perfect, she is contemplating the choice for each of her eating rooms — lest clients who come unprepared get turned away on the door, inflicting much more lack of enterprise.

“My workers are mature people who work very, very arduous, so we’re all gonna put on our masks,” Ta mentioned. “It’s primarily simply the general public, and we actually want them to come back and eat. I don’t know. It’s form of like we’re again to 2020.”

‘The truth is that individuals, no matter vaccination standing, are going to proceed to collect indoors.’

— Joel Dixon, of the Rustic Canyon Household restaurant group

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The Rustic Canyon Household restaurant group operates eight L.A.-area eating places, bars and ice cream ideas, together with Birdie G’s, Rustic Canyon, Cassia and Tallula’s, and has gone as far as to utterly reconfigure a few of its eating rooms to accommodate quickly altering tips over the course of the pandemic.

All of its companies will adjust to a return of an indoor masks mandate ought to it arrive quickly, which they’re anticipating, mentioned the hospitality group’s president, Joel Dixon. However this time the mandate feels completely different, he mentioned, and opposite to Ferrer’s stance {that a} return to indoor masking might assist sluggish constructive new case charges, Dixon mentioned he doesn’t consider that it’ll make a lot distinction.

“The truth is that individuals, no matter vaccination standing, are going to proceed to collect indoors, collect in giant teams, journey, and many others.,” Dixon wrote in an announcement. “Continued masks mandates is not going to ‘sluggish the unfold’ at this level. Burdening restaurant staff with having to police the general public with masks mandates causes pointless stress and nervousness, in a time the place we’re nonetheless confronted with staffing shortages and excessive labor prices.

“We encourage voluntary masks utilization for anybody who feels extra comfy masking up. Instituting one other masks mandate will solely end in a drop of reservations and occasions, hurting an already fragile business.”

The Los Angeles County Division of Public Well being is predicted to announce on Thursday whether or not indoor masking will return Till then, Los Angeles eating places and bars — and numerous different companies that depend on indoor service and labor — will probably be making ready for the mandate.

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Albania Gives Jared Kushner Hotel Project a Nod as Trump Returns

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Albania Gives Jared Kushner Hotel Project a Nod as Trump Returns

The government of Albania has given preliminary approval to a plan proposed by Jared Kushner, Donald J. Trump’s son-in-law, to build a $1.4 billion luxury hotel complex on a small abandoned military base off the coast of Albania.

The project is one of several involving Mr. Trump and his extended family that directly involve foreign government entities that will be moving ahead even while Mr. Trump will be in charge of foreign policy related to these same nations.

The approval by Albania’s Strategic Investment Committee — which is led by Prime Minister Edi Rama — gives Mr. Kushner and his business partners the right to move ahead with accelerated negotiations to build the luxury resort on a 111-acre section of the 2.2-square-mile island of Sazan that will be connected by ferry to the mainland.

Mr. Kushner and the Albanian government did not respond Wednesday to requests for comment. But when previously asked about this project, both have said that the evaluation is not being influenced by Mr. Kushner’s ties to Mr. Trump or any effort to try to seek favors from the U.S. government.

“The fact that such a renowned American entrepreneur shows his interest on investing in Albania makes us very proud and happy,” a spokesman for Mr. Rama said last year in a statement to The New York Times when asked about the projects.

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Mr. Kushner’s Affinity Partners, a private equity company backed with about $4.6 billion in money mostly from Saudi Arabia and other Middle East sovereign wealth funds, is pursuing the Albania project along with Asher Abehsera, a real-estate executive that Mr. Kushner has previously teamed up with to build projects in Brooklyn, N.Y.

The Albanian government, according to an official document recently posted online, will now work with their American partners to clear the proposed hotel site of any potential buried munitions and to examine any other environmental or legal concerns that need to be resolved before the project can move ahead.

The document, dated Dec. 30, notes that the government “has the right to revoke the decision,” depending on the final project negotiations.

Mr. Kushner’s firm has said the plan is to build a five-star “eco-resort community” on the island by turning a “former military base into a vibrant international destination for hospitality and wellness.”

Ivanka Trump, Mr. Trump’s daughter, has said she is helping with the project as well. “We will execute on it,” she said about the project, during a podcast last year.

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This project is just one of two major real-estate deals that Mr. Kushner is pursuing along with Mr. Abehsera that involve foreign governments.

Separately, the partnership received preliminary approval last year to build a luxury hotel complex in Belgrade, Serbia, in the former ministry of defense building, which has sat empty for decades after it was bombed by NATO in 1999 during a war there.

Serbia and Albania have foreign policy matters pending with the United States, as both countries seek continued U.S. support for their long-stalled efforts to join the European Union, and officials in Washington are trying to convince Serbia to tighten ties with the United States, instead of Russia.

Virginia Canter, who served as White House ethics lawyer during the Obama and Clinton administrations and also an ethics adviser to the International Monetary Fund, said even if there was no attempt to gain influence with Mr. Trump, any government deal involving his family creates that impression.

“It all looks like favoritism, like they are providing access to Kushner because they want to be on the good side of Trump,” Ms. Canter said, now with State Democracy Defenders Fund, a group that tracks federal government corruption and ethics issues.

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Craft supplies retailer Joann declares bankruptcy for the second time in a year

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Craft supplies retailer Joann declares bankruptcy for the second time in a year

The craft supplies and fabric retailer Joann filed for bankruptcy for the second time in less than a year, as the chain wrestles with declining sales and inventory shortages, the company said Wednesday.

