Trade will suffer loss of R$ 20 billion due to holiday this year

For people working in trade, one holiday is bad, two is good, and three is too much. Everyone likes an extra break in the middle of their routine. However, we cannot forget that, for these people, each day with the store closed means loss of money. Unfortunately, in 2020, traders will suffer a loss of R$ 20bn thanks to the holidays.

That's because, this year, more national holidays will fall on business days. Thus, trade will lose more money than last year with these commemorative dates. Continue reading this article to learn more about this damage.

More details on damage caused by holidays

Last year traders lost R$ 17.4 billion due to national holidays. It is clear, therefore, that this year the situation will be much worse. Many people may be surprised by the R$ 20 bi loss. This is because they can imagine that the trips that people take on these commemorative dates drive trade.

According to economist Fabio Bentes, the situation is not quite like that. He stated in a report that, although economic activities related to tourism are favored, other sectors are harmed. This is because most stores are closed and it is necessary to raise costs to open the rest of them.

In order for you to have an idea of how harmful a holiday can be, it is important to mention that a day off causes a decrease of 8.4% in trade profitability. Therefore, 2020 is going to be a very controversial year with regard to your holidays. If a lot of people are going to celebrate the rest days, traders will have to find ways to chase the loss.

It is worth mentioning that, if we compare this year with 2019, only the Proclamation of the Republic holiday changed from a working day to the weekend (in this case, to Sunday). Several holidays that, last year, fell on Saturday or Sunday will fall on business days in 2020.

Final considerations

Having said that, we News Report we hope we've clarified why the holidays will hurt traders in 2020. Let us know what you think about this issue! Are you one of those people who will lose money this year because of the commemorative dates?

Also keep following our website if you want to know more subjects related to the loss of holidays for the economy. We will clarify the main news for you!

 

Source: wow