CHAMBER CHATTER

This week I thought I would like to talk about the importance of shopping local… and give you some information that may help your businesses in these slower economic times.

Someone in the know told me to look up The Velocity of Money Theory, when I asked if they knew where I could find an article about how many times one dollar spent in your local town went around. The velocity of money is the average frequency with which a unit of money is spent in a specific period of time. Velocity associates the amount of economic activity associated with a given money supply.

When I looked this up, I found a small illustration that you might find interesting:

If, for example, in a very small economy, a farmer and a mechanic, with just $50 between them, buy goods and services from each other in just three transactions over the course of a year

·Mechanic buys $40 of corn from farmer.

·Farmer spends $50 on tractor repair.

·Mechanic spends $10 on barn cat from farmer

·then $100 changed hands in course of a year, even though there is only $50 in this little economy. That $100 level is possible because each dollar was spent an average of twice a year, which is to say that the velocity was 2 / yr.

I hope this is not too confusing, I don?t think so….. and it shows how our money spent at home in a regular economy goes around, helping everyone gain.

DID YOU KNOW:

lMinistry of Finance ? Notice to Businesses

The Ministry of Finance has posted a Notice to Businesses on their website regarding PST on Administrative Materials. This notice clarifies how PST applies to administrative materials sent into or out of British Columbia. You can access this document www.gov.bc.ca/sbr , or request additional paper copies by e-mailing SBRPublications@gov.bc.ca

Downsizing? Work sharing may help you to avoid job losses

Facing difficult times?When a company faces difficulty beyond its control and is forced to cut back production, it may have only two courses of action. It can either lay off employees temporarily or make an agreement with the affected employees to participate in a Work-Sharing arrangement.

What is a Work-Sharing Agreement? Work-Sharing is an Employment Insurance (EI) program that enables employers to face cutbacks and still avoid layoffs. The program enables this by shortening the work week by one to three days and paying reduced wages accordingly. For the hours, days, or shifts not worked, Service Canada arranges for EI eligible employees to draw benefits, to help compensate them for the lower wages received from their employer.

Win-Win situation

Work-Sharing benefits employees: they avoid the hardship of being laid off; they retain their work skills. Work-Sharing benefits employers:

valued employees are retained; staff morale is strengthened; expensive rehiring and retraining costs are avoided.

Working together

Management and employees must agree to participate in Work-Sharing. To be eligible, an employer must have been in business in Canada for at least two years. The company must also be able to show that the need for reduced hours is temporary and unavoidable, and is not a seasonal situation. Other conditions apply.

A temporary measure

Agreements can range from 6 to 26 weeks with an extension of up to a maximum of 38 weeks. However, the 2009 federal budget will extend, over the next two years, work-sharing agreements by 14 weeks, to a maximum of 52 weeks, and will increase access through greater flexibility in the qualifying criteria and streamlining processes for employers. For more information: The Service Canada web site provides more information about terms and conditions for the program as well as forms to be filled out: http://www1.servicecanada.gc.ca/eng/epb/sid/cia/grants/ws/desc_ws.shtmlTo find the nearest Service Canada Centre: http://www1.servicecanada.gc.ca/eng/gateways/where_you_live/menu.shtml

Chamber of Commerce is working on the 2009 Membership. If you do not have your invoice yet, it will be coming, or you can stop in and pay, IF YOU are not a Member yet, please stop in and find out the benefits, and join. You don?t want to miss out on being part of the dynamic team we have this year. IF YOU HAVE YOUR INVOICE, and HAVEN?T DONE SO , PLEASE MAIL YOUR CHEQUE.

Thank you for supporting your Community by Shopping Local!

Have a good week everyone. :)

How come you?re late?? asks the bartender as the waitress walks into the bar.

?Oh it was awful?, replies the waitress.?There was this big accident down on Elm Street. This man was thrown from his car, his leg was broken, his skull was fractured, there was blood everywhere.? ?Thank goodness I remembered the instructions from that first aid class I took.?

?What did you do?? asked the bartender.

The waitress replied ?I sat down on the sidewalk and put my head between my knees to keep from fainting!!?