The retailer emerged from a previous Chapter 11 bankruptcy process last April after eliminating $505 million in debt. Now, with $615 million in liabilities, the company will begin a court-supervised sale of its assets to repay creditors. The company owes an additional $133 million to its suppliers.

“We hope that this process enables us to find a path that would allow Joann to continue operating,” said interim Chief Executive Michael Prendergast in a statement. “The last several years have presented significant and lasting challenges in the retail environment, which, coupled with our current financial position and constrained inventory levels, forced us to take this step.”

Joann’s more than 800 stores and websites will remain open throughout the bankruptcy process, the company said, and employees will continue to receive pay and benefits. The Hudson, Ohio-based company was founded in 1943 and has stores in 49 states, including several in Southern California.

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According to court documents, Joann began receiving unpredictable and inconsistent deliveries of yarn and sewing items from its suppliers, making it difficult to keep its shelves stocked. Joann’s suppliers also discontinued certain items the retailer relied on.

Along with the “unanticipated inventory challenges,” Joann and other retailers face pressure from inflation-wary consumers and interest rates that were for a time the highest in decades. The crafts supplier has also been hindered by competition from others in the space, including Michael’s, Etsy and Hobby Lobby, said Retail Wire Chief Executive Dominick Miserandino.

“It did not necessarily learn to evolve like its nearby competitors,” Miserandino said of Joann. “Not many people have heard of Joann in the way they’ve heard of Michael’s.”

Joann is not the first retailer to continue to struggle after going through bankruptcy. The party supply chain Party City announced last month it would be shutting down operations, after filing for and emerging from Chapter 11 bankruptcy in 2023.

Over the last two years, more than 60 companies have filed for bankruptcy for a second or third time, Bloomberg reported, based on information from BankruptcyData. That’s the most over a comparable period since 2020, when the COVID-19 pandemic kept shoppers home.

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Discount chain Big Lots filed for bankruptcy last September, and the Container Store, a retailer offering storage and organization products, declared bankruptcy last month. Companies that rely heavily on brick-and-mortar locations are scrambling to keep up with online retailers and big-box chains. Fast-casual restaurants such as Red Lobster and Rubio’s Coastal Grill have also struggled.

High prices have prompted consumers to pull back on discretionary spending, while rising operating and labor costs put additional pressure on businesses, experts said. The U.S. annual inflation rate for 2024 was 2.9%, down from 3.4% in 2023. But inflation has been on the rise since September and remains above the Federal Reserve’s goal of 2%.

If a sale process for Joann is approved, Gordon Brothers Retail Partners would serve as the stalking-horse bidder and set the floor for the auction.

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U.S. Sues Southwest Airlines Over Chronic Delays

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U.S. Sues Southwest Airlines Over Chronic Delays

The federal government sued Southwest Airlines on Wednesday, accusing the airline of harming passengers who flew on two routes that were plagued by consistent delays in 2022.

In a lawsuit, the Transportation Department said it was seeking more than $2.1 million in civil penalties over the flights between airports in Chicago and Oakland, Calif., as well as Baltimore and Cleveland, that were chronically delayed over five months that year.

“Airlines have a legal obligation to ensure that their flight schedules provide travelers with realistic departure and arrival times,” the transportation secretary, Pete Buttigieg, said in a statement. “Today’s action sends a message to all airlines that the department is prepared to go to court in order to enforce passenger protections.”

Carriers are barred from operating unrealistic flight schedules, which the Transportation Department considers an unfair, deceptive and anticompetitive practice. A “chronically delayed” flight is defined as one that operates at least 10 times a month and is late by at least 30 minutes more than half the time.

In a statement, Southwest said it was “disappointed” that the department chose to sue over the flights that took place more than two years ago. The airline said it had operated 20 million flights since the Transportation Department enacted its policy against chronically delayed flights more than a decade ago, with no other violations.

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“Any claim that these two flights represent an unrealistic schedule is simply not credible when compared with our performance over the past 15 years,” Southwest said.

Last year, Southwest canceled fewer than 1 percent of its flights, but more than 22 percent arrived at least 15 minutes later than scheduled, according to Cirium, an aviation data provider. Delta Air Lines, United Airlines, Alaska Airlines and American Airlines all had fewer such delays.

The lawsuit was filed in the United States District Court for the Northern District of California. In it, the government said that a Southwest flight from Chicago to Oakland arrived late 19 out of 25 trips in April 2022, with delays averaging more than an hour. The consistent delays continued through August of that year, averaging an hour or more. On another flight, between Baltimore and Cleveland, average delay times reached as high as 96 minutes per month during the same period. In a statement, the department said that Southwest, rather than poor weather or air traffic control, was responsible for more than 90 percent of the delays.

“Holding out these chronically delayed flights disregarded consumers’ need to have reliable information about the real arrival time of a flight and harmed thousands of passengers traveling on these Southwest flights by causing disruptions to travel plans or other plans,” the department said in the lawsuit.

The government said Southwest had violated federal rules 58 times in August 2022 after four months of consistent delays. Each violation faces a civil penalty of up to $37,377, or more than $2.1 million in total, according to the lawsuit.

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The Transportation Department on Wednesday also said that it had penalized Frontier Airlines for chronically delayed flights, fining the airline $650,000. Half that amount was paid to the Treasury and the rest is slated to be forgiven if the airline has no more chronically delayed flights over the next three years.

This month, the department ordered JetBlue Airways to pay a $2 million fine for failing to address similarly delayed flights over a span of more than a year ending in November 2023, with half the money going to passengers affected by the delays.

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