The union representing 25,000 striking public service workers in British Columbia has agreed to enter non-binding mediation with the province — but frustration is mounting across the province’s hospitality, wine, and cannabis industries, which say the seven-week labour disruption is crippling small businesses.

Veteran mediators Vince Ready and Amanda Rogers will lead discussions between the BC General Employees’ Union and the provincial government in an effort to resolve a strike that has disrupted operations across key sectors, including liquor and cannabis distribution.

In a statement Friday, BCGEU president Paul Finch said the move to mediation reflects the strength of the union’s job action and members’ determination to secure a fair deal amid affordability concerns. Picket lines will remain in place during talks, including at provincial liquor and cannabis distribution warehouses — a decision that has triggered alarm across the broader private sector.

Six major industry groups — representing liquor retailers, restaurants, breweries, importers, and wineries — issued a joint call Friday for emergency government intervention, warning that the strike has already cost over $250 million in lost liquor sales and is threatening the survival of thousands of businesses ahead of the critical holiday season. “BC’s hospitality industry is not a bargaining chip,” the coalition said in a joint statement. “Our industry and the thousands who depend on it need an extraordinary plan now.”

An industry survey conducted by the coalition, with over 500 responses so far, paints a stark picture:

• 76% of businesses are reducing their workforce
• 41% say they will lay off staff if the strike continues
• 78% fear closure, with 40% saying viability is already at risk
• 27% report having over $100,000 in inventory stuck in government-run warehouses

Many retailers, bars, restaurants, and wineries rely on sales from October through December — the busiest and most lucrative season of the year. Industry leaders warn that even if the strike ends immediately, it will take months to clear the backlog at the Liquor Distribution Branch.

The coalition is calling on the province to implement emergency measures and temporary distribution flexibility to allow product flow to resume during mediation.

Meanwhile, the B.C. Ministry of Finance says it remains committed to reaching a fair agreement and declined to comment further, citing respect for the mediation process.

Any tentative deal reached through mediation will require ratification by BCGEU members before it can be finalized.