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Remote Working Could Mean $1.6B Loss for NYC Retailers
A greater emphasis on remote working could cost New York City’s retailers up to $1.6 billion annually with a $111-million net decline in tax revenue, city Comptroller Scott Stringer said Tuesday. Stringer based his projections on a three-day-per-week office schedule for the city’s 500,000 commuters, with losses partly offset by increased demand from city residents.
“As remote work and hybrid work schedules keep many workers closer to home, small businesses in residential districts may see a boost from New Yorkers spending more in their neighborhoods,’ said Stringer. “However, the loss of foot traffic and lower sales may be severely felt by small businesses in the city’s commercial districts.”
Although the loss in revenue is relatively minor when compared to the $7 billion in sales tax revenue that the city is expected to raise in 2022, the impact will be severely felt by these small businesses, he added.
- ◦Economy